EXAS; real promise or too good to be true?

I'm a firm believer that the best investments come from companies with things that change our lives.  In that context, often times I think of the iphone or the keurig coffee maker, but of course it's not limited to that.

Exact Sciences has come up with a way to detect colon cancer without the major turn-off that is a colonolscopy.  They simply screen the DNA in your stool with an efficacy rate of cancer detection in the same ballpark as doctors performing those dreaded procedures.  We must note that the detection is much lower for pre-cancerous polyps, which could be a deal breaker.  However, isn't is safe to assume this technology will improve dramatically over time?

How does this change things?  Well roughly half of the folks who should regularly screen for colon cancer don't.  If this was another quick part of one's physical, it's easy to see why more folks would do it.

At this point it seems clear it will recieve FDA approval, but how will it be received by the insurers and payment plans?  It certainly appears like it will save everybody money and lives at the same time.

Looking at the chart we can see it's just now taking out all time highs from the early 2000's.  Another major positive is the volume expansion that continues from 2010.

Charts can act very funny in biotech because so much depends on the FDA, but if this is for real there's little reason to think it can't triple and then some over the next couple of years.

Disclosure:  I'm long

Trade 'em well!