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Andy Batts

 
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  • Update: Abbott To Invest $60 Million In An Intraocular Lens Plant In Malaysia
    Today, 3:00 PM ABT Comment!

    Summary

    • Abbott said that it will invest $60 million in an intraocular lens manufacturing plant in Malaysia.
    • In my original article I said that Abbott will enjoy the first mover advantage with its implantable Tecnis lenses in the vision care market.
    • The news and the fact that Abbott’s growth in the cataract segment outpaced global market growth confirm my view.
  • Update: CalAmp Announced CalAmp Appstore And CalAmp Connect
    Wed, Sep. 10 CAMP 2 Comments

    Summary

    • CalAmp announced CalAmp Appstore and CalAmp Connect, in order to make customers’ experience more satisfactory.
    • In my original article I mentioned that CalAmp offers its customers an extensive portfolio of communication devices along with its cloud services platform.
    • The recent announcements by the company will further strengthen its device and service portfolio.
  • Update: Cepheid Received CE-IVD Mark For Xpert TV Test
    Wed, Sep. 3 CPHD 2 Comments

    Summary

    • Cepheid just received CE-IVD mark for its Xpert TV molecular test for identifying Trichomoniasis infections in both men and women.
    • The test will run on Cepheid's GeneXpert System, the world’s leading molecular diagnostic platform.
    • I said in my original article that Cepheid has a broad range of tests that runs on its GeneXpert System.
  • Update: Johnson & Johnson Facing New Lawsuits On Pinnacle Hips
    Wed, Sep. 3 JNJ 2 Comments

    Summary

    • Johnson & Johnson is facing a new round of lawsuits over its DePuy unit’s Pinnacle line of metal-on-metal hip implants blamed for poisoning patients.
    • In the original article I mentioned that DePuy Synthes recalled its metal-on-metal hip implants.
    • As I said earlier, I believe that any near-term weakness in Johnson & Johnson will be a good investing opportunity for long-term investors.
  • Update: Johnson & Johnson Received FDA's Class I Label For Jaw-Stabilizing Device
    Tue, Sep. 2 JNJ 3 Comments

    Summary

    • The FDA has put its highest-risk Class I label on the recall of Johnson & Johnson's subsidiary DePuy Synthes' jaw stabilizing system.
    • In my original article I mentioned that the reputation of DePuy Synthes has been trashed.
    • The recent action by the FDA is expected to keep Johnson & Johnson's stock under pressure for some time.
    • Any weakness in the stock offers nice investing opportunity for the longer term, as I said earlier.
  • Update: CalAmp's Agreement With Masternaut Strengthens Its Position In Europe
    Wed, Aug. 27 CAMP 2 Comments

    Summary

    • CalAmp announced that it has expanded its supply agreement with Masternaut, Europe's leading MRM services company.
    • In the original analysis I said that CalAmp's revenue could grow at a CAGR of 20% driven by international sales, particularly Europe.
    • CalAmp’s supply agreement expansion with Masternaut confirms my bullish outlook for CalAmp.
  • Update: BioSpecifics Announces Positive XIAFLEX Data For Cellulite
    Wed, Aug. 27 BSTC 1 Comment

    Summary

    • BioSpecifics announced positive, statistically significant results from a Phase 2a study involving XIAFLEX for potential treatment of cellulite.
    • Previously I shared that top-line 30-day data from Phase Ib study showed that XIAFLEX is effective, safe and well-tolerated for Cellulite.
    • The positive and statistically significant results from the Phase 2a study confirm my bullish outlook for BioSpecifics.
  • Update: Intuitive Surgical's Firefly For Xi Has Been Approved By The FDA
    Wed, Aug. 27 ISRG 2 Comments

    Summary

    • Intuitive Surgical received FDA approval for its Firefly imaging system for its new robotic platform da Vinci Xi.
    • Although I didn’t anticipate the event when I wrote my original analysis, I believe that Firefly can boost the adoption rate of da Vinci Xi.
    • The approval confirms my investment thesis on Intuitive Surgical.
  • Update: Horsehead Raises $50 Million For Potential Acquisitions - Book Partial Profits
    Wed, Aug. 27 ZINC 5 Comments

