In The Spotlight: Inspire Medical

(RTTNews) - Shares of Inspire Medical Systems Inc. (INSP) have climbed 32% since the Company went public this month.

Inspire Medical Systems is a medical technology company, which markets Inspire therapy - the first and only FDA-approved neurostimulation technology for patients with obstructive sleep apnea.

Before we define what the Inspire therapy is, here's what Obstructive Sleep Apnea (OSA) means in a nutshell.

OSA is a serious sleep disorder caused by a blocked or partially blocked airway. The blockage prevents airflow to the lungs, resulting in repeated arousals and oxygen de-saturations. This condition affects over 100 million people worldwide. There are about 17 million individuals in the U.S. with moderate to severe OSA. The current treatment options such as Continuous Positive Airway Pressure (CPAP) and invasive surgery have significant limitations.

And now, about the Inspire therapy...

Inspire therapy is a breakthrough implantable treatment option consisting of an implantable pulse generator (IPG), which is surgically placed in the body below the skin surface, and a sleep remote to turn the therapy on and off and adjust the strength of stimulation.

It received CE mark in Europe in 2011, and was approved by the FDA in May 2014. The following year, in the month of April, Inspire therapy was approved for inclusion in the Government Services Administration (GSA) Federal Supply Schedule (FSS).

The growing demand for Inspire therapy has generated revenues year-to-date - with $8 million in 2015; $16.4 million in 2016 and $28.6 million in 2017. The Company's revenue has grown at a CAGR of 88.8% through the past three years.

The gross margin has also grown at a steady pace over the past three years - with the Company logging 64.9% in 2015; 76.2% in 2016 and 78.9% in 2017.

Inspire Medical made its debut on the New York Stock Exchange on May 3, 2018. The stock opened at $24.49 on the first day of trading, while the offer price was $16 per share.

INSP has thus far hit a low of $22.50 and a high of $43.40. The stock closed Wednesday's (May 16) trading at $32.24, up 0.44%.