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Smith+Nephew (SNN) Rolls Out Robotic Assisted Surgical System

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Smith+Nephew (SNN - Free Report) recently announced the launch of CORI handheld robotics -- an advanced system for both total and partial knee arthroplasties. The new robotic system enables surgeons to measure, plan, and perform a knee surgery customized to patients' individual anatomy in theater.

The new robotic-assisted surgical system is the first of the several launches in technology and software over the next five years. The launch demonstrates Smith+Nephew's commitment to enhance the surgical experience through digital and technological advancement across the patient pathway.

More on the Robotic Assisted Surgical System

The CORI handheld robotics system is a compact and complete mobile solution incorporating a 3-D intra-operative imaging system with an advanced robotic sculpting tool.

The new system is among the first technologies to keep the surgeon at the focus of the digital operating room. Surgeons can access the benefits of robotic surgery but still have full decision-making capability at each step of the operation.

The new system is significantly more compact than alternative robotic systems and has minimal setup time. The system is more portable and can be moved from theater to theater to optimize the flow of patients through surgical units.

Significance of the New Robotic Assisted Surgical System

It is worth mentioning that currently, more than 680,000 people are waiting for a hip or knee replacement. Many of those have waited well over a year, living with chronic pain. The benefits of robotics-assisted surgery for patients are numerous and include significantly improved patient-reported outcome measures and reduced length of hospital stay. With the new robotic-assisted surgical system, patients can return to an active lifestyle early.

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Per Smith+Nephew’s management, the CORI system enables each patient to have a knee replacement that is shape-matched and aligned to their specific anatomy. The new system also allows healthcare professionals to customize the operation as per patients' unique physiology.

Industry Prospects

Per a report by Grand View Research, the global surgical robots market size was valued at $2.30 billion in 2020 and is expected to register a CAGR of 21.6% by 2028. Growing adoption and acceptance of Minimally Invasive Surgeries (MIS) owing to benefits, such as shorter hospital stays, and the introduction of cost-effective & flexible surgical robots by new players are the factors driving the market.

Recent Developments

In November 2021, Smith+Nephew announced the creation of a digital surgery and robotics innovation centre in Munich, Germany. The new innovation centre will bring healthcare professionals from Europe, Middle East and Africa together with Smith+Nephew’s R&D and medical education teams to discover digital surgery and robotics techniques and technologies.

In the same month, Smith+Nephew announced the launch of its LEGION CONCELOC Cementless Total Knee System (TKS) and first completed surgical procedures. The launch of LEGION CONCELOC enables Smith+Nephew to enter a rapidly growing market in cementless knees.

Price Performance

Shares of the company have lost 11.5% in a year compared with the industry’s fall of 1.3%.

Zacks Rank and Key Picks

Smith+Nephew currently carries a Zacks Rank #4 (Sell).

A few better-ranked stocks from the broader medical space are Thermo Fisher Scientific Inc. (TMO - Free Report) , Laboratory Corporation of America Holdings, or LabCorp (LH - Free Report) and Medpace Holdings, Inc. (MEDP - Free Report) .

Thermo Fisher Scientific, carrying a Zacks Rank #2 (Buy), reported third-quarter 2021 adjusted earnings per share (EPS) of $5.76, which surpassed the Zacks Consensus Estimate by 23.3%. Revenues of $9.33 billion outpaced the Zacks Consensus Estimate by 12%.

Thermo Fisher has an estimated long-term growth rate of 14%. TMO surpassed estimates in the trailing four quarters, the average surprise being 9.02%.

LabCorp reported third-quarter 2021 adjusted EPS of $6.82, which surpassed the Zacks Consensus Estimate by 42.9%. Revenues of $4.06 billion outpaced the Zacks Consensus Estimate by 13.4%. LabCorp currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

LabCorp has an estimated long-term growth rate of 10.6%. LH surpassed estimates in the trailing four quarters, the average surprise being 25.7%.

Medpace reported third-quarter 2021 adjusted EPS of $1.29, surpassing the Zacks Consensus Estimate by 20.6%. Revenues of $295.57 million beat the Zacks Consensus Estimate by 1.2%. Medpace currently carries a Zacks Rank #1.

Medpace has an estimated long-term growth rate of 16.4%. MEDP surpassed estimates in the trailing four quarters, the average surprise being 11.9%.