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Masimo to Launch Advanced Monitoring Technologies in India

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Irvine, CA-based Masimo (MASI - Free Report) announced that it will launch Advanced Monitoring Technologies in the Indian market. The company has decided to introduce its proprietary Rad-97 Pulse-CO Oximeter and Next Generation SedLine Brain Function Monitoring in India.

Masimo rallied 71.98% over the past one year, whereas the S&P 500 rose only 9.53% over the same timeframe. Average volume of shares traded over the last three months was remarkable at approximately 339.4K. The stock has a market cap of $3.35 billion.

In fact, for the last six months, the company registered a solid return of almost 28.45%, comparing favorably with the Zacks categorized Medical Instruments sub-industry’s negative return of roughly 3.56%. However, Masimo did not follow the favorable market trend, declining 0.72% to close at $67.40 following the news.



We are upbeat about the favorable estimate revision trend, with six estimates moving north over the last two months. Notably, the current year estimates for the stock jumped almost 11 cents to $2.13 per share over the same time frame.

We are bullish on the company’s decision to foray into the Indian market, which is growing by leaps and bounds. With a large population and burgeoning demand for safe, high-quality healthcare equipment and solutions, India remains an area of focus for Masimo.  

Masimo develops, manufactures and markets a family of non-invasive monitoring systems. The latest development would significantly fortify the company’s position in its niche markets.

Our Take

Considering bountiful opportunities for Advanced Monitoring Technologies in the Indian market, the launch instills investors’ confidence in the stock. A research report by the Markets And Markets reveals that niche markets are expected to reach a worth of $15.01 billion globally by 2022, multiplying at a CAGR of 8.5%.

Additionally, Masimo’s long-term growth fundamentals are strong. The company recorded a five-year CAGR of 8.5% for revenues and 9.1% for adjusted earnings per share. Masimo has particularly seen an improvement in earnings over the last three years.

We are also upbeat about Masimo’s flagship pulse oximetry business line. Moreover, the recent FDA 510(k) approvals for the Radius 7 wearable and the O3 regional oximetry device are significant positives. Further, the launch of Pronto Pulse CO-Oximeter, its next-generation SpHb Spot Check technology, for markets outside the U.S. and next-generation SedLine Brain Function monitoring technology can be considered key catalysts for the long run.

Zacks Rank & Key Picks

Currently, Masimo has a Zacks Rank #2 (Buy).

Other well-placed medical stocks are NxStage Medical Inc. , Align Technology, Inc. (ALGN - Free Report) and Haemonetics Corporation (HAE - Free Report) . NxStage Medical and Align Technology sport a Zacks Rank #1 (Strong Buy) while Haemonetics carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

NxStage Medical gained 24.5% over the last one year compared with the S&P 500’s 9.5%. The company has a four-quarter average positive earnings surprise of 46.3%.

Align Technology rallied 49.6% over the last one year, way better than the S&P 500’s. It has a trailing four-quarter average positive earnings surprise of 23%.

Haemonetics recorded a 28.6% gain over the past one year, better than the S&P 500. It has a trailing four-quarter average positive earnings surprise of 0.82%.

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