TM Editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence.

Incannex has the world’s largest portfolio of patented medicinal cannabis drug formulations with 28 clinical and pre-clinical research and development projects in its pipeline which have a combined global addressable market of approximately US$400B per annum.
 

About Incannex Healthcare Limited:

Incannex (IXHL) was formerly known as Impression Healthcare Limited and changed its name to Incannex Healthcare Limited in June 2020 and was incorporated in 2001. It engages in the research, development, and sale of medicinal cannabinoid and psychedelic pharmaceutical products and therapies.
 

Incannex Pipeline and Progress

• It offers:
  1. APIRx-1803, an ultrapure cannabigerol
     1. will have a $31.5B (Global) addressable market by 2030
     2. has an 18.6% CAGR
  2. APIRx-1802, an ultrapure CBD
     • will have a $31.5B (Global) addressable market by 2030
     • has an 18.6% CAGR
  3. APIRx-1801, an ultrapure tetrahydrocannabinol (THC)
     • will have a $31.5B (Global) addressable market by 2030
     • has an 18.6% CAGR
• The company also develops:
  1. IHL-42X, which has completed Phase IIa clinical trial for obstructive sleep apnea
     • OSA affects over 900M people worldwide
     • has a $10B addressable market and
     • has a 6.2% annual growth rate.
     • Read: Dronabinol Is a Strong Contender for the First Sleep Apnea Pill
     • Incannex Healthcare kicks off Phase 2 rheumatoid arthritis trial
  2. Psi-GAD that is in Phase IIa clinical trial for generalized anxiety disorder
     • affects 8M people in the U.S. and Australia
  3. MedChew Dronabinol, which has completed Phase Ia clinical trial for nausea and vomiting in chemotherapy
     • will have a $3.1B (Global) addressable market by 2024.
  4. CanChew Plus that has completed Phase IIa clinical trial for irritable bowel syndrome
     • had a $40B (U.S.) addressable market in 2021.
  5. APIRx-1601, which has completed Phase IIa clinical trial for vitiligo
     • had a $0.1B (Global) addressable market in 2021
  6. APIRx-1602 that has completed Phase IIa clinical trial for psoriasis
     • had a $0.5B (Global) addressable market in 2021
  7. APIRx-1603, which has completed Phase IIa clinical trial for atopic dermatitis
     • had a $1.1B (Global) addressable market in 2021
• In addition, products that are in pre-clinical trial, including:
  1. IHL-675A for inflammatory lung disease
     • inflammatory lung disease had a $50.4B (Global) addressable market in 2022
  2. IHL-675A for rheumatoid arthritis
     • rheumatoid arthritis had a $57B (Global) addressable market in 2022
     • Listen: Incannex Healthcare kicks off Phase 2 rheumatoid arthritis trial
  3. IHL-675A for inflammatory bowel disease 
     • inflammatory bowel disease will have a $2.78B (U.S.) addressable market by 2028
     • Read: Incannex jumps another hurdle to advance to Phase 2 clinical trials of its anti-inflammatory drug
  4. IHL-216A for traumatic brain injury/concussion
     • had a $2.9B addressable market in 2019
     • will have a $156.8B (global) addressable market by 2024
     • In 2016 there were over 27 million incidences of TBI globally. ⁽³⁾
     • 70-90 % of TBI are mild in nature. ⁽⁴⁾
     • Read: Incannex Healthcare completes US FDA meeting for IHL-216A in treating traumatic brain injury
  5. MedChew 1401 for pain and spasticity in multiple sclerosis
     • had a $62B (Global) addressable market in 2021
  6. MedChew GB for post-herpatic neuralgia
     • will have a $3.7B (U.S.) addressable market by 2027
  7. MedChew-1502 for Parkinson's disease,
     • will have a $8B (Global) addressable market by 2027
     • has a 6.5% CAGR
  8. MedChew-1503 for dementia
     • will have a $23.9B (Global) addressable market by 2028
  9. MedChew RL for restless legs syndrome
     • has a 12.1% prevalance in the U.S. population
  10. SuppoCan (Suppository) for inflammatory bowel disease
      • will have a $2.78B (U.S.) addressable market by 2028
  11. CanChew RX for inflammatory bowel disease
      • will have a $2.78B (U.S.) addressable market by 2028
  12. CheWell for addiction of cannabis
      • had a $64B (U.S.) addressable market in 2021
  13. CanQuit for tobacco smoking cessation,
      • will have a $47.75B (Global) addressable market by 2024
      • has a 17.3% CAGR
  14. CanQuit O for opioid addiction
      • had a $64B (U.S.) addressable market in 2021
  15. APIRx 1505 Flotex for chrohn's disease
      • will have a $12.6B (Global) addressable market by 2024
  16. APIRx-1701 for glaucoma
      • will have a $10.4B (Global) addressable market by 2025
      • has 6.3% CAGR
  17. APIRx-1702 for dry eye syndrome
      • will have a $6.6B (Global) addressable market by 2027
      • has a 6.4% CAGR
  18. Oramimax for gingivitis and periodontist
      • had a $42B addressable market (U.S. and Europe) in 2021
         

Financial Situation

Incannex Healthcare has a current market capitalization of $151M. It is still in the product research and development phase of novel compounds and, as such, has no products and no revenue and requires a great deal of money to fund its R&D expenses but, according to Joel Lathum, CEO and Managing Director, Incannex has a long cash runway, reinforced by the completion of an option issue capital raise of $23.6M, that allows the Company to continue its clinical programs unimpeded.   For a detailed look at all the financial metrics related to Incannex in the last quarter and for every year going back to 2018 go here.
 

Stock Price History 

Incannex Healthcare was listed on Nasdaq on March 9th, 2022, and began trading at $10.46 before undergoing a decline of 73% in 2022 which was only slightly higher than the 70% decline experienced overall by the other 6 clinical-stage psychedelic stocks in the munKNEE Psychedelic Drug Stocks Index. So far in 2023, its stock is down 17.7% compared to only 5.3% for the other 6 stocks in the Index.
 

Analyst Forecasts

Currently, no Wall Street analysts are following Incannex so no stock price forecasts are available. 
 

Investment Risks and Offsets

The potential risks/offsets in Incannex Healthcare's future are:

• if it runs out of money to continue its research but, as mentioned above, Latham reports that the company has a long cash runway that allows the Company to continue its clinical programs unimpeded. 
• if one of its senior managers were to depart, that might cause the company to lose focus and slow down progress in its research and development,
• if another clinical-stage company were successful in developing any of the treatments that Incannex is working on and that would most likely cause negative investor sentiment towards its stock price and, even more so, if such a competitor were to take the treatment for one of those diseases to market and, finally
• if the stock market were to experience a major correction that would cause the Incannex stock to weaken considerably given its fragile investor sentiment.
   

Conclusion

Incannex has the world’s largest portfolio of patented medicinal cannabis drug formulations with 28 clinical and pre-clinical research and development projects that represent a combined global addressable market of approximately US$400B per annum so success in their clinical development programs will not only provide significant benefits to patients but also offer the significant economic potential for its shareholders.

More By This Author:

Largest Psychedelic Stocks Down 13% Last Week; Down 20% YTD
All 5 Cannabis Categories Down Last Week; Only 1 Is Up YTD
Largest American Cannabis MSOs: Downward Slope Continues