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Biotech / Medical : CLZR:a potential 10 bagger? -- Ignore unavailable to you. Want to Upgrade?

To: John McCarthy who wrote (193)	9/21/1999 6:06:00 PM
From: Bob Davis	Respond to of 315

The Napeague Letter's "Research Notes" for September 19th included the following information about CLZR: Although Hurricane Floyd prevented me from seeing any of the television coverage on the cosmetic laser industry, I have read comments about this on the various I-net forums. It appears that a number of investors were expecting that this coverage would focus on CLZR specifically, and are disappointed that it did not. And this may account for some of the stock's weakness on Thursday and Friday. However, these investors are missing the point - this coverage will lead to sustained demand for the Company's products. By highlighting the recent advances in this technology, this coverage generates new interest in cosmetic laser surgery, which in turn will lead to greater demand for the latest equipment, which is the equipment sold by CLZR, who has the dominant position in this market. There is quite a bit of concern on the Internet forums about CLZR's price performance at the end of last week. Although it was strong on Wednesday, it fell back again at the end of the week. However, this may have been the result of Hurricane Floyd, combined with Friday's "triple witching day". Traders may also have pulled back from the market a bit in preparation for Monday's religious holiday. Over the last week, each of the "sell-side" analysts who follows CLZR has issued an updated recommendation on CLZR: On September 13th, Needham & Co. reiterated its "Strong Buy" recommendation, stating "Business on track; reiterating Strong Buy recommendation" and projecting earnings per share of $1.27 for Fiscal 2000 and $0.25 in its first quarter. On September 14th, BlueStone Capital reiterated its "Strong Buy" recommendation on CLZR, citing "better than expected 4Q and FY99 results and strong product growth." "- Given CLZR's continued excellent growth over the last several quarters, we are raising our FY00 and FY01 revenue estimates to $70.0 million and $82.0 million, up from our previous estimates of $67.0 million and $77.5 million. We are also increasing our EPS estimates for FY00 and FY01 to $1.30 and $1.60 (assuming a tax rate of 35%), respectively, up from our earlier EPS estimates of $1.10 and $1.35." On September 15th, Tucker Anthony joined the party by also repeating its "Strong Buy" recommendation, stating that "Weakness in stock offers investors buying opportunity" and projecting earnings per share of $1.10 for Fiscal 2000 and $0.20 in its first quarter. And lastly, a rumor has started on the AOL forum that "Coherent COHR..has the state of the art hair removal laser ..the lightsheer diode..which sells at a competitive cost to the candela...fyi...." The facts: the Lightsheer laser was developed by Palomar Medical Technologies (NASDAQ:PMTI), and was recently sold to COHR, along with PMTI's Star Medical Technologies division. COHR has been trying to market it for almost two years for hair removal, with limited success, and it is clearly not a "preemptive technology" and does not appear to offer any significant competition to the CLZR product line. The URL for the Napeague site can be found by clicking on the "Bob Davis", in blue, at the top of this posting. Bob Davis The Napeague Letter