Goldman Sachs on Cardiovascular Devices: LVAD Assets Look Mispriced; Upgrading THOR, Initiating HTWR
Tweet Send to a FriendGet Alerts THOR Hot Sheet
Price: $32.60 -1.9%
Rating Summary:
13 Buy, 12 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Rating Summary:
13 Buy, 12 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Trade THOR Now!
Goldman Sachs on Medical Technology/Cardiovascular Devices: LVAD Assets Look Mispriced
Analyst, David H. Roman, said, "After a detailed analysis of the US market for Left Ventricular Assist Devices (LVADs, which are mechanical pumps that assist or replace the heart function of providing blood flow to the rest of the body), we are raising our rating on shares of Thoratec (Nasdaq: THOR) from Neutral to Buy (34.8% upside to our revised $45 12-month price target) and initiating coverage on shares of HeartWare International (Nasdaq: HTWR) with a Neutral rating (4.1% upside to our $93 12-month price target). We see this as a counter consensus call, as shares of THOR are down 0.5% YTD vs. HTWR up 29.5% (vs. the Russell 2000 up 6.9%) in anticipation that HeartWare would take meaningful share upon US market entry (expected in 2H2012). It is also worth noting that the Street is more heavily Buy-rated on HTWR vs. THOR. We are generally constructive on the market for LVADs given low penetration rates and the potential for technology to get better over time. Nevertheless, we see Street numbers as too bullish for HeartWare and too bearish on Thoratec."
Roman also said that THOR's market share may be at less risk than is currently expected by the Street and HTWR potentially faces greater headwinds than current numbers suggest...Bottom line: Competitive fears are overblown on THOR.
To see more ratings on THOR, Click Here
To see more ratings on HTWR, Click Here
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Analyst, David H. Roman, said, "After a detailed analysis of the US market for Left Ventricular Assist Devices (LVADs, which are mechanical pumps that assist or replace the heart function of providing blood flow to the rest of the body), we are raising our rating on shares of Thoratec (Nasdaq: THOR) from Neutral to Buy (34.8% upside to our revised $45 12-month price target) and initiating coverage on shares of HeartWare International (Nasdaq: HTWR) with a Neutral rating (4.1% upside to our $93 12-month price target). We see this as a counter consensus call, as shares of THOR are down 0.5% YTD vs. HTWR up 29.5% (vs. the Russell 2000 up 6.9%) in anticipation that HeartWare would take meaningful share upon US market entry (expected in 2H2012). It is also worth noting that the Street is more heavily Buy-rated on HTWR vs. THOR. We are generally constructive on the market for LVADs given low penetration rates and the potential for technology to get better over time. Nevertheless, we see Street numbers as too bullish for HeartWare and too bearish on Thoratec."
Roman also said that THOR's market share may be at less risk than is currently expected by the Street and HTWR potentially faces greater headwinds than current numbers suggest...Bottom line: Competitive fears are overblown on THOR.
To see more ratings on THOR, Click Here
To see more ratings on HTWR, Click Here
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Morgan Stanley Says Tesla (TSLA) 'Top Pick in U.S. Autos'
- Jefferies Buyers of Jack In The Box (JACK) on Solid Results
- UPDATE: Macquarie Downgrades Barrick Gold (ABX) to Underperform
Create E-mail Alert Related Categories
Analyst Comments, New Coverage, UpgradesRelated Entities
Goldman Sachs
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
