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Biotech / Medical : Laserscope (NASDAQ LSCP)

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To: Tony Ferracane who wrote (52)7/13/1997 11:37:00 PM
From: Webhead   of 314
 
Laserscope seems well positioned for a major run-up with some decent earnings. Their business is still predicted at a high rate (even by free-Zacks stale data) even without including the new indications and businesses that Laserscope has picked up.

Since last quarter:

Laserscope won approval for a new treament of Chronic bladder syndrome (5 million women a year just in USA, uses a disposable light delivery device costing $100-500 each with >%50 margin. At 50% market penetration a low ball estimate gives >$80 million a year after taxes. Sounds good to me!)
pcquote.newsalert.com

Came out with a new surgical table well able to compete with current models for the $100M a year market.
pcquote.newsalert.com

Received FDA approval for a new, high powered laser. I believe that this is the highest power medical laser available and can be sold as an upgrade to many existing machines.
pcquote.newsalert.com

Bought NWL Laser-Technologie, GmbH, a German laser firm with medical and industrial sales.
pcquote.newsalert.com

It seems that Laserscope has made a number of decent sized plays to increase the breadth of it's medical product line, integrate the NWL Laser-Technologie, GmbH product lines and sales force and get a foot the door of the European Union. I don't know how much of this will be reflected in the current quarters numbers (From the news story, NWL Laser-Technologie, GmbH was indegrated the middle of June) but Laserscope should be smoking by next quarter. I am not that concerned with the current drift down to the low $5 range (though I certainly could have done without it!) because the absurdly low PE and fantastic growth rate will catch the attention of the masses eithor this quarter or next. And when that happens, that famed laserscope volatility will be working for us.

Ed
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