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Definitely, this stock doubles in 3 months
Recs
I'm pissed at myself for forgetting to drop a red thumb on EnteroMedic in advance of topline data from the phase III trial of their farfetched surgically implanted weight loss device, so I'm seeking the consolation prize of the dead cat bounce. Despite widely missing the primary endpoints of the trial, EnteroMedics has stated their intention to seek approval of the VBLOC device. The rule for obesity therapies is numerous rounds of hope and despair that generally culminate in despair. Arena and Vivus advocates may disagree, but I'm still expecting despair to make a long-awaited reappearance in those stocks. If EnteroMedics actually manages to get the VBLOC PMA together before the eventual dilution, we could see quite a sizable rally before the probable FDA smackdown.
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Don't Mind If I do.
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Strong management team
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Wish I could have rated it when I bought it.
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EnteroMedics (NASDAQ “ETRM”) is a developmental-stage medical device company that is focused on the design, development and commercialization of products that incorporate neuroblocking technologies to treat obesity. The first generation system is referred to as “Maestro”, a play on words that embodies the technology’s ability to orchestrate gastrointestinal function.
One of the key conductors of the gastrointestinal system is the vagus nerve. The vagus nerve is responsible for a myriad of functions, including, but not limited to, stomach distention, hunger sensation / satiety, stomach contractions and secretion of digestive enzymes. EnteroMedics’ Maestro System intermittently blocks signals of the vagus nerve, thereby, if the hypothesis holds true, imparting a loss of weight over time. The Company refers to this as “VBLOC”. VBLOC is expected to be a novel therapy for the treatment of obesity – no other devices are expected in the near term.
The Maestro System is currently being evaluated in human clinical trials in the US, Australia, Mexico, Norway, and Switzerland. EnteroMedics completed enrollment of its multi-center, randomized double-blind, prospective, placebo-controlled US pivotal trial, EMPOWER, in September 2008. The EMPOWER trial has a 12-month follow-up FDA endpoint. EnteroMedics is expected release data in the Q4/09. Assuming positive trial results, analysts would expect FDA submission in the Q1/10 and FDA approval in the H1/11. US commercialization efforts would begin in earnest thereafter.
As many of us know, obesity is a growing epidemic and a multi-billion dollar market opportunity. Over 25 million Americans alone potentially qualify for bariatric surgery. A myriad of therapeutic modalities have been approved, each with their benefits, but none have obviously provided a panacea.
Management and governance are excellent for a development-stage medical device company. The Company recently announced that Nicholas L. Teti, Jr., a member of EnteroMedics’ Board of Directors since 2007 will be consulting as Special Advisor to the Chief Executive Officer, Commercialization and Business Development. His industry expertise has created billions for shareholders in previous ventures.
EnteroMedics data to date is compelling:
1. The data released thus far for the Maestro System have shown positive trends at 6, 12 and 18 months with results comparable to laparoscopic gastric banding.
2. The significant difference between the Maestro System / VBLOC and all the currently approved bariatric procedures is that there is no manipulation of the patient’s natural anatomy.
3. The system functions by triggering an earlier sense of fullness; therefore, there are no dramatic adjustments to a patient’s lifestyle or eating habits.
4. Another data point that has been reported with the Maestro system is a reduction or remission of co-morbid conditions, specifically diabetes and hypertension. Subgroup analysis of the 38-patient VBLOC RF2 trials showed that in 10 diabetics, there was a statistically significant reduction of HbA1c to 7.1% from 8.2% at four weekso. In 15 subjects with systolic and diastolic hypertension, there were statistically significant blood pressure reductions of 13.9 mmHg (systolic) and 10.7 mmHg (diastolic) at four weeks (to near normal levels).
EnteroMedics has sufficient cash to flip over the data card in the fourth quarter of 2009. Partnerships, licenses or other sources of non-dilutive financing may provide further runway.
EnteroMedics is a speculative investment, but the data to date buttress the investment thesis.
The Company is potentially trading at intrinsic values below the risk-adjusted value of EnterMedics’ ground breaking approach for the treatment of obesity (and co-morbid conditions). Please read the recent 10-K, other SEC filings and press releases to understand the compelling attributes of this investment along with the risks.
