My Favorate Stock

Stock name: ADVANCED NEUROMODULATION SYSTEMS INC.

Stock symbol: AISI.O

SECTOR: Healthcare

INDUSTRY: Medical Equipment & Supplies

Overview

Advanced Neuromodulation Systems, Inc. (ANSI), designs, develops, manufactures and markets advanced implantable neuromodulation devices that improve the quality of life for people suffering from chronic pain. Neuromodulation devices include implantable neurostimulation devices, which deliver electric current directly to targeted nerves, and implantable drug pumps, which deliver small, precisely controlled doses of drugs directly to targeted sites within the body.

GROWTH RATES

1 Year 3 Years 5 Years

Sales % 32.57 47.12 27.54

EPS % 33.80 103.45 15.06

Dividend % NM NM NM

REVENUE

Quarters 2001 2002 2003 2004

MAR 8,341 11,473 19,671 26,633

JUN 9,205 13,423 22,324 30,488

SEP 9,900 14,328 23,419 31,330

DEC 10,470 18,148 25,668 32,293

Totals 37,916 57,372 91,082 120,744

Note: Units in Thousands of U.S. Dollars

EARNINGS PER SHARE

Quarters 2001 2002 2003 2004

MAR 0.000 0.053 0.133 0.190

JUN 0.027 0.090 0.140 0.210

SEP 0.033 0.100 0.190 0.230

DEC 0.047 0.127 0.180 0.240

Totals 0.107 0.370 0.643 0.870

Note: Units in U.S. Dollars

Quick Financial Synopsis

Advanced Neuromodulation Systems designs, develops, manufactures and markets implantable neuromodulation for chronic back pain or nervous system disorders. For the FY ended 12/31/04, revenues rose 33% to $120.7M. Net income rose 37% to $18.2M. Revenues reflect increased unit sales from Neuro Products and O.E.M. business segments. Net income also reflects increased operating margin as well as increased investment income.

Actual revenue and EPS for the latest fiscal year

Actual revenue: $US 120.7 millions

Recent share price and date

$US 27.23

March 29, 2005

Month of the companyЎЇs fiscal year end

December

Indicate annual dividend per share

0.00

Valuation

Valuation Ratios

RATIO COMPARISON

Valuation Ratios Company Industry Sector S&P 500

P/E Ratio (TTM) 32.54 33.55 28.97 21.43

P/E High - Last 5 Yrs. NM 60.54 50.30 42.31

P/E Low - Last 5 Yrs. 20.88 22.65 19.88 15.75

Price to Sales (TTM) 4.89 4.94 5.21 2.87

Price to Book (MRQ) 2.55 5.53 4.99 3.92

Price to Tangible Book (MRQ) 3.04 13.94 11.83 7.15

Price to Cash Flow (TTM) 23.55 24.93 21.91 14.76

Price to Free Cash Flow (TTM) 367.76 32.72 30.18 25.30

% Owned Institutions 95.00 28.56 47.26 65.58

Dividends

Dividends Company Industry Sector S&P 500

Dividend Yield NA 0.79 2.17 2.12

Dividend Yield - 5 Year Avg. 0.00 0.45 1.04 1.58

Dividend 5 Year Growth Rate NM 10.54 11.37 9.06

Payout Ratio (TTM) 0.00 15.02 29.38 29.26

Growth Rates

Growth Rates (%) Company Industry Sector S&P 500

Sales (MRQ) vs. Qtr. 1 Yr. Ago 25.81 19.33 15.07 17.60

Sales (TTM) vs TTM 1 Yr. Ago 32.57 22.67 16.33 15.81

Sales - 5 Yr. Growth Rate 27.54 15.88 16.01 9.76

EPS