Stem cell therapy can potentially treat neonatal disorders through various mechanisms: 1. Regeneration: Stem cells can differentiate into specific cell types to replace damaged or lost cells in conditions like HIE. 2. Paracrine Effects: Stem cells secrete bioactive molecules that promote tissue repair, reduce inflammation, and stimulate endogenous cells to repair damaged tissues. 3. Immune Modulation: Stem cells modulate the immune system, reducing harmful inflammation often seen in neonatal disorders.