ABIOMED, Inc. ($ABMD) Possible Buy to $69 Confident Investor Rating: Good

Company name ABIOMED, Inc.
Stock ticker ABMD
Live stock price [stckqut]ABMD[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Good
EPS growth Good
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $93.46
Target stock price (averages with growth) $96.97
Target stock price (averages with no growth) $43.98
Target stock price (manual assumptions) $93.01

The following company description is from Google Finance: http://www.google.com/finance?q=abmd

ABIOMED, Inc. is a provider of mechanical circulatory support devices and offers a continuum of care to heart failure patients. The Company develops, manufacture and market products that are designed to enable the heart to rest, heal and recover by improving blood flow and/or performing the pumping function of the heart. The Company’s products are used in the cardiac catheterization lab (cath lab) by interventional cardiologists and in the heart surgery suite by heart surgeons for patients who are in need of hemodynamic support prophylactically or emergently before, during or after angioplasty or heart surgery procedures. The Impella 2.5 is introduced with normal interventional cardiology procedures and can pump up to 2.5 liters of blood per minute. The Company is conducting USpella, the United States multicenter observational registry collecting clinical data and outcomes for general use patients supported with Impella 2.5, CP and 5.0 during procedures.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in ABIOMED, Inc.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of ABIOMED, Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $60.39
  • Growth: 0.2
  • Current EPS (TTM): $0.43
  • P/E: 140
  • Future EPS Calc: $1.06
  • Future Stock Price Calc: $149.79
  • Target stock price: $93.01

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I hope that this makes you a Confident Investor.

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