Abbott Laboratories (ABT - Free Report) received a major boost when the FDA approved its bioresorbable heart stent, Absorb, for the treatment of coronary artery disease in the U.S.
Approximately 15 million people in the U.S. are affected by coronary artery disease, which is a leading cause of death worldwide. Traditional stents are usually made of metal, while Abbott Labs’ Absorb is made of a naturally dissolving material, similar to dissolving sutures. This allows Absorb to disappear completely in approximately three years, having kept a clogged artery open and promoting healing of the treated artery segment. On the other hand, metal stents are permanent implants that restrict vessel motion throughout the rest of the patient’s life. As per the company press release, Absorb is the only fully dissolving stent approved for the treatment of coronary artery disease.
Naturally, an approval for Absorb offers a significant market opportunity to Abbot Labs and also indicates significant progress in the treatment of coronary artery disease.
We note that the Absorb bioresorbable stent had shown comparable short- and mid-term outcomes to Abbott Labs’ metallic drug eluting stent, Xience.
The latest approval will strengthen Abbott Labs’ vascular division, which recorded only modest growth in the first quarter of 2016. The stent is already approved in Europe. Abbott Labs is making consistent efforts to boost its Medical Devices business. This April, the company entered into a definitive agreement to acquire St. Jude Medical Inc. , a premier medical device company with a leading position in heart failure devices, atrial fibrillation and cardiac rhythm management. The acquisition will bolster Abbott’s share in the cardiovascular device market and position the company to compete in nearly every segment of a market that has an aggregate opportunity of $30 billion.
Abbott Laboratories currently carries a Zacks Rank #2 (Buy). A couple of other favorably placed stocks in the healthcare sector include Pfizer Inc. (PFE - Free Report) and Johnson & Johnson (JNJ - Free Report) . Both the stocks carry the same rank as Abbott Labs.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Abbott Laboratories (ABT - Free Report) received a major boost when the FDA approved its bioresorbable heart stent, Absorb, for the treatment of coronary artery disease in the U.S.
Approximately 15 million people in the U.S. are affected by coronary artery disease, which is a leading cause of death worldwide. Traditional stents are usually made of metal, while Abbott Labs’ Absorb is made of a naturally dissolving material, similar to dissolving sutures. This allows Absorb to disappear completely in approximately three years, having kept a clogged artery open and promoting healing of the treated artery segment. On the other hand, metal stents are permanent implants that restrict vessel motion throughout the rest of the patient’s life. As per the company press release, Absorb is the only fully dissolving stent approved for the treatment of coronary artery disease.
Naturally, an approval for Absorb offers a significant market opportunity to Abbot Labs and also indicates significant progress in the treatment of coronary artery disease.
We note that the Absorb bioresorbable stent had shown comparable short- and mid-term outcomes to Abbott Labs’ metallic drug eluting stent, Xience.
The latest approval will strengthen Abbott Labs’ vascular division, which recorded only modest growth in the first quarter of 2016. The stent is already approved in Europe. Abbott Labs is making consistent efforts to boost its Medical Devices business. This April, the company entered into a definitive agreement to acquire St. Jude Medical Inc. , a premier medical device company with a leading position in heart failure devices, atrial fibrillation and cardiac rhythm management. The acquisition will bolster Abbott’s share in the cardiovascular device market and position the company to compete in nearly every segment of a market that has an aggregate opportunity of $30 billion.
Abbott Laboratories currently carries a Zacks Rank #2 (Buy). A couple of other favorably placed stocks in the healthcare sector include Pfizer Inc. (PFE - Free Report) and Johnson & Johnson (JNJ - Free Report) . Both the stocks carry the same rank as Abbott Labs.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on ABT - FREE
Get the latest research report on JNJ - FREE
Get the latest research report on PFE - FREE