Maybe this NEWS was the reason:
News article received, Thursday, May 13, 1999 1:36:52 PM EST
Analyst Initiates Coverage, Assigns MCAR Strong Speculative Buy, 12 Month Target of $15 to $17
NEW YORK (May 13) BUSINESS WIRE -May 13, 1999--Public Analysis & Review (PAR), the unique professional independent analyst program administered by the non-profit Investors Research Institute, Inc., and distributed by Investrend Research, announces that John M. Dutton, professional analyst qualified in the PAR program, has initiated coverage of MedCare Technologies, Inc. (NASDAQ:MCAR), and has assigned the company a "strong speculative buy" rating, with a 12-month target of $15 to $17.
A summary of the report follows. PAR has posted the full report, including disclaimers which should be read before investing, at investrend.com and medcareonline.com, and an e-mailed copy may be obtained upon request from investrend@usa.net .
Date of Report: May 13, 1999
Recommendation: Strong SpeculativeBuy Recent Stock Price: $6.00Target Price: 12 Mos. $15 - $1712 Mos. Price Range: $11.25 - $4.56Industry Sector: Health Care ServicesShares Outstanding(1) 10,550,000Estimated Float: 5,300,000Avg. Vol. - 30 days: 44,700
(1) Estimated shares outstanding after conversion of all warrants,
stock options, options and convertible preferred. As of December 31,
1998 there were 7,831,105 shares issued and outstanding. MedCare Technologies utilizes behavior modification techniques to
successfully treat incontinence ("IC"). Over 25 million people in the
United States and over 200 million worldwide suffer from IC. The number
is expected to increase significantly as the "baby-boomers" age. Only 1
in 10 IC sufferers in the US seek any form of treatment but the rate is
increasing. Its MedCare program is now contracted in 78 physicians' offices, fully
operating in 50 offices, as compared to 25 on December 31. We expect
220 operating sites in 19 months. The Journal of the American Medical
Association (JAMA) recently published an article highly favorable to
using behavior modification for first time treatment of IC. Compared to
drug therapy, behavioral modification has a success rate exceeding 85%
while drug therapy only produces success rates in the 60% range. The
other treatment alternative is surgery, much more expensive and risky. The Company recently introduced an internet based health information
service called Medcareonline.com which is similar to WebMD.com and
MedScape.com. The site is designed to provide consumers with detailed
medical information. The web site also provides innovative programs for
discussion groups, physicians, and a physician-consumer interactive
section. Site revenues will be derived from sponsored areas and events. Its first revenues of $786,586 were reported for fiscal 1998
reflecting the rollout of the MedCare program after a two-year
development period. The Company should be solidly profitable in CY 2000
with EPS exceeding $.40. In its current pricing program, the Company provides the physician
site with a nurse clinician, necessary equipment, and community
education for a fixed fee. A new pricing model more advantageous to
both the physician and the Company, has been introduced. It should have
a significant beneficial effect on both the Company's reported earnings
and cash flow. The stock of MCAR is rated a strong speculative buy. The twelve-month
price target is $15 - $17. John M. Dutton, a member of both the Boston and Los Angeles Security
Analyst Societies, has been an analyst and director of research at
several firms including Moseley, Hallgarten, Estabrook & Weedon and LH
Friend, Weinress, Frankson & Presson. He was president of Corsair Asset
Management, an asset management firm, for over 11 years. For seven
years, he was Executive Vice President of the international hospital
company American Medical International. Mr. Dutton's present work
includes development and execution of strategic and financial planning
for small cap companies.
Public Analysis & Review (PAR) is a program of the Investors Research Institute, Inc. (IRI), a non-profit membership organization for individual investors and others advocating higher standards of "accessibility", "scrutiny" and "disclosure" for public companies, administered by Investrend Research, div., IRI, Inc. (IRIK), a public company in registration. Anyone may enroll a company for PAR coverage. Annual enrollment fees are $15,000. Information, opinions or recommendations contained in this report or study are submitted solely for advisory and information purposes. This report or study is not intended as an offering or a solicitation of an offer to buy or sell the securities mentioned or discussed. To view the complete report, see: investrend.com medcareonline.com
AND a bit THIS NEWS
News article received, Thursday, May 13, 1999 1:38:51 PM EST
medcareonline.com to Offer Online Auction of Medical Equipment, a $97 Billion World-Wide Market
OAK BROOK, ILL. (May 13) BUSINESS WIRE -May 13, 1999--MedCare Technologies, Inc. (NASDAQ:MCAR) today announced its plans to offer online auctions of medical equipment to consumers through www.medcareonline.com, a comprehensive healthcare portal offering extensive medical information, and to medical professionals through www.treatamerica.com, America's first free turnkey Internet solution exclusively for physicians and other medical professionals.
"The addition of medical equipment auctions is a natural opportunity for us, and one that our hundreds of physicians have requested," states Mr. Jeff Aronin. "World-wide, the sale of medical equipment was $97 billion last year, with US manufacturers accounting for 44% this market. According to Comdisco's Healthcare Group, half of all healthcare systems have yet to develop strategies for identifying and replacing high tech equipment as it ages. This of course represents great opportunity for us. Our auction services can become the central place to move merchandise for hospitals, physicians and other organizations - worldwide."
In a recent report published by Forrester Research, online auctions were rated as one of the top three emerging business-to-business e-commerce models. Pioneered and successfully marketed by such companies as Ebay Inc. (NASDAQ:EBAY), Ubid Inc. (NASDAQ:UBID), and Amazon.com, Inc. (NASDAQ:AMZN), the Internet auction has emerged as a powerful tool for building an online community and conducting e-commerce. Vernon Keenan, an Internet analyst at Keenan Vision, predicts the value of goods and services sold over the Internet using auction technology will be $129 billion by 2002.
ABOUT MEDCAREONLINE.COM
MedCare Technologies, Inc., through its wholly owned subsidiary, medcareonline.com, Inc., has developed www.medcareonline.com as a comprehensive healthcare portal offering extensive medical information. MedCare's health portal has been designed to meet the current grassroots movement sweeping across the web, where 46% of all online users search for information about a medical or personal problem according to a recent Intelliquest Inc. survey. MedCare's "vertical" portal provides health-specific information and resources, such as health travel advisory, health news, symposiums, medical journals and publications.
With half of all doctor's patients expected to be online and researching medically related subjects within 24 months, MedCare recently launched www.treatamerica.com as America's first free turnkey Internet solution exclusively for physicians and other medical professionals. treatamerica.com offers a host of services, including free professional, fully customizable web sites, free hosting, and free Internet e-mail for staff and patients. Additionally, treatamerica.com will soon offer e-mail to pagers and beepers, interactive physician to patient chat, peer to peer chat, and list server capabilities for physicians worldwide.
For additional information, including recent analyst reports, please contact Mr. Bill Mann at 800-611-3388 or visit our website at medcareonline.com.
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward- looking statements include statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements which are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, changes in insurance reimbursement, economic conditions, the impact of competition and pricing, government regulation, and other risks defined in this document and in statements filed from time to time with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the Company are expressly qualified by these cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof. |
