Here's the Rest of our 21st Century Air Conditioning Thesis
Hey Subscriber,
This update is mostly about our next 10X bagger potential plays on what I have come to describe as the "The Multi-$Billion 21st Century New Air Conditioning Investment Opportunity" with Far-UVC Pathogen Disinfection technology from Healthe (a majority-owned subsidiary of Lighting Sciences Group Corporation) and Applied UV Inc. (AUVI) and its wholley owned subsidiary SteriLumen, Inc.
But for you all who missed out update on Sunday afternoon, once again, we have finally finished and automated our real-time Transformity Investor Ultra Growth & Ultra Income online portfolios with new Buy Under prices!
And again, here is the mind-blowing statistic our team is most proud of: so far in 2020, our Ultra Growth portfolio has generated 44 YEARS of wealth building in nine months.
| Total Portfolio Cash Invested | $235,000 | |
| Total Portfolio Gain/Loss 2020 ($$) | $728,429 | |
| Total Percentage Gain to Date | 309.97% | |
| S&P 500 Return, Year to Date | 2.20% | |
| TI PRO vs.SP 500 Outperformance | 141X SPY Outperformance | |
| Years of Avg. Market Performance in 2020 | 44.28 YEARS in 9 Months | |
| (S&P 500 Avg. Return since 1954 is 7% including dividends) |
Our subscribers earning 44 years of stock market wealth building in 9 months... OK that one I'm going to remember for a long time.
Here is the Ultra Growth Portfolio Scorecard Link (I hope!)
Here is the Ultra Income Portfolio Scorecard with Buy Under Prices
BUY UNDER
The Big News--You and I Get In on the Ground Floor of a Truly Transformative Society Wide Imperative and Immediate NEED with 10-20X Bagger Upside With Virtually ZERO Downside
Yesterday we announced we finished our finish our due diligence on the latest "Far-UV 222nm" germicidal lighting technology that I deeply now believe for a half dozen critical reasons will become the new standard of 24/7/365 pathogen and virus germicidal technology ALL the modern world and especially in the American industries devastated by their customers fear of COVID-19 infection (and the NEXT SARS based pathogen to surely arrive in the near future).
I said the catalyst for the massive demand for as rapid as a possible implementation of "Far UV-222nm" germicidal lighting technology is simply the 3 C’s: Commerical and public places that are 1) crowded, 2) closed, 3) confined.
Yes that means Schools, Colleges, Hospitality, Travel, Senior Living, Nursing Homes, Apartment/Condo Tower, Offices, movie theatres, live sports/music/entertainment/Broadway/Super Church events are ALL faced with YEARS of slow business recovery (especially since only 24% of Americans report they WILL take early versions of COVID-19 vaccine when available) UNLESS they can post a sign at their doorway that says
"This Facility Is 99.9% Virus + Pathogen Proof With UV Virus Killing Technology"
So Let's Get Deep Into The Weeds of the Multi $Billion Far-UV 222 Public Space Retrofit Opportunity
The Far-UV 222 Investment Thesis is 6-Part and One Giant Backer:
1) The Mass Adoption of 24/7 Far-UV Lighting Technology for Public Space Pathogen Disinfection Will Undergo One of the Fastest Adoption/Implementation Upgrade Cycles in History--especially in $billion+ size companies severely damaged by the Covid-19 Pandemic with debt they need to pay
2) The demand for rapid (and for many operators existential) 24/7 Far-UV Light Disinfection technology retrofitting from large operators of enclosed/indoor hospitality, entertainment, food service, government, office, education facilities, multi-family housing, healthcare, senior living, convalescent/memory care facilities and enclosed/indoor public gathering facilities etc. will create a new public/user "germicidal disinfection protocols" and that expectation will move down to small businesses in all the same spaces
3) That in North America alone the TAM ("total addressed market) for Far-UV light-based retrofitting is, based on current forecasts, is well north of $18-20 billion over the next 5-8 years.
4) The North America TAM ("total addressed market) for Far-UV light-based retrofitting in top 10% value existing and future housing and condominium projects add another $2 billion annual market to the Far-UV market (mark my words--my homebuilding and multi-family/senior living contacts say the new #1 request for new higher-end homes is "germ-killing technology for the bathrooms and bedrooms and shared public places"
5) That while $4 billion market cap Acuity Brands ("AYI" which was a $12 billion market cap company back in 2017 ) dwarfs the two public micro-cap "pure plays" Applied UV, Inc. (AUVI) and Lighting Sciences Group Corporation (LSGC) Healthe subsidiary, the return-on-investment opportunity is 10-20X greater by betting on the small relative pure plays and their eventual acquisition by Acuity or other major lighting players.
6) That the patents/IP held and being applied for/developed by AUVI and LSGC plus Far-UV pathogen disinfection technology brand value will soon become worth 10X+ their $40-$50 million market caps today
And finally, ALL of the major parts of our Far-UV 222 investment thesis is backed up by the recent $10 million+ August 11 investment into Healthe by the owner of the largest commercial and residential multi-family real estate developer in North America Stephen Ross of The Related Companies ( with 60+ $billions invested in customer facing Hudson Yards NYC, urban residential facilities in 20 major cities, the Equinox Clubs all over North America, Equinox Hotels and SoulCycle + dozens of restaurants) who see the desperate need for vastly higher indoor hygiene standards as in "Healthe technology is badly and immediately needed today if we are going to resume our pre-pandemic economy and economic lives."
