Wednesday, May 4, 2011

Investopedia: Hologic Holding The Line

Hologic (Nasdaq:HOLX) was an interesting undervalued health care play when the company was waiting on approval for its tomosynthesis product (a better type of breast imaging technology). With approval in hand, though, now the concerns move to customer adoption and low patient volumes throughout the testing business. Though still an attractive and high-quality franchise, the company is going to need to deliver more growth to get the Street excited about the name. 

A Fiscal Q2 That's Solid, but Not Spectacular  
Hologic delivered a modest outperformance for the fiscal second quarter. Revenue rose about 5%, fueled by nearly 9% growth in the breast health business, as the company saw good pricing and some early adoption of the tomosynthesis product. Diagnostics was still weak (down more than 1%), though, as patient visit volume has not rebounded yet. Gyn/surgical and skeletal were both up above the company average, but these are smaller units. 


Click the link for the full piece:
http://stocks.investopedia.com/stock-analysis/2011/Hologic-Holding-The-Line-HOLX-GE-SI-QGEN-GPRO-ABT-BDX0504.aspx

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