In an attempt to exhibit the benefits of 3D mammography (breast tomosynthesis) over conventional 2D mammography, Hologic Inc. (HOLX - Analyst Report) has planned to carry its 3D mammography in a new mobile mammography coach for a 12 month trip. Accordingly, this leading provider of healthcare products for women formed an alliance with healthcare specialty vehicles provider Armor Mobile.
As per the plan, this mobile coach will traverse the U.S. in the next one year. With this new approach, the company plans to show how the combination of 2D and 3D in breast cancer screening helps improve early detection, reduces false positives and unnecessary call backs by 40% compared to 2D mammography.
We note that unlike a 2D mammogram screening that involves a single X-ray image of the breast, 3D mammography captures multiple, low-dose images from various angles around the breast. The images are then used to produce a 3D digital reconstruction of the breast.
Hologic is also scheduled to exhibit some of its newest offerings at the annual meeting of the European Society of Radiology, during Mar 7–11, in Vienna, Austria. The European Congress of Radiology (“ECR”), the largest radiological meeting in Europe, offers the ideal platform for the company to showcase its products.
Hologic will display its extensive suite of healthcare solutions for the screening and diagnosis of breast cancer, breast biopsy, osteoporosis risk assessment, medical MRI coils and extremity imaging. Management is enthusiastic about its breast tomosynthesis program including the introduction of a tomosynthesis biopsy option for the company’s Affirm breast biopsy guidance system. Hologic will also conduct education sessions and training workshops for tomosynthesis-guided breast biopsy.
Moreover, Hologic is set to display two new products at ECR, namely Selenia Dimensions Avia Package and Flouroscan InSight-FD Mini C-arm. While the Avia Package provides cost effective 2D screening and diagnostic solutions, the Mini C-arm will meet the needs of orthopedic and extremity surgeons by improving workspace access and ease of positioning.
We note that expectations from the breast tomosynthesis technology are sky-high. However, over the past few quarters, Hologic witnessed several challenges in the form of economic uncertainties in Europe, slower sales cycles and increasing pricing pressure.
In the light of these facts, the estimates for the ongoing fiscal have remained stagnant over the last 90 days. Accordingly, the stock carries a Zacks Rank #3 (Hold). While we remain on the sidelines for Hologic, other medical stocks such as Cyberonics , Given Imaging and Medical Action , each carrying a Zacks Rank #1 (Strong Buy) are expected to do well.