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Medtronic's (MDT) Nellcor Favored in Study Over Masimo's Oximetry
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Medtronic plc (MDT - Free Report) recently announced favourable outcome of an independent prospective observational study, which was published online in the Journal of Perinatology. This study compared the efficacy and reliability of Medtronic’s Nellcor Bedside SpO2 Patient Monitoring System and Masimo Corporation’s (MASI - Free Report) Radical-7 Pulse CO-Oximeter. Notably, both were set at the highest sensitivity with electrocardiography (“ECG”) monitoring, following the delivery of 60 term newborns by Caesarian section.
For investors’ note, pulse oximetry is a simple non-invasive bedside test that can accurately detect the percentage of blood saturated with oxygen and measure heart rate.
The study, which was conducted at a medical center in Israel, demonstrated that favorable results were obtained using Nellcor for all 60 newborns, while the same was obtained from 55 newborns using Masimo’s oximeter.
The latest favorable study on newborns is expected to advance Medtronic’s position in the field of patient monitoring, which forms a part of the company’s Minimally Invasive Therapies Group.
Significance of the Findings
The availability of a pulse oximeter for monitoring oxygenation and heart rate of newborns is crucial for decision making during resuscitation and stabilization. Per the authors of the study, this availability of the oximeter helps physicians to minimize the risk of either too low or too high blood oxygen levels and associated morbidity and mortality. Although both the devices provide relatively quick measurements of oxygen saturation and heart rate in most cases well before the so-called golden first minute of resuscitation, the results favor Nellcor.
Further, the heart rate detected by the Nellcor pulse oximetry monitor was in close correlation with that of the reference standard ECG, unlike Masimo’s device. Further, Nellcor did not record any false bradycardia (a slower than normal heart rate) and no reading which had a difference of more than 40 beats per minute (“BPM”) compared with the ECG.
Per management, a new-born's heart rate is a key factor regarding physicians’ decision for resuscitation and helps to identify not only those in need of intervention but also their response to treatment. Newborns not attaining a heart rate of 100 BPM by five minutes after birth are at a higher risk of death. Management is upbeat about the latest study findings which support its Nellcor pulse oximetry technology with respect to this criticality post birth.
Industry Prospects
Per a report by MarketsandMarkets, the global patient monitoring devices market is projected to reach $55.1 billion by 2025 from $36.4 billion in 2020 at a CAGR of 8.6%. Factors like technological advancements and pandemic-led demand surge for remote patient monitoring are likely to drive the market.
Given the market potential, the favorable study outcome is expected to significantly boost the business.
Recent Developments Across Medtronic’s Businesses
Of late, Medtronic has been witnessing a slew of developments across its businesses.
The company, this month, announced expansion of its limited site release of the recently acquired radial artery access portfolio from privately held RIST Neurovascular, Inc.
Medtronic, in January this year, received the FDA’s approval of the DiamondTemp Ablation system which treats patients with recurrent symptomatic paroxysmal atrial fibrillation and who have been unresponsive to drug therapy. Further in January, the company announced the first enrollment in ADAPT-PD (Adaptive DBS Algorithm for Personalized Therapy in Parkinson's Disease), its trial which evaluates the safety and efficacy of adaptive deep brain stimulation in patients with Parkinson's Disease.
Price Performance
Shares of the company have gained 0.8% in the past year compared with the industry’s 11.4% growth and the S&P 500’s 17.8% rise.
Zacks Rank & Key Picks
Currently, Medtronic carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Hologic, Inc. (HOLX - Free Report) and IDEXX Laboratories, Inc. (IDXX - Free Report) .
IDEXX’s long-term earnings growth rate is estimated at 15.8%. It currently carries a Zacks Rank #2 (Buy).
+1,500% Growth: One of 2021’s Most Exciting Investment Opportunities
In addition to the stocks you read about above, would you like to see Zacks’ top picks to capitalize on the Internet of Things (IoT)? It is one of the fastest-growing technologies in history, with an estimated 77 billion devices to be connected by 2025. That works out to 127 new devices per second.
Zacks has released a special report to help you capitalize on the Internet of Things’s exponential growth. It reveals 4 under-the-radar stocks that could be some of the most profitable holdings in your portfolio in 2021 and beyond.
