News on Wellness

FDA Approval of Da Vinci Xi Increases ISRG’s Share By 14%

FDA

In the recent press release Intuitive Surgical Incorporation has informed that the earlier version of da vinci robotic surgical system has been upgraded and the new version has been approved by the US regulators. For the past 3 years the old version was used by doctors to do complex surgeries according to the release.

FDA

This new system has been named da Vinci Xi and approval was taken from the Food and Drug Administration (FDA). This information was released by the Sunnyvale, a Californian-based the company. After the statement was out, the shares of Intuitive Surgical Information gained 14% from $498.55 to $503.31 As per the New York Times, this is the biggest intraday advance the share has made in over 3 years with January 2011 being the recent biggest.

Gary Guthart, the Chief Executive informed that the robot has been created to be more flexible and help doctors do very complex surgeries. The Chief Executive further added that the 1st original version of this system was approved in 2009 and last year alone, the company has made sales of $1.87 billion worth of robotic surgery systems and instruments along with the accessories.

Dr Guthart made a statement that this robot has increased efficiency and is advanced and will efficiently help doctors perform least invasive surgery. In fact, the company is striving to make least invasive surgery as a standard procedure of surgery in the country.

According to Mr Vijay Kumar, the analyst in ISI group, there is the potential to sell over 1000 units. Further, it in his notes to his clients he added that the new da vinci Xi has turned out to be a positive to the company, in spite of the investors expecting it earlier.

Further, he added that the company’s share had fallen 25% of from February throughout till the day (day before) the information that FDA has approved Xi. This was happening cause there was a grapevine that FDA is considering the adverse events the new robot might have in surgery.

Leave a Reply

Your email address will not be published. Required fields are marked *