New Mid-Year Top Pick
Encision, Inc. (ECIA)
From S.A. Advisory
Encision, Inc. is a medical device company that develops and markets innovative technology that provides surgical technology that prevents dangerous stray Electrosurgical burns in minimally invasive surgery.
Laparoscopic surgical burns kill 1-2 people every day and causes a serious complication every 90 minutes.
On May 29th, 2018 the FDA released safety concerns about Monopolar energy use that can directly result in unintended patient burns and potential death. Management believes that their AEM Technology is the only technical solution to this issue.
The Laparoscopic market is anticipated to grow to $14 billion by the year 2022. These medical procedures are so bullish for this company because it may very well have the only solution for the stray electric charges that are generated from these procedures.
This micro-cap is on the cutting edge of explosive growth and low-priced stock players should take this opportunity seriously.
For the year ending March 2018 revenue reached $8.75 million and earned .03/sh. According to management, this has been a turning point for the company. Encision has launched new products and has been profitable for the first time in its history. The company has a number of products in development and is looking to partnering on OEM opportunities and licensing.
The current book value is around .20, no long term debt, cash and line of credit available, $1.25 NOL/sh (great takeover value), trailing 12 PE around 11X, PSR .44, trading near 52-week low and profitable.
For the patient investor, the potential for huge upside exists. I have seen it before that small obscure opportunities explode and suddenly are trading at $3.00 vs .34! It is usually just a matter of time.
We rate ECIA with a Strong Buy rating with the potential of dramatic upside during the next 6-18 months. ECIA is fully reporting with the SEC.
William Velmer, S.A. Advisory, www.saadvisory.com, 949-922-9986, June 30, 2018