Image: Bigstock
Medtronic's (MDT) Nellcor Favored in Study Over Masimo's Oximetry
Medtronic plc (MDT - Free Report) recently announced favourable outcome of an independent prospective observational study, which was published online in the Journal of Perinatology. This study compared the efficacy and reliability of Medtronic’s Nellcor Bedside SpO2 Patient Monitoring System and Masimo Corporation’s (MASI - Free Report) Radical-7 Pulse CO-Oximeter. Notably, both were set at the highest sensitivity with electrocardiography (“ECG”) monitoring, following the delivery of 60 term newborns by Caesarian section.
For investors’ note, pulse oximetry is a simple non-invasive bedside test that can accurately detect the percentage of blood saturated with oxygen and measure heart rate.
The study, which was conducted at a medical center in Israel, demonstrated that favorable results were obtained using Nellcor for all 60 newborns, while the same was obtained from 55 newborns using Masimo’s oximeter.
The latest favorable study on newborns is expected to advance Medtronic’s position in the field of patient monitoring, which forms a part of the company’s Minimally Invasive Therapies Group.
Significance of the Findings
The availability of a pulse oximeter for monitoring oxygenation and heart rate of newborns is crucial for decision making during resuscitation and stabilization. Per the authors of the study, this availability of the oximeter helps physicians to minimize the risk of either too low or too high blood oxygen levels and associated morbidity and mortality. Although both the devices provide relatively quick measurements of oxygen saturation and heart rate in most cases well before the so-called golden first minute of resuscitation, the results favor Nellcor.
Further, the heart rate detected by the Nellcor pulse oximetry monitor was in close correlation with that of the reference standard ECG, unlike Masimo’s device. Further, Nellcor did not record any false bradycardia (a slower than normal heart rate) and no reading which had a difference of more than 40 beats per minute (“BPM”) compared with the ECG.
Per management, a new-born's heart rate is a key factor regarding physicians’ decision for resuscitation and helps to identify not only those in need of intervention but also their response to treatment. Newborns not attaining a heart rate of 100 BPM by five minutes after birth are at a higher risk of death. Management is upbeat about the latest study findings which support its Nellcor pulse oximetry technology with respect to this criticality post birth.
Industry Prospects
Per a report by MarketsandMarkets, the global patient monitoring devices market is projected to reach $55.1 billion by 2025 from $36.4 billion in 2020 at a CAGR of 8.6%. Factors like technological advancements and pandemic-led demand surge for remote patient monitoring are likely to drive the market.
Given the market potential, the favorable study outcome is expected to significantly boost the business.
Recent Developments Across Medtronic’s Businesses
Of late, Medtronic has been witnessing a slew of developments across its businesses.
The company, this month, announced expansion of its limited site release of the recently acquired radial artery access portfolio from privately held RIST Neurovascular, Inc.
Medtronic, in January this year, received the FDA’s approval of the DiamondTemp Ablation system which treats patients with recurrent symptomatic paroxysmal atrial fibrillation and who have been unresponsive to drug therapy. Further in January, the company announced the first enrollment in ADAPT-PD (Adaptive DBS Algorithm for Personalized Therapy in Parkinson's Disease), its trial which evaluates the safety and efficacy of adaptive deep brain stimulation in patients with Parkinson's Disease.
Price Performance
Shares of the company have gained 0.8% in the past year compared with the industry’s 11.4% growth and the S&P 500’s 17.8% rise.
Zacks Rank & Key Picks
Currently, Medtronic carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Hologic, Inc. (HOLX - Free Report) and IDEXX Laboratories, Inc. (IDXX - Free Report) .
Hologic’s long-term earnings growth rate is estimated at 15.4%. The company presently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
IDEXX’s long-term earnings growth rate is estimated at 15.8%. It currently carries a Zacks Rank #2 (Buy).
+1,500% Growth: One of 2021’s Most Exciting Investment Opportunities
In addition to the stocks you read about above, would you like to see Zacks’ top picks to capitalize on the Internet of Things (IoT)? It is one of the fastest-growing technologies in history, with an estimated 77 billion devices to be connected by 2025. That works out to 127 new devices per second.
Zacks has released a special report to help you capitalize on the Internet of Things’s exponential growth. It reveals 4 under-the-radar stocks that could be some of the most profitable holdings in your portfolio in 2021 and beyond.
Click here to download this report FREE >>