Quantcast

RTI Surgical Gains From HealthPartners' Nod for SI Surgery


Shutterstock photo

RTI Surgical, Inc. RTIX recently announced HealthPartners' positive coverage decision for its minimally invasive sacroiliac (SI) joint fusion surgery. Notably, this will increase access to the company's SImmetry System for HealthPartners members considering treatment of SI joint pain or dysfunction. This is likely to fortify RTI Surgical's foothold in the minimally invasive devices industry.

Following the news, shares of RTI Surgical inched up by a penny to $4.30 at close.

For investors' notice, HealthPartners is the largest consumer governed nonprofit health care organization in the United States.

More on SImmetry System

RTI Surgical's SImmetry System is a minimally invasive surgical solution, providing long-term pain relief through decortication technology, bone graft and threaded fixation.

Notably, the system currently sees robust demand and contributed significantly to RTI Surgical's Spine business in the recently reported third-quarter 2018.

Booming Minimally-Invasive Surgery Market

Reduced stay at hospital and lower healthcare costs, pain, scarring and tissue-damage are a few benefits of opting for minimally-invasive surgery over traditional procedures. Such surgical methods are currently raking in billions in the surgical industry.

Some of the MedTech bigwigs, deserving special mention in this regard are, Intuitive Surgical ISRG and Medtronic plc MDT . Intuitive Surgical's much-coveted da Vinci surgical system - an advanced robot-assisted surgical platform - and Medtronic's Minimally Invasive Therapies Group currently witness robust demand, worldwide.

BIS Research projects the global minimally invasive surgical systems market to reach a value of $40.52 billion by 2025 at a CAGR of 10.9%.

Hence, RTI Surgical's latest development seems a well-timed one.

Price Performance

We believe that such positive developments are likely to drive the shares of RTI Surgical and help the stock rebound as it has declined 9.5% against the industry 's rally of 8.2% in a year's time. The current level is also lower than the S&P 500 index's 1.9% gain.

The stock has a Zacks Rank #3 (Hold).

Key Pick

A better-ranked stock from the broader medical space is Surmodics, Inc. SRDX .

Surmodics has an expected long-term earnings growth rate of 10%. The stock carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .

Will You Make a Fortune on the Shift to Electric Cars?

Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.

With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.

It's not the one you think.

See This Ticker Free >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report

RTI Surgical, Inc. (RTIX): Free Stock Analysis Report

Medtronic PLC (MDT): Free Stock Analysis Report

Surmodics, Inc. (SRDX): Free Stock Analysis Report

To read this article on Zacks.com click here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Investing , Business , Stocks
Referenced Symbols: ISRG , RTIX , MDT , SRDX



More from Zacks.com

Subscribe






Zacks.com
Contributor:

Zacks.com

Equity Research










Research Brokers before you trade

Want to trade FX?