11-21-12 Wells Fargo Downgrades Heartware Post FDA Approval
11-21-12: ”Wells Fargo Downgrades Heartware (HTWR) to Market Perform Post FDA Approval”
Wells Fargo downgraded Heartware Int'l (NASDAQ: HTWR) from Outperform to Market Perform and lowers its valuation range from $97-99 to $88-89 after the FDA approved HVAD pump for use in bridge-to-transplant.
The firm cited:
(1) We think the Street has not modeled the HTWR launch precisely enough and, as a result, we are below 2013 consensus revenue already and expect consensus will come down
(2) The new stroke data may dampen the HVAD roll-out in the U.S.
(3) The risk to the HTWR ENDURANCE DT trial failing, or being positive, but having a problematically high stroke rate, is now increased given the interim data in the IFU, in our view."
My unbiased opinion.........Obamacare may not be all that interested in covering this type of "life prolonging" procedure. Has to be very expensive and they (administrators) would rather just let the old and frail pass away.
This thought is what has kept me from buying HTWR. I'm not trying to be evil or bashing, just my honest opinion.