Medtronic stock jumps as CMS proposes coverage for renal denervation

Published 11/07/2025, 11:50
Medtronic stock jumps as CMS proposes coverage for renal denervation

Investing.com - Medtronic (NYSE:MDT) received positive news as the Centers for Medicare & Medicaid Services (CMS) published a proposed National Coverage Determination (NCD) for renal denervation (RDN) procedures.

The proposed coverage would include both radiofrequency and ultrasound renal denervation for patients with blood pressure readings above 140/90mm Hg and uncontrolled hypertension under coverage with evidence development (CED). The CED process requires studies to include blood pressure endpoints and track adverse events through a minimum of 24 months.

CMS’s criteria could potentially create a $5-10 billion market opportunity for Medtronic in the United States. The coverage would apply to patients with blood pressure above 140/90mm Hg who are not controlled after guideline-directed medication therapy (GDMT).

The physician requirements appear manageable, allowing endovascular or renovascular surgeons to perform the procedure, while other physicians would need proctoring on 10 cases. Facility criteria include having a multi-disciplinary hypertension team with longitudinal patient management responsibility and preoperative imaging capabilities.

Boston Scientific (NYSE:BSX) could also benefit from this development in the longer term, as the company recently acquired SoniVie, which develops ultrasound-based renal denervation technology.

In other recent news, Medtronic has been the focus of several important developments. Medtronic’s earnings and revenue prospects are bolstered by a favorable draft decision memo from the Centers for Medicare and Medicaid Services (CMS) regarding coverage for renal denervation (RDN) in patients with uncontrolled hypertension. This proposal aligns with the FDA label for Medtronic’s Symplicity Spyral system, and Citi has reiterated its Buy rating with a $99.00 price target. Additionally, Leerink Partners has reiterated an Outperform rating and a $110.00 price target, highlighting the CMS decision as a significant catalyst for investors. Evercore has also added Medtronic to its TAP Outperform list, citing a favorable environment for MedTech companies. In another development, Medtronic has appointed Dr. Joon Lee, CEO of Emory Healthcare, to its Board of Directors, enhancing its leadership team. RBC Capital has reiterated its Outperform rating and $101.00 price target, emphasizing the substantial market opportunity for Medtronic’s renal denervation system. These recent developments reflect a positive outlook from various analyst firms regarding Medtronic’s future potential.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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