) as sector outperform.
Analyst John Calcagnini says a FDA panel approved, with conditions, Inamed's silicone gel breast implants for augmentation and reconstruction. He says the FDA generally follows the advice of panels, and usually moves to final approval three months later. Calcagnini is keeping his $2.67 2003 earnings per share estimate and $3.21 2004 estimate, but thinks Inamed could, incrementally, take $50 million to $100 million in U.S. breast augmentations sales from Mentor, which he rates as sector underperform.
Calcagnini says he wouldn't be surprised to see the Street raise its 2004 earnings targets on Inamed. He says he'll revise his model following third-quarter results and the company's guidance on the expected timing of FDA approval. Currently, Calcagnini has a $80 price target.