Orthofix (OFIX) Unveils Gemini System, Advances in Trauma Wing
Orthofix Medical Inc. OFIX recently unveiled the Galaxy Fixation Gemini system, marking its full U.S. commercial launch. This, coupled with the successful completion of initial cases, signifies a significant step forward for the company's orthopedic trauma business.
Galaxy Fixation Gemini system is an external fixation system, part of the Galaxy product line of Orthofix. This is the only pin-to-bar system with specific clamps available in a sterile kit configuration.
Advantages of Gemini System Over Traditional Systems
According to the release, one unique feature of the Galaxy Fixation Gemini system is its applicability in trauma settings. Dr. Evengy Dyskin, clinical assistant professor of Orthopedics at the University of Buffalo, in this regard, has highlighted its advantage, stating that the sterile kits associated with this system eliminate spatial constraints. This allows for quick application in trauma bays or intensive care units, an option not feasible with traditional pin-to-bar systems.
Added to this, the use of prepacked sterile kits eliminates the need for tray sterilization, which can take up to 139 minutes and add to healthcare costs. Further, tray sterilization-related operating room delays and costs due to tray contamination can be a staggering $1,081 per incident. With the Galaxy Fixation Gemini system, these issues can be overcome, leading to considerable improvement in efficiency and cost-effectiveness for both hospitals and Orthofix.
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According to Orthofix, surgeons now have efficient solutions for lower extremity trauma scenarios where time is an important factor. This kit, tailored to meet the needs of U.S. surgeons, includes a double multiscrew clamp, foot support and first metatarsal sterile kits, thus providing a versatile and comprehensive solution. Considering that ankle fractures occur in approximately 187 per 100,000 persons per year in the United States, this innovation is well-timed and strategic.
Expanding Portfolio
Orthofix further expanded its sterile kit offerings with the global launch of the CalcFix Plus Calcaneal Minifixator System earlier in 2023. The combined success of Galaxy Fixation Gemini and the CalcFix Plus Calcaneal Minifixato systems highlights Orthofix's target to meet the acute trauma needs of patients in diverse settings, including military and humanitarian crises. These additions bolster Orthofix's extensive portfolio of more than 50 sterile kit procedural solutions available worldwide.
Market Prospects
According to a Comprehensive Research report from Market Research Future (MRFR), in 2022, the global orthopedic trauma devices market was valued at $5.9 billion and it is projected to exhibit a CAGR of 6.80% during the forecast period from 2023 to 2030, reaching a projected value of $9.4 billion at the end of the period.
Several factors contribute to the huge prospects of the orthopedic trauma devices market. Rising instances of trauma-related injuries and fractures, continuous innovation in medical devices, technological advancements and the exploration of untapped markets present lucrative opportunities for growth. Additionally, the market is expected to benefit from the increasing prevalence of minor fractures, severe life-threatening injuries, accidents, falls and orthopedic injuries associated with sports activities.
Share Price Performance
Over the past year, shares of Orthofix have plunged 39.8% against the industry’s 2.6% improvement.
Zacks Rank and Key Picks
Orthofix currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are Haemonetics HAE, Quanterix QTRX and Intuitive Surgical ISRG, each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Haemonetics’ stock has risen 23.6% in the past year. Earnings estimates for Haemonetics have increased from $3.74 to $3.82 for 2023 and remained constant at $4.07 for 2024 in the past 30 days.
HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 19.39%. In the last reported quarter, it posted an earnings surprise of 38.16%.
Estimates for Quanterix’s 2023 loss per share have remained constant at 97 cents in the past 30 days. Shares of the company have increased 196.4% in the past year compared with the industry’s rise of 0.8%.
QTRX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 30.39%. In the last reported quarter, it posted an earnings surprise of 55.56%.
Estimates for Intuitive Surgical’s 2023 earnings have remained constant at $5.57 per share in the past 30 days. Shares of the company have increased 52.6% in the past year compared with the industry’s rise of 4.7%.
ISRG’s earnings beat estimates in three of the trailing four quarters and missed the same in one, the average surprise being 4.19%. In the last reported quarter, ISRG delivered an earnings surprise of 7.58%.
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