    Summary

    • Horsehead has raised $50 million through two debt offerings, and earmarked the capital for possible acquisitions.
    • In my original article, I said that Horsehead, a producer and seller of zinc and nickel-based products, could give you excellent returns in a relatively short span of time.
    • Although I'm still bullish on the stock in the long run, I believe that it's time to book at least half of your profits following the debt offerings.
  • Update: Cynosure's PicoSure System Bags FDA Approval
    Tue, Aug. 26 CYNO 3 Comments

    Summary

    • Cynosure obtained FDA clearance for the PicoSure system to treat acne scars.
    • I noted in my original article that Cynosure launched PicoSure in the U.S. for tattoo removal, although I didn’t anticipate that it would be approved for acne scars.
    • I said that the company’s PicoSure and PrecisionTx will drive significant revenues; PicoSure approval confirms my view.
  • Update: Quantum Acquires Symform's Cloud Platform
    Tue, Aug. 26 QTM Comment!

    Summary

    • Quantum announced a few days ago that it has acquired Symform's cloud storage services platform.
    • In my original article, I said that the company has huge growth opportunities in Big Data.
    • Symform's cloud storage platform will add significant value to Quantum's Big Data business, since the platform is well-proven in the market, supporting my investment thesis.
  • Update: Myriad Genetics' Patents Are Facing Trouble Again
    Mon, Aug. 25 MYGN Comment!

    Summary

    • Genetic diagnostics lab GeneDx filed eleven petitions to invalidate patent claims held by Myriad Genetics.
    • As I noted earlier, the 2013 Supreme Court ruling declared that isolated human genes are not patentable, which significantly challenged Myriad's patent landscape.
    • Since GeneDx’s filed petitions aren’t directly related to Myriad’s myRisk Hereditary Cancer test, I continue to remain bullish on Myriad Genetics.
    • Any weakness in the stock as a result of the GeneDx news should be utilized as a buying opportunity.
  • Update: DexCom's CEO Selling Shares, Key Takeaway
    Mon, Aug. 25 DXCM 1 Comment

    Summary

    • DexCom’s CEO Terrance H. Gregg and several other insiders have been selling shares of DexCom aggressively over the past few days.
    • In my original article I said that the stock is trading at a fair valuation at $42 until there is more visibility in terms of future earnings.
    • Aggressive insider selling activity over the past few days supports my view that the stock is fully valued at the current price.
  • Abbott To Develop Portable Blood Tests For Concussions
    Thu, Aug. 21 ABT 4 Comments

    Summary

    • Abbott joined forces with the United States Department of Defense for developing portable blood tests for concussions.
    • The tests will help Abbott generate significant revenues not only from the military personnel, but also from civilian people in general.
    • Abbott's stock is relatively undervalued compared to its peers and could have significant upside.
  • Update: Insider Selling Drives Hanger To New 52-Week Low
    Tue, Aug. 19 HGR 2 Comments

    Summary

    • Hanger formed a new 52-week low following insider selling activity.
    • CFO George E. Mchenry, Jr. unloaded 2,300 shares of the stock on the open market.
    • In my original article I discussed the company’s solid potential in the orthotic and prosthetic space, and no insider selling was anticipated.
    • However, with the company continuing to drive the prices of its products lower coupled with the insider selling activity, I’m no longer bullish on the stock.
  • Update: Exact Sciences' Cologuard Has Been Approved By FDA
    Fri, Aug. 15 EXAS 19 Comments

    Summary

    • FDA approved Exact Sciences’ Cologuard, its new stool-based DNA screening test for colorectal cancer.
    • In my original article I anticipated that FDA will approve Cologuard sometimes in 2014 or early 2015.
    • The news confirms my bull thesis on Exact Sciences.
  • Update: Dean Foods Earnings
    Fri, Aug. 15 DF Comment!

    Summary

    • Dean Foods' net sales for the second quarter of 2014 came in at $2.4 billion, compared to $2.2 billion of net sales in the prior year period.
    • The company reported a loss from continuing operations amounting to $0.01 per diluted share, compared to second quarter 2013 diluted loss of $0.61 per share.
    • In my original article I said that increasing money-offs on private label milk distribution and weak sales volumes caused significant reduction in profitability for Dean Foods.
    • Currently increasing cost of raw milk is negatively impacting the company’s profitability, which is expected to ease off later this year.
    • The stock has corrected almost 20% in the past one year, which I believe offers a decent entry point to long-term investors.
  • Update: BioSpecifics Technologies Earnings
    Fri, Aug. 15 BSTC Comment!

