Masimo Corporation (MASI), a leader in non-invasive monitoring technology for patient care, recently reported that El Paso Children's Hospital, a prominent children’s hospital in the western part of Texas, had adopted Masimo SET pulse oximetry and sensor offerings.
The adoption of Masimo technology by El Paso Children's Hospital is in line with its commitment to quality care and favorable outcomes. In addition, the hospital retains the option to utilize Masimo rainbow Pulse Co-Oximetry product.
Masimo is a market leader in the pulse oximetry monitoring equipment industry. The company’s prospects are encouraging, given the sizeable global market opportunity, adoption of pulse oximetry in non-critical areas of the hospital and growing barriers to entry due to additional non-invasive parameters.
While Masimo’s patented SET offering remains its mainstay, the rainbow measurements represent another growth driver. However, the company’s reliance on third-party providers like OEMs for a part of its business raises concern and the royalty stream is no longer as attractive as before.
In May 2013, Covidien plc (COV) won the approval of the U.S. Food and Drug Administration (:FDA) for its motion-tolerant Nellcor pulse oximetry devices. The system can effectively detect and diagnose acute and potentially fatal breathing difficulties at an early stage, thereby allowing faster treatment and elimination of respiratory complications.
The Nellcor Bedside SpO2 Patient Monitoring System, Bedside Respiratory Patient Monitoring System and N-600x Pulse Oximetry Monitoring System are the devices that have been cleared by the FDA. The systems continuously monitor SpO2 as well as the pulse rate for adult, neonatal and pediatric patients.
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