Global medical device company, St. Jude Medical, Inc. (STJ - Analyst Report) , announced that it has received the FDA approval for BurstDR stimulation. It is a physician-designed form of spinal cord stimulation (SCS), clinically proven to provide better results in patients with chronic pain over the traditional SCS therapy. With this FDA approval, we feel the company will gain a stronger foothold in the chronic pain therapy market.
St. Jude Medical’s proprietary BurstDR stimulation works differently from the other existing stimulation designs. This is because it utilizes intermittent burst pulses designed to mimic the body’s natural nerve impulse patterns. While other companies have tried to mimic burst patterns, BurstDR is the only approved form of burst stimulation to have been evaluated in a large scale, multicenter, randomized controlled clinical trial.
The St. Jude Medical BurstDR stimulation was introduced after nearly a decade of research and study. The initial patent was first filed in 2004. BurstDR stimulation was evaluated within the SUNBURST study, a prospective, randomized multicenter study which confirmed that BurstDR stimulation offers superior pain relief over traditional SCS. In addition, BurstDR stimulation from St. Jude Medical has been the subject of a large number of international real world studies that have helped the company assess the benefits of the therapy in patients all over the world.
With the FDA approval of BurstDR stimulation, patients receiving new implants of the St. Jude Medical Proclaim Elite and Prodigy MRI spinal cord stimulation systems will have immediate access to the new therapy. In addition, patients previously implanted with upgradeable Proclaim SCS systems will soon be able to upgrade their systems to deliver BurstDR stimulation without additional surgery.
Headquartered in St. Paul, MN, St. Jude Medical has approximately 18,000 employees worldwide and focuses on five major areas that include heart failure, atrial fibrillation, neuron modulation, traditional cardiac rhythm management and cardiovascular.
Zacks Rank & Key Picks
Currently, St. Jude has a Zacks Rank #4 (Sell). Favorably ranked stocks in the broader medical sector are GW Pharmaceuticals Plc. (GWPH - Analyst Report) , ABIOMED (ABMD - Analyst Report) and Quidel Corp. (QDEL - Snapshot Report) . All the three stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
GW Pharmaceuticals has a solid year-to-date return of 91.7%, way better than the S&P 500’s 5.2% over the same time frame. Notably, the company posted a positive earnings surprise in the last four quarters, the average being 41.6%.
ABIOMED posted an impressive one-year return of 52.1%. The company recorded a positive earnings surprise in the last four quarters, the average being 34.9%
Quidel Corp. has a positive year-to-date return of 2%. The stock has a healthy expected earnings growth rate of 20%.
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