ARTC - ArthroCare $31.67 *** Expanded FDA Clearances ***
ArthroCare (NASDAQ:ARTC) is a medical device company that develops,
manufactures and markets products based on its patented Coblation
technology. ArthroCare's soft-tissue surgery systems consist of a
controller unit and an assortment of single-use disposable devices
that are specialized for specific types of surgery. The company
believes its Coblation technology can replace the multiple surgical
tools traditionally used in soft-tissue surgery with one multi-
purpose surgical system. Coblation technology is applicable across
many soft-tissue surgical markets. ArthroCare rallied strongly at
the end of July after announcing that U.S. regulators granted
expanded clearance to sell its surgery devices for new uses
including orthopedic indications in the knee, shoulder, wrist,
ankle, elbow and hip. The company said it believes the expanded
FDA clearances will allow it to aggressively market its products
for use in all cleared indications. We simply favor the bullish
chart (especially in the current market conditions) and a cost
basis close to technical support.
SEP 30.00 ARU IF LB=3.50 OI=68 CB=28.17 DE=35 TY=5.6%
DAVX - Davox $10.26 *** A Return To Profitability ***
Davox (NASDAQ:DAVX) is a proven provider of customer interaction
management solutions that help companies more effectively manage
customer interactions via telephone, email, and the Internet.
Davox solutions are used by more than 1,000 companies worldwide,
including banks, telecommunications firms, utilities, and retailers,
to provide premium customer service, and to successfully establish
and build valuable customer relationships. In July, Davox reported
revenues of $25.6 million for the 2nd quarter of 2001, and a net
income of $0.6 million or $0.05 per diluted share. The company
said that its improvement in operating results was driven primarily
by an increase in revenue coupled with a continued focus on sound
fiscal management by controlling operating expenses. The company
was able to return to operating profitability one quarter ahead of
schedule. We simply favor the recent bullish move back above
the 150-dma (on increasing volume) and the improving fundamental
outlook for the company.
SEP 10.00 VQ IB LB=0.75 OI=4 CB=9.51 DE=35 TY=4.5%
