Edwards Lifesciences (EW) Plans Strong Long-Term TAVR Growth
Zacks Investment Research | Dec 08, 2019 10:05PM ET
Edwards Lifesciences Corporation (NYSE:EW) recently provided an update on its longer-term growth (till 2024) plans as well as strategy and technology pipeline atthe annual investor conference in New York City. It also issued its 2020 financial guidance.
A Sneak Peek Into the Matter
The company at the outset has reaffirmed its 2019 financial guidance, which is as follows:
Adjusted earnings per share are expected in the range of $5.50-$5.65. Total revenues are projected to be around the upper end of the $4-$4.3 billion band stated previously.
For 2020, the company predictsglobal sales in the bracket of $4.5-$5 billion indicating underlying growth of 10-12%, which excludes currency fluctuations, sales return reserves associated with product upgrades and the conversion to a consignment inventory system for surgical structural heart. However, the same includes the sales results of CASMED prior to its acquisition in the second quarter of 2019.
Adjusted EPS for 2020 is pegged in the range of $6.05-$6.30.
Within TAVR (Transcatheter Aortic Valve Replacement), the company envisions 2020 sales of $2.9-3.2 billion (representing expected underlying growth of 12-15%). Within Surgical Structural Heart, sales are estimated in the range of $820-860 million (0-3%). Critical Care sales are assumed within $780-820 million (6-9%). In TMTT (Transcatheter Mitral and Tricuspid Therapies), 2020 sales are forecast within $50-70 million. The company projects nearly $40 million of unfavorable foreign exchange impact on its full-year sales.
Overall, Edwards is highly optimistic about its upcoming year’s performance and projects another year of double-digit top- and bottom-line growth. The company once again hopes to aggressively pursue breakthrough therapies in the field of structural heart diseases.
Long-Term Growth Outlook
Within TAVR, the company expects global TAVR opportunity to reach more than $7 billion by 2024. This uptrend will be maintained even beyond 2024, fueled by broader indications, greater disease and therapy awareness plus advances in the technology.
Within TMTT, the global scope is estimated to touch $3 billion within 2024 followed by a significantly larger longer-term opportunity.
Global transcatheter valve therapy prospects are likely to achieve more than $10 billion by 2024.
WithinSurgical Structural Heart, the company eyes a regulatory approval in Europe for the HARPOON echo-guided beating-heart system by this year-end. It also expects to launch the KONECT RESILIA system, comprising the first and the only ready-to-implant tissue valve conduit, in 2020, and the SUTRAFIX automated fastening system in late 2020.
Within Critical Care, Edwards is currently integrating a complete suite of technologies on the HemoSphere monitoring platform to strengthen its position in smart monitoring. The company anticipates the launch of the ClearSight system on HemoSphere in 2020.
Share Price Performance
In the past three months, shares of Edwards have outperformed its Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.