Tuesday, January 14, 2014

Seeking Alpha: LipoScience Facing A Long, Hard Slog

Writing anything positive about LipoScience (LPDX) was a losing move in 2013, as the stock moved steadily down throughout the year. Making matters worse, it wasn't just a "the market doesn't get it" phenomenon as the company logged three straight quarters with revenue year-on-year revenue declines - something nobody wants to see from a company that is supposed to be in the early days of a major product launch.

I continue to believe there's still hope here, even if that hope has been pushed out a few years. Clinical studies are backing up the validity and utility of the LDL particle assessment approach and I believe that there is a strong argument to make here for LipoScience's NMR LipoProfile test being a valuable behavior-changing test. The problem is that it's going to take time for the company to sell payers and doctors on that value. The potential value in the shares is great, but so too is the risk and there are no guarantees that LipoScience will make it to that critical inflection point where revenues and profits begin to flow into the company.

Follow this link to the full article at Seeking Alpha:
LipoScience Facing A Long, Hard Slog

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