Thursday, January 7, 2016

Seeking Alpha: Novadaq Doing The Heavy Lifting

As expected, 2015 was a challenging year for Novadaq (NASDAQ:NVDQ) in many respects. The company had to manage the transition from a partner-based marketing model to a direct model, as well as a growing transition from a lease-based model to a capital sales model. The company has also seen more companies throw their hat into the surgical fluorescence imaging ring, most especially Stryker (NYSE:SYK).

For all of that, though, I believe the company has done a good job of managing its sales transition. Management has improved its communication with the Street and underlying procedure volume growth looks okay. There's definitely a lot of work left to do in terms of building the market and establishing a powerful sales trajectory, and these shares are priced pretty aggressively. I still believe that there is a money-making opportunity in Novadaq shares, but there are a lot of uncertainties here and the market will not be forgiving if the sales momentum stalls.

Read more here:
Novadaq Doing The Heavy Lifting

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