Cramer Effect and Given Imaging
Written by: Aaron Katsman | July 31, 2007
By Aaron Katsman
IsraelNewsletter.com
Once again the Jim Cramer effect was proven with Given Imaging (GIVN). On the 22nd of June, the Booyah man had nothing but praise for the company and within a week Given’s stock had soared over 25%. Then as often happens when Cramer comes out bullish, the truck backs up all the way back to where he originally started from. He needs to keep it in drive and forget about reverse! In this case the low reached a few days ago was $1.12 higher than before he spoke.
With the stock down over 15% from it’s high of 3 weeks ago and earnings coming out tomorrow, suddenly Given looks appealing once more. As I have mentioned more than once, the company has started executing their business model, shown strong growth, and raised guidance for the rest of the year. Given Imaging has revolutionized the gastrointestinal diagnosis industry with the PillCam video capsule: a disposable, miniature video camera contained in a capsule, which is ingested by the patient and allows for the non-invasive visualization of the GI tract.
I wouldn’t be surprised if Given beats estimates and further raises guidance. If this happens the stock will soar and I am sure it will get an added boost as Cramer will revisit this on Mad Money, further moving the stock.
Please see our Disclaimer HERE.
Disclosure: Author’s fund is long GIVN as of 7/31/07.
Like what you see? Sign up to receive daily updates from IsraelNewsletter here
Aaron Katsman is the lead portfolio manager for the Israel Growth Portfolio and Managing Director of America Israel Investment Associates, LLC. For more information, go to www.israelnewsletter.com or call 1-888-327-6179, or email aaron@profile-financial.com.
Share with others:
