Sales Up 75% for this Small-Cap Medical Technology Company
Jun. 22, 2015 | RedChip Companies
OxySure Systems (OTCQB: OXYS), a leading medical device innovator, reported its 11th consecutive quarter of sales growth in May, with first quarter revenues up 75% year-over-year. With new territory managers hired for key markets and agreements with a nearly half a dozen new US distributors, the Company is well-positioned to accelerate this growth in the quarters ahead.
The bulk of OxySure’s revenues are driven by sales of its flagship Model 615 which provides a safe and easy-to-use solution to produce medically pure oxygen from two dry, inert powders. Designed to bridge the gap between a medical emergency and the arrival of first responders, the Model 615 offers a strong value proposition for millions of facilities and end users. While the market has similar dynamics as the automated external defibrillator (AED) market, research indicates that people are 300 times more likely to need emergency oxygen than they are to need an AED. With statistics like these, growing consumer awareness of the Model 615 should lead to a significant increase in sales for OXYS.
Cleared for over-the-counter sales by the U.S. FDA, and with CE marking approval in Europe, the company’s initial distribution strategy is to have its Model 615 placed alongside AEDs. OXYS is also in the early stages of pursuing legislation that could require the OxySure Model 615 to be available in certain venues (similar agreements already exist for AEDs), giving facilities that use its products insurance benefits.
Beyond its core Model 615 technology platform, OxySure is pursuing the addition of complementary innovative medical device solutions with emergency applications. One such addition is QuikClot Combat Gauze from Z-Medica. Commenting on the distribution agreement, VP of Resuscitation Sales for OxySure, Clark Hood, stated, “We believe this is another significant milestone in our mission to become a leading supplier of critical life-saving emergency response products in the first responder, school and public access markets.”
“The product lines of Z-Medica and OxySure run parallel in that both companies create medical devices that can save lives when minutes count,” stated Stephen Fanning, President and CEO of Z-Medica.
Further diversifying its product portfolio, OxySure also announced a new drone initiative in early June. According to filings with the Department of Transportation, the program will use drones in aerial operations in support of emergency response and services, disaster response and recovery, search and rescue, and humanitarian relief efforts.
Julian Ross, CEO of OxySure, commented on the new program, stating, “The unmanned drone platform puts the power of aerial intelligence directly into the hands of first responders. Historically, a big part of our focus has been to find ways to "bridge the gap" -- meaning the time between the onset of a medical emergency and the time that professional first responders arrive on the scene. Drones are the next logical step in that quest, and as it relates to all types of emergency categories we believe they will enhance the existing operations of first responders."
Recent developments at OxySure show tremendous potential, and fast-acting investors have a great opportunity to position in this exciting small-cap stock before it shows up on Wall Street’s radar. Adding to the upside potential of the stock, independent researchers SeeThruEquity announced data last month that shows a significant short position in the stock. Commenting on the short position, SeeThruEquity analyst Ajay Tandon stated, "Considering that the float in OxySure Systems is just 7.65 million of the total 29.6 million shares outstanding, we find this data eye-opening. If a short position of this magnitude were outstanding in its entirety then it would take more than 2 months of buying to cover at the current average daily trading volume, which averages less than 100,000 shares per day."
RedChip analysts have forecasted a price target of $1.90 per share for OxySure, nearly 300% above its recent trading range. To learn more about this forecast, be sure to download our latest report. You can also learn more about this exciting small-cap medical device innovator by watching Dave Gentry’s latest interview with OxySure’s Julian Ross (CEO) and Kathryn Jayne (Dir. Regulatory Affairs).
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