Company Overview - The company operates in one of the largest markets in healthcare, maintaining a highly differentiated technology that has not seen new advancements in several decades [2] - There is a lack of competitors in the market, providing a wide open runway for continued growth [2] Growth and Development - Since the 2020 IPO, the company's product, Tablo, is now utilized in over 900 locations, indicating significant growth [3]

Company Overview - The company operates in one of the largest markets in healthcare, maintaining a highly differentiated technology that has not seen new advancements in several decades [2] - The competitive landscape remains sparse, providing a wide open runway for continued growth [2] Growth and Development - Since the 2020 IPO, the usage of the company's product, Tablo, has expanded significantly, now being utilized in over 900 locations [3]

Core Insights - The health care sector is experiencing a trend of oversold stocks, presenting potential buying opportunities for undervalued companies [1] - The Relative Strength Index (RSI) is a key indicator used to identify oversold conditions, with a value below 30 indicating potential buying opportunities [1] Company Summaries - **Exact Sciences Corp (EXAS)**: Reported strong quarterly results with a focus on earlier detection. Despite positive performance, the stock fell approximately 21% over the past month, with an RSI of 22.9 and a closing price of $40.99 [8] - **Tandem Diabetes Care Inc (TNDM)**: Announced mixed second-quarter results and narrowed FY25 sales guidance below estimates. The stock declined around 27% in the last five days, with an RSI of 22.7 and a closing price of $11.23 [8] - **Outset Medical Inc (OM)**: Reported better-than-expected second-quarter results and raised FY25 sales guidance. The stock fell about 34% over the past month, with an RSI of 29.6 and a closing price of $12.80 [8]

Market Overview - The annual spending on U S ESRD (End-Stage Renal Disease) patients is $73 billion, with $41 billion paid by Medicare[13] - Dialysis for ESRD patients accounts for 7% of the entire Medicare budget, while comprising only 1% of the Medicare population[13] - There are 600,000 dialysis patients in the U S receiving 90 million annual dialysis treatments[15] - Outset estimates the U S TAM (Total Addressable Market) for Tablo at $11 4 billion, including $2 5 billion for the acute and post-acute market and $8 9 billion for the home market[35, 65] Tablo System Advantages - Tablo offers potential cost savings of 50% – 80% in dialysis treatment, with a potential payback period of less than 1 year[49] - Tablo reduces the cost of acute dialysis to approximately $300 per treatment[49] - Tablo requires less than 25 hours of training per patient, significantly less than historical devices that require 100 hours[72, 74] - Tablo eliminates dialysate prep time, unlike historical devices that require 16–24 hours of prep time per week[72, 74] Commercial Progress - Outset has trained >10,000 nurses and 1,000 physicians[59] - Outset has secured contracts with 10 of the 10 largest subacute providers and 8 of the 8 top national health systems[56, 58] - Outset has recurring revenue of >60%[85] Financial Position - Outset estimates a cash position of $210 million entering 2025[90] - Outset received $169 million in gross proceeds from a January 2025 equity financing[90]