Insulet Corp (PODD)
Dvlp,mftr,mkt insulin infusion system for diabetes
Recs
Extremely High Price for Sales
Recs
While they have a very nice product it has some design 'features' which might lead to trouble. Each pod (the actual pump) works for only 3 days and is thrown away after that. This means 122 pods per patient per year; scaling up production to be able to serve any significant portion of the US market, much less the world market, is a huge endeavor. This is most likely why they have not gone ahead into offering the pump for use in the delivery of other drugs.
There are other related issues to their product that makes it harder to sustain market share, particularly in times like these, with many people loosing their health insurance and therefore not being able to keep purchasing the pumps.
Recs
Not a market guy, but a manufacturing guy. Insulet was my account up until last year when the printed circuit board company I worked for finally gave up to offshore pressure. I knew a lot of these guys and I am amazed this company has not taken off like a rocket. Never opened a Schwab account before but did for this group and closed it when I thought they couldn't figure out how to get out of their own way. One of life's disapointments. Insulet needs to figure out how to stop spending and start making money. A top notch product I know well. Good luck - when the price point is back in the $12's will take another look. There were a whole list of meds this pump was slated to dispense.
Recs
Medtronic will have competitive product in the future, and insulet has production issues and is burning through a lot of cash.
Recs
Probably a great idea but total revenue of insulin pump competitors and podd is somewhere near 300m, they have 90+m in cash; their costs of sales,expenses,ie negative cash flow will require them to not only hammer the competition but also convert nonpump diabetics to use the pod I believe they will run out of money before they can do this.As I am a novice and am literally learning from the Foolbook,Investment Guide, this pitch holds as much value as my name

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