PauvrePapillon

Not Ready to Buy, But Varian Is Worth a Second Look

If you’re contemplating a bet in the therapeutic radiation space, why not first take at look at Accuray (ARAY)?

When the market (correctly) understood that CyberKnife was a truly unique and revolutionary technology, investors bid Accuray’s post-IPO shares up to an intraday high of $31.09 (9 Febraury 2997). As Varian and others made repeated claims, in numerous press releases, interviews and conference calls, that their gantry-mounted machines could do the same thing as the robotically controlled CyberKnife, Accuray’s market cap shrank even though its economic fundamentals actually improved.

On 6 December, Accuray, finally, fired back with the release of two animated videos that effectively demonstrate what CyberKnife is and why it is fundamentally different from gantry-mounted radiation sprayers. You can see them for yourself at www.accuray.com.

Since then, Accuray shares have gone up 38 percent while Varian’s shares have gone down 11 percent in spite of a recent announcement that net orders are up 12 percent as the NASDAQ has gone up and come down and settled today essentially where it started back on 6 December 2008.

Are investors now beginning to rethink this space and conclude that Accuray really does have something?

From Breakthroughs That Will Change Lives in 2009…

“Cyberknife has the potential to replace surgery as the first form of treatment for cancer,” says Dr Nick Plowman, director of clinical oncology at St Bartholomew's Hospital.

www.dailymail.co.uk/he...

And it’s just now being discovered by, and moving into, a huge market…

See WSJ’s Is CyberKnife Ready for Prime Time in Prostate Cancer?

blogs.wsj.com/health/2...

And it’s making waves in Europe and Asia as well…

From ABC News London…

www.abcnews.go.com/Vid...

And most CAPS players like it…

caps.fool.com/Ticker/A...

You might make some money with Varian but with Accuray you have a serious candidate for a multi-bagger in the making.