7 Best Medical Technology Stocks To Buy According To Analysts

4. Inspire Medical Systems, Inc. (NYSE:INSP)

Price Target Upside: 29.04%

Inspire Medical Systems, Inc. (NYSE:INSP) develops and commercializes innovative solutions for obstructive sleep apnea (OSA), primarily through its implantable Inspire therapy system. This device, surgically implanted near the collarbone, keeps the airway open during sleep and includes a remote control and an app for tracking sleep data. Unlike traditional treatments like CPAP machines, Inspire offers a non-invasive, implantable solution that directly addresses the root cause of OSA.

Inspire Medical Systems, Inc. (NYSE:INSP) reported strong financial performance in Q4 2024, with revenue reaching $239.7 million, a 25% increase from the previous year. This growth was driven by the rising adoption of Inspire therapy in the US. The company also achieved net income of $35.2 million, a significant jump from $14.8 million in Q4 2023, translating to diluted net income of $1.15 per share. 2024 marked the corporation’s first full year of profitability, with diluted net income of $1.75 per share compared to a loss in 2023. Operating cash flow for the quarter was $69 million, totaling $130 million for the year, reinforcing their strong financial position.

As one of the best medical technology stocks, the company received FDA approval for the Inspire V neurostimulation system, which features internal respiratory sensing, eliminating the need for an additional lead. This approval is expected to simplify the procedure for physicians and reduce production costs. The growing demand for Inspire therapy, improved operational efficiency, and strong cash flow make the company well-positioned for continued growth in the large OSA market, presenting a promising investment opportunity.