Marcel Herbst, CFA
Hedge fund manager, long/short equity, micro-cap, CFA

Imris Does Offer A Compelling Risk-Reward Opportunity

Summary

Imris (NASDAQ:IMRS) is an early-stage Canadian medical equipment manufacturer and, as of this writing (6/24/13), is valued at $120 million or $2.32 per share. As of Q1/13, Imris is debt free with over $30M in cash on the balance sheet and has a backlog of $115.5M. Valuation is strongly driven by equipment bookings as those determine next year's revenue. Against a backdrop of global macroeconomic uncertainty, which in the United States was compounded by uncertainty over reimbursement, customer confidence has decreased. Hospitals delayed or froze spending on large capital equipment, which caused the company's 2011 bookings to decline to a modest $29 million and the stock price to decline by over 60%. In 2012, this spending freeze...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
FREESA PRO MEMBERS
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