---> WAKE UP CALL TO ALL OF YOU ... NO ONE DESERVES TO BE PUT THRU THIS!
Here are the harsh facts as they stand (and as Dave has eluded to from time to time):
UroMed has a great market ... there's no denying that tens of millions of people suffer from this problem (don't listen to me; don't listen to URMD; do your own research and check out what the US Dept. of Health's AHCPR has to say!)
What UroMed is trying to do is foolish however. They expect women to insert a plug device INSIDE their urethra (how many women even know how to insert it - PS: I'm serious - without hurting themselves?) ... the short answer is scientific: Individual Investor reported (while quoting from URMD's own research) that nearly 1 in every 3 women who tried this device ended up with Urinary Tract Infections ... why then, are we still expecting the Reliance Insert to work and report sales? Stupid, isn't it? In fact it gets much worse ... the damn thing is supposed be used 3 times per day. But wait. Would you or your partner ever think of inserting a device inside them that carries a 28% infection rate?
So what? Maybe this explains the LOW LOW LOW repeat sales the company has reported ... in fact nearly all the sales they post are from new sales only. Well, how many new customers does UroMed think it's going to go thru? Hmmm.
No one has been able to answer why the company that was supposed to sell $40 million of Inserts has only sold $150,000 so far (that's less than 1% of what they expected ... only .375% to be precise). Gee, could it be the product?
Next, when the company realized that this "Insert" wasn't going to fly, it then moved onto PRODUCT #2: the Impress Patch. Here, we have a fine product that comes to UroMed courtesy of a product developer that realized the short coming of his invention: It doesn't work either and is next to impossible to market! In fact, for a product that UroMed has paid $30 million dollars to acquire, the Patch has yet to report any meaningful sales. Gee, could it be the product?
Next, we have Johnson & Johnson's device, the Introl unit. Evidentally, J&J threw away $150 million trying to market this product to Uro's and Gyno's. What makes UroMed think that it's going to do any better? For those of us fools (and I'm among those that paid way too much for this stock and sold out for far too little) believe J&J is stupid enough to give away an asset with any meaningful potential to a teeny weeny player in the Uro market such as URMD is our misguided optimism at best! Let's face it, if J&J couldn't make a go of this thing, I doubt that UroMed will do any better. Don't hold your breast in anticipation!
Woops! Did I just say 'breast'? It seems as though our valiant company and its distinguished management team have decided that they have conquered the incontinence market and are now ready to compete in other areas also; namely, breast surgery.
For those of you who have NOT yet seen a clear trend developing with their modus operandi, let me better define it for you: every time that Product 'A' is supposed to log some measure of success/sales - and doesn't - the company simply introduces Product 'B'!
True or False? You decide! You be the judge!
Please, please, please STOP doing this to yourselves and realize that it will take time for this management group to find a sense of direction.
I've lost enough money on this stock and have realized that UroMed's intentions may have started out quite sincere, but their actions have led me to think otherwise.
Please do your homework, and don't buy or sell any more of this stock until you've done enough research to justify going in one direction or another.
As a footnote, Dave mentioned a company called Rochester Medical (ROCM). In speaking with an analyst very intimate with the Uro/gyno market, he told me to research an 'intriguing' financial relationship between ROCM and a company called Convatec. Those of you in the medical business will recognize this as the marketing arm of Bristol Meyers! Wake up folks, there's no way that UroMed and it's line-up of devices is going to compete with the marketing savvy, consumer confidence and fiscal muscle of Brisol Meyers.
Sorry to sound so negative, but I've been holding this inside me ever since I lost my shirt on this PaineWebber gem.
Good luck to you all. |
