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Medtronic (MDT) Unveils MiniMed Mio Advance Infusion Set
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Medtronic plc (MDT - Free Report) expanded its product portfolio with the introduction of MiniMed Mio Advance infusion set. The recent offering from the Diabetes business will be commercially available in Canada, Hong Kong and certain countries in Europe in fourth-quarter fiscal 2018. However, the company plans an extensive launch of the same in 2018.
Notably, the MiniMed Mio Advance infusion set witnessed a limited launch in some countries under the initial product introduction period during the third quarter of fiscal 2018. 85% of the 200 customers were satisfied with their experience with MiniMed Mio Advance infusion set during the limited launch period. The company is optimistic about the effectiveness of this system, which is expected to witness greater customer adoptability over time and drive the top line.
Progress in MiniMed Portfolio
Medtronic has been forging ahead with initiatives to boost the performance of its MiniMed portfolio. Recently, the company reported positive data from an at-home pediatric study on patients aged between seven and 13 years. The data is based on MiniMed 670G system and was demonstrated at the Advanced Technologies & Treatments for Diabetes’ 11th International Conference in Vienna, Austria.
Notably, Medtronic commercially launched the MiniMed 670G system in June 2017. It is a Hybrid Closed Loop insulin delivery system for Type I diabetic patients aged 14 years or older. The MiniMed 670G system features Medtronic’s latest Guardian Sensor 3, a glucose sensor with increased accuracy and enhanced performance.
Developments in Diabetes Business
Medtronic witnessed a 13% rise at constant exchange rate in revenues in the Diabetes business in third-quarter fiscal 2018. The company benefited from positive uptake of new sensor-augmented insulin pump systems in the United States as well as in the international markets along with enhanced production capacity for the same. Notably, Medtronic expects double-digit growth in the segment in fourth-quarter fiscal 2018, courtesy of consistent performance of MiniMed 670G system in the United States along with enhanced sensor supply capacity.
Additionally, Medtronic has been gearing up for the international launch of the MiniMed 670G and the U.S. launch of CGM system Guardian Connect with sugar IQ in late 2018 and its new professional CGM iPro 3 in 2019. In this regard, the company also announced favorable results supporting the use of CGM on patients with type 2 diabetes in October 2017.
Market Potential
An ageing population, unhealthy lifestyle and a rising awareness and expenditure in healthcare are likely to drive growth in the diabetes market. Per a report by Mordor Intelligence, the global market for diabetes care devices is projected to reach a value of $30.25 billion by 2021 at a CAGR of 5.93%. Considering the bullish market sentiments, we believe that the latest development has arrived at an opportune moment.
Price Movement
Medtronic has been underperforming the broader industry over the past three months. The stock has declined 3.4% versus the industry’s 2.7% rally. However, we believe that the introduction of MiniMed Mio Advance infusion set will help the company regain investors’ optimism.
Zacks Rank & Key Picks
Medtronic carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the broader medical sector are PerkinElmer , Bio-Rad Laboratories (BIO - Free Report) and Becton, Dickinson and Company (BDX - Free Report) .
PerkinElmer has a long-term expected earnings growth rate of 12.3%. The stock carries a Zacks Rank #2 (Buy).
Becton, Dickinson is a Zacks #2 Ranked player. The company has a long-term expected earnings growth rate of 13.3%.
Zacks Top 10 Stocks for 2018
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2018?
Last year's 2017 Zacks Top 10 Stocks portfolio produced double-digit winners, including FMC Corp. and VMware which racked up stellar gains of +67.9% and +61%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
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Medtronic (MDT) Unveils MiniMed Mio Advance Infusion Set
Medtronic plc (MDT - Free Report) expanded its product portfolio with the introduction of MiniMed Mio Advance infusion set. The recent offering from the Diabetes business will be commercially available in Canada, Hong Kong and certain countries in Europe in fourth-quarter fiscal 2018. However, the company plans an extensive launch of the same in 2018.
Notably, the MiniMed Mio Advance infusion set witnessed a limited launch in some countries under the initial product introduction period during the third quarter of fiscal 2018. 85% of the 200 customers were satisfied with their experience with MiniMed Mio Advance infusion set during the limited launch period. The company is optimistic about the effectiveness of this system, which is expected to witness greater customer adoptability over time and drive the top line.
Progress in MiniMed Portfolio
Medtronic has been forging ahead with initiatives to boost the performance of its MiniMed portfolio. Recently, the company reported positive data from an at-home pediatric study on patients aged between seven and 13 years. The data is based on MiniMed 670G system and was demonstrated at the Advanced Technologies & Treatments for Diabetes’ 11th International Conference in Vienna, Austria.
Notably, Medtronic commercially launched the MiniMed 670G system in June 2017. It is a Hybrid Closed Loop insulin delivery system for Type I diabetic patients aged 14 years or older. The MiniMed 670G system features Medtronic’s latest Guardian Sensor 3, a glucose sensor with increased accuracy and enhanced performance.
Developments in Diabetes Business
Medtronic witnessed a 13% rise at constant exchange rate in revenues in the Diabetes business in third-quarter fiscal 2018. The company benefited from positive uptake of new sensor-augmented insulin pump systems in the United States as well as in the international markets along with enhanced production capacity for the same. Notably, Medtronic expects double-digit growth in the segment in fourth-quarter fiscal 2018, courtesy of consistent performance of MiniMed 670G system in the United States along with enhanced sensor supply capacity.
Additionally, Medtronic has been gearing up for the international launch of the MiniMed 670G and the U.S. launch of CGM system Guardian Connect with sugar IQ in late 2018 and its new professional CGM iPro 3 in 2019. In this regard, the company also announced favorable results supporting the use of CGM on patients with type 2 diabetes in October 2017.
Market Potential
An ageing population, unhealthy lifestyle and a rising awareness and expenditure in healthcare are likely to drive growth in the diabetes market. Per a report by Mordor Intelligence, the global market for diabetes care devices is projected to reach a value of $30.25 billion by 2021 at a CAGR of 5.93%. Considering the bullish market sentiments, we believe that the latest development has arrived at an opportune moment.
Price Movement
Medtronic has been underperforming the broader industry over the past three months. The stock has declined 3.4% versus the industry’s 2.7% rally. However, we believe that the introduction of MiniMed Mio Advance infusion set will help the company regain investors’ optimism.
Zacks Rank & Key Picks
Medtronic carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the broader medical sector are PerkinElmer , Bio-Rad Laboratories (BIO - Free Report) and Becton, Dickinson and Company (BDX - Free Report) .
Bio-Rad Laboratories sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. The company has a long-term expected earnings growth rate of 25%.
PerkinElmer has a long-term expected earnings growth rate of 12.3%. The stock carries a Zacks Rank #2 (Buy).
Becton, Dickinson is a Zacks #2 Ranked player. The company has a long-term expected earnings growth rate of 13.3%.
Zacks Top 10 Stocks for 2018
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2018?
Last year's 2017 Zacks Top 10 Stocks portfolio produced double-digit winners, including FMC Corp. and VMware which racked up stellar gains of +67.9% and +61%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2018 today >>