Abiomed on track to become a top gainer in S&P 500

 

• As the year closes out, Abiomed (NASDAQ:ABMD) is leading the S&P 500 constituents to become the highest gainer for 2020. With the 2.6% added today, the total return for the year is reaching 83.4% YTD, well outperforming the 17.8% gain in the SPDR S&P 500 Trust ETF (NYSEARCA:SPY). The share performance is notable given the 47.5% loss suffered last year as the SPY rose 31.2%
• While the pandemic headwinds drove its TTM revenue to fall 2.1% from the previous year, Abiomed’s gain eclipsed the industry with the iShares U.S. Medical Devices ETF (NYSEARCA:IHI) rising only 22.6% and even the iShares Nasdaq Biotechnology ETF (NASDAQ:IBB) making a gain of only 27.8%.
• The company reached notable milestones in 2020, including the 510(k) clearance received in October for Abiomed Breethe OXY-1 System. Last week, the company announced that the all-in-one, compact cardiopulmonary bypass system was used to treat the first two patients.
• Just over a year after FDA approval for Impella 5.5 with SmartAssist heart pump, touted as the world’s smallest, the company announced in November that the number of patients treated reached 1,000.
• However, the valuation has also followed good news in earnest with forward P/E multiple standing at 85.0x, more than double the five-year average of 36.4x (below).
• https://seekingalpha.com/news/3647765-abiomed-is-on-track-to-become-top-gainer-in-s-and-p-500