after listening to the JPM conference presentation and given lots of thought, I believe VRX would do no harm
The methodology and strategy executed at ZLTQ is not that easy to duplicate, especially for a very large company with no single product (modality) focus. VRX would believe that with all their other product offerings, they can place the Liposonix in the clinic. Yes, they can and they will. However, the usage would be low due to: 1. No painstakingly cultivate the growth of the clinic (like what ZLTQ is doing by helping the clinic to get more patients). 2. Liposonix performance issues (pain) and limited body part coverage.
I therefore turn long term bearish to long term bullish for ZLTQ. I am long. and consider today's dip a buying opportunity.
did you read Zeltiq's 10Q stating that in 2012, Lipsonix did in fact harm its sales. Notice there is no mention in 2013, this is because Solta was a wreck of a company. Which company has more resources, money, leverage? How do you justify an 800M market cap on at best 120M in revenues for a single asset company. So you invest in non diversified companies simply because a competitor floundered in 2013, and that same competitor is now under the control of the biggest aesthetics company in the world? Zeltiq has taken advantage of Solta's woes as they should. U are high if you think Valeant has entered this space to make peanuts!
...any procedure that kills tissue will cause pain -- per ZLTQ website:
"...patients may experience temporary pain or discomfort. Side effects can include redness, bruising, swelling, tenderness to the touch, cramping, itching, tingling, and numbness. Numbness can persist up to several weeks after a procedure."
...as far as clinics, Liposonix has them all around the world and I'm pretty sure has quite a few more than Coolsculpting and further development would not likely pose a problem for someone the size of VRX...and I'm not aware of any limitations of Liposonix versus Coolsculpting...