Ownership Submission
FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
MIDDLETON FRED A
   2. Issuer Name and Ticker or Trading Symbol
Stereotaxis, Inc. [STXS] 		5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
__X__ Director _____ 10% Owner
_____ Officer (give title below) _____ Other (specify below)
(Last)
(First)
(Middle)
400 SOUTH EL CAMINO REAL STE 1200		 3. Date of Earliest Transaction (Month/Day/Year)
09/27/2006
(Street)

SAN MATEO, CA 94402-1708		 4. If Amendment, Date Original Filed(Month/Day/Year)
 6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)		 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8)		 4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)		 5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)		 6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)		 7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 09/27/2006   X   480 A $ 7.81 480 I Sanderling II Limited Partnership
Common Stock 09/27/2006   F   358 (1) D $ 10.49 122 I Sanderling II Limited Partnership
Common Stock 09/27/2006   X   16,805 A $ 7.81 106,639 I Sanderling V Beteiligungs GmbH & Co. KG
Common Stock 09/27/2006   X   4,332 A $ 7.81 110,971 I Sanderling V Beteiligungs GmbH & Co. KG
Common Stock 09/27/2006   X   4,800 A $ 7.81 379,113 I Sanderling V Biomedical Co-Investment Fund, L.P.
Common Stock 09/27/2006   X   18,051 A $ 7.81 397,164 I Sanderling V Biomedical Co-Investment Fund, L.P.
Common Stock 09/27/2006   X   13,728 A $ 7.81 114,698 I Sanderling V Limited Partnership
Common Stock 09/27/2006   X   4,868 A $ 7.81 119,566 I Sanderling V Limited Partnership
Common Stock 09/27/2006   X   30,721 A $ 7.81 648,132 I Sanderling Venture Partners V Co-Investment Fund, L.P.
Common Stock 09/27/2006   X   29,774 A $ 7.81 677,906 I Sanderling Venture Partners V Co-Investment Fund, L.P.
Common Stock 09/27/2006   X   667 A $ 7.81 667 I Sanderling Ventures Management V
Common Stock 09/27/2006   X   575 A $ 7.81 1,242 I Sanderling Ventures Management V
Common Stock 09/27/2006   X   153,209 A $ 6.527 153,209 I Sanderling Venture Partners VI Co-Investment Fund
Common Stock 09/27/2006   J(2)   7,703 D $ 0 145,506 I Sanderling Venture Partners VI Co-Investment Fund
Common Stock 09/27/2006   J(2)   2,816 A $ 0 2,816 I Sanderling VI Beteilgungs GmbH & Co. KG
Common Stock 09/27/2006   J(2)   3,355 A $ 0 3,355 I Sanderling VI Limited Partnership
Common Stock 09/27/2006   J(2)   1,532 A $ 0 1,532 I Sanderling Ventures Management VI
Common Stock               149,586 D  
Common Stock               15,000 I Sanderling Mgmt. LLC 401K Pension Profit Sharing Plan
Common Stock               781,351 I Sanderling Venture Partners II, L.P.
Common Stock               301,745 I Sanderling Management Limited, FBO Sanderling Ventures Limited
Common Stock               532,758 I Sanderling IV Biomedical Co-Investment Fund, L.P.
Common Stock               224,515 I Sanderling Venture Partners IV Co-Investment Fund, L.P.

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)		 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code
(Instr. 8)		 5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)		 6. Date Exercisable and Expiration Date
(Month/Day/Year)		 7. Title and Amount of Underlying Securities
(Instr. 3 and 4)		 8. Price of Derivative Security
(Instr. 5)		 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)		 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)		 11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Series D-1 Common Stock Warrant $ 7.81 09/27/2006   X     480 11/21/2001 11/21/2006 Common Stock 480 $ 0 0 I Sanderling II Limited Partnership
Series D-1 Common Stock Warrant $ 7.81 09/27/2006   X     16,805 11/21/2001 11/21/2006 Common Stock 16,805 $ 0 0 I Sanderling V Beteiligungs GmbH & Co. KG
Series D-1 Common Stock Warrant $ 7.81 09/27/2006   X     4,800 11/21/2001 11/21/2006 Common Stock 4,800 $ 0 0 I Sanderling V Biomedical Co-Investment Fund, L.P.
Series D-1 Common Stock Warrant $ 7.81 09/27/2006   X     13,728 11/21/2001 11/21/2006 Common Stock 13,728 $ 0 0 I Sanderling V Limited Partnership
Series D-1 Common Stock Warrant $ 7.81 09/27/2006   X     30,721 11/21/2001 11/21/2006 Common Stock 30,721 $ 0 0 I Sanderling Venture Partners V Co-Investment Fund, L.P.
Series D-1 Common Stock Warrant $ 7.81 09/27/2006   X     667 11/21/2001 11/21/2006 Common Stock 667 $ 0 0 I Sanderling Ventures Management V
Series D-2 Common Stock Warrant $ 7.81 09/27/2006   X     4,332 12/17/2002 12/31/2007 Common Stock 4,332 $ 0 0 I Sanderling V Beteiligungs GmbH & Co. KG
Series D-2 Common Stock Warrant $ 7.81 09/27/2006   X     18,051 12/17/2002 12/31/2007 Common Stock 18,051 $ 0 0 I Sanderling V Biomedical Co-Investment Fund, L.P.
Series D-2 Common Stock Warrant $ 7.81 09/27/2006   X     4,868 12/17/2002 12/31/2007 Common Stock 4,868 $ 0 0 I Sanderling V Limited Partnership
Series D-2 Common Stock Warrant $ 7.81 09/27/2006   X     29,774 12/17/2002 12/31/2007 Common Stock 29,774 $ 0 0 I Sanderling Venture Partners V Co-Investment Fund, L.P.
Series D-2 Common Stock Warrant $ 7.81 09/27/2006   X     575 12/17/2002 12/31/2007 Common Stock 575 $ 0 0 I Sanderling Ventures Management V
Common Stock Warrant $ 6.527 09/27/2006   X     153,209   (3) 11/28/2010 Common Stock 153,209 $ 0 0 I Sanderling Venture Partners VI Co-Investment Fund, L.P.

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
MIDDLETON FRED A
400 SOUTH EL CAMINO REAL STE 1200
SAN MATEO, CA 94402-1708		   X      

Signatures

 /s/ Fred A. Middleton   09/29/2006
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) Payment of warrant exercise price by delivering securities.
(2) Immediately upon exercise of the common stock warrant representing 153,209 shares of common stock, 7,703 shares were transferred to related entities as described on this Form 4.
(3) Immediately.

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