ViewRay, Inc. (Nasdaq:VRAY)
ViewRay, Inc. (Nasdaq:VRAY) is designs, develops, and markets radiation therapy systems globally. Today VRAY shares are up over 25% on news that the company has received clearance from the FDA for one of their product lines – Mridian Linac systems. Trading in VRAY is heavy – over 40 times its daily average.
The first two MRIdian Linac systems in the United States are expected to be installed at Henry Ford Hospital in Detroit and Barnes-Jewish Hospital at Washington University in St. Louis. Cleveland, OH-based ViewRay Inc. (NASDAQ:VRAY) considers MRIdian Linac to be the next-generation linear accelerator-based MRI-guided radiation therapy system.
Benjamin Movsas, M.D., chairman of Radiation Oncology at the Henry Ford Cancer Institute in Michigan, stated in a press release “Radiation oncologists have long awaited the availability of a clinical system that integrates MR-imaging with linac radiation delivery, as this is a major breakthrough in improving the efficacy of radiation therapy for patients.”
With MRI-guided radiation therapy, we’re able to watch the movement of tumors and organs in the body as radiation is being delivered and adapt the dose of radiation in real-time, to help ensure the maximum dose reaches the tumor and that surrounding healthy tissue is spared,” said Sasa Mutic, Ph.D., director of Radiation Oncology Physics at Washington University School of Medicine. “This technology helps us treat tumors such those in the lung, liver and pancreas where increased precision is important due to nearby organs and other critical structures.”
In January, Puissance Capital Management led a $26.1 million (before expenses) private placement financing round that included common stock and warrants. Puissance Capital was joined by some of ViewRay’s existing investors, including OrbiMed Advisors, LLC and Kearny Venture Partners, and an additional new institutional investor, Acuta Capital Partners. ViewRay Inc. (NASDAQ:VRAY) sold approximately 8.6 million shares of common stock and warrants to purchase approximately 1.7 million shares of common stock.
ViewRay Inc. (NASDAQ:VRAY) has an impressive sales track record. In 2012 ViewRay reported sales of $1.9 million and in 2015 that number jumped to $10.4 million. EPS for shareholders has gone the other direction. A loss of $0.66 EPS has continued to widen and in 2015 the EPS loss was $1.18. Two firms follow ViewRay Inc. (NASDAQ:VRAY) and both rate VRAY shares as a “Strong Buy”.
|Last Price a/o 1:55 PM EST||$ 6.03|
|Market Cap (mlns)||$ 206.49|
|Shares Outstanding (mlns)||43.38|
|Share Float (mlns)||37.36|
|Short Interest Ratio||5.82|
I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.
About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20 year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.