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Biotech / Medical : Cyberonics (cybx) epilepsy therapy recommonded -- Ignore unavailable to you. Want to Upgrade?

To: Valentin who wrote (190)	3/18/1998 9:39:00 AM
From: yehuda fruchter	Read Replies (1) \| Respond to of 471

Excellent comment, as it does highlight some of the risks for this company. However, if you noticed reimbursement was mentioned many times in the comment. Reimbursement is a major issue for new medical devices and is perhaps a greater concern than FDA approval. This is why the news yesterday was very important and why the stock was up nearly two points. It increases the odds that CYBX will get better reimbursement for its product and hence expand its customer base. Also, in terms of the efficacy of the product there are always going to be people who may not like it, but from different articles that I have read CYBX's device appears to have had an extremely beneficial impact on many epileptics lives. So, clearly the device helps. Finally, if you want to know the real risk for this company and the one that I think has failed to be mentioned, is the production risk. Will CYBX be able to produce quality products given the strong demand for their products? Will they encounter manufacturing difficulties which could hamper sales growth? This was a problem for Vivus and may become a problem for CYBX. I'm still willing to make a bet at these prices though, as it appears to me that the risk/reward equation is still in favor of CYBX bulls.