    Summary

    • BioSpecifics reported second quarter 2014 total revenue of $2.7 million, a decrease of 19% year-over-year.
    • Net income came in at $0.6 million or $0.09 per basic share, compared to net income of $1.0 million or $0.16 per basic share in the year-ago period.
    • In my original analysis I said that XIAFLEX could boost BioSpecifics' revenue and earnings significantly.
    • The company saw significant growth in revenues from XIAFLEX in the United States in the second quarter, most notably in Peyronie's disease, which confirms my view.
  • Update: Hanger Earnings
    Fri, Aug. 15 HGR 1 Comment

    Summary

    • Hanger’s net sales in the second quarter of 2014 increased 3% to $275.9 million from $267.8 million in the prior year period.
    • Adjusted diluted EPS came in at $0.40 in the second quarter, compared to $0.52 in the year-ago period, a 23% decrease.
    • In my original article I mentioned that Hanger operates in an extremely fragmented industry, and therefore might have to face fierce competition.
    • Continuing pressure on authorizations, collections and patient flow significantly impacted Hanger’s top and bottom line in the second quarter, which may continue to remain a headwind.
  • Update: Synutra International Earnings
    Fri, Aug. 15 SYUT Comment!

    Summary

    • Synutra reported net revenue of $86 million for the first quarter of fiscal 2015, an increase of 4.6% from $82.2 million in the prior year period.
    • Net income was $17.9 million or $0.31 per basic share, a 275.7% increase from $4.8 million or $0.08 per basic share in the prior year period.
    • In my original article I mentioned that Synutra’s top and bottom line in 2014 could rise meaningfully as a result of China's booming baby food demand.
    • The company achieved 21% year-over-year increase in revenue in its core powdered formula segment, which confirms my view.
  • Update: Auxilium Pharmaceuticals Earnings
    Fri, Aug. 15 AUXL 2 Comments

    Summary

    • Auxilium’s total revenues in the second quarter of 2014 were $83 million, a 17% year-over-year decrease.
    • The company reported a loss of $0.54 per share that was much wider than analysts’ estimate of a loss around $0.45 per share.
    • Auxilium reported lower Testim sales in the second quarter, offset by an increase in XIAFLEX sales.
    • In my original article I said that XIAFLEX could replace Testim as Auxilium's lead growth driver in the near future.
    • The company’s second quarter financial result confirms my view.
  • Update: Osiris Therapeutics Earnings
    Fri, Aug. 15 OSIR Comment!

    Summary

    • Osiris reported second quarter product revenues of $13.3 million, compared to $5.3 million during the prior year period, an increase of 151%.
    • Gross profit was $10.4 million compared to $3.8 million during the same period of 2013.
    • In my original analysis I mentioned that Osiris' Biosurgery segment including Grafix remained well-positioned.
    • Osiris said that it added several new sizes to the Grafix product line, allowing healthcare providers to optimally match Grafix to the wound size, which confirms my view.
  • Update: Oncolytics Biotech Earnings
    Fri, Aug. 15 ONCY 1 Comment

    Summary

    • Oncolytics reported a net loss of $0.05 per share in the second quarter of 2014, beating the analysts’ consensus estimate of a loss per share of $0.07 by $0.02.
    • The company reported the completion of enrollment in a Phase II study using REOLYSIN in combination with carboplatin and paclitaxel in pancreatic cancer patients.
    • In my original article I said that REOLYSIN is expected to work on some of the most prevalent forms of cancer including lung, colorectal, prostate, ovarian, breast and pancreatic cancers.
    • I’m still bullish on the stock, but my investment thesis will take time to play out until the company actually has revenues and sales.
  • Update: Thoratec Corporation Earnings
    Thu, Aug. 14 THOR 1 Comment

    Summary

    • Thoratec reported revenues of $118.1 million, a 10% decrease compared to revenues of $130.5 million in the same period a year ago.
    • GAAP net income plunged to $0.30 per diluted share, from $0.40 per diluted share in the same period last year.
    • In my original analysis I noted that the stock remained relatively undervalued, due to Thoratec's small size and limited ability to raise resources.
    • Now, after the second quarter results, I’d recommend investors to wait on the sidelines and see how things pan out before investing fresh money in the stock.
  • Update: Syneron Medical Earnings
    Thu, Aug. 14 ELOS Comment!

