Topic: How To Invest

Q: Good day, Pat and company. I would like to know your thoughts and recommendations on Kneat Inc. Is this a stock worth holding for potential long-term gains? Thanks very much!

Article Excerpt

A: Kneat Inc., $2.54, symbol KSI on the Toronto Venture Exchange (Shares outstanding: 67.4 million; Market cap: $171.2 million; www.kneat.com), designs, develops and supplies software for data and document management within regulated environments. It’s a Canadian company with operational headquarters in Limerick, Ireland. Kneat’s shares just shot up over 25% after it signed another big client (more on that below). The company’s main product is its Kneat Gx software platform. Kneat Gx is an application to ease the regulation and documentation burden for organizations in the life sciences industry (i.e. biotechnology, pharmaceutical and medical device manufacturing). Complete and comprehensively documented validation of processes, products, equipment and software is a big, costly regulatory requirement in life sciences. Every manufacturing process, piece of equipment and computer system involved in the manufacture of pharmaceutical, biotechnology and medical device products must be validated in accordance with current Good Manufacturing Practice (cGMP) regulations. Validation requires extensive signed and time-stamped documentary evidence that all aspects of these systems have been…