At the North American Spine Society’s 39th Annual Meeting in Chicago, Medtronic plc MDT commercially launched several software, hardware and imaging innovations to advance its AiBLE spine technology ecosystem. In addition, the company announced a partnership with Siemens Healthineers to explore opportunities for expanding access to cutting-edge pre and post-operative imaging technologies for spine care.
MDT Stock’s Trend Following the News
After the announcement, shares of MDT dipped 0.4% to close at $89.39 yesterday. However, the recent developments are expected to fortify its Cranial & Spinal Technologies division (a part of the Neuroscience portfolio), which has been seeing increasing demand for Core Spine and Biologics products driven by the AiBLE spinal ecosystem pull-through. Accordingly, we expect market sentiment toward the MDT stock to remain positive surrounding this news.
The MedTech giant currently has a market capitalization of $115.12 billion. The company has an earnings yield of 6.1%, outpacing the industry average of 0.7%. In the trailing four quarters, it delivered an average earnings surprise of 3.1%.
More on Medtronic’s Expanded AiBLE Ecosystem
The new advancements in the AiBLE ecosystem include O-arm 4.3 software, which unveils advanced navigation volumes, dose reduction and enhanced image confirmation. Medtronic now offers the longest 3D scan length for cone-beam CT images, which allows surgeons to capture additional spine levels in one scan and streamline workflow. O-arm is the first and only intraoperative imager using AI with 70% less radiation dose than the standard protocol, while maintaining image quality.
Additionally, the UNiD Adaptive Spine Intelligence platform now includes MRI (Magnetic Resonance Imaging) Vision, which integrates with CoLumbo from Smart Soft Healthcare into the UNiD workflow.
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The latest 5.1 software version in the Mazor robotic guidance system introduces Maximum Intensity Projection, which supports improved image quality. Meanwhile, Medtronic’s new ModuLeX Spinal system offers increased visualization of the surgical area while providing operative flexibility to create an optimized construct for the patient.
MDT’s New Partnership Enhances AiBle
Through its global partnership with Siemens Healthineers, Medtronic will co-market the Multitom Rax imaging system and integrate the platform into the AiBLE ecosystem for spine surgery. The companies also aim to collaborate across technology development, marketing and commercial activities to advance clinical outcomes.
The Multitom Rax combines imaging technologies that can be used across musculoskeletal conditions, including spinal patients. With standing, weight-bearing imaging, cone-beam CT and supine X-ray capabilities, Multitom Rax supports MDT’s vision of advancing the standard of care across the care continuum.
Favorable Industry Prospects for MDT
Per a Research report, the global spinal implants and devices market was valued at $13.3 billion in 2023 and is expected to grow at a compound annual rate of 5.4% by 2030. The growing prevalence of spinal disorders, fractures and injuries and the demand for advanced medical technology and implants are expected to boost the market's growth.
Key Developments in MDT’s Neuroscience Portfolio
Earlier in April 2024, Medtronic secured the FDA’s approval for its Inceptiv closed-loop rechargeable spinal cord stimulator (“SCS”) for the treatment of chronic pain. Inceptiv is the first Medtronic SCS device to offer a closed-loop feature that senses biological signals along the spinal cord and automatically adjusts stimulation in real time, which keeps therapy in harmony with daily life activities.
MDT Stock Price Performance
In the past three months, MDT shares have risen 12.7% compared with the industry’s 10.9% growth.
MDT’s Zacks Rank and Key Picks
Medtronic currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are Boston Scientific BSX, AxoGen AXGN and Phibro Animal Health PAHC, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Boston Scientific’s shares have risen 60.2% in the past year. Estimates for the company’s earnings per share have remained constant at $2.40 in 2024 and $2.71 in 2025 in the past 30 days. BSX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 7.2%. In the last reported quarter, it posted an earnings surprise of 6.9%.
Estimates for AxoGen’s 2024 loss per share have remained constant at 1 cent in the past 30 days. Shares of the company have surged 183.6% in the past year compared with the industry’s growth of 21.1%. AXGN’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 96.5%. In the last reported quarter, it delivered an earnings surprise of 200%.
Estimates for Phibro Animal Health’s 2024 earnings per share have risen 0.7% in the past 30 days. Shares of the company have rallied 72.9% in the past year compared with the industry’s 24.6% growth. PAHC’s earnings surpassed estimates in three of the trailing four quarters and missed on one occasion, with the average surprise being 4.1%. In the last reported quarter, it delivered an earnings surprise of 20.6%.
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