Conceptus initiated with "market outperform" - update

12/21/06 - JMP Securities

LONDON, December 21 (newratings.com) - Analyst Anthony Ostrea of JMP Securities initiates coverage of Conceptus Inc (CPTS) with a "market outperform" rating. The target price is set to $26.

In a research note published yesterday, the analyst mentions that the company’s Essure business is likely to generate revenue growth of 61%, 55% and 44% in 2007, 2008 and 2009, respectively. Essure is expected to become a standard of care for permanent female sterilization, backed by 86,000 women sterilizations, healthy reimbursement and improved efficacy over tubals, the analyst says. Conceptus’ share price may come under pressure, if the company reaffirms the consensus expectations for 2007, JMP Securities adds.