Friday, January 16, 2015

Seeking Alpha: Clouds Still Mar Sunshine Heart's Outlook

Development-stage med-tech Sunshine Heart (NASDAQ:SSH) has had a good run up from its mid-December lows, and the company continues to move forward with the clinical development of a device-based approach for congestive heart failure that could mark a real improvement in quality of care. That said, the company continues to see frustratingly slow enrollment and pushback on reimbursement.

Unfortunately, there don't appear to be easy solutions to Sunshine Heart's primary problem - it lacks the resources of major cardiology companies like Boston Scientific (NYSE:BSX), Medtronic (NYSE:MDT), or St. Jude Medical (NYSE:STJ) that could otherwise support and encourage enrollment. Getting the FDA's permission to run an interim analysis would certainly help, and the shares do appear undervalued, but the company is climbing a steep hill and investors shouldn't kid themselves into thinking that the need for a better treatment for heart failure and the apparent efficacy of Sunshine's C-Pulse system will, on their own, ensure a successful outcome.

Read more here:
Clouds Still Mar Sunshine Heart's Outlook

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