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Medtronic's (MDT) CoreValve Evolut Pro Receives FDA Approval

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Medical device major Medtronic plc MDT recently announced that it has received the FDA approval for its CoreValve Evolut PRO valve. It has been launched in the U.S. for the treatment of severe aortic stenosis for symptomatic patients who are at high risk of open heart surgery.

Medtronic has been performing quite well in terms of price performance. The share price is trading above the Zacks categorized Medical - Products industry for the last three months. The stock has rallied 12.6% compared with the broader industry’s gain of 9.3%.

The company’s Cardiac and Vascular division is currently on a spree of gaining regulatory approvals for its minimally invasive devices. It recently received the FDA clearance for Reveal LINQ Insertable Cardiac Monitor with TruRhythm Detection and Melody Transcatheter Pulmonary Valve for less-invasive treatment.

Management claimed that it won the approval after unveiling positive clinical data for the valve. The results confirmed the effectiveness of the self-expanding valve with high survival, low rates of stroke and minimal paravalvular leak.

Medtronic PLC Price

Medtronic PLC Price | Medtronic PLC Quote

Built on the proven platform of the CoreValve Evolut R System, Medtronic’s Evolut PRO valve includes a self-expanding frame with supra-annular valve position that helps to achieve excellent hemodynamic performance.

It has been found that implanting this valve has substantial advantages over earlier versions of this device. It helps in treating patients with smaller vessels and assists the clinicians for adequate sealing even in complex cases.

Management is confident that the new version of its Evolut TAVR platform will arm physicians with a comprehensive portfolio to address their patients’ needs.

Given the huge and growing market for minimally invasive procedures, we believe that the latest development by Medtronic is a perfect fit. As per a Photonics Media Report, demand for less-risk and minimally invasive treatments have sprung up for the safety of patients especially in cases of complex cardiac ailments. The global market for minimally invasive surgery (MIS) is expected to reach $50.6 billion by 2019, at a CAGR of 10.5%.

Zacks Rank & Key Picks

Medtronic currently has a Zacks Rank #3 (Hold).

Better-ranked stocks in the medical product sector are Inogen, Inc. INGN, Bovie Medical Corporation BVX and ResMed, Inc. RMD. While Inogen sports a Zacks Rank #1 (Strong Buy), Bovie and ResMed carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Inogen gained 84.8% in the last one year in comparison to the S&P 500’s gain of 15.1%. The company has a stellar four-quarter positive average earnings surprise of over 49.08%.

Bovie Medical surged 55.9% in the last one year in comparison to the S&P 500. It has a four-quarter positive average earnings surprise of 28.7%.

ResMed gained over 25.5% in the past one year, better than the S&P 500 mark. It also has a trailing positive average earnings surprise of 0.31%.

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