Guggenheim says SmileDirect California situation more unique than first thought
Guggenheim analyst Glen Santangelo said in a note before the open that he has received many questions about California bill AB1519 amid broad assumptions that similar legislation would be enacted across the entire country. However, his deeper dive revealed that the bill, which should have been a routine recertification of the State Dental Board, went through a progression that illustrates more of a unique situation in California than he originally thought existed. He found that the CA Dental Association is the number one campaign contributor to California Assemblyman Evan Low, who authored the bill, and Santangelo noted that Governor Gavin Newsom signed the bill while also voicing in writing his dissatisfaction with the process. The analyst, who concluded that the state may be unique in terms of the prioritization of the dental industry in legislative action, keeps a Buy rating and $24 price target on shares of SmileDirectClub.