August 18, 2022


Slick Healthy

We’re still bullish on Opsens, says Raymond James

With a nutritious cash placement and improving figures, Raymond James analyst Rahul Sarugaser suggests he’s nevertheless pretty bullish on Opsens (Opsens Inventory Estimate, Chart, Information, Analysts, Financials (TSX:OPS).

On July 14, Opsens reported its Q3, 2022 effects. The organization dropped $2.9-million on consolidated product sales of $10.1-million, up from the $9.2-million topline the firm posted in the identical interval a yr prior.

“I am pleased with the economic effectiveness of the third quarter, as we accomplished document revenues surpassing $10-million with a range of significant milestones that incorporate Wellness Canada approval of our Savvywire, as very well as the initial successful strategies and revenues for the Savvywire, as element of the controlled industrial launch in Canada,” reported CEO Louis Laflamme. “We continue on to make meaningful development in our original launch websites, which will support the whole commercialization of the Savvywire in Canada. For the duration of the 3rd quarter, Dr. Josep Rodes-Cabau and Dr. Reda Ibrahim properly performed the very first industrial TAVR procedures applying the Savvywire in Canada. The health-related groups at both hospitals ended up quite enthusiastic with the Savvywire’s operational final results and improved workflow. Outside the house of Canada, our 510(K) submissions with the Food and drug administration [Food and Drug Administration] for regulatory clearance in the U.S. and for CE [European Conformity] Mark acceptance in Europe are at the moment below evaluate for Savvywire. When we perform to secure regulatory clearance, we are investing to guidance thriving world wide business item start on approval.”

Sarugaser, who has managed his “Strong Buy” score and one-year selling price goal of $6.00, says OPS is created to weather conditions the existing headwinds.


As we see it, while macro headwinds continue to impact the med-tech sector, OPS’s imminent opportunity in TAVR (Food and drug administration clearance ~late 3Q22), merged with its rejuvenated—and insulated by ABMD—sales of its legacy optical health care solutions, all supported by its reasonably strong cash position of $28 mln (with Q/Q burn of ~ $2.5 mln) frame our view that OPS as really perfectly positioned relative to the broader med-tech universe,” he stated.

Sarugaser thinks Opsens will put up EBITDA of negative $8-million in fiscal 2022 on earnings of $35-million. He expects the corporation will crank out EBITDA of damaging $9-million on a topline of $43-million the adhering to calendar year.

The analyst’s target cost implied a return of 165 for each cent at the time of publication.