Stereotaxis, Inc. (STXS)

Medical Eqpt Mfg emphasis on Catheter-based systems - Will take advantage of aging population = Rising Revenues.
Insider Buying Trend is up with average purchases at $3.50.
Breaking out of it's 50-Day Moving Avg
Low Debt Load.

this stock is on the move been upgraded has the best tech in there service and is going to become more and more relevant in the medical industry.

Sales starting to pick up and no viable competition in sight.

This should double in the next year

Company is at the cusp of its accent in EP--new magnetic irrigated catheters improve safety, efficacy and the learning curve for EP docs. Margins are incredible, and the competition is insignificant.

Another field STXS is about to take off in is PCI procedures with the introduction of the PowerAssert RF guidewire.

Computer controlled "soft" catheters will help revolutionize certain heart procedures. No ned gor ct scans etc to help direct the path of the catheter. Less invasive,less dangerous to the patient. Technology could cath fire.....

this is gonna be a excellent stock fir the future, the moneys in , let go!!

Building a portfolio of stocks that show significant insider buys.

Stereotaxis is going to be the next ISRG (if nobody buys it out sooner).

Safety: one adverse event out of 15,000 procedures, and counting. The adverse event is not a death. Please compare that to the wannabe competitor HNSN, who has 1,000 procedures and several adverse events, including one death.

Safety again: their Niobe machine cuts procedure time in the Electrophisiology lab by half. That means the patients undergo much less stress. Patients get half the radiation exposure they get during manual procedures, and half the exposure they get during HNSN procedures.
The physicians get NO radiation EXPOSURE whatsoever, since they operate the Niobe machine from a nearby room, completely insulated from radiations. Compare that with full radiation exposure with both the manual and the HNSN procedures.

Efficacy: a growing body of evidence says that RF ablation, performed with STXS' Niobe, is much more effective than medication.

Leading institutions: all the top EP labs in the world have a Niobe.
Those that don't want be left behind will have to buy one!

Great outlook for the next few years...

works, though expensive (IR room refit).

Will revolutionize the healthcare industry.

This is the time for long-term investors to start accumulating shares of this great company with a disruptive technology. This company specializes in magnetic steering of catheters to reach areas of the heart in a manner that is much safer to the patient and to the doc performing the procedure. One of the major uses right now is ablation therapy for cardiac arrhythmia. Basically, the doc guides a catheter to the specific region of the heart that is causing the defect and burns that area of the heart with the heated catheter tip to disrupt the nerves that are misfiring and causing the arrhythmia. Magnetic navigation is far superior to manual guidance and safer. Manual guidance takes well over ten years of experience to become an expert and magnetic guidance dramatically shortens this learning curve. The doc is also exposed to much less radiation than in manual catheter guidance making this technology much safer for docs as well. STXS IS the future of EP labs across the US and Europe. The top EP labs and docs are honing in and backlog/sales are now starting to really ramp. At the most recent Heart Rhythm Society Meeting, nearly all oral presentations focused on STXS and magnetic guidance. This next few quarters will likely turn out to be the key inflection point for STXS sales ramp if the overall economy and CAP EX spending issues does not muck things up.

Hanson is the major competition right now, but they are years behind STXS. Moreover, HNSN's safety record is far from the stellar safety record of STXS. Reports of patient injuries, perforations, steam pops, tamponades, etc.. in procedures using HNSN's Sensei robot (off label use by the way, since the Sensei is not FDA approved for ablation therapy or for anything other than mapping) are just now being filed and reported to the FDA. Interestingly, a number of these reports were recently filed by Biosense Webster, the leading making of the catheter tips used for ablation. They basically said this is not due to their catheters, but to the Sensei apparatus and the off-label use of the Sensei. One of the major issues with the Sensei is that the sheaths used to insert the catherter and guidewires are huge and there is some difficulty in sensing pressures applied against the heart chamber wall. Not a good thing. STXS has a far superior safety record in the face of much greater utilization.

The share price has been pummeled recently because Biosense Webster pulled an important magnetic irrigated catheter designed specifically for the STXS Niobe system. Some of these catheters had manufacturing issues that resulted in some charring and coagulant at a couple of the trial sites. While this could be easily corrected by adjusting several settings on the Niobe, Biosense made a reasonble decision to check and make sure manufacturing was up to snuff. SO they pulled the catheter. They and STXS estimate that this catheter will be released and in the hands of the vanguard EP labs before the end of 2008. Because of this delay and missed projections, wham, the share price took a nose-dive. STXS management does not believe that this will significantly impact backlog conversion and man, their backlog is rockin'. STXS management recently projected that their installed base of 100 would grow to 150 by May, 2009. With increase base comes increased utilization and increased disposable sales (projected to reach app $1500 per procedure). At 2-3 procedures per unit per day...you do the calculation. They are also just now ratcheting up sales in a disruptive software package that permits live network feeds to other EP labs throughout the world in order to share expertise and data. This is another new and exciting revenue stream.

If you have a perspective greater than 6 weeks or 6 months (e.g., 2-4 year ), I believe you will be handsomely rewarded with STXS. This is the time to pick up some sub-IPO shares and ride them into the next wave of the EP lab adoption cycle. I have been buying down at this level, but if you do not have the stomach, then wait for their next quarterly conference call to see how many units were converted from backlog to sales in the absence of the irrigated catheter being on the market. Anything equal to or more than 6 units will be a great sign (IMHO). Otherwise, keep an eye on this one and wait until the ramp really begins. You will still make a nice profit. Don't wait too long, there is some huge short interest on this puppy and any positive trigger will cause an explosion in SP

My 2 cents...do your own DD. A great place to start is the STXS board at MF and at Investor Village.

Robotic catheterization, like HNSN.

I like the whole industry for "hands-free" surgery

Sound science. Methodology good. Large and sustained venture cap investment. Look for 2-4 multiplier in this time frame.

Impressive non-invasive technology.

Looks cheap at these levels

Tops in their industry.