    Summary

    • Syneron Medical reported second quarter revenue of $64.6 million, up 6.1% year-over-year and 13.7% sequentially.
    • In my original article I opined that Syneron could be an ideal vehicle to cash in on the booming medical aesthetics market.
    • The company posted impressive second quarter results, which I feel confirms my opinion, and I'd recommend buying the stock for the long term.
  • Update: Forestar Group Earnings
    Thu, Aug. 14 FOR Comment!

    Summary

    • Forestar Group reported second quarter earnings per share of $0.34, on revenues of $83.01 million.
    • In my original article I noted that Forestar remained well-positioned in terms of acreage for benefiting from a rebound in builder demand for finished residential lots.
    • During second quarter, residential lot sales were up almost 50% compared to the year-ago period, with gross profit up 11% over that same period, which confirms my view.
  • Update: Horsehead Holding Earnings
    Thu, Aug. 14 ZINC 5 Comments

    Summary

    • Horsehead Holding reported second quarter 2014 revenue of $126.27 million, compared to the consensus estimate of $110.79 million.
    • The company’s consolidated net loss came in at $5.1 million, or $0.10 per diluted share.
    • In my original analysis I predicted a 35% upside for the stock from $12.38, based on bullish outlook for zinc prices.
    • The stock is currently trading near $20, which confirms my bull thesis, and I believe that it's heading towards $25.
  • Update: LHC Group Earnings
    Thu, Aug. 14 LHCG Comment!

    Summary

    • LHC Group reported net service revenue of $188.9 million for the second quarter of 2014, compared to $166.3 million for the year-ago period, an increase of 13.6%.
    • Diluted EPS of $0.35 increased slightly from $0.34 for the year-ago period.
    • In my original analysis I mentioned that the company's long-term growth rate for the next five years would be around 13.67%.
    • The company’s second quarter revenue growth figure was exactly in line with my expectation, which confirms my view that the company is undergoing a secular bull phase.
  • Update: Insmed Earnings
    Thu, Aug. 14 INSM Comment!

    Summary

    • Insmed posted its second-quarter 2014 net loss of $23.2 million, or $0.59 per share, compared to a net loss of $8.9 million, or $0.28 per share, in the year-ago period.
    • R&D expenses in the second quarter of 2014 increased to $14.9 million from $12.2 million in the second quarter of 2013.
    • In my original article, I said that Insmed's rising R&D expense was indicative of the fact that the company might be successfully developing ARIKAYCE, its lead drug.
    • Insmed just announced that it has priced an offering of 8.9 million shares of its common stock at $11.25 per share.
  • Update: Integra LifeSciences Earnings
    Thu, Aug. 14 IART Comment!

    Summary

    • Total revenues of Integra LifeSciences for the second quarter were $231.4 million, an increase of $25.8 million, or 12.6%, year-over-year.
    • Adjusted net income for the quarter was $0.68 per diluted share, up 20% from the year-ago period.
    • In my original article, I mentioned that the company's revenues are expected to grow at a CAGR of 7.1% for the next four years.
    • The company's second-quarter revenue growth of 12.6% confirms my view.
  • Update: Alere Earnings
    Wed, Aug. 13 ALR Comment!

    Summary

    • Alere’s net revenue came in at $737.9 million in the second quarter of 2014, and net loss per share remained at $0.67.
    • In my original article I said that Alere is futuristic and the stock could be a multi-bagger in the long-run.
    • I continue to hold my opinion despite the company’s soft second quarter earnings.
  • Update: Protective Life Earnings
    Wed, Aug. 13 PL Comment!

    Summary

    • Protective Life’s net income rose 5% over the prior year to $1.33 per share in the second quarter of 2014.
    • After-tax operating income came in at $106.4 million or $1.31 per average diluted share, up 36% from the year-ago period.
    • Earlier I said that the company's earnings will see a CAGR of 10% for the next three to five years, due to stable growth of the company's annuity policies.
    • Although the company’s second quarter earnings confirms my view, I believe the stock is ripe for profit booking.