The 3 top healthcare micro caps on the verge of a breakout
Today's Financial News - Posted February 17, 2009
These 3 tiny healthcare-related stocks are on the verge of greatness. Pick up shares (on the cheap) now!
by Laura Cadden, TodaysFinancialNews.com
Baltimore (TFN): One of the most recession-resistant sectors is healthcare – and these three stocks are set to see big gains in the next 9 months.
The best part? All are trading under $4 right now!
Healthcare stock #1: ATS Medical, Inc. (NASDAQ:ATSI)
Market cap: $147.58M
52-week high: $3.33
Founded in 1991 to develop a proprietary mechanical heart valve, ATS continues to focus exclusively on products for cardiac surgery.
Heart valve replacement is one of the fastest growing markets for medical prostheses. In 2007, it was estimated that as many as 79,000 of these procedures were performed in the U.S. alone.
With aging demographics in most nations, cardiac valve replacements will be even more common.
Their original product, the ATS Open Pivot Heart Valve, enjoys 15% of the current market share – and the company intends to capture still more. But more on that in a minute…
ATS researchers aren’t letting the grass grow under their feet
The company gathered input from cardiac surgeons to create the ATS Simulus Annuplasty Rings and Bans for mitral valve repair.
Then there’s cryotherapy as a treatment for atrial fibrillation…
Heart arrhythmia is the fastest growing type of structural heart disease among folks over the age of 60.
The ATS CryoMaze Surgical Ablation System basically freezes off a top layer of tissue that then allows a surgeon to create scar tissue around pulmonary veins.
This procedure impedes the transmission of the erratic electrical signals that trigger cardiac arrhythmias.
But now we come to the device that I believe will bring this company’s share price gains of at least 20% in the next nine months…
The next generation in valve replacement
Earlier this month, the Australian Therapeutics Goods Administration (TGA) approved the ATS 3f Aortic bioprosthesis for commercialization.
This replacement valve is sutured to the aortic wall and actually mimics the actions of the aorta.
It’s a collapsible tube that expands as the heart contracts and blood is expelled (systole) and retracts as heart relaxes and again fills with blood (diastole).
| ATS Medical, Inc. 3905 Annapolis Lane N. Suite 105 Minneapolis, MN 55447 Phone: 1-763-553-7736 http://www.atsmedical.com |
The unique design allows for a more normal coronary flow. You can read the full brochure here: http://www.atsmedical.com/uploadedFiles/Public_Site/Physicians_International/Biological_Valves/st_broc_3f.pdf
The U.S. Food and Drug Administration (FDA) gave its stamp of approval in October 2008.
As ATS begins full marketing this revolutionary product this year, the profits should pour in.
I recommend you buy shares of ATS Medical, Inc. (NASDAQ:ATSI) at or under $2.75.
Healthcare stock #2: RTI Biologics Inc. (NASDAQ:RTIX)
Market cap: $162.21M
52-week high: $10.51
Florida-based RTI uses human-donated tissue and animal tissue to create implants that repair and promote natural healing.
The company focuses on biologic graft applications primarily related to spinal, orthopedic, and sports medicine surgeries.
Profits through patented technology
RTI scientists created innovative procedures for the sterilization of allografts (human-derived tissue) and xenografts (animal-derived tissue).
The company’s patented BioCleanse process eliminates bacteria, viruses, and fungi from tissue with no negative impact.
After more than 2 million implants there hasn’t been a single incident of allograft-associated infection.
Earlier this month, a distribution and supply agreement was announced between RTI and Aesculap Implant Services for sterile spinal allograft implants.
| RTI Biologics, Inc. 1621 Research Circle Alachua, FL 32615 Phone: 1-386-418-8888 http://www.rtix.com |
I’m expecting the stock to rise at least 20% as the new sales through Aesculap come in later this year.
Something else I’m always happy to see… the company’s insiders have done nothing but buy up shares since late August.
I recommend you buy shares of RTI Biologics Inc. (NASDAQ:RITX) at or under $4.
Healthcare stock #3: GTC Biotherapeutics, Inc. (NASDAQ:GTCB)
Market cap: $51.46M
52-week high: $0.95
Tiny GTC focuses on genetically engineered human proteins for the treatment of blood disorders like hemophilia (a bleeding condition caused by the lack of a clotting protein) and thrombophilia (excessive clotting resulting from a deficiency antithrombin – a naturally-occurring anticoagulant).
The company develops the human therapeutic proteins via goat milk.
Yes, I said “goat milk”.
Before you imagine a Dr. Moreau-esqe scenario, let me outline their procedure…
A section of human DNA is inserted into a goat’s genome but in such a way that it’s only activated in the mammary gland when the goat produces milk.
The desired human protein can then be extracted from the transgenic goat’s milk.
Rest assured… the goats are born normal and healthy. The USDA and other animal care and use associations monitor them regularly.
Why do it this way?
Quite simply, it’s easier and cheaper than other high-tech procedures for extracting the protein.
That cost-saving aspect is compelling for small pharma companies requiring their product.
Companies just like Ovation Pharmaceuticals that focuses on specialized treatments.
Which brings me to the latest exciting development for GTC…
The magic words: FDA approval
GTC and Ovation partnered to create ATryn for the prevention of peri-operative (surgically-related) and peri-partum (related to childbirth) thromboembolic events in sufferers of Hereditary Antithrombin Deficiency (or ATII).
A genetic clotting disorder affecting over 200,000 in the U.S., Europe, and Canada, ATII can lead to blood clots, organ damage and potentially, death.
ATryn is the first transgenetically-produced and recombinant treatment to have ever been approved by the FDA.
| GTC Biotherapeutics, Inc. 175 Crossing Boulevard PO Box 9322 Framingham, MA 01702 Phone: 1-508-620-9700 http://www.gtc-bio.com |
GTC also received FDA approval for a new animal drug application that would be the first to regulate genetically engineered animals.
Atryn should make it to the markets by July 2009.
I’m looking for 20% in GTC share price by November as the company heads towards profitability.
I recommend you buy shares of GTC Biotherapeutics, Inc. (NASDAQ:GTCB) at or under $0.70.
Next Article: Two stocks for smart energy
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February 19th, 2009 at 7:49 pm
Gentlemen:
I saw a 8.00 minute movie on “U” tube regarding a medical invention from Wake Forest Baptist Medical Centre. This apparently found a way to regrow parts of the human body that had been lost through accidents or from War. They take the individual’s own DNA and apply this onto material outside of the body. This apparently regrows Hearts, Bladders, yes and even replaces Skin from Burns without scars. The US Military has been using this quietly I believe. This sounds very promising and I would like to see if we can invest in this comany, as it allows one to replace worn out body parts without taking any medicine the rest of your life. Thanks in advance, Noel Douglas / aquascience [at] isp [dot] ca