LOL, another huge up day for the NASDAQ (and biotech stocks in general), another huge down day for CRDC.
Just imagine when the IBB index starts its correction (and you know it's coming soon, and will be fast and ferocious when it happens), how much further this stock will plummet then?
Just think, less than 3 weeks removed from FDA approval, and seeing Cardica at fresh 52 week, if not all time lows? Oh, and then they'll need to raise money soon to boot (unless you think they can sell their products with a sales force the size of chuck berry's ding-a-ling?) All this while the market, and biotech stocks overall, have been experiencing a bull market like none seen since the internet bubble of 1999? (Hence my reference to the IBB burst above?)
Yep, the longs here sure know how to pick "winners" don't they? For shorts though, this has been nothing but a steady cash cow for like, what, 7-8 years straight?
Ok enough, back to watching the daily drip continue.
It's qQuestionable if they can AFFORD to build up a new sales and marketing team. And other than the VP they don't seem to be announcing many positions for hire. Wall Street knows this and won't look kindly on a pizz poor financing deal that heavily dilutes shareholders several times more than they've already been raked over for. Heavily dilutive financing means those that bought back at $10, $5, $4 and even $2+ just a couple of years ago won't see much return on their investment, if any, even if the final chapter of the story here for this business is a successful one.
IMO, Cardica needs to partner with a reputable marketing firm and get cash plus milestones in exchange. Of course it's hard to negotiate good terms when your back is to the wall, but if the product is any good then that should compensate. Anything's better than watching this fall to zero as they run out of cash trying to paint interstate billboard signs to adverstise their product line because they can't afford anything else.
"The September quarter showed almost 1200 units..."
Right, and the quarter nearly FOUR years earlier showed TWICE that. In other words, this isn't growth, it's PATHETIC.
Come on, open your eyes.
Can't speak to the qualities of the product, I'm not a surgeon. But I know that in general, surgeons are tough to break from a tried and trusted routine. This is why a large and convincing sales force is needed to help overcome that initial resistance to change for these type of devices.
Of course there's the other piece many don't talk about on here (or don't like to talk about), and it's Cardica's competitors simply can conspire to cut prices of their products (inferior as they may be) and hospitals looking to keep costs down will just buy what's cheapest and ignore the upstart (especially the one lacking a convincing sales pitch from a likewise convincing sales team).
In other words, just because you have the "best product" doesn't mean you can sell it or make money off it.
LOL, "gentle" being the operative word. Pangea formed and broke apart in less time.
So at this rate, CRDC should start making money on pas-port sales in about, what, 30 years?
Wonder how they plan to show sales progress without a sales force? Tiny Tim's Christmas Album has more sales than Cardica's PAS-port products. Why should the microcrapper be any different?
Interesting. And will that be the same for the microcutter line? If no hospital reimbursements, don't expect any significant usage adoption or sales growth from any of their products any time soon...to say nothing of the early indications now showing the microcutter will be used primarily for pediatric surgeries, a greatly diminished market from what was originally advertised.
It's hard enough to get docs and surgeons to sign on to something new when they prefer old-stand bys that they are familiar with. So much so that if you can't demonstrate significant cost savings over competion, then CRDC doesn't stand much of a chance. Add in that Cardica is a floundering going-concern with no sales staff, etc, etc, and there are not many reasons to expect hospitals/docs to suddenly start banging down doors to buy their products. Think about it, would you buy an expensive, high tech device from a company that may go out of buisness in year? Or would you stick with a big-brand company that you know will at least be around and have someone to answer phone calls?
Obviously Mr. Market thinks the same way. Hence why, with supposed FDA approval just days away, the share price has collapsed under a buck, just pennies from 52-week lows, and about 30 cents from all-time historic lows. Not even a weak run-up here for longs hoping to get out. But this was all very predictable if you look at the charts...the stock historically seems to defy investor logic and sell off both before and after every "good news" event (recent examples: EU mark, stock tanks...Completion of U.S. trial, stock tanks...analyst upgrade, stock tanks... 510k submission, stock tanks...white staple launch, stock tanks...FDA clearance, fill-in-the-blank).
Good luck to all still in this thing. You'll probably gonna need it.