It’s a big day for Apollo Endosurgery Inc (NASDAQ:APEN). The medical device maker announced it has received 510(k) clearance from the U.S. Food and Drug Administration (FDA) for a special gastroscope and an innovative suturing device called OverStitch.
Apollo Endosurgery shares reacted to the news, jumping nearly 45% to $5.88, as of this writing. APEN has a 1-year high of $21.88 and a 1-year low of $2.93. The stock's 50-day moving average is $4.39 and its 200-day moving average is $5.42.
Apollo CEO Christopher Gostout commented, "Endoscopic suturing is quickly becoming a global standard of care for a variety of endoscopic procedures backed by a growing level of clinical evidence. The launch of OverStitch Sx will allow suturing technology to be available to nearly any physician with access to an endoscope [...] Broader physician access to endoscopic suturing allows for greater patient access to a variety of minimally invasive endoscopic treatments.”
On the ratings front, Apollo Endosurgery stock has been the subject of a number of recent research reports. In a report issued on November 13, Northland Securities analyst Suraj Kalia assigned a Buy rating on APEN, with a price target of $12, which represents a potential upside of 115% from where the stock is currently trading. Similiary, on August 11, Roth Capital's Chris Lewis reiterated a Buy rating on the stock and has a price target of $10.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Suraj Kalia and Chris Lewis have a yearly average return of 7.1% and 14.3% respectively. Kalia has a success rate of 53% and is ranked #966 out of 4724 analysts, while Lewis has a success rate of 58% and is ranked #294.
Apollo Endosurgery is a medical device company focused on less invasive therapies for the treatment of obesity, a condition facing over 600 million people globally, as well as other gastrointestinal disorders. Apollo’s device based therapies are an alternative to invasive surgical procedures, thus lowering complication rates and reducing total healthcare costs. Apollo's products are offered in over 80 countries today.