OrthoPediatrics Corp. (KIDS - Free Report) announced the limited launch or beta release of its Large Fragment Cannulated Screw System in the United States. Notably, this is the 34th surgical system from the company’s portfolio, which is designed to address the needs of the pediatric population.
Per OrthoPediatrics, its development team collaborated with four pediatric orthopedic surgeons from prominent institutions worldwide on the design of the screw implants and instruments. The medical fraternity believes that the innovative design of the screw system will enable them to overcome challenges in the operating room.
With the limited domestic launch, OrthoPediatrics aims to strengthen its pediatric orthopedic business globally.
Significance of the Launch
The latest screw system, which is available in two variations, will be utilized to address trauma procedures as well as treating children with a condition known as Slipped Capital Femoral Epiphysis (“SCFE”). The company is looking forward to an expanded market adoption from physicians as the screw system will be able to treat a wide array of conditions of bones and large bone fragments.
Per a report by Technavio published on Business Wire, the global ortho pediatric devices market size is expected to grow by $902.23 million between 2019 and 2023, witnessing a CAGR of more than 6%. Factors like children having a weaker skeletal system, resulting from growing anatomy, and children having bone injuries and deformities are likely to drive the market.
Given the market potential, the beta release has been well-timed.
Of late, OrthoPediatrics has been witnessing a slew of developments in its pediatric orthopedic business.
It launched seven surgical systems in 2019, which brought the total product offerings to 33.
OrthoPediatrics plans to highlight the benefits of its FIREFLY Pedicle Screw Navigation Guides in the upcoming annual International Children’s Spine Symposium, which will take place between Mar 13 and Mar 14 in Orlando, FL. Additionally, the company will present its RESPONSE 4.5/5.0 Spine System, which offers an advanced system of instruments and implants for better patient outcomes.
In December 2019, OrthoPediatrics launched QuickPack, which is a fully synthetic bone graft substitute, featuring a high viscosity, calcium phosphate cement that closely mimics the mineral phase of natural bone, in the United States.
The company announced the domestic launch of PediFoot Deformity Correction System in November 2019, following its FDA clearance in August.
Shares of OrthoPediatrics have dipped 1.4% in the past year compared with the industry’s 3.2% decline.
Zacks Rank & Key Picks
Currently, the company carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are ResMed Inc. (RMD - Free Report) , Medtronic plc (MDT - Free Report) and Hill-Rom Holdings, Inc. (HRC - Free Report) .
ResMed has a projected long-term earnings growth rate of 14.5%. It currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Medtronic’s long-term earnings growth rate is estimated at 7.4%. The company presently has a Zacks Rank #2.
Hill-Rom’s long-term earnings growth rate is estimated at 11.1%. It currently carries a Zacks Rank #2.
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>