Note: More to the point and sense of urgency: One of my personal friends in NYC commercial real estate who works with the Related Companies shared this tidbit of intel with me over the weekend from NYC (and he is like Transformity Wealth Management shareholders in LSGC and AUVI):
"Toby, you gotta understand Steve Ross has about $5 billion in equity in Related with about $60 BILLION in debt. The entire Related Companies portfolio is at serious risk of going upside down if urban living and shopping behavior does not return to a semblance of pre-COVID economics.
He is staring down an existential $60 billion cannon of debt aimed at his life's work--$10 million into Healthe is just the start. I am told by Related Company insiders they are going to rapidly expand Healthe Far-UV technology into EVERY public-facing facility they own. To Ross & his lenders, 99.9% of indoor air sanitation quality in their real estate is the new air conditioning."
OK...now think and multiply the other $billion plus Related type major players exposure to the current and future pandemics and then the OTHER top 500 Commerical/residential/hospitality and foodservice real estate owners and tenants in North America (let's not even talk about Europe/Asia/South America/Middle East). Disclosure: both I and my inside worked directly or indirectly for Related in our careers.
The Bottom Line: There is a 20 $billion race for innovative Far-UV 222 technology solution companies to become the "gold standard" in public indoor pathogen sanitation solutions. There will be public standards for air sanitation just like there are in electrical products, building codes, restaurant health inspections. There will be stickers on public facilities of all kinds that, just like you see "This Facility Monitored By XYZ Security" will say "Ths Facility Is Certified 99.9% Disinfected for Viral Pathogens by X Technology."
Because making people feel safe again to go inside to eat, laugh, drink, fly, watch a show, be inside a hotel has suddenly become one of the three biggest economic issues of our time:
1) a COVID-19 vaccine that works and people will take
2) life-saving therapeutics for the recovery of those infected
3) and new reliable and affordable technology for 99.9% indoor disinfection of the indoor air and surfaces.
Note to Millenialls & Gen-Z Subscribers: I bet you don't know that if you grew up in the early '60s that central air conditioning was NOT the norm at all. In Pasadena, CA, our moms would haul us to the newly air-conditioned Academy Theatre to watch every new movie that came out in the summer.
The normal solution well into the '70s for hot summer? Open the window and turn on a fan at your desk!
OY! But now with the emergence of COVID-19, all public spaces and verticals are now viable markets for the "new 21st-century air conditioning" aka Far-UV technology 24/7 99.9% disinfection and sterilization technology.
Why?
• A fifth of coronavirus infections among hospital patients and almost 9 in 10 infections among
healthcare workers have been caught in the hospital new research reveals
• The coronavirus outbreak has cost hotels just in the United States more than $23 billion in room revenue since mid-February2
• Just the Best Western chain alone predicts that its “We Care Clean” program …will increase the time it takes to clean each room by 50 percent
• It is estimated the U.S. retail sector stands to lose 11% to 17% of its total store count by 2025, with 100,000 to 150,000 retail stores closing over the next five years
The ONLY VIABLE Solution: Fully automated pathogen destruction technology like Healthe and AUVI's SteriLumen that kills pathogens, including OC43 human coronavirus on surfaces and indoor airflows.
Both the Healthe and SteriLumen Far UV 222 light technology achieve
o Pathogen destruction of OC43 human coronavirus up to 4.56 Logs (99.9956%)
o Disinfection is fully automated; No human intervention necessary
o Because hospitality, cruise ships, airlines, commercial real estate, retail and sports/entertainment et all cannot fully restart without addressing current and future pathogens
And we have not even addressed the $billion annual disaster of Hospital Acquired Infections ("HAI") costs just in the United States alone.
Action to Take: Table Pounding Buy BOTH AUVI and Healthe/LSGC in equal amounts; Healthe is stronger in the airflow decontamination and SteriLumen is stronger in the surface and public bathroom decontamination space.
Both companies are cash flow positive and/or profitable NOW with AUVI at a <16 P/E ratio!
This means that all their new Low-UV business will provide explosive incremental profit. Here are their real income statements:
LSGC Buy Under: .35 with $1.20 Q4 2021 target. Our assumption is that LSGC will convert to Healthe brand name, do a reverse split and relist on the Nasdaq.
LSGC Income Statement/Market Cap https://stockanalysis.com/stocks/lscg/
AUVI Buy Under: $7.50 with $18 target Q4 2021
AUVI Income Statement/Market Cap https://stockanalysis.com/stocks/auvi/
And here is a comment on the space from my long time friend economist John Maudlin and my sidekick at Fox Business News Liz Claman
“[Far-UVC light] will usher in a new era of health, saving lives, and significantly improving economic productivity,” Mauldin wrote. “It’s wonderful news for mankind.”
And a few on many media hits on Healthe--Steve Ross DOES own the Miami Dolphins, too and is using his NFL clout to show off Healthe technology in the Miami Stadium and get media coverage on FBN CNBC and Bloomberg along with RSE Ventures CEO Matt Higgins (the Shark Tank player).
https://www.facebook.com/HealtheInc/videos/403189310671197
https://www.facebook.com/116116998422476/videos/1034865040280032
https://healthelighting.com/blogs/blog/healthe-inc-founder-fred-maxik-talks-about-the-company-s-far-uvc-222nm-products-on-fox-news
That's it! Get Busy but be careful buying these shares--NO MARKET ORDERS.
AUVI had a market halt at 9:40 EDT with an order imbalance...Yes I guess with thousands versus hundreds of subscribers to Transformity Research newsletters these days, it's harder to buy $50M market caps.