AngioDynamics, Inc. ANGO recently announced the initiation of a clinical study, AMBITION BTK, comparing the Auryon Atherectomy System Used in Combination with Standard Balloon Angioplasty with Standard Balloon Angioplasty Alone for Treating Infrapopliteal Lesions in patients with critical limb ischemia below-the-knee (BTK).

The trial evaluates the effectiveness of the innovative Auryon atherectomy system in complex BTK cases.

Likely Trend of ANGO Stock Following the News

Following the announcement of the news, shares of the company closed flat at $12.46 on Thursday. In the past six months, ANGO’s shares have gained 60% compared with the industry’s growth of 4.2%. The S&P 500 has gained 11.6% in the same time frame.

The development of the Auryon atherectomy system can boost ANGO's stock price in the long run by establishing the company as a key player in the growing market for peripheral artery disease (PAD) treatments. As the adoption of the Auryon system grows, it could lead to increased sales and market share, driving revenue growth. Additionally, its success could enhance AngioDynamics’ reputation for innovation, attract strategic partnerships, and strengthen investor confidence, supporting sustainable stock price appreciation over time.

AngioDynamics currently has a market capitalization of $504.2 million. Its P/S ratio of 1.76 is lower than the industry’s 2.83. In the last reported quarter, ANGO delivered an earnings surprise of 63.6%.

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More on the ANGO’s AMBITION BTK RCT

The AMBITION BTK trial plans to recruit up to 200 participants across 30 hospital-based sites. Additionally, a companion registry will include up to 1,500 patients treated with the Auryon Atherectomy System at the same sites who do not qualify for the RCT.

AMBITION BTK trial is based on the success of an earlier study that tested the safety and effectiveness of the Auryon laser atherectomy system for treating BTK lesions in patients with limb ischemia. In the previous trial, 60 patients with 61 complex, calcified lesions were treated across four U.S. centers, showing excellent clinical results with minimal complications. These promising outcomes proved the system’s ability to handle difficult BTK cases safely and effectively, paving the way for the AMBITION BTK RCT and Registry to validate its benefits further.

More on ANGO’s Auryon Atherectomy System

The Auryon Atherectomy System is an advanced laser-based technology designed to effectively treat arterial blockages of any type, length, or location while minimizing damage to vessel walls. It uses a solid-state laser to address PAD and is FDA-cleared for treating blockages and in-stent restenosis in the lower limbs.

The Auryon Atherectomy System’s precise laser technology targets and vaporizes lesions without overheating or causing vessel perforation. The system operates at a unique 355nm wavelength, delivering short UV laser pulses for safe and efficient treatment, making it a groundbreaking option for arterial care.

Industry Prospects in Favor of ANGO

Per a report by Transparency Market Research, the global laser atherectomy devices market was valued at $182.1 million in 2022 and is expected to reach beyond $345.4 million by 2031, witnessing a CAGR of 7.4%.

The global laser atherectomy devices market is driven by the rising prevalence of atherosclerosis, the growing demand for minimally invasive procedures and technological advancements like advanced imaging techniques, which are improving both efficacy and safety.

ANGO’s Recent Developments

Recently, ANGO reported an adjusted loss per share of 4 cents for second-quarter fiscal 2025, narrower than the year-ago quarter’s adjusted loss per share of 5 cents.

On a proforma basis, net sales of AngioDynamics in the second quarter of fiscal 2025 were $73.0 million, a 9.2% increase from the prior-year period. Med Tech sales rose 25% year over year to $31.5 million, driven by strong performances from Auryon ($13.7 million, up 21.8%), AngioVac ($8.1 million, up 50.7%), AlphaVac ($2.5 million, up 33.3%), and NanoKnife disposables ($5.0 million, up 23.1%). Total NanoKnife sales, including capital, grew 4.9% year over year. Med Device sales slightly decreased 0.4% to $41.5 million, though U.S. sales increased 1.6% year over year.

In December 2024, the company announced the receipt of the FDA’s 510(k) clearance for the NanoKnife System for prostate tissue ablation. The clearance follows the completion of the pivotal PRESERVE clinical study and the submission of results to the FDA in September.

AngioDynamics’ Zacks Rank & Key Picks

Currently, ANGO carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are Cardinal Health, Inc. CAH, ResMed Inc. RMD and DaVita Inc. DVA.

Cardinal Health, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 10.5%. CAH’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 11.2%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Cardinal Health’s shares have gained 21.7% compared with the industry’s 6.1% growth in the past year.

ResMed, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 14.8%. RMD’s earnings surpassed estimates in each of the trailing four quarters, with the average being 6.4%.

ResMed has gained 32.4% compared with the industry’s 16.5% growth in the past year.

DaVita, sporting a Zacks Rank of 1 at present, has an estimated long-term growth rate of 18.3%. DVA’s earnings surpassed estimates in three of the trailing four quarters and missed once, with the average surprise being 10.6%.

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