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  "documentTitle": "Inogen, Inc. (INGN)",
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  "notes": "The slide argues that INGN is approaching revenue saturation based on unit sales projections and replacement cycles.",
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      "text": "Even after crediting INGN with a 10% increase in market share and ignoring the cannibalization of higher-margin DTC sales by increasing B2B sales, which management have admitted is going to occur, INGN is close to revenue saturation.",
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      "text": "ASP trend from 2013 to 9M2018",
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      "text": "Average Selling Price: $1,674",
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      "text": "Generously assuming that no secondhand market exists for a ~$2,200 piece of medical equipment — which it does — DTC retail customers are likely to purchase every two years.",
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      "text": "Even after crediting INGN with a 10% increase in market share and ignoring the cannibalization of higher-margin DTC sales by increasing B2B sales, INGN is close to revenue saturation.",
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      "text": "Our calculations below illustrate how INGN sales peak around total annual unit sales of approximately 231,000.",
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      "text": "POCs have a product life of around six years. This means that B2B customers will be purchasing far less frequently than those in the DTC channel.",
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      "text": "“Now having said that ...The retail market for POCs will be much smaller. It won't be zero. People will still pay money – some people will still pay money for a better product.” — Piper Jaffray Health Care Conference, 11/29/2018",
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      "text": "Source: INGN 2013-2017 10-K filings and Q3 2018 10-Q filing.",
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      "text": "36 Homecare providers with which we spoke stated their companies use the devices for seven to eight years. 37 \"Now having said that... The retail market for POCs will be much smaller. It won't be zero. People will still pay money - some people will still pay money for a better product.\" Piper Jaffray Health Care Conference, 11/29/2018 38 INGN Q3 2018 10-Q, p. 33.",
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