Masimo Pronto-7 Wins MDEA GoldZacks Investmentupdated Jun 13, 2011TweetAt GET.com we maintain complete editorial integrity on our content & provide transparent & unbiased information. Companies don't pay us to include their products although we receive a compensation when you successfully apply to products from our partners. See how we make money here.At GET.com we maintain complete editorial integrity.Masimo Corp (MASI), a leader in the pulse oximetry (a measurement of the amount of oxygen attached to the hemoglobin) monitoring equipment market, recently received the prestigious Medical Design Excellence Award (“MDEA”) for its Pronto-7 testing device. MDEA, organized by the leading business-to-business media company UBM Canon, is a premier awards program which recognizes the achievements of medical devices manufacturers. Pronto-7 was recognized in the “General Hospital Devices and Therapeutic Products” category of the MDEA through a comprehensive review by a multi-disciplinary jury panel and was given the “GOLD” level of the award, the highest in this category. The award was presented at a ceremony at the Jacob K. Javits Convention Center in New York City. Pronto-7 is a hand-held device for fast, convenient, and non-invasive spot check testing of hemoglobin, as well as measurement of pulse rate and other key parameters. It is the first device to utilize Masimo’s proprietary Rainbow 4D technology. Measurement of hemoglobin, in different medical settings, is frequently required to assess anemia and blood loss. Traditional lab testing for hemoglobin involves a somewhat painful withdrawal of blood from the patient followed by a time lag before results are available for the doctor. Pronto-7, on the other hand, delivers results in less than a minute, while avoiding certain negative consequences such as unnecessary usage of needles, lab analysis, patient discomfort, possibility of blood contamination and handling of hazardous waste. Masimo is a market leader in the pulse oximetry monitoring equipment industry. It has successfully defended its intellectual property and continues forging new relationships with OEMs. We are optimistic about the prospects of Masimo due to the steady growth in shipments, sizeable market opportunity and expanded pulse oximetry utilization into non-critical care areas in hospitals. Moreover, recurring revenues from sale of consumables are increasing at a brisk pace and shaping up as a long-term growth driver. Also, the renewal of the royalty agreement with Covidien (COV) provides additional impetus. That said, we remain cognizant of intense competition and the company’s dependence upon its OEM partners. Our Neutral long-term rating for the stock is backed by a short-term Zacks #3 Rank (Hold). COVIDIEN PLC (COV): Free Stock Analysis Report Editorial Disclosure: Any personal views and opinions expressed by the author in this article are the author's own and do not necessarily reflect the viewpoint of GET.com. The editorial content on this page is not provided by any of the companies mentioned, and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author's alone, not those of the companies mentioned, and have not been reviewed, approved or otherwise endorsed by any of these entities.