AXNX - Axonics Shockwave Medical move in response to Medicare proposals
2023-07-14 11:54:56 ET
Axonics, ( NASDAQ: AXNX ) and Shockwave Medical ( NASDAQ: SWAV ) moved in opposite directions Friday after the Centers for Medicare & Medicaid Services (CMS) proposed changes to 2024 Medicare reimbursement rates for hospital outpatient departments and ambulatory surgical centers.
Commenting on how it impacts Axonics ( AXNX ), Mizuho, which has a Buy rating on the stock, argued that the proposal favors sacral neuromodulation devices over tibial neurostimulators, a move that, if finalized, can benefit the company.
Irvine, California-based Axonics ( AXNX ) markets rechargeable and recharge-free implantable sacral neuromodulation (SNM) systems. The company’s shares have added ~4% on above average volume.
"While questions remain on eventual in-office tibial rates, early read- throughs should support some relief in AXNX shares," Bloomberg reported, quoting Mizuho analysts Anthony Petrone and Bradley Bowers.
Shockwave Medical ( SWAV ) which offers a product called intravascular lithotripsy (IVL) to treat calcified cardiovascular disease, has lost ~5% as the Medicare proposal suggests a higher payment rate for coronary IVL procedures.
Piper Sandler analyst Adam Maeder argued that he was disappointed to see that the CMS has not considered the company’s request to increase coronary IVL reimbursement.
"From a physician fee standpoint, SWAV received a better-than-expected proposed rate for its category I coronary IVL code," the analyst with an Overweight rating and a $315 per share target on the stock wrote.
More on Shockwave Medical
- Shockwave Medical ticks higher amid takeover speculation
- Shockwave Medical: Multiple Growth Levers To Drive Valuation Upside
For further details see:
Axonics, Shockwave Medical move in response to Medicare proposals