For a company to differentiate itself in the health and wellness space, it must offer value-added solutions to unmet needs, standing out from competitors by way of the tangible benefits its products and services bring to clients’ lives.
Even better, from an investment perspective, if the company is flying under the radar of the broader market, marked by a stock that is underpricing operations with a bright long-term future for those patient enough to wait.
Introducing AJA Health and Wellness
An emerging acquirer that blends value-added solutions with an overly pessimistic stock price is AJA Health and Wellness (TSXV:AJA), market capitalization C$3.03 million, whose stock has sustained a near total loss since 2020, despite owning three revenue-generating companies whose collective brand portfolio is addressing strategic underserved markets.
This article is disseminated in consultation with AJA Health and Wellness Inc. It is intended to inform investors and should not be taken as a recommendation or financial advice.
Aja Health
AJA’s first subsidiary, Aja Health, addresses Canadians’ pressing need for readily available medical care, as clinics grow more crowded, a doctor shortage worsens and quality of life takes a corresponding drop for millions across the country.
Its GOeVisit telehealth brand has been serving Canadians since 2016, helping thousands of patients identify and treat more than 450 minor medical conditions through smartphone or computer, leveraging established partnerships with wellness, dermatology and mental health professionals.
This is in addition to a nationwide network of full-service travel clinics operating in Ontario, Alberta and British Columbia, made possible through the asset purchase of Canadian Travel Clinics Inc.
With patients diagnosed and treated in a matter of minutes, GOeVisit frees up clinic and emergency room capacity for more urgent conditions, collecting subscription-based revenue while actively alleviating the multi-hour wait times Canada’s healthcare system is infamous for.
Aja Therapeutics
AJA’s second subsidiary, Aja Therapeutics, meets the demand for natural wellness products capable of improving overall wellbeing with the potential of reducing and/or replacing reliance on prescription medications, including opioids, whose side-effects may outweigh the conditions they’re intended to treat.
The subsidiary, focused on chronic pain relief, skin care and immunity boost, is positioned to capitalize on a global natural supplements market estimated to grow from US$58.27 billion in 2024 to US$121.76 billion by 2034 thanks to its proprietary line of BioFlora-based products.
BioFlora combines more than 20 flavonoids extracted from natural plant materials, including Cannflavin, Quercetin, Isocannflavin B, Luteolin and Apigenin, each compound scientifically and clinically proven to offer a range of benefits, including as anti-inflammatories, antioxidants, skin enhancers and neuroprotective aids. Apigenin is a particularly notable standout, having been shown to be up to 30 times more effective than nonsteroidal anti-inflammatory drugs such as Aspirin at reducing inflammation.
Fortified by powerful natural ingredients, BioFlora offers users a pathway to addressing multiple wellness challenges at once, reducing pain while strengthening the immune system.
Aja Therapeutics’ diversified, ever-evolving lineup of products, including an energy boost formula, pain relief tinctures and topicals, replenishing serums and skin moisturizers, and its most recently highlighted nasal spray for migraine relief are researched and developed at the subsidiary’s lab in Atlanta, Georgia.
(Source: AJA Health and Wellness)
The BioFlora-based spray, available to U.S. residents through www.easemyheadache.com, bypasses digestion for rapid relief from both pain and pressure, making it a natural option with no known side-effects, as opposed to the long list of potential drawbacks with standard of care migraine medications, granting it a differentiated entry point into a global market expected to almost double from US$6.81 billion in 2024 to US$13.34 billion in 2030.
Looking farther down the line, Aja Therapeutics’ intends to release severe headache and PMS headache variants of the spray, better aligning shareholders to benefit from the broader headache disorder market.
Assured Diagnostics
We end our look at AJA Health and Wellness’ tripartite business with its final subsidiary, Assured Diagnostics, which is active in the diagnostic access and health insurance sector doing business under the MyCare brand.
MyCare has assisted Canadians through its employee benefits and medical insurance lines since 2012, providing coverage in partnership with independent centers of medical excellence at affordable rates, representing a much-needed option for access to diagnostics and treatment for serious illnesses.
MyCare’s service suite is the only of its kind in Canada, including programs for serious and non-serious medical conditions, assisting policyholders with everything from initial diagnosis, to virtual care through GOeVisit, to medical second opinions, to diagnostic imaging coordination, all of it supported by a digital health information portal with customized reporting and risk assessment tools.
MyCare’s unmatched services allow AJA Health and Wellness to stand out from competitors, de-risking its path to garnering a meaningful share of the C$15 billion in value the Canadian insurance industry is expected to add by 2029.
The subsidiary continues to distinguish itself through value-added services, fostering recurring revenue while putting the patient experience front-and-centre with innovations such as surgical waitlist insurance, as well as predictive DNA testing in partnership with BioAro for more than 200 serious diseases.
AJA’s untapped health and wellness growth story
Equipped with products and services in tune with the needs of North American healthcare consumers, AJA Health and Wellness’ growth story is only beginning to unfold, with the company planning on releasing a GLP-1 weight loss program over the near term, coupled with U.S. expansion, including a natural health products manufacturer in its pipeline with whom discussions are underway.
These initiatives are backed by an up to C$25 million share subscription agreement with GEM Yield Bahamas Limited (GYBL) and GEM Global Yield, the latter agreeing to purchase AJA shares at its discretion over a three-year period based on draw down notices contingent on trading volume limits and regulatory approval.
With AJA generating revenue, most of which is recurring, within essential sectors in long-term tailwinds, the company is positioned to keep costs low and scale towards profitability as it rolls out new products and services and delivers on M&A opportunities.
Look for a track record of revenue growth, paired with improving margins, to spark a re-rating in the health and wellness stock, propelled by multiple near-term catalysts, substantiating how irrational investor pessimism has been to date.
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