Healthcare

A CRISPR view of Editas

Editas (NASDAQ:EDIT) completed their IPO this week in a difficult market and is now the first “pure play” on CRISPR. In the biotechnology field CRISPR is viewed as the Next Big Thing. Journals like the MIT Technology Review have called it “the biggest biotechnology discovery of the century.” For decades money has been poured into…

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GenSight Biologics IPO

GenSight (NASDAQ: GNST)  is smaller size biotech deal with Leerick, Evercore and Canaccord on the cover. The 4.6M shares are all primary with a $14 mid-point. It’s scheduled for tonight, November 5th. Post-IPO there will be close to 19M shares with a market capitalization of $270M. This French company has two products for treating eye disease. They target forms…

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Is there Value in Verastem?

The recent news for Verastem (Nasdaq:VSTM) has been terrible. Yesterday they announced a layoff of 50% of their workforce which will get the company down to 20 people and save $4.9M a year in operating costs. They still have $132M in cash. With a market capitalization of $80M the question is whether or not there is…

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Aclaris Could be a Sleeper

At first Aclaris [Nasdaq: ACRS] didn’t catch my eye. The phrase “concentrated hydrogen peroxide” sounded too simple to offer any sustainable competitive advantage. However a favorable mention from the famous “Dr. KSS” who knows his biotechnology made me take a closer look. What I see is a fairly low-risk to treat a very common skin…

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Biotech Deals This Week

Despite a dicey market we are staring down a full calendar this week and next. There are 13 deals in active marketing now which is pretty good (the system peaks out at around 20 or so because things are still manual, managements doing meetings, etc.) Of the six scheduled for this week five are in the…

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Penumbra IPO Preliminary Points

We were impressed by the Penumbra (NYSE:PEN) neuro and vascular technologies demonstrated in their roadshow. Combined with their meaningful revenue ($125M in 2014 which was up 41%) and profitability this is an IPO to watch and probably own. Being able to effectively treat stroke victims is a big deal. Although they have a portfolio of…

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Can Planet Fitness Succeed?

Planet Fitness [NYSE:PLNT] is a lightning rod for controversy and opinions. Serious fitness types tend to hate PLNT and even take the time to produce videos highlighting how inferior Planet Fitness gyms are, how wrong their policies against excessive lifting and grunting are, and why only wimpy people would ever go there. The IPO itself…

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Teladoc needs more examination

It’s no surprise that the “uber for doctors” had a hit IPO – pricing above-the-range at $19 and opening at $29. Our IV estimate of $11 is far less exciting though. Why so low? The model itself is below but the key obstacles are just good (not stellar) revenue growth and low operating margins for…

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Investors are eyeballing Glaukos IPO

The size and price range have already been increased for Glaukos (GKOS), a medical technology company that plans to price their IPO on Wednesday. Their device is so small it defies imagination but is a proven treatment for glaucoma.  Three are several reasons the company is experiencing strong demand for their IPO: Clinical trials are done…

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What’s ailing MINDBODY?

MINDBODY (NASDAQ: MB) completed their IPO last week at $14, had a brief pop at the open to $15 and promptly traded down to $12. What gives? Isn’t this the “OpenTable (PCLN) of the health and fitness industry” as management states? Well maybe it is, maybe it isn’t. One thing for sure is that a…

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