Headquartered in St. Paul, MN, St. Jude Medical Inc. STJ, a leading global medical device manufacturer, recently announced U.S. FDA approval for the EnSite Precision cardiac mapping system and Advisor FL Circular Mapping Catheter. The regulatory progress is an add-on to the company’s electrophysiology portfolio and ensures a seamless cardiac mapping for patients with abnormal heart rhythms.
A glimpse at the price movement of the stock reveals a stellar year-to-date return of 29.3%, way better than the Zacks categorized Medical Product sub-industry’s return of 0.68% and the S&P 500’s roughly 8.4%. However, till Apr 2016, the company’s price performance had been unimpressive. Nevertheless, after the last reported quarter, the company’s shares gained roughly 1.5% till yesterday’s close.
Meanwhile, following the news release, St. Jude Medical gained a nominal 0.3%, to close at $79.88.
Of the other positives, we are upbeat about the stock’s long-term expected earnings growth rate, currently pegged at 8.53%. On top of it, the stock promises an earnings yield of almost 5%, comparing favorably with the industry average of 0.96%. Meanwhile, a projected sales growth of 9.07% instills confidence on the stock.
Coming back to the development, EnSite Precision provides a highly exclusive dual technology that provides detailed anatomical models. Additionally, EnSite Precision received a CE mark earlier this year.
ST JUDE MEDICAL Price
ST JUDE MEDICAL Price | ST JUDE MEDICAL Quote
The EnSite Precision features St. Jude Medical’s EnSite Velocity cardiac mapping system EnSite AutoMap Module, which performs morphology matching seamlessly. Per management, EnSite Precision allows physicians ‘to precisely navigate within the heart’ and thus perform better diagnosis.
St. Jude Medical has been gaining prominence of late with the recent announcement of the CE mark approval for the full-body magnetic resonance (MR) conditional labeling of the Proclaim Elite Spinal Cord Stimulation (SCS) System. The CE mark would enable St. Jude medical to tap in on the bountiful opportunities in the spinal cord stimulation and neuromodulation markets.
Of the other recent developments, the latest European conformity of Proclaim Elite SCS which closely follows the release of encouraging results from the MOMENTUM 3 U.S. IDE Clinical Study, are notable in our view.
Zacks Rank & Key Picks
Currently, St. Jude Medical has a Zacks Rank #3 (Hold).
Better-ranked stocks in the broader medical sector include Addus HomeCare Corporation ADUS, LHC Group, Inc. LHCG and HMS Holdings Corp. HMSY. Addus HomeCare and LHC Group sport a Zacks Rank #1 (Strong Buy) while HMS Holdings carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Addus HomeCare has a long-term expected earnings growth rate of approximately 15%. Notably, the stock represents an impressive one-year return of 42.4%.
LHC Group has a long-term expected earnings growth rate of 15%. The company has returned almost 1.5% in the last one month.
HMS Holdings has an expected earnings growth of almost 14.3%. The company posted a promising year-to-date return of 53.9%.
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