Latest news with #medicaldevice
Yahoo
8 minutes ago
- Business
- Yahoo
ResMed (NYSE:RMD) Surprises With Q2 Sales
Medical device company ResMed (NYSE:RMD) beat Wall Street's revenue expectations in Q2 CY2025, with sales up 10.2% year on year to $1.35 billion. Its non-GAAP profit of $2.55 per share was 3% above analysts' consensus estimates. Is now the time to buy ResMed? Find out in our full research report. ResMed (RMD) Q2 CY2025 Highlights: Revenue: $1.35 billion vs analyst estimates of $1.33 billion (10.2% year-on-year growth, 1.3% beat) Adjusted EPS: $2.55 vs analyst estimates of $2.48 (3% beat) Adjusted EBITDA: $542.9 million vs analyst estimates of $494.7 million (40.3% margin, 9.8% beat) Operating Margin: 33.7%, up from 31.2% in the same quarter last year Free Cash Flow Margin: 37.7%, up from 33.9% in the same quarter last year Constant Currency Revenue rose 9% year on year (10% in the same quarter last year) Market Capitalization: $40.61 billion 'Our strong finish to fiscal year 2025 reflects ongoing momentum across our business, driven by robust global demand for our market-leading sleep and breathing health devices, as well as our expanding digital health ecosystem,' said Resmed's Chairman and CEO, Mick Farrell. Company Overview Founded in 1989 to address the then-underdiagnosed condition of sleep apnea, ResMed (NYSE:RMD) develops cloud-connected medical devices and software solutions that treat sleep apnea, COPD, and other respiratory disorders for home and clinical use. Revenue Growth A company's long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but many enduring ones grow for years. Luckily, ResMed's sales grew at a decent 11.7% compounded annual growth rate over the last five years. Its growth was slightly above the average healthcare company and shows its offerings resonate with customers. We at StockStory place the most emphasis on long-term growth, but within healthcare, a half-decade historical view may miss recent innovations or disruptive industry trends. ResMed's annualized revenue growth of 10.4% over the last two years is below its five-year trend, but we still think the results were respectable. ResMed also reports sales performance excluding currency movements, which are outside the company's control and not indicative of demand. Over the last two years, its constant currency sales averaged 10.3% year-on-year growth. Because this number aligns with its normal revenue growth, we can see that ResMed has properly hedged its foreign currency exposure. This quarter, ResMed reported year-on-year revenue growth of 10.2%, and its $1.35 billion of revenue exceeded Wall Street's estimates by 1.3%. Looking ahead, sell-side analysts expect revenue to grow 8.1% over the next 12 months, a slight deceleration versus the last two years. Despite the slowdown, this projection is noteworthy and suggests the market is forecasting success for its products and services. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) stock benefiting from the rise of AI. Click here to access our free report one of our favorites growth stories. Operating Margin ResMed has been an efficient company over the last five years. It was one of the more profitable businesses in the healthcare sector, boasting an average operating margin of 29%. Analyzing the trend in its profitability, ResMed's operating margin rose by 4.5 percentage points over the last five years, as its sales growth gave it operating leverage. This performance was mostly driven by its recent improvements as the company's margin has increased by 5.9 percentage points on a two-year basis. These data points are very encouraging and shows momentum is on its side. This quarter, ResMed generated an operating margin profit margin of 33.7%, up 2.6 percentage points year on year. This increase was a welcome development and shows it was more efficient. Earnings Per Share Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. ResMed's EPS grew at a spectacular 14.9% compounded annual growth rate over the last five years, higher than its 11.7% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. We can take a deeper look into ResMed's earnings to better understand the drivers of its performance. As we mentioned earlier, ResMed's operating margin expanded by 4.5 percentage points over the last five years. This was the most relevant factor (aside from the revenue impact) behind its higher earnings; interest expenses and taxes can also affect EPS but don't tell us as much about a company's fundamentals. In Q2, ResMed reported adjusted EPS at $2.55, up from $2.08 in the same quarter last year. This print beat analysts' estimates by 3%. Over the next 12 months, Wall Street expects ResMed's full-year EPS of $9.55 to grow 8.6%. Key Takeaways from ResMed's Q2 Results It was good to see ResMed narrowly top analysts' revenue expectations this quarter. We were also happy its constant currency revenue narrowly outperformed Wall Street's estimates. Overall, this print had some key positives. The stock remained flat at $270.94 immediately following the results. So do we think ResMed is an attractive buy at the current price? