St. Jude Medical (STJ) says it's received FDA approval for its next-generation Ellipse and SJM Assura portfolio of implantable cardioverter defibrillators and cardiac resynchronization therapy defibrillators. The new devices are designed to lower the risk of lead abrasion and to ensure high-voltage therapy delivery.
Wedbush initiates several medical equipment and supply names. Rundown: Boston Scientific (BSX +0.8%), which is "progressing with its turnaround story," is started at Neutral (price target $10) with new product intros serving as "catalysts for higher EPS"; Medtronic (MDT) is started at Neutral (price target $52) and is "an 800-lb. gorilla [facing] growing competition, limited near-term growth, and an overextended valuation"; St. Jude Medical (STJ -0.9%) is started at Outperform (price target $57) as the Durata overhang "is beginning to lose some steam enabling investors to refocus on STJ's healthy pipeline."
Canaccord downgrades St. Jude Medical (STJ) to Sell citing "questionable earnings quality," a less-than-enthusiastic take on the company's product pipeline, the potential for CRM market share loss, and an "overextended valuation." Price target maintained at $35.
Volcano (VOLC) files a lawsuit against St. Jude Medical (STJ) for patent infringement, accusing STJ of violating its patent on certain guide wire methods used in its devices. The suit is just another salvo in an ongoing patent war between the two companies over pressure wire technology used their heart devices. The war actually began nearly three years ago, when STJ filed suit against VOLC for infringement of 5 of its own patents for pressure guide wire products.
From St. Jude's (STJ) earnings call. Lowers 2013 sales guidance to $5.36-5.48B, representing a cut of $107M at the midpoint. Analysts expect $5.7B. The lower forecast is due to changes in currency assumptions and a more cautious outlook in its cardiovascular business. Expects currency neutral sales growth of -1% to +2%. (Q1 earnings)
More on St. Jude Medical (STJ) Q1: net profit +5% to $223M, with the company enjoying a $21M tax benefit but taking $61M in charges, primarily related to restructuring and acquisition activities. Forex fluctuations hurt sales by $17M. Sales breakdown: Cardiac Rhythm Management -8% to $678M; Atrial Fibrillation +5% to $233M; total cardiovascular sales -2% to $328M. Expects Q2 EPS of $0.93-$0.95 vs consensus of 0.94 and FY EPS of $3.68-$3.73 vs $3.95. (PR)
St. Jude Medical (STJ) has been hit with lawsuits in California that allege that defects with the manufacturing and oversight of its now recalled Riata heart defibrillator "leads" injured or killed over 30 patients. The suits could have a wider impact, as they seek to get round a 2008 Supreme Court ruling that protected medical-device companies from product-liability claims as long as they complied with FDA standards.
St. Jude Medical (STJ +1.1%) is up today after the company reports the first patient implant in a new trial evaluating the company's Aplatzer Cardiac Plug, a device for the prevention of stroke. The trial is designed to determine if the device is safe and effective in preventing thrombus from migrating out of the left atrial appendage in patients with non-valvular atrial fibrillation who have a high risk for stroke.
St. Jude Medical, Inc. (STJ) declares $0.25/share quarterly dividend, 9% increase from prior dividend of $0.23. Forward yield 2.43%. For shareholders of record Mar. 29. Payable Apr. 30. Ex-div date Mar. 27. (PR)
St. Jude Medical (STJ -3.4%) has been working overtime to convince the Street that its Durata heart device leads are safe, but Cowen doesn't take the bait, downgrading the stock to Market Underperform over concerns that the new heart wire is no different from the ones already taken off the market. The firm cites a "significant risk" of a recall, which would " meaningfully damage" its defibrillator and pacemaker business.
St. Jude Medical (STJ +0.5%) has issued a voluntary Class 1 recall of its Amplatzer TorqVue FX Delivery System, which is used for hole in the heart surgery, after the company discovered that the device could fracture in a number of cases, causing serious damage and even death. However, no serious injuries have occurred.
More on St. Jude Medical (STJ +0.8%) Q4: net profit -4% to $120M despite cutting SG&A costs by 18% and R&D spending by 11%. Cardiac rhythm management sales -6% to $682M, atrial fibrillation products +10% to $239M, total cardiovascular sales flat at $338M. Expects Q1 EPS of $0.91-0.93 vs consensus of $0.89 and 2013 EPS of $3.68-3.73 vs $3.62.
St. Jude Medical, Inc., develops, manufactures and distributes cardiovascular medical devices for global cardiac rhythm management, cardiovascular, atrial fibrillation therapy areas and neurostimulation medical devices for the management of chronic pain.