KeyBanc views Lilly’s SURMOUNT-OSA results as ‘a bit of a relief’ for Inspire

KeyBanc notes that Eli Lilly (LLY) announced headline results from its SURMOUNT-OSA trial, which tested the efficacy of Tirzepatide in the reduction of obstructive sleep apnea severity, that appear directionally in line with the firm’s expectations and may ultimately be viewed as a bit of a relief for Inspire Medical (INSP) once investors fully understand moving pieces from the study. For Inspire Medical, KeyBanc believes the average patient from the SURMOUNT-OSA study would likely still be a potential candidate. Additionally, the firm believes almost half of the patients in the study could actually be moving into Inspire’s TAM, as an average starting BMI of 38.8 means many would not have otherwise qualified for surgery. For ResMed (RMD), KeyBanc thinks the headline results are a bit more mixed as would have expected to see a greater reduction in AHI for patients using a combination of PAP therapy and Tirzepatide.