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Medical device major Medtronic plc’s (MDT - Free Report) Brain Therapies division is expected to get a boost from the recent U.S. FDA approval for its StealthStation Cranial Software. The software has been integrated into Medtronic`s latest O-arm Imaging System to provide support to deep brain stimulation (DBS) lead placement.

For the last 25 years, the StealthStation system has been used in more than 2.25 million procedures. In Medtronic`s DBS therapy, a small pacemaker-like neurostimulator is placed under the chest’s skin. The electronic signals or stimulations are delivered through thin wires or leads that are implanted in the brain linked to the neurostimulator. This allows the signals to reach the affected area. The latest StealthStation application using O-arm imaging technology helps surgeons improve procedural workflow and enable DBS lead placement accurately.

Medtronic claims that StealthStation Cranial Software works immaculately with O-arm, providing the necessary information for pre-operative planning and real-time 3D imaging of the brain for DBS lead placement.

Taking the bountiful prospects in the neurosurgery market into consideration, we are highly optimistic about the latest FDA go-ahead. As per a Medgadget’s report, the global neurosurgery market is expected to grow at a CAGR of 11.71% over the period 2014-2019.

Meanwhile, of late, Medtronic has been focusing on driving innovation in Deep Brain Simulation and surgical technologies by introducing fully-integrated procedural solution for neurosurgery.

This August, the company gained a CE mark for its SureTune 2 software for DBS therapy. Through this one, physicians are offered patient-specific visualizations to choose the appropriate settings for stimulation. Medtronic is also trying to fulfill its commitment to come up with better treatment solutions for DBS patients. In the month of June, Medtronic received the FDA’s Investigational Device Exemption (IDE) for the SLATE (Stereotactic Laser Ablation for Temporal Lobe Epilepsy) trial which would evaluate the company’s Visualase MRI-Guided Laser Ablation technology – designed to perform minimally invasive neurosurgery.

Zacks Rank & Key Picks

Medtronic currently has a Zacks Rank #3 (Hold). Better-ranked stocks in the medical product sector are GW Pharmaceuticals plc (GWPH - Free Report) , Quidel Corp. (QDEL - Free Report) and NuVasive, Inc. (NUVA - Free Report) . GW Pharmaceuticals and Quidel sport a Zacks Rank #1 (Strong Buy) while NuVasive carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

GW Pharmaceuticals: The company gained 81.54% year to date, far better than the S&P 500’s 5% gain over the same period.

Quidel: This stock gained 15.35% in the past one year, higher than the S&P 500’s gain of 14.05%. Over the next five years, the stock is estimated to record earnings growth rate of 20%, higher than the industry average of 14.8%.

NuVasive:  The stock gained 39.47% over the past one year compared to the S&P 500’s gain of 14.05%. Over the next five years, the stock is expected to see 16.7% earnings growth rate compared to the industry average of 14.8%.

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