The growing prevalence of chronic diseases like cancer and diabetes is driving increasing innovation in medical device technology. In 2023 alone,40 new devices were approved by the US Food and Drug Administration (FDA).
Wearable medical devices and the use of artificial intelligence in medical technology are two key trends in this sector. Moving forward, the global medical device industry is expected to grow from US$536.12 billion in 2023 to US$799.67 billion by 2030.
All data was compiled on December 21, 2023, using TradingView’s stock screener, and the medical device makers listed below had market caps between US$50 million and US$500 million at that time.
1. NeuroPace (NASDAQ:NPCE)
Year-to-date gain: 540.43 percent; market cap: US$232.348 million; current share price: US$8.84
The first top NASDAQ medical device stock on our list is commercial-stage NeuroPace. The company’s RNS System is the first and only commercially available, brain-responsive platform for the treatment of drug-resistant epileptic seizures. The platform also has the potential to treat patients with other brain disorders.
NeuroPace’s share price gained much forward momentum in the fourth quarter of this year, rising to a year-to-date high of US$10.30 on December 20th. In October, the company announced the launch of a number of enhancements to the RNS System designed to simplify its use by both patients and clinicians to improve outcomes. Soon after, NeuroPace released its Q3 2023 financials, showing a 47 percent increase in revenues over the same period last year. As a result, the company increased its full-year revenue guidance to US$62.5 million-US$63.5 million, up from US$59 million-US$61 million.
2. Pulse Biosciences (NASDAQ:PLSE)
Year-to-date gain: 339.87 percent; market cap: US$670.205 million; current share price: US$12.18
Novel bioelectric medicine company Pulse Biosciences’ proprietary CellFX Nanosecond Pulsed Field Ablation (nsPFA) technology is designed to treat atrial fibrillation. The company believes there may be several other applications in cardiology for nsPFA.
While shares for Pulse Biosciences dipped nearly 50 percent to the US$4 level in the third quarter of the year. However, Q4 brought a big boost to the stock which reached its highest price for the year at US$13.05 on December 19th. The company filed a premarket notification 510(k) to the FDA for its novel CellFX nsPFA percutaneous electrode in November. The following month, Pulse Biosciences completed the first five procedures in its first-in-human feasibility study of its CellFX nsPFA cardiac catheter.
3. AVITA Medical (NASDAQ:RCEL)
Year-to-date gain: 88.88 percent; market cap: US$319 million; current share price: US$12.49
Next up on our top NASDAQ medical device stock list is AVITA Medical, a regenerative medicine company developing and commercializing first-in-class devices and autologous cellular therapies for skin restoration.
AVITA has had a few FDA approvals for its products in mid-year 2023, including a premarket approval (PMA) supplement for the use of its RECELL® System to treat full-thickness skin defects; and PMA of its RECELL® System for the treatment of vitiligo, the first FDA-approved therapeutic device offering a one-time treatment at the point-of-care.
After starting out 2023 with its share price at a low of US$6.32, the stock went on to hit its highest price for the year at US$21.70 on July 17th. In November, AVITA announced its revenues for Q3 2023 grew by 51 percent over the same period in the previous year.
4. Accuray (NASDAQ:ARAY)
Year-to-date gain: 35.55 percent; market cap: US$277.626 million; current share price: US$2.86
Accuray develops and commercializes radiation therapy technology aimed at oncology to neuro-radiosurgery, with the potential for applications in additional indications. Its products include the CyberKnife® and TomoTherapy® platforms.
In June, the company announced its inclusion in the Russell 2000® Index and the broad-market Russell 3000® Index. Later in the summer, Accuray received 510(k) clearance from the FDA for its VitalHold breast package on the Radixact® System. The company’s stock reached a year-to-date high of US$4.29 on July 31st.
Later in the year, the Tomo® C radiation therapy system was approved by the Chinese National Medical Products Administration; and the company initiated sales of the VitalHold package supporting surface-guided radiation therapy on the Radixact® System in Japan. Accuray recently reported financials for its Q1 2024 fiscal year, highlighting a net revenue increase of 7.7 percent over the same period in the previous year to reach US$103.9 million.
5. CVRx (NASDAQ:CVRX)
Year-to-date gain: 34.08 percent; market cap: US$516.02 million; current share price: US$24.98
Last on this list of NASDAQ medical device stocks is CVRx, the developer of the world’s first FDA-approved neuromodulation device to treat symptoms of heart failure. The company’s proprietary novel baroreceptor neuromodulation therapies are designed to address imbalances of the autonomic nervous system that can lead to heart failure and other cardiovascular diseases.
In its Q3 2023 financials, CVRx reported total revenues of US$10.5 million, an increase of 70 percent over the prior year quarter. On December 14, CVRx saw its share price hit its highest point in 2023, rising to US$25.24.
Securities Disclosure: I Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.