Isn't it amazing that the larger mulit-billion multi-national orthopedic companies don't have a similar competitive technology yet they sell billions of dollars of replacement knees, hips,implants etc.. ?
The stock has broken a major downtrend dating back to the massive gapdown of May,'12(just draw a line connecting the peaks from $29. Competition was a major concern for many of the analysts asking questions on the recent earnings call but management wasn't concerned at all and was confident in their technology,patents, and future prospects from large engineering team. So, since there's no real competition and statistically significant data soon to be released showing far superior post-surgical results from Makoplasty's compared to standard procedure, the risk of owning this stock has been cut in half at least.
This normally means the stock price should rise proportionally. Just hang on to your shares is what I'm trying to say :)
Sentiment: Strong Buy
Look. reality check. Most of the big orthos like Biomet, Zimmer, Stryker are betting that knee and hip replacement are best served with a simple "jig" solution and high-quality implants as opposed to $$$ robotics. Ferre even admitted that "high volume" highly-skilled surgeons don't need MAKO.
Mako's value proposition is in that it makes medium and low volume surgeons as good as high volume ones. It also reduces the wear and tear on surgeons over the course of their entire careers. Let's face it, no truly successful and highly skilled surgeon is going to see value in passing on his skill sets and know-how to someone younger - really, honestly.
The value of Mako is in the re-produce-able, consistent results in implant alignment. Logical informs me that a jig is simply NOT feasible due to the fact that every human body's measurements are not the same. If you are a patient looking for knee or hip replacement, would you be willing to gamble that you picked the right surgeon on the right day? MAKO is a bet on standardized results and outcomes. We make cars this way today.
If that is true, then why are all the top rated hospitals in the country, with the most top rated Orthos, buying the MAKO Rio? I would rather put my body in the hands of a most perfect outcome.
That is just not true as Ferre did not say anything like this. Mako's value proposition is for all orthopedic surgeons whether they are high, medium or low volume players. The value proposition is precision placement of the implants and reproducible results every time. I have spoken with several patients who are happy with their Mako hip and knee results so your theory is notnecessarily true. Larry Dorr see's value in the system and he does more volume than anyone out there. He may be a consultant but so are many ofthe doctor's at the major companies such as Stryker and Depuy J & J as it still is legal. Your post do not make sense so please please get your facts straight before making anymore post such as this. At the very minimum don't say things about the CEO and his word that just are not true. All surgeons who want a qualityprecise result will see value in the MAKO system. JDT
Sentiment: Strong Buy