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it's free. 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New York Times
8 hours ago
- Health
- New York Times
New Implant Offers Hope for Easing Rheumatoid Arthritis
The Food and Drug Administration on Wednesday approved a medical device that offers new hope to patients incapacitated by rheumatoid arthritis, a chronic condition that afflicts 1.5 million Americans and is often resistant to treatment. The condition is usually managed with medications. The device represents a radical departure from standard care, tapping the power of the brain and nervous system to tamp down the uncontrolled inflammation that leads to the debilitating autoimmune disease. The SetPoint System is an inch-long device that is surgically implanted into the neck, where it sits in a pod wrapped around the vagus nerve, the largest nerve in the body. The device electrically stimulates the nerve, a sort of information freeway through the body, for one minute each day. The stimulation can turn off crippling inflammation and 'reset' the immune system, research has shown. Most drugs used to treat rheumatoid arthritis suppress the immune system, leaving patients vulnerable to serious infections. On a recent episode of the American College of Rheumatology podcast, the SetPoint implant was described as representing a 'true paradigm shift' in treatment of the disease, which until now has relied almost entirely on an evolving set of pharmaceutical interventions, from gold salts to powerful agents called biologics. The designated the implant as a breakthrough last year in order to expedite its development and approval. It represents an early test of the promise of so-called bioelectronic medicine to modulate inflammation, which plays a key role in diseases including diabetes, heart disease and cancer. Want all of The Times? Subscribe.
Yahoo
a day ago
- Business
- Yahoo
GE HealthCare raises annual profit forecast on smaller tariff impact
(Reuters) -GE HealthCare Technologies raised annual profit forecast on Wednesday, as the medical device maker expects a smaller hit from tariffs. The company expects adjusted profit of $4.43 to $4.63 per share for 2025, compared with its previous range of $3.90 to $4.10 per share. The forecast includes a 45-cent-per-share impact from tariffs, which is lower than the 85 cents or $500 million hit it expected in April. Other medical device maker Boston Scientific and healthcare conglomerate Johnson & Johnson, whose costs were exclusively tied to its medtech unit, also halved their expectations for tariff-related costs for the year to about $100 million and $200 million, respectively. GE HealthCare expects annual organic revenue growth of 3%, compared with its previous forecast of a 2% to 3% increase. analyst Robbie Marcus said the company's outlook was "good enough as a more in-line organic growth performance is balanced against conservative tariff assumptions that could/will likely leave upside on the table". GE HealthCare also beat Wall Street estimates for second-quarter profit and revenue, driven by growth in its all four businesses. Revenue at imaging devices, the company's largest segment, grew 2% during the period. Its other units are advanced visualization solutions, patient care solutions and pharmaceutical diagnostics. Medical device manufacturers have been benefiting from still-high demand for elective surgical procedures in the United States, especially among older adults. GE HealthCare's total revenue came in at $5.01 billion during the quarter ended June 30, compared with analysts' average estimate of $4.96 billion, according to data compiled by LSEG. On an adjusted basis, it earned $1.06 per share, compared with the estimate of 92 cents per share. The company said its adjusted core margin was down 80 basis points during the quarter, impacted by tariffs.
