Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Hologic's (HOLX) New Offering To Revitalize Cynosure Division

Published 12/14/2018, 06:41 AM
Updated 07/09/2023, 06:31 AM

Leading player in the field of women's health, Hologic, Inc. (NASDAQ:HOLX) recently announced that its Cynosure division has launched the FDA-approved TempSure Surgical RF technology in North America. Notably, this latest product belonging to the TempSure radiofrequency (RF) platform allows surgical and non-surgical aesthetic procedures across several specialties on a single device.

Following the FDA’s inquiry on products used in energy-based women’s health procedures, Cynosure has decided to continue marketing its MonaLisa Touch CO2 laser. The company has also returned TempSure Vitalia hand pieces and probes to the market. These developments are expected to boost the top-line contribution from Cynosure division in the near term.

Market Potential

According to MarketsandMarkets, the global medical aesthetics market is expected to reach a worth of $13.29 billion, at a CAGR of 10.8% from 2016 to 2021. Thus, the company clearly has bountiful opportunities in this niche market, both globally and internationally.

A Glimpse of the Cynosure Business

Hologic has been seeing declining Cynosure sales as a result of the FDA’s letter regarding certain women's health procedures and the company’s voluntary decision to suspend marketing of its TempSure Vitalia product. Notably, sales in the fiscal fourth quarter were more than $15 million lower than expected due to refunds and rebates related to previous sales of Vitalia handpieces, unused probes, and TempSure systems along with decreased MonaLisa Touch sales.

We believe the latest progress will help the company overcome these obstacles and deliver solid performance.

Share Price Movement

Hologic has consistently outperformed its industry over the past six months. The stock has gained 6% versus 5.5% decline of the industry.

Zacks Rank & Key Picks

Hologic currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are Veeva Systems (NYSE:VEEV) , Integer Holdings Corporation (NYSE:ITGR) and Surmodics, Inc. (NASDAQ:SRDX) .

Veeva Systems’ long-term earnings growth rate is estimated at 19.5%. The stock sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Integer Holdings has an expected earnings growth rate of 30.3% for 2018 and a Zacks Rank #1.

Surmodics’ long-term earnings growth rate is projected at 10%. The stock carries a Zacks Rank of 2 (Buy).

More Stock News: This Is Bigger than the iPhone!

It could become the mother of all technological revolutions. Apple (NASDAQ:AAPL) sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.

Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.

Click here for the 6 trades >>



Veeva Systems Inc. (VEEV): Free Stock Analysis Report

Hologic, Inc. (HOLX): Free Stock Analysis Report

Integer Holdings Corporation (ITGR): Free Stock Analysis Report

Surmodics, Inc. (SRDX): Free Stock Analysis Report

Original post

Zacks Investment Research

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.