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Strategies & Market Trends : CYTC - How High Can It Go!

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To: Charlie Smith who wrote (152)12/12/1999 3:59:00 PM
From: Jack Hartmann   of 185
 
Charlie, Thanks for the comment. Looking at the TA charts. company in a strong upward channel. $42 looks like the lowest it may go. Had a downgrade in Nov by Prudential since it hit their $42 target. Strong revenue growth and earnings. Apparently Tripath's PREP mono-layer Pap test is the competitor. New target was $55 in a year by Prudential in a year. Maybe analyst Sandra Hollenhorst is being conservative. 1999E revs are $81M and 2000E are $132M. EPS is more stellar; 99E is 0.26E and 00E is 1.27E. Looks like upside is $55 and downside is $36. I want to watch it trade for a while. Prudential said lab costs are $21.75 with reimbusement to the lab of $34. Said Cytyc has turned a money losing test into a profitable one.
Jack
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