Trending >

TSO3 is still a top pick, says Echelon Wealth Partners

TSO3

TSO3 More positive news about its key product is giving Echelon Wealth Partners analyst Doug Loe a bullish feeling about TSO3 (TSO3 Stock Quote, Chart, News: TSX:TOS).

This morning, TSO3 announced that the The U.S. Food and Drug Administration has cleared its expanded indications for use (IFUs) of its Sterizone VP4 sterilizer. The company said the development represents a “new level” of patient protection againsts less robust systems.

“Our extended IFU claims have been cleared by the FDA demonstrating the truly superior capabilities of our Sterizone sterilization system,” said CEO Ric Rumble. “These extended claims further expand our technology leadership — offering enhanced patient protection in applications where terminal sterilization was not previously possible. With these enhanced claims, we no longer talk about evolutionary claims advancement; rather the Sterizone VP4 sterilizer is set to revolutionize the medical industry’s standard of care. We look forward to presenting these enhanced claims in addition to our already industry-leading value proposition to our customers and will be assessing the need to further expand production capacity in response to customer feedback and demand. I am extremely proud of our team and their unwavering dedication to continue to improve patient care through creating new and meaningful patient infection reduction strategies.”

Loe says this news is evidence of why he has a Top Pick rating on TSO3, and says he thinks the recent run up in the company’s shares is a trend that is just beginning.

“After years of interaction with the US FDA that we could at best characterize as challenging, we are encouraged in the extreme to see the agency now hold TSO3’s VP4 platform in high regard, sufficiently high in fact that it has not just approved the device (back in FQ414) but has now differentiated it among its peers by granting specific claims to VP4 for sterilizing flexible multi-channel endoscopes,” says the analyst.”VP4’s conventional FDA approval certainly allowed for client hospitals to use the device for endoscope sterilization if they chose to, but new claims were based on endoscope-specific sterilization data that TSO3 submitted independent of its original 510(k) submission, data that by definition was sufficiently convincing to the FDA that it published specific claims on this capability.

In a research update to clients today, Loe maintained his “Buy” rating and one-year price target of $6.25 on TSO3, implying a return of 112 per cent at the time of publication.

More Cantech Life Sciences

  •  
  •  
  •  

About The Author /

Nick Waddell
Cantech Letter founder and editor Nick Waddell has lived in five Canadian provinces and is proud of his country's often overlooked contributions to the world of science and technology. Waddell takes a regular shift on the Canadian media circuit, making appearances on CTV, CBC and BNN, and contributing to publications such as Canadian Business and Business Insider.

Comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Access Expert Stock Picks for free

CLOSE

Get Stock Picks From The Pros

Sign up for our newsletter to get timely Canadian stock picks from expert financial analysts.