Recs
On June 20, 2009 at 10:32 PM, danteps (99.77) wrote:
EnteroMedics (NASDAQ “ETRM”) is a developmental-stage medical device company that is focused on the design, development and commercialization of products that incorporate neuroblocking technologies to treat obesity. The first generation system is referred to as “Maestro”, a play on words that embodies the technology’s ability to orchestrate gastrointestinal function.
One of the key conductors of the gastrointestinal system is the vagus nerve. The vagus nerve is responsible for a myriad of functions, including, but not limited to, stomach distention, hunger sensation / satiety, stomach contractions and secretion of digestive enzymes. EnteroMedics’ Maestro System intermittently blocks signals of the vagus nerve, thereby, if the hypothesis holds true, imparting a loss of weight over time. The Company refers to this as “VBLOC”. VBLOC is expected to be a novel therapy for the treatment of obesity – no other devices are expected in the near term.
The Maestro System is currently being evaluated in human clinical trials in the US, Australia, Mexico, Norway, and Switzerland. EnteroMedics completed enrollment of its multi-center, randomized double-blind, prospective, placebo-controlled US pivotal trial, EMPOWER, in September 2008. The EMPOWER trial has a 12-month follow-up FDA endpoint. EnteroMedics is expected release data in the Q4/09. Assuming positive trial results, analysts would expect FDA submission in the Q1/10 and FDA approval in the H1/11. US commercialization efforts would begin in earnest thereafter.
As many of us know, obesity is a growing epidemic and a multi-billion dollar market opportunity. Over 25 million Americans alone potentially qualify for bariatric surgery. A myriad of therapeutic modalities have been approved, each with their benefits, but none have obviously provided a panacea.
Management and governance are excellent for a development-stage medical device company. The Company recently announced that Nicholas L. Teti, Jr., a member of EnteroMedics’ Board of Directors since 2007 will be consulting as Special Advisor to the Chief Executive Officer, Commercialization and Business Development. His industry expertise has created billions for shareholders in previous ventures.
EnteroMedics data to date is compelling:
1. The data released thus far for the Maestro System have shown positive trends at 6, 12 and 18 months with results comparable to laparoscopic gastric banding.
2. The significant difference between the Maestro System / VBLOC and all the currently approved bariatric procedures is that there is no manipulation of the patient’s natural anatomy.
3. The system functions by triggering an earlier sense of fullness; therefore, there are no dramatic adjustments to a patient’s lifestyle or eating habits.
4. Another data point that has been reported with the Maestro system is a reduction or remission of co-morbid conditions, specifically diabetes and hypertension. Subgroup analysis of the 38-patient VBLOC RF2 trials showed that in 10 diabetics, there was a statistically significant reduction of HbA1c to 7.1% from 8.2% at four weekso. In 15 subjects with systolic and diastolic hypertension, there were statistically significant blood pressure reductions of 13.9 mmHg (systolic) and 10.7 mmHg (diastolic) at four weeks (to near normal levels).
EnteroMedics has sufficient cash to flip over the data card in the fourth quarter of 2009. Partnerships, licenses or other sources of non-dilutive financing may provide further runway.
EnteroMedics is a speculative investment, but the data to date buttress the investment thesis.
The Company is potentially trading at intrinsic values below the risk-adjusted value of EnterMedics’ ground breaking approach for the treatment of obesity (and co-morbid conditions). Please read the recent 10-K, other SEC filings and press releases to understand the compelling attributes of this investment along with the risks.
Recs
Trying for a weigh loss treatment. This is the only possibility and ETRM doesn't have the funding to pull off the clinical trials needed to get it far enough along to even find out if it works. A one trick pony in a stable that is mortgaged to the hilt.
Recs
One trick pony in the medical device field. The implantable device is intended to reduce weight- there is also a belt that transmits to the implant that the user must wear.
IPO did not raise enough money to support entire operation plan through approval stage and the clinical trial is looking for a 25% weight loss. Lots of challenges I don't think investors will persist through the process.
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