anyone else checked out davita/nxstage's relationship?here's the scoop - davita's clinics are limited by the number of phycial appointments that they can fit into a day/week/month. many clinics are booked solid...with long wait times for appointments.nxstage can offer the clinics another revenue stream - the patients rent the machines from davita and treat themselves at home - and only have to come to the clinic once per month. this is HUGE!davita has already bought from nxstage and has the product in service (to rave reviews)...and i've read of waiting lists to get on the program - i'm waiting for the news of a huge order from davita - or it's competitors. it makes too much money sense not to - them being able to treat more people per clinic.did the merrill analyst miss this? or is the neutral rating something more sinister (such as manipulation)
Good point txcupl. DaVita is on board. They are the second biggest provider, Fresenius is first. I think an attempted buyout of NxStage at some point by either of those co's is very likely. BTW, it's JP Morgan that initiated with Neutral, not Merrill. Merrill has a buy on NXTM with a $13 price target. I think JP Morgan will upgrade to buy within 2006.
thanks for correcting me on the broker - sorry merrill!did you notice that credit suisse (sp?) has been buying huge chunks at 10, 9.xx, 8.xx over the past year? why dont they have an analyst covering it? hmmmmabout a buyout - davita has the stock price, dont follow fres...j&j maybe too..i think they bought "pump" recently, right?
http://www.davitaathome.com/homeoptions.cfm?id=141#equip1They already use NXTM....$$$$$$Buy all you can.