Is it ironic that Boston Scientific Corporation (NYSE: BSX) has another round of awful news out on one of its key products on the Ides of March? It gets harder and harder to imagine that this company is ever going to be able to manage a proper turnaround.
The troubled medical device maker announced today that it has stopped shipments and is now in the process of recalling (retrieving) field inventory of all of the company’s implantable cardioverter defibrillators and cardiac resynchronization therapy defibrillators after it has determined that some manufacturing process changes were not submitted for approval to the FDA.
Boston Scientific identified two instances of changes which were successfully validated but were not submitted to the FDA. It further plans to work with the FDA to resolve the situation as soon as possible and said that it has no indications that the manufacturing process changes pose any significant risks and is not recommending explantation or removal of the devices.
This one was active in pre-market trading but after 65 minutes since the open, we have a total of 89 million shares and a price drop of 12.7% at $6.79. The 52-week range is $6.33 to $11.77 and the average volume is ‘only’ 21 million shares.
4X-volume in an hour…. Be advised that this $6.33 low that is listed was put in this morning. We would note that the low close last year was $6.14 and the intraday low was $6.08 hit on two days. Today’s 52-week low would not be a low if you made it a 53-week low.
JON C. OGG
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