Surgical robotics, CPAP machines and continuous glucose monitors are just a few life-changing devices medical device companies have introduced to the world.

As technology continues to advance, so does the need for high-end innovative medical devices. It’s still unclear whether the medical tech can effectively reduce costs and increase productivity, as it was responsible for 40-50 percent in annual cost increases according to Forbes.

Dominantly, gains are still being made in the US, but this could shift as expansion takes place through consolidation and collaborations in the industry. The medical device excise tax moratorium was extended again, this time until January 2020, which may encourage investors to continue investing in the companies.

The medical device industry is expected to increase to an estimated US$409.5 billion value by 2023, increasing at a compound annual growth rate (CAGR) of 4.5 percent throughout the years, according to a report by Lucintel.

Moving into the second half of 2018, the Investing News Network (INN) is profiling the top medical device stocks on the NASDAQ year to date, to give investors insight as to the growth this industry has experience so far this year.

Percentage gains reflect the year to date figures as of June 27, 2018, with market cap and share price figures current as of market close the same day, with data compiled from The Globe and Mail Stocks and are in US dollars. Companies listed below have market cap between US$50 million and less than $500 million.

1. CAS Medical Systems (NASDAQ:CASM)

Market cap: $52.54 million; year-to-date gain: 159.77 percent; current share price: $1.83;

First on our top medical device stocks list year to date is CAS Medical Systems which was previously known for specializing in manufacturing and developing blood pressure measurement devices, vital signs monitors, apnea monitors and neonatal supplies. Now the company just focuses on its product, the Fore-Sight tissue oximetry.

In early May, the company released its Q1 2018 financial results, which highlighted a 22 percent increase in total Fore-Sight cerebral oximetry sales to $5.3 million. The US sales alone for the product increased 21 percent to $4.5 million.

Later that month, CAS announced its Fore-Sight tissue oximetry OEM Module was cleared by the FDA. The company expects to file a 510(k) clearance on its first OEM Module combination product by the end of the year.

2. Utah Medical Products (NASDAQ:UTMD)

Market cap: $421.36 million; year-to-date gain: 40.72 percent; current share price: $112.95

With a bigger focus on medical devices for the healthcare industry–more so than other companies on our top medical device stocks list–is Utah Medical. The company has devices in perinatology, neonatology, gynecology, urology, electrosurgery, critical care blood pressure monitoring and arterial blood collection.

Although the company hasn’t had much news this year, it did deliver a 5.4 percent increase in sales revenue over 2017 to $41.41 million up from $39.29 million the previous year, as reported in the company’s 2017 financial results.

Utah Medical noted in its Q1 2018 financial results  announced in April that it continued its  increase in sales by 6.1 percent to $10.88 million. This contributed to a 15.7 percent net income increase for the same time period.

3. iRadimed (NASDAQ:IRMD)

Market cap: $214.19 million; year-to-date gain: 31.35 percent; current share price: $20.10

Middle of our top medical device stocks list is iRadimed, which creates medical devices compatible with a product nearly every hospital has available, magnetic resonance imaging (MRI). Some of those devices include non-magnetic intravenous infusion (IV) pump systems, IV tubing sets, IV poles and more.

For the Q4 and full year 2017 financial results reported in February, iRadimed reported a nearly 12 percent higher revenue for Q4 earnings over the same quarter in 2016 and an 18 percent higher revenue than Q3 2017.

Then in April, the company reported an even bigger revenue increase in its Q1 2018 financial results, nearly 38 percent compared to Q1 2017. This brings the company closer to reaching its goal of $100 million in annual revenue within the next five years.

4. Apollo Endosurgery (NASDAQ:APEN)

Market cap: $118.54 million; year-to-date gain: 25.89 percent; current share price: $6.77 

Apollo Endosurgery designs and manufactures weight loss medical devices for gastrointestinal disorders, such as the Orbera, Lap-Band, and OverStitch. Headquartered in Texas, Apollo operates globally—primarily in Asia Pacific, Europe, and more.

In early May, the company reported its Q1 2018 financial results with an eight percent revenue growth over the quarter to $15.7 million compared to the previous year at $14.5 million.

Towards the end of Q2, Apollo announced the pricing of a $20.6 million public offering with 3.74 million shares offered at $5.50 each.

5. Fonar (NASDAQ:FONR)

Market cap: $178.09 million; year-to-date gain: 12.94 percent; current share price: $26.70

Last on our top medical device stocks list year-to-date is Fonar, which developed the first ever commercial MRI in 1980. The company went public in 1981 and has continued to perfect its technology since then. The Upright MRI, or the Stand-Up MRI, is the company’s primary product.

In February, Fonar released its Q2 2018 financial results with a 26 percent increase in income from operations to $5.8 million for the quarter compared to the previous year, and a 10 percent increase in total revenue to $20.2 million over the same period.

Later in May the company announced a $1 million increase in revenue for Q3 2018 from the previous year in its Q3 financial report.

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Securities Disclosure: I Gabrielle Lakusta, hold no direct investment interest in any company mentioned in this article.