Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

Cardiovascular Systems Could Have A Much Higher Value To A Strategic Buyer

For years, peripheral vascular intervention has attracted companies and analysts like JuneBugs to Bug Zappers, and with similar end results in many cases. While the promise of effectively treating narrowed or blocked arteries in the leg is indeed a potentially multibillion dollar promise, experienced investors have learned just how hard it is to translate that promise into real income and cash flow.

Cardiovascular Systems (NASDAQ:CSII) has gone on this familiar ride. While the company seems to have developed a legitimately better mousetrap, one for which there is strong supporting clinical data, the company has struggled to drive consistent utilization growth and profit leverage. Although I'm somewhat skeptical of the company's ability to generate value for investors on stand-alone...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details