Novadaq Technologies Inc. (NASDAQ: NVDQ)
Novadaq Technologies Inc. (NVDQ), a global company that markets fluorescence imaging products for use by surgeons yesterday reported their preliminary fourth quarter 2016 financial results. Novadaq reported fourth quarter revenues of $20.2 million which was a 1% increase on same quarter last year. Novadaq reported full year revenues of $80.2 million which was an increase of 26% over last year.
Novadaq Technologies Inc. CEO’s Comments
“Our fourth quarter revenue results and preliminary guidance for 2017 reflect strong demand for usage of SPY Technology as well as the shift in our strategic direction toward greater emphasis on procedure expansion and recurring revenue. We believe this evolution of our business model will provide greater sales leverage, broader market accessibility and enhanced revenue visibility,” said Rick Mangat, NOVADAQ’s President and Chief Executive Officer. “We are encouraged by the traction we are gaining with hospitals and other surgical centers as recurring revenues continue to contribute increasingly to total revenue.”
Mr. Mangat continued, “The financing announced today strengthens our balance sheet and ensures adequate capital is available to support our growth initiatives and working capital needs.” Globe Newswire
NVDQ Technical Analysis
NVDQ opened trading yesterday at $7.45 which was down from the previous day’s trading close of $7.46. NVDQ closed trading yesterday at $7.65 and crashed down after market to $6.40, equivalent to a 16% decrease from the closing price. Taking a look at the daily chart we can see that the last time NVDQ traded below these levels we have to go back to June 17th, 2012 when it traded at $6.15.
Taking a closer look at the daily chart we can see that before the spike down NVDQ had already been in an overall downward trend dating back to September 6th when it traded at $12.58. NVDQ has a float of 47.72 million shares and traded below the normal daily trading volume on Tuesday. For trading purposes, I would like to see NVDQ open trading on Wednesday below $6.80 and if it does I would be looking to take a short position at the bell. My stop loss would be $0.15 from my entry position fearing anything more than that and the stock would start to fill in the gap down.
Novadaq Technologies Inc. develops, manufactures, and markets fluorescence imaging products for use by surgeons in the operating room and other clinical settings in the United States and internationally. Its proprietary imaging platform is used to visualize blood vessels, nerves, and the lymphatic system during surgical procedures. The company offers SPY Elite imaging system for use in coronary artery bypass, cardiovascular, plastic, reconstructive, micro, organ transplant, and gastrointestinal surgeries; and PINPOINT endoscopic fluorescence imaging system, high-definition white-light video with SPY fluorescence imaging. It also provides Firefly systems for use in robotic surgery; LUNA fluorescence angiography that enables clinicians to visually assess tissue perfusion in various cardiovascular procedures; CO2 heart laser system for transmyocardial revascularization; and DermACELL tissue products for use in breast reconstruction surgeries, as well as in the treatment of diabetic foot, venous stasis ulcers, and chronic non-healing wounds. In addition, the company markets SPY Analysis Toolkit, a post-processing software that allows physicians to enhance and apply objective analysis tools to SPY Elite and LUNA images. Novadaq Technologies Inc. was founded in 2000 and is headquartered in Mississauga, Canada. Yahoo Finance