Leading medical devices player, Medtronic (MDT - Analyst Report) has received clearance from both the US Food and Drug Administration (FDA) and the European CE Mark for its Pacific Plus percutaneous transluminal angioplasty (PTA) catheter.
Subsequent to these approvals, the company is moving ahead with the launch of its new peripheral balloon catheter in the U.S. as well as internationally. Medtronic considers this as a major step toward expanding its wide portfolio of lesion-specific solutions for the interventional treatment of peripheral artery disease.
Medtronic stated that the Pacific Plus PTA catheter is a versatile device used to treat narrowed arteries in several locations within the vasculature, including the renal, iliac, iliofemoral, femoral, popliteal and infrapopliteal arteries. Moreover, its hydrophilic coating improves crossability and fast deflation, shortening procedure time.
In addition, several shaft lengths provide a variety of solution for both straight and complex cases. The company also encouragingly noted that this new device is going to compliment Medtronic’s existing Pacific Xtreme PTA catheter.
Medtronic’s Cardiac and Vascular Group's products include pacemakers, implantable defibrillators, leads and delivery systems, ablation products, electrophysiology catheters, products for the treatment of atrial fibrillation, information systems for the management of patients with CRDM devices, coronary and peripheral stents and related delivery systems, therapies for uncontrolled hypertension, endovascular stent graft systems, heart valve replacement technologies, cardiac tissue ablation systems, open heart and coronary bypass grafting surgical products.
In the last reported quarter, Cardiac and Vascular Group’s net sales were $2.1 billion, an increase of 3% year over year. After several quarters of weakness, the company’s CRDM franchise showed signs of improvement. The company is enjoying market share gain on the back of the Resolute Integrity DES for the treatment of coronary artery disease. The quarterly results reflect positive momentum as the company looks to rebound after a string of dull quarters.
Further, the guidance for the ongoing fiscal boosts confidence. In addition, focus on portfolio expansion along with an objective to boost revenues from emerging markets is encouraging. However, looming headwinds such as soft economic condition, tough competition, segment pressure, and currency headwinds keep us on the sidelines.
Medtronic currently carries a Zacks Rank #3 (Hold). Other medical sector stocks that warrant a look are Conceptus Inc. , Haemonetics Inc. (HAE - Analyst Report) and Cyberonics Inc. (CYBX - Analyst Report). All the stocks carry a Zacks Rank #1 (Strong Buy).