Inspire Medical Systems, Inc. INSP recently announced that the American Medical Association’s (AMA) CPT Editorial Panel approved new Category I CPT codes for procedures involving a single lead and implantable pulse generator (IPG), including the company’s recent launch of the Inspire V system. The new codes are scheduled to be effective on Jan. 1, 2028, establishing a dedicated coding framework for hypoglossal nerve stimulation procedures.
Per management, the new coding language is expected to create a clearer and consistent pathway for coding and reimbursement while reducing administrative burden for hospitals and physicians. The company highlighted the support provided by the American Academy of Otolaryngology-Head and Neck Surgery (AAO-HNS), the American Academy of Sleep Medicine (AASM) and the International Surgical Sleep Society (ISSS) in seeking a permanent coding solution.
INSP Stock Trend Following the News
INSP stock has lost 1.1% since the announcement on Thursday. Year to date, the stock has declined 24.2% against the industry’s 18.4% growth and the S&P 500’s 12.3% rise.
The new CPT codes could strengthen INSP’s long-term growth prospects by reducing coding uncertainty and simplifying reimbursement processes for Inspire V procedures. Greater clarity around payment mechanisms may encourage more hospitals and physicians to adopt the therapy, supporting procedure volumes and device demand. The development could also improve the commercial scalability of Inspire V as the company expands its presence in the growing OSA treatment market.
INSP currently has a market capitalization of $2.02 billion.
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More on the News
The newly established Category I CPT codes will now enter the Medicare valuation process, with the Centers for Medicare & Medicaid Services (CMS) expected to determine reimbursement values after reviewing recommendations from the AMA Relative Value Scale Update Committee (RUC). Specialty societies, including the AAO-HNS, may contribute physician survey data covering work complexity, time, practice expenses and liability costs to support the valuation process. Inspire Medical expects CMS to publish proposed valuations in July 2027 and final valuations in November 2027.
The coding development comes as Inspire V gains support from a growing body of clinical evidence. The closed-loop implantable device is designed to synchronize with patients’ natural breathing to help maintain an open airway during sleep. With more than 140,000 patients treated and over a decade of clinical experience, Inspire Medicalhas established a significant presence in hypoglossal nerve stimulation for obstructive sleep apnea (OSA).
Industry Prospects Favoring the Market
Going by the data provided by Fortune Business Insights, the global sleep apnea implants market is estimated to reach $724.2 million in 2026 and is projected to witness a CAGR of 12.7% through 2034.
Factors like rising OSA prevalence, growing demand for implantable therapies and increasing adoption of minimally invasive treatment options are supporting market growth.
Inspire Medical Systems, Inc. Price
Inspire Medical Systems, Inc. price | Inspire Medical Systems, Inc. Quote
INSP’s Zacks Rank & Other Key Picks
Currently, Inspire Medical sports a Zacks Rank #1 (Strong Buy).
Some other top-ranked stocks from the broader medical space are Globus Medical GMED, West Pharmaceutical Services WST and Intuitive Surgical ISRG.
Globus Medical, currently flaunting a Zacks Rank #1, reported a second-quarter 2026 adjusted EPS of $1.34, which surpassed the Zacks Consensus Estimate by 19.6%. Revenues of $789.6 million beat the Zacks Consensus Estimate by 0.4%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED has an estimated long-term earnings growth rate of 12.4%. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 27.9%.
West Pharmaceutical, carrying a Zacks Rank #2 (Buy) at present, reported second-quarter 2026 adjusted EPS of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%.
WST has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 17.4%.
Intuitive Surgical, currently carrying a Zacks Rank #2, reported second-quarter 2026 adjusted EPS of $2.80, which beat the Zacks Consensus Estimate by 12.9%. Revenues of $2.89 billion surpassed the Zacks Consensus Estimate by 3.1%.
Intuitive Surgical has a long-term estimated growth rate of 14.9%. ISRG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.5%.
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