April 9 Shares of Glaukos Corp could
fall 30 percent in the next year, as years of success by the
medical device maker has attracted competition from larger
companies that threaten its market share, according to the April
10 edition of Barron's.
Glaukos shares have risen 150 percent to around $50 since
June 2015, trading at 300 times expected earnings and 10 times
forecast sales, the financial newspaper said.
The San Clemente, California-based company, which makes tiny
titanium stents called iStents used to treat the progressive eye
disease glaucoma, has had this market to itself in the United
But new rivals, including Novartis AG's Alcon unit
and Allergan Plc, are set to challenge its dominance and
put pressure on pricing, Barron's said.
Alcon, the world's largest eye care company, recently won
approval for a competing product, while Glaukos is unlikely to
have a new product on the market before the second half of next
year, Barron's said.
"Although Glaukos dominates the stent market in minimally
invasive glaucoma surgery, it is still a small company reliant
on just one product for the foreseeable future, as bigger rivals
emerge," the paper said. "That's a prescription for
disappointment, and a potentially steep stock price decline."
(Reporting by John McCrank in New York; Editing by Jonathan