Yahoo Finance Globus Medical's (GMED) REFLECT Correction System Gets FDA Nod
Globus Medical, Inc. GMED recently announced the receipt of the FDA approval for REFLECT Scoliosis Correction System as its first humanitarian device. REFLECT is intended to treat young children with progressive scoliosis while preserving motion, stability and future modulated growth.
The latest development will enhance Globus medical’s surgical instruments portfolio.
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For skeletally immature patients who require surgical therapy to achieve and sustain correction of progressive idiopathic scoliosis, the REFLECT Scoliosis Correction System is recommended.
Instead of using unyielding metal rods for fusion, REFLECT harnesses the natural growth of the body to achieve correction. To manage the curve, the flexible cable is tensioned on the convex side while leaving room for expansion on the concave side. A few tiny incisions between the ribs may be used as part of a minimally-invasive procedure to install the implants.
Benefits of REFLECT
Reduced spinal mobility makes treating scoliosis in the growing spine difficult. Using the young patients' own remaining growth to assist correct the spine curvature without the need for fusion, REFLECT is an exciting advancement in curve correction. It retains their range of motion.
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Since REFLECT has been offered worldwide for several years, Globus Medical is thrilled to provide this system to patients in the United States. This cutting-edge answer demonstrates our dedication to meeting the therapeutic requirements of the developing spine and enhancing these kids' quality of life. As patients and their parents choose the best treatment option for their lifestyle and aspirations, the most recent development in scoliosis treatment offers a non-fusion option.
Industry Prospects
Per a report by Strategic Market Research, the global spinal non-fusion devices market was valued at $3.88 billion in 2021 and is expected to reach $6.08 billion by 2030, witnessing a CAGR of 5.1%. The growing popularity of MIS (minimally invasive surgery) is driving up demand for spinal fusion devices.
Recent Developments
Globus Medical registered robust growth of organic revenues in both the United States and the international market during the first quarter. Rapid market interest and customer demand have positioned Excelsius3D, the company’s latest addition to the Excelsius Ecosystem, as a major growth driver in 2023.
According to GMED, this above-market growth is driven by competitive rep recruiting from prior quarters, robotic pull-through and the normalization of post-COVID procedures on a year-over-year basis. In the first quarter, the company launched the MARS TLIF pedicle-based retractor as part of its focus on procedural efficiency to offer specialized options to meet surgeon preferences.
Price Performance
In the past year, Globus Medical’s shares have declined 15.1% against the industry’s rise of 2%.
Zacks Rank & Key Picks
Globus Medical currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are AmerisourceBergen Corporation ABC, Merit Medical Systems, Inc. MMSI and Cardinal Health, Inc. CAH.
AmerisourceBergen, carrying a Zacks Rank of 2, reported second-quarter fiscal 2023 adjusted EPS of $3.50, beating the Zacks Consensus Estimate by 6.4%. Revenues of $ $63.46 billion outpaced the consensus mark by 4.4%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AmerisourceBergen has a long-term estimated growth rate of 8.9%. ABC’s earnings surpassed estimates in all the trailing four quarters, the average being 3.1%.
Merit Medical reported a first-quarter 2023 adjusted EPS of 64 cents, beating the Zacks Consensus Estimate by 16.4%. Revenues of $297.6 million surpassed the Zacks Consensus Estimate by 5.9%. It currently carries a Zacks Rank #2.
Merit Medical has a long-term estimated growth rate of 11%. MMSI’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 20.2%.
Cardinal Health reported a third-quarter fiscal 2023 adjusted EPS of $1.74, beating the Zacks Consensus Estimate by 17.6%. Revenues of $50.49 billion surpassed the Zacks Consensus Estimate by 1.7%. It currently carries a Zacks Rank #2.
Cardinal Health has a long-term estimated growth rate of 12.4%. CAH’s earnings surpassed estimates in three of the trailing four quarters and missed in one, the average surprise being 12.3%.
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