Special Situation Report: SGN
Signalife, Inc. (Amex: SGN) appears to be primed for another run.The stock gained more than 86% just two weeks ago, moving from a recent low of $.35 on 6/2 to a high print of $.65 on 6/6 and appears to be set to move higher yet again.
Shares continue to bounce off their low print of $.37 on 6/10 and now hover in the $.50 range on increasingly higher volume.
In a testament the stock's ability to generate some big time gains, SGN advanced more than 100% from a low of $.58 on 3/12 to a daily high of $1.24 on 3/25.
About two weeks later, shares surged to $1.50 on all-time record high volume of 3,752,062. So, clearly SGN is one to watch as volume increases for the third consecutive day and share price continues to inch higher.
Gone are the days of the "guess-a-thon" treadmill ECG system that leverages sometimes distorted raw data to return vital diagnosis. SGN has developed a revolutionary FDA recommended ECG (electrocardiography) monitoring system that is proven to produce a more accurate recording than other systems on the market today.
Many experts predict that the system will soon become the standard process for noninvasive detection of the presence of heart disease, the classification and characterization of disease, and the monitoring of cardiac function to assess change in cardiac state or effect of therapy. Despite extremely limited sales to date, many highly-regarded medical authorities are firmly behind the product and expect it to thrive in years to come.
From what I understand, over time, the ECG market experienced an unfortunate shift in focus from data integrity towards the fast processing and display of data. If the baseline data is flawed, the most complex processing in the world is useless. The worst part is, useless data in this situation could potentially cause a man with massive heart problems to mistakenly partake in a deadly game of pick up basketball after receiving a clean bill of health from his doctor.
By developing a system that captures data as efficiently as possible through new and unique methods, SGN appears to have a significant competitive advantage in the ECG marketplace. Whether or not this will translate into future sales and market share for SGN remains to be seen. However, for the time being, there certainly appears to be some potential money to be made in trading its stock.
According to a recent article in Executive Healthcare Magazine, "The disastrous result is that currently more emphasis is being put on less accurate data in the world of ECGs. The vast majority of healthcare intuitions have inaccurate data being fed into inpatient telemetry systems. Systems used for Heart trend reporting e,g. ST segments and other waveform data that are connected to ST and other alarms parameters, and often integrated with hemodynamic and other monitoring equipment."
By avoiding filters, computer averaging, or any other data masking processes, SGN's systems capture the most accurate data possible and in turn drastically reduce patient risk. This is what makes the system so attractive to medical professionals worldwide.
I'll be watching closely here over the next few trading sessions as daily volume continues to trend upwards. If the stock's past performance is any indicator of its future movement, which we think it is, we could beginning to see some strong upwards momentum in the stock over the near-term.
Labels: ECG, Inc. AMEX: SGN, SGN, Signalife
posted by "Staff" at
4:51 PM
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