Nevro rises on UNH coverage for diabetes-related chronic pain therapy

Nevro

04/01/2022 15:38

** Shares of medical device maker  NVRO.N  rise 5.2% to
$89.73
    ** Co says U.S. insurer UnitedHealthcare Group  UNH.N  will
provide coverage for its high-frequency therapy for treatment of
Painful Diabetic Neuropathy (PDN)  urn:newsml:reuters.com:*:nPnbGVKFPa
    ** Diabetic neuropathy is a type of nerve damage and a
serious and common complication of type 1 and 2 diabetes
    ** Truist Securities sees coverage decision as the most
important near-term growth accelerator and piece to the market
expansion story over the next several years
    ** Brokerage currently estimates PDN-related revenue of $23
mln in FY22 and $38 mln in FY23
    ** Sees likelihood of other insurers adopting coverage in
2022 and beyond as well as NVRO achieving, if not exceeding,
current PDN revenue forecasts
    ** 5 out of 15 analysts covering the stock rate it 'buy' or
higher, 10 rate 'hold'; median PT is $115.50 


 (Reporting by Mrinalika Roy in Bengaluru)
 ((mrinalika.roy@thomsonreuters.com; within U.S. +1 646 223
8780, outside U.S. +91 806749 8325;))