Yahoo
a day ago
- Business
- Yahoo
Jefferies Reaffirms ‘Buy' Rating on LivaNova PLC (LIVN) with $79 PT
Offering strong upside potential, LivaNova PLC (NASDAQ:LIVN) earns a spot on our list of the . A closeup shot of a laboratory technician handling a medical device used for fertility treatments. On June 5, 2025, LivaNova PLC (NASDAQ:LIVN) reported the completion of its landmark CORE-VNS study. More than 800 real-world patients with drug-resistant epilepsy were tracked under this study. The results were positive. Significant and lasting seizure reductions were noted, confirming VNS Therapy's effectiveness in both children and adults. In some cases, a 100% reduction was noted. In response to the positive results, Jefferies reaffirmed its 'Buy' rating the following day, with a $79 price target. The analyst attributed it to strong product cycles, including upgrades to the company's Essenz platform and growing oxygenator market share. Previously, in May, Wolfe Research also upgraded the stock to 'Outperform', highlighting the improved legal clarity in Italy and high growth potential in its depression and sleep apnea treatment pipelines. Through its Cardiopulmonary and Neuromodulation segments, LivaNova PLC (NASDAQ:LIVN) develops products and therapies for neurological and cardiac patients worldwide. It remains on our list of the most undervalued stocks. While we acknowledge the potential of LIVN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Most Undervalued Cloud Stocks Under $10 According to Hedge Funds and 11 Best Mineral Stocks to Buy According to Hedge Funds. Disclosure: None. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
a day ago
- Health
- Yahoo
CereVasc, Inc. Announces 100th Patient Treated with the eShunt® System
Patient treated at Clinica la Sagrada Familia in Buenos Aires, Argentina BOSTON, July 30, 2025 /PRNewswire/ -- CereVasc, Inc., a clinical-stage, medical device company developing novel treatments for neurological diseases, today announced that the 100th patient has received treatment for communicating hydrocephalus with the eShunt System. The 100 patients were enrolled in pilot studies and in the STRIDE clinical trial, a head-to-head comparison of the eShunt System versus the standard of care ventriculo-peritoneal (VP) shunt in patients with Normal Pressure Hydrocephalus (NPH). The 100th patient was treated by Dr. Pedro Lylyk at Clinica la Sagrada Familia in Buenos Aires, Argentina. Dr. Lylyk also treated the first patient with the eShunt System. "I am honored to have performed the 100th procedure utilizing the eShunt System for patients with communicating hydrocephalus," said Pedro Lylyk, M.D., CEO of ENERI and Clinica la Sagrada Familia in Buenos Aires and co-lead investigator of the STRIDE trial. "The minimally invasive procedure will help ensure more patients with hydrocephalus are eligible for treatment." The eShunt System is the first and only minimally invasive, endovascular shunt and the first new treatment option developed for communicating hydrocephalus since the VP shunt was introduced more than 60 years ago. The results of the STRIDE trial will serve as the basis for CereVasc's anticipated submission to regulatory agencies for approval to market the eShunt System. "Reaching this milestone was made possible through the support of clinical investigators like Dr. Lylyk, who have demonstrated their commitment to driving innovation and improving patient care," said Dan Levangie, Chairman & CEO of CereVasc, Inc. "We are incredibly fortunate to work with Dr. Lylyk and his outstanding team in Buenos Aires and are excited by the enthusiastic response of the medical community for the eShunt System. Enrollment in our STRIDE pivotal trial is off to a strong start and we look forward to completing this landmark clinical study." For more information, please visit About Normal Pressure Hydrocephalus Normal pressure hydrocephalus (NPH) is most commonly seen in adults aged 60 or over. The Hydrocephalus Association estimates that 800,000 older Americans may be living with NPH, and it is estimated that more than 80% of cases remain unrecognized or untreated. Without appropriate diagnostic testing, NPH is often misdiagnosed as Alzheimer's disease or Parkinson's disease, the result of a stroke, or other neurodegenerative conditions. Sometimes the symptoms are mistakenly attributed to "normal aging." NPH is, however, one of the few treatable forms of dementia. About CereVasc, Inc. Located in Massachusetts' healthcare hub, CereVasc, Inc., is a clinical stage, medical device company focused on the development of novel, minimally invasive treatments for patients with neurological diseases. Its initial product, the eShunt System, encompasses first-ever, groundbreaking percutaneous transvenous-transdural access to the central nervous system intended to enable the first minimally invasive treatment for communicating hydrocephalus (CH). The eShunt device concept originated from Tufts Medical Center physicians Carl Heilman, MD, Neurosurgeon and Chair Emeritus of Neurosurgery, and Adel Malek, MD, PhD, Chief of Neurovascular Surgery and Director of Cerebrovascular and Endovascular Neurosurgery. The patented eShunt System includes an endovascularly implantable cerebral spinal fluid shunt and delivery components, which are designed to treat CH without invasive surgery. For additional information, please visit our website at The eShunt® Device is an investigational device and has not been approved by FDA or any other regulatory agency for commercial sale. Its safety and effectiveness have not yet been fully established. Company Contact: DJ CassCereVasc, Media Contacts: Ethan MetelenisPrecision Christina RenfroePrecision View original content to download multimedia: SOURCE CereVasc Sign in to access your portfolio
