Undervalued Company With An Alternative Treatment For Prostate Cancer
And now Northland Securities class this outperform. What's the next?
In doing some fresh scans for 2013, I found a company that has a very small market cap of only $38 million but competes in the very large market of prostate cancer. EDAP TMS SA (EDAP) looks like a very solid speculative play not only because of its future revenue prospects, but also because it brings in significant revenue right now. I always like to see companies who grow responsibly. In the pharmaceutical industry, a company with a low market cap that isn't burning a lot of cash relative to its size is pretty rare. Let's take a closer look.
Prostate cancer is the second most common type of cancer in men with 899,000 new cases annually. The market for this disease is estimated to grow to $7.7 billion by 2015. Clearly, even a small fraction of this type of money would make an incredible difference to a company as small as EDAP. Of course, there are big players who put significant resources into capturing these revenue streams.
Develops and markets Ablatherm, an advanced and clinically proven choice for high-intensity focused ultrasound (HIFU) treatment of localized prostate cancer. This is a Strong buy in my book!