Masimo's (MASI) W1 to Boost Virtual Care in Preoperative Patients
Masimo's (MASI) W1 to Boost Virtual Care in Preoperative Patients Zacks Equity Research
Masimo Corporation MASI recently announced that Valencia, Spain-based Hospital La Fe will be expanding its telehealth and telemonitoring program with the Masimo W1 advanced health-tracking watch. The watch, which offers continuous measurements of key physiological parameters, is currently available outside the United States as a medical device that integrates with the Masimo SafetyNet remote patient management and telehealth platform.
However, the Masimo W1 for use in medical applications has not yet been cleared in the United States by the FDA.
The latest adoption of Masimo’s product is expected to significantly strengthen Masimo’s remote patient monitoring (RPM) business across the world.
Significance of the Adoption
Hospital La Fe has been using Masimo SafetyNet with Radius PPG tetherless monitoring as part of its enhanced recovery pathway program for post-surgical patients since last year. The hospital, based on the initial success of that program, is currently planning to equip patients scheduled for elective surgery with Masimo W1 watches in advance. This is aimed at improving pre-habilitation via analysis of the heart rate variability data gathered by the watch.
Per Masimo’s management, Hospital La Fe adopting Masimo W1 to collect a set of insightful baseline data for their pre-operative patients will likely allow them to better understand individual patient’s normal and abnormal readings before undergoing invasive treatment.
Hospital La Fe’s management believes that the future adoption is expected to test the effect of telemonitoring with Masimo W1 in the pre-operative setting for upgrading pre-habilitation and improving patient condition and engagement.
Industry Prospects
Per a report by Grand View Research, the global RPM system market was valued at $4.4 billion in 2022 and is anticipated to reach $16.9 billion by 2030 at a CAGR of 18.5%. Factors like the recent pandemic, the increasing geriatric population and the cost-effectiveness of the treatment are expected to drive the market.
Given the market potential, the adoption of its health-tracking watch is likely to provide a significant boost to Masimo’s business globally.
Recent Developments
This month, Masimo announced that it is expanding its premium Denon brand to introduce its latest offering, Masimo AAT (Adaptive Acoustic Technology).
The same month, Masimo announced that Fresno, CA-based Community Health System was adopting a variety of advanced Masimo monitoring technologies and solutions across its campuses.
Also, in June, Masimo received the FDA’s 510(k) clearance for its patient-worn, continuous multi-parameter vital signs monitor, Radius VSM.
Price Performance
Shares of Masimo have gained 15.9% in the past year compared with the industry’s 9.3% rise and the S&P 500's 11.5% growth.
Image Source: Zacks Investment Research
Zacks Rank & Other Key Picks
Currently, Masimo carries a Zacks Rank #2 (Buy).
A few other top-ranked stocks in the broader medical space are Hologic, Inc. HOLX, Merit Medical Systems, Inc. MMSI and Boston Scientific Corporation BSX.
Hologic, carrying a Zacks Rank #2 at present, has an estimated growth rate of 5.1% for fiscal 2024. HOLX’s earnings surpassed estimates in all the trailing four quarters, the average being 27.3%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Hologic has gained 13.9% compared with the industry’s 9.3% rise in the past year.
Merit Medical, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 11%. MMSI’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 20.2%.
Merit Medical has gained 49.7% compared with the industry’s 15.8% rise over the past year.
Boston Scientific, carrying a Zacks Rank #2 at present, has an estimated long-term growth rate of 11.5%. BSX’s earnings surpassed estimates in two of the trailing four quarters and missed in the other two, the average surprise being 1.9%.
Boston Scientific has gained 42.7% against the industry’s 23.8% decline over the past year.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Download FREE: How To Profit From Trillions On Spending For Infrastructure >>
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
Boston Scientific Corporation (BSX): Free Stock Analysis Report
Hologic, Inc. (HOLX): Free Stock Analysis Report
Masimo Corporation (MASI): Free Stock Analysis Report
Merit Medical Systems, Inc. (MMSI): Free Stock Analysis Report