Syneron and Palomar Medical, too cheap to ignore.

Syneron Medical(ELOS) and Palomar Medical (PMTI) are two stocks in the laser market aimed to help baby boomers look better. It's in a growth market but the p/e ratios are really low. Currently ELOS sells at 11 times earnings and PMTI sells at 9 times earnings. When the economy picks up, they should sell for at least 20 times earnings. Both are debt free, has free cash flow, high ROE, and cash reserves over $100 million. And both have a catalyst. A home use laser product being developed with partner Proctor and Gamble. The risk/reward odds are definitely in our favor.

I especially like Syneron Medical because of investing guru, Seth Klarman, who owns 2.3 million shares and bought it around $23. My margin of safety is at it's current price of $14.64. It also announced a $50 million buyback (10% of the shares).

Syneron is an Israel based company that designs, develops and markets aesthetic medical products based on its proprietary ELOS technology. Their product, VelaSmooth, is the first medical device cleared by the FDA for the treatment of cellulite.

Who likes pain such as plastic surgery or liposuction when you can go for non-surgical, no downtime treatments.

P&G to help smooth Syneron Customers

Best Small Cap for 2007

Hasn't been the best stock for 2007, but maybe 2008. Here is some media exposure to their products.












Carnie Wilson - ReFirme Skin Tightening

Remember to always buy in small increments and wide scales.