MEDIROM Healthcare Technologies stock surges 75% after partnership with World

MEDIROM Healthcare Technologies stock surged 75.83% in pre-market trading after announcing a collaboration with World to install World ID Orb devices at 100 of its Re.Ra.Ku salons. The company's shares have increased 16.5% YTD but fallen 59.32% over the past 12 months. TipRanks' AI analyst Spark rates MRM a Neutral (54) with a $1.50 price target, representing a potential 25% upside.

MEDIROM Healthcare Technologies Inc. (NASDAQ: MRM) saw its stock surge by 75.83% in pre-market trading following an announcement of a collaboration with World to install World ID Orb devices at 100 of its Re.Ra.Ku salons. The company's shares have increased by 16.5% year-to-date (YTD) but have fallen by 59.32% over the past 12 months. TipRanks' AI analyst Spark rates MRM as Neutral (54) with a $1.50 price target, representing a potential 25% upside.

The collaboration involves MEDIROM installing the Orb World ID authentication device in approximately 100 of its Re.Ra.Ku relaxation salons, aiming to achieve cumulative deployment in over 100 stores by the end of December 2025. This move is part of an effort to accelerate the adoption of World ID, a system that verifies an individual's authenticity as a "real human being" within the World protocol. MEDIROM aims to issue 500,000 new World IDs annually.

MEDIROM, based in Tokyo, is a healthcare technology company that operates over 300 relaxation salons under the Re.Ra.Ku® brand nationwide. The company has expanded into HealthTech, offering on-demand training apps like Lav® and manufacturing the battery-free smart tracker MOTHER Bracelet® used in REMONY, its remote monitoring system for various industries.

World is a proof-of-human protocol built for the AI era, enabling individuals to verify their humanness online without compromising privacy. The project was co-founded by Sam Altman, Alex Blania, and Max Novendstern. Tools for Humanity (TFH), co-founded by Altman and Blania, leads the implementation and global deployment of this project.

The collaboration between MEDIROM and World aims to promote the spread of World ID in Japan. MEDIROM will handle the installation and operation of the Orb devices, while Hakuhodo Inc., a flagship partner in the domestic expansion of the World project, will provide planning and operational support.

MEDIROM's stock performance has been mixed over the past year, with significant volatility. The company's forward-looking statements highlight various risks and uncertainties, including economic conditions, competitive environment, and regulatory changes, which could impact its future performance.

References:
[1] https://finance.yahoo.com/news/medirom-joins-world-network-embracing-200000996.html
[2] https://www.nasdaq.com/press-release/medirom-joins-world-network-embracing-next-generation-proof-human-concept-led-chatgpt