Fat-Destroying Machine Doubted by Stock Traders - beauty device

The way Shimon Eckhouse sees his company's fat-
Busting technology gives him direct access to what he calls beauty.
Everyone is worried about being overweight, he said.
So when Syneron Medical Co. , Ltd.
Israeli company Eckhouse co-
Founded in 2000, the stock market failed to rebound after the United States. S.
He was surprised that ultrasound equipment was approved in April 14.
"I expect stocks to rise significantly," Syneron chairman Eckhouse said in a telephone interview on May 2 . ".
The business has "great potential," he said ".
Syneron fell 8.
$ 4% to $10.
This year has fallen by 17% since regulatory approval, part of the second decline
The US Israeli stock market is the worst performing Bloomberg. S.
Investors are skeptical about Eckhouse's plan to use this device called UltraShape, which, at the heart of what he says, will be a more profitable business model based on sharing the cost of a doctor's treatment.
Zach azeman, an analyst at Griffin Securities, said: "The company needs to prove that they can generate some disciplinary momentum that they did not do last year . "
Said by phone from New York.
Investors will bid higher if they see UltraShape driving sales growth, he said.
"That's why stocks are really going to be pushed. Revenue fell by 2.
Sales last year were $ 5%, compared to $0. 257 billion for rival Cynosure Inc.
According to Bloomberg data, companies that make lasers for medical and beauty treatments grew 47% to $0. 226 billion.
Zeltiq Aesthetics Inc.
The company produced a product that killed fat cells by lowering the temperature of fat cells, and since sales increased by 47% to $0. 112 billion, the company's stock value tripled in 2013.
According to Jeremy fiver, Syneron has a market capitalization of $0. 36 billion and missed the growth due to poor sales execution and investment in a home beauty equipment sector without unprofitable, LP, an analyst belonging to the company, is in New York.
Crosswood illith of Israel
The company at headquarters reported adjusted net income of $6.
In 2013, it was 83 million per cent, down 9% per cent from the previous year.
Eckhouse, the role of the chairman who returned to China on February after one month --
In November, a month as chief executive, the cost was reduced by stripping the home beauty equipment division to a joint venture in Unilever NV.
The move helped drive a record 42% increase in shares last year.
The shares are still down 15% from the $12 initial public offering price in 2004. They gained 0.
12: 5%. m.
From $10 today in New York. 18 yesterday.
Now that the Food and Drug Administration has approved the device, Syneron will start selling the ultrasound machine to a limited group of doctors in 2014 to test its revenue sharing model, eckhouse said.
The company plans to apply the model to other products in Syneron, including skin whitening, wrinkle treatment and hair care equipmentremoval.
UltraShape machine destroys fat cells without pain by heating fat cells with an ultrasound that penetrates 1. 5 centimeters (0. 6 inch)
According to the introduction of a company, under the skin.
Eckhouse said in a telephone interview with Shangri-La on April 24: "One of the Holy Grail of aesthetic therapy is that almost everyone thinks he is too fat. La, China.
"In our view, UltraShape is the best opportunity to develop this business model.
"The plan for Eckhouse to resume sales seems to convince analysts: according to data compiled by Bloomberg, four of the five stocks are equivalent to buying.
Syneron trades at 24.
Compared with the historical average of 31, this is four times its estimated income. 5 times.
The average multiple of the world's 50 medical equipment companies is 76.
2. according to the data compiled by Bloomberg.
"This is a cheap stock, and the valuation is not expensive," Leerink Swann analyst Richard neuter said in a phone interview with New York in April 24 . ".
"Expectations are generally low.
These people should work hard to accelerate sales growth and improve profit growth in the next few years.
The company's US business has almost doubled. S.
Eckhouse says sales have increased to 55 and plans to increase to 90 by the end of the year.
He said the company's revenue will not be affected by UltraShape sales until early 2015, as the company is still investing, including building a sales force this year.
Syneron is expected to announce revenueper-
According to an average estimate of four analysts tracked by Bloomberg, the share of the stock for the three months ended March 31 was about 4 cents.
By contrast, it was only 2 cents a year ago.
The company's sales will reach $55.
The forecast shows 5 million, down 9%.
The company's goal is to occupy as many as 30% of Africa on a global scale.
According to the report, in three years, sales in the invasive fat reduction market reached $0. 64 billion in 2013.
Feffer of Cantor Fitzgerald said that if Syneron can execute its sales plan, it should be able to catch up with competitors like Zeltiq and Cynosure.
"There are enough runways in this space for several players to use," he said . ".
"It will take several quarters for these new sales reps to improve.
Once they succeed, they will succeed.