David Capital Partners' Adam Patinkin on Lifecore's CDMO business $LFCR

Mar 31, 2025

Adam Patinkin, Managing Partner at David Capital Partners, shares his insights on Lifecore Biomedical, a major player in the CDMO industry. He dives into Lifecore's investment potential, highlighting its stability and profit margins. The conversation also covers the hidden opportunities within its business model and market strategies amid regulatory shifts. Patinkin discusses the management team's pivotal role in driving growth and addresses the challenges the company faces, shedding light on the delicate balance of risk versus reward in this evolving landscape.

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Episode notes

Intro

00:00 • 3min

LifeCore: A CDMO Success Story

02:36 • 18min

Unveiling LifeCore: Hidden Opportunities in a Competitive Market

20:17 • 4min

Navigating LifeCore's CDMO Challenges

24:00 • 6min

Navigating Corporate Transformation

30:11 • 17min

Navigating Regulatory Changes in Life Sciences

46:45 • 18min

Investment Insights on LifeCore's Acquisition Potential

01:04:20 • 6min

Navigating Public Company Strategies and Future Earnings Insights

01:10:07 • 2min

Adam Patinkin, CFA, Managing Partner at David Capital Partners, LLC, joins the podcast to discuss his thesis on Lifecore Biomedical, Inc. (NASDAQ: LFCR), a fully integrated contract development and manufacturing organization (“CDMO”).

For more information about David Capital Partners, please visit: https://davidpartners.com/

Chapters:

[0:00] Introduction + Episode sponsor: Fintool

[2:23] Who is David Capital and why $LFCR is interesting to Adam

[6:16] $LFCR history

[12:55] What is a CDMO (Contract Development and Manufacturing Organization) and how ingrained into the regulatory approval process they are; why these businesses are attractive

[21:47] What is Adam seeing with $LFCR that the market is missing

[24:00] $LFCR business

[30:16] Why this management team will change the trajectory of the company

[38:10] Capacity / concern about the speed to fill capacity

[46:45] Trump regulatory tailwinds / RFK headwind

[53:03] What has kept this company from achieving greatness / risk vs. reward with $LFCR

[1:02:33] Management team incentives

[1:04:41] Conversation about the math (valuation)

[1:10:08] Final thoughts

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