Intersect ENT, Inc (NASDAQ:XENT) recently announced preliminary revenues for the second quarter of 2016. The company estimates revenues of $19.3 million, up 27% from the year-ago quarter. The Zacks Consensus Estimate for sales is currently pegged at $19 million.
Shares increased 3.2% to close at $15.74 on Jul 19, following the news.
According to management, the increase in the adoption of its flagship device PROPEL has significantly enhanced the top line. The company has expanded its sales force to 98 field staff at quarter-end, including 73 territory managers and 25 sales consultants.
Intersect ENT expects higher growth in the second half of the year versus the first half.
The company also intends to present its second-quarter results on Aug 2, 2016. The Zacks Consensus Estimate for the bottom line is pegged at a loss of 26 cents per share.
Growth Catalysts
Of late, Intersect ENT’s focus on developing new cost-effective products for sinusitis is expected to drive growth. Increasing demand for PROPEL and PROPEL mini will also drive meaningful top-line growth.
Notably, PROPEL and PROPEL mini products are the first and only steroid releasing implants approved by the FDA for use in patients who have undergone ethmoid sinus surgery.
The FDA approval for the use of PROPEL mini frontal sinus implants significantly expands Intersect ENT’s total addressable market.
Meanwhile, positive results of the PROGRESS NOVA study is expected to expand the patient population.
Key Picks in the Sector
Currently, Intersect ENT carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the medical sector are Masimo Corporation (NASDAQ:MASI) , Novadaq Technologies Inc. (NASDAQ:NVDQ) and Mesa Laboratories Inc. (NASDAQ:MLAB) . All the three stocks sport a Zacks Rank #1 (Strong Buy).
MASIMO CORP (MASI): Free Stock Analysis Report
MESA LABS INC (MLAB): Free Stock Analysis Report
INTERSECT ENT (XENT): Free Stock Analysis Report
NOVADAQ TEC INC (NVDQ): Free Stock Analysis Report
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