Two concerns for investors in Cytori Therapeutics (CYTX) have been the intellectual property (IP) and the cash position. We believe both are solid, and should not prohibit investment in the name at the current stock price.

Intellectual property has been a concern for investors ever since the summer of 2008 when the U.S. District Court in California removed The University of California from USPTO # 6,777,231, a patient licensed from Cal to Cytori which covers isolated adipose-derived stem cells. However, since that time, management has vigorously worked to protect its ability to isolate adipose-derived stem cells and sell the Celution System. And despite the loss of the '231 patent at Cal, Cytori has half a dozen other active patents protecting the Celution System, which includes 5 different device components or reagents.

In June 2008, Cytori received Notification of Issuance from the United States Patent & Trademark Office for

...

This is clearly an exciting time for Cytori Therapeutics (CYTX), as the company has begun to record product sales revenues from early-adopter Celution System placements in Europe and Asia.Additionally, sales of StemSource cell banking are also now beginning to ramp. Ultimately, the clinical data will determine the pace at which the ramp continues in the next several years.We have been encouraged by the small clinical data seen so far using Cytori's technology. We think the company is in store to report a solid 4th quarter, and the Street has yet to take notice of the upside that exists over the next few years.Today's price represents a very attractive entry point, in our view. We are maintaining our Buy rating. Read the full analyst report on "CYTX"Zacks Investment Research

Biotech companies are a great investment right now, says Laura Cadden. And support from the Obama administration will ensure this trend continues. Laura picks four small cap biotech firms set to soar.

This from Today’s Financial News:

We’ve already taken double-digit gains on Aastrom Biosciences, Inc. (NASDAQ:ASTM),  Cerus Corporation (NASDAQ:CERS), and Geron Corporation (NASDAQ:GERN).

But these stocks are by no means done with their upward momentum.

Biotech companies continue to be a great investment – and these three are some of the best out there.

As the market takes another hit and these stocks artificially deflate, I recommend that TFN investors should again pick up shares.

And I’ve found another company that I believe is on the verge of a breakout.

But first, what’s so great about the three companies I selected in November? Let’s review… Aastrom Biosciences, Inc. (NASDAQ:ASTM) develops products for the repair or regeneration of human tissue. It’s

...