I'm sure the huge debt, failed products, etc and the cost of recalls is going to hit the bottom line, so they want out by getting suckers to buy on hype while they dump, but I think the real reason they want out so bad is because they know that EECP and alternative technologies are catching on and it will put an end to BSX.
BSX only real product is totally obsolete. Its history say night night.
Doctors have cut into Theodore Dippy's heart twice to clear clogged arteries, other times they attempted to sweep aside blockages with tiny balloons, and once left a metal stent inside an artery to keep it propped open, after going through numerous heart procedures he finally found relief with a little known treatment that involves sqeezing the legs in large cuffs to propel more blood to the heart. The nonsurgical approach, called Enhanced External Counterpulsation, has been found by studies to provide a significant reduction in chest pains and blockages. The low tech treatment is carried out during one hour sessions while the patient lies on a padded table, with 3 large cuffs on each leg.
Dippy's doctor, cardiologist Ken Kronhaus, has treated more than 600 patients with EECP.
Today, doctors throughout the U.S. offer the treatment at prestegious medical centers, including the Mayo Clinic, and the Cleavland Clinic, have centers for the procedure.
Researchers have been able to document the improved blood flow by doing heart scans on patients before and after treatment to look for changes. Medicare recently began paying for the procedure. Other insurers also cover the procedure. Doctors who offer the therapy see a trend toward its greater use.
All investors want their stocks to turn out winners. So if a stock you buy heads south, you might hang on in hopes of a reversal. It's been a longtime leader and will come back, you reason. But if a turnaround never occurs, such hopes can erode your gains or even seriously damage your portfolio.
That's why sell rules are just as important as buy rules. Always pay attention to warning signs, and cut your losses if a stock falls 7% to 8% below your initial buy price. Don't let hope tarnish that golden rule.
If you don't contain a loss while it's small, it could quickly snowball into 20% or more. Your best tactic is to cut your losses and move onto another stock
BSX is going to go down the toilet no matter what, they just have no clue what they are doing. Expect more recalls, more patient deaths, insiders selling, more losses, failed business strategies and downgrades. They wasted too much money and now they are living on borrowed time. Tax loss selling is going to continue the slide they showed how weak they are by even making the bid.
CONR has a better mousetrap. BSX obsolete.
Conor Medsystems is set to take on Boston Scientific
Medsystems Inc. (CONR ) has developed a new better breed of stent that have the power to swipe large swaths of business from rivals such as Johnson & Johnson (JNJ ) and Boston Scientific Corp. (BSX )
J&J and Boston Scientific are the two gladiators in this field, but many physicians are keeping a close eye on Conor's product as well. Although the stent's rate of restenosis, or recurrence of arterial blockages, has been much better than Boston Scientifics, doctors say Conor's is also easier to implant is also safer and more effective.
The Menlo Park (Calif.) company will release new data from clinical trials at a top cardiovascular meeting in Washington. "If it came out in the U.S. right now, the market would swing," says Dr. Dean Kereiakes, a professor of clinical medicine at Ohio State University who is serving as a co-principal investigator for Conor's U.S. clinical trial.
Conor has had some success but CIBC analyst John P. Calcagnini, who has a $26 price target on the stock, believes Conor can take 11% of the market by 2006.
Angiotech licenses a drug called paclitaxel to Boston Scientific that inhibits the growth of scar tissue. Conor uses the same drug in its clinical trials, but the way it incorporates and releases the drug is novel and doesn't infringe on its rivals' patents.
Litvack has helped run three companies, one of which was Advanced Interventional Systems Inc. The company developed laser technology to clear up artery blockages, In 1994 it was acquired by its chief rival, Spectranetics Corp. (SPNC ), for just $12 million -- a thin sliver of the $150 million market cap it reached after going public in 1991.
At least two physicians with no financial ties to Conor give its device high marks. Some cardiologists say Conor may succeed because its stent, which is thinner and less sticky than existing drug-coated stents, is more easily maneuvered through a clogged artery. "If everything else was me-too, just that one feature would take the whole market," says Dr. Mitchell Krucoff, a professor of medicine and cardiology at Duke University Medical Center If current clinical trials go well, Conor must battle Boston Scientific, J&J, and others. Boston Scientific is spending more than $200 million a year on interest and debt. For Litvack, the key to beating the competition is more innovation, both in devices and drugs. Conor is now developing a stent that uses anti-clotting compounds acquired from Novartis. "We believe the job of a good medical company is to make your products obsolete," he says.
Ah another great day for BSX. Closing at the lows on good volume is not a good sign, the stock is headed much lower, good thing BSX pays such a great dividend right guys?
Charts looking bearish. Management has wasted so much money who knows if they can stay in business, seems like everybody knows Taxus is a joke now, so many people have died it probably won't be long until the FDA pulls it.
Fool News & Commentary
Dreadful Stocks to Avoid
By Richard Gibbons
December 15, 2005 .
I. Businesses that bet the farm
In some industries, companies periodically have to make critically important decisions. If the company makes the wrong choice, it will be dealt a crippling blow. This is terrible for a shareholder, because even if the company makes the right decision one month, it might fail to do so the next. There is no "three strikes and you're out" policy. One strike, and it's game over -- your money's gone.n some industries, companies periodically have to make critically important decisions. If the company makes the wrong choice, it will be dealt a crippling blow. This is terrible for a shareholder, because even if the company makes the right decision one month, it might fail to do so the next. There is no "three strikes and you're out" policy. One strike, and it's game over -- your money's gone.
In general, Buffett avoids companies with a lot of debt. This makes sense. During the best of times, large amounts of debt mean that cash that could be put toward growing the business or rewarding shareholders is instead servicing the debt. In a crisis, debt greatly limits a company's options and can sometimes lead to bankruptcy.
Great businesses generally don't need to use huge amounts of debt leverage to achieve an acceptable return for shareholders. So if a company needs debt to achieve reasonable returns, it's less likely to be a great business.
Companies with questionable management
Management has incredible power. If executives want to enrich themselves at the expense of shareholders, either directly or by misrepresenting the company's prospects, individual shareholders have almost no hope of preventing them. I strongly recommend avoiding companies where there's even a hint that management lacks integrity. Some clues to look for here include excessively optimistic press releases, overly generous compensation or options grants, or frequently blaming external circumstances for operational shortcomings. WorldCom and Enron may have gone up for years, but at the end of the day, shareholders received almost nothing. That's why I think questionable management is the worst flaw a company can have.
Next leg down coming soon, along with margin calls for longs.
Well this next few weeks should be quite nasty for old outdated BSX.
If drug-coated stents -- now used in nearly 9 of 10 stent procedures in the U.S. -- are proven to be more dangerous than bare-metal ones, it could be a financial blow to both J&J and Boston Scientific. Boston garners 41% of its revenues from its Taxus stent. And even widely diversified J&J said its Cypher stent drove 25% of second-quarter sales growth. Those products helped propel both companies onto the BusinessWeek 50 list of top corporate performers.
The stakes could very well go beyond lost revenues. Competitors such as Medtronic Inc. ( MDT ) and Abbott Laboratories ( ABT ) are developing their own stents featuring a coating made of a synthetic copy of the outside of a red blood cell that may reduce clotting risk. And, in a post-Vioxx world, companies that fail to address potential safety problems as quickly as possible face severe repercussions. In fact, plaintiffs' lawyers are already sniffing at this problem.