Abbott’s ( ABT Quick Quote ABT - Free Report) structural heart line has received a major boost with the latest European regulatory approval for the company’s next-generation TriClip device. Per the company release, this first-of-its-kind minimally invasive transcatheter tricuspid valve repair system called TriClip G4 received CE mark to treat tricuspid regurgitation (TR).
TriClip’s earlier generation received the first CE mark in April 2020 for the treatment of severe, symptomatic TR. The latest version is a safe and durable treatment option for high-risk patients with symptomatic moderate or greater TR. Per the company’s TRILUMINATE CE Mark study, the latest version shows sustained symptomatic improvement, reduction in the severity of TR and improvement in functional status.
More on TR and TriClip G4
TR is a condition when the valve doesn't close properly. This induces the blood to flow backward into the heart forcing the heart to work harder than normal to facilitate sufficient blood movement. In severe cases, this condition can potentially cause heart failure if left untreated.
TriClip G4 is a non-surgical heart valve repair system designed particularly to treat TR, or a leaky tricuspid valve. It allows tailor repair of the valve according to each patient's unique anatomy. Abbott’s TriClip technology is based on MitraClip technology (a minimally invasive option to repair leaky mitral valves or mitral regurgitation).
According to Abbott, this tricuspid valve has three leaflets that control the flow of blood between right ventricle and right atrium. If not closed properly, this can lead to regurgitation (blood flowing in the reverse direction). The condition becomes more severe among older individuals who already have multiple co-morbidities. This increases the risk of open-heart surgery resulting in many people going untreated. Again if TR is left untreated, it can lead to debilitating conditions such as atrial fibrillation, heart failure and, ultimately, death.
a Medgadget report, the tricuspid valve repair market is estimated to witness a CAGR of 10% between 2019 and 2029.
According to Abbott, tricuspid valve is also known as forgotten valve because of its limited treatment options. Accordingly, TR is considered to be the most undertreated valve issue indicating huge untapped market. The latest regulatory approval accordingly seems to be strategic and is expected to earn the company huge market demand internationally. Notably , TriClip G4 also received Health Canada approval recently.
Recent Developments Within Structural Heart
In the fourth quarter of 2020, as a major development within this business, the U.S., Medicare expanded reimbursement coverage for MitraClip. This significantly expanded the eligible patient population that can benefit from this life-changing technology. Further, the company received CE Mark for Tendyne, a first of its kind, minimally invasive device to replace a faulty mitral.
Abbott now offers minimally invasive device therapies for three valves in the heart; the Aortic, the Mitral and the Tricuspid valves. The company’s market opportunity with TriClip is going to be huge although not as large as mitral (it will be 30% to 35% the size of the mitral market).
Shares of the company have surged 40.8% in a year’s time compared with the
industry’s growth of 23.2%. Zacks Rank and Key Picks
Currently, Abbott carries a Zacks Rank #3 (Hold).
A few better-ranked stocks from the broader medical space include
Asensus Surgical, Inc. ( ASXC Quick Quote ASXC - Free Report) , Cantel Medical Corp. ( CMD Quick Quote CMD - Free Report) and ConforMIS, Inc. ( CFMS Quick Quote CFMS - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Asensus Surgical has a projected long-term earnings growth rate of 71%.
Cantel Medical has a projected long-term earnings growth rate of 19%.
ConforMIS has a projected long-term earnings growth rate of 42%.
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