Safeplus International Holdings Ltd. (ACAI)

[ciciagt]

One analyst's summary on the stent wars:
____________________________


Boston Scientific Stent Vulnerable To New Rivals
03.07.05, 12:40 PM ET

Prudential Equity Group downgraded Boston Scientific (nyse: BSX - news - people ) to "underweight" from "neutral," saying recently released trial data indicates a "deteriorating risk/reward profile with little upside." The research firm also lowered its price target to $29 from $35. Data released at the American College of Cardiology (ACC) yesterday showed that the Cypher stent, made by Johnson & Johnson (nyse: JNJ - news - people ), performed better than Boston Scientific's Taxus product. "The data are overwhelmingly positive for Cypher vs. Taxus, traditionally signaling a pending share shift," said Prudential. "Growing signals of safety issues and recurrent data suggesting clinical superiority for the J&J Cypher make near-term share losses more likely, but more importantly in our view, make new entrants more threatening by leaving more unmet needs. We are not predicting dramatic safety issues, but the prospect adds an increasingly binary nature to the stock, with perhaps 50% downside without a stent." The research firm lowered 2005 and 2006 earnings-per-share estimates for Boston Scientific to $1.95 and $1.85, respectively, from $2.25 and $2.35. In addition, a trial for the Endeavor stent, made by Medtronic (nyse: MDT - news - people ), met all of its primary endpoints, raising the potential of competitive risks. Prudential upgraded Medtronic to "overweight" from "neutral weight" and said Taxus safety concerns have given Medtronic a "window at least until Guidant (nyse: GDT - news - people ) arrives to market."