What is sleep technology and why is it a growing market?

Sleep technology refers to products, devices, and services designed to improve sleep quality and treat sleep disorders. This includes smart mattresses, sleep tracking wearables, medical devices for conditions like sleep apnea, and apps for relaxation. The market is growing rapidly because of increasing awareness about the importance of quality sleep for overall health, rising stress levels in modern society, and technological innovations making these solutions more effective and accessible.

What are neurostimulation devices mentioned in several of these stocks?

Neurostimulation devices use mild electrical impulses to stimulate specific nerves or areas of the brain. In the context of sleep and relaxation, companies like INSP, NXL, and NYXH develop devices that treat conditions such as sleep apnea or insomnia by targeting particular neural pathways. These technologies offer alternatives to traditional treatments like CPAP machines or medications, often with fewer side effects and better patient compliance.

How do market caps relate to these wellness and sleep companies?

Market capitalization (shown as "Market Cap" in the stock data) represents the total value of a company's outstanding shares. In the wellness and sleep sector, you'll find a range of market caps from established large corporations (like ResMed/RMD) to smaller, innovative companies. Larger market cap companies often provide stability while smaller ones may offer higher growth potential but with increased risk. This mix gives investors options for different investment strategies within the sleep and wellness theme.

What is sleep apnea and why are multiple companies focusing on it?

Sleep apnea is a serious sleep disorder where breathing repeatedly stops and starts during sleep, causing oxygen deprivation and disrupted rest. It affects millions globally and is associated with serious health issues like heart disease and diabetes. Multiple companies in this collection (INSP, RMD, VVOS, NYXH) focus on this condition because it's both widespread and underdiagnosed. With increasing awareness and improved diagnostic methods, the market for sleep apnea treatments is expanding rapidly, creating significant business opportunities.

How do dividend yields affect investments in wellness stocks?

Dividend yield (shown in the stock data) represents the annual dividend payment divided by the stock price, expressed as a percentage. In the wellness sector, established companies might offer dividends while growth-focused companies often reinvest profits instead of paying dividends. For investors, companies with dividends can provide regular income alongside potential stock appreciation. When evaluating these wellness stocks, dividend yield helps determine if a company focuses more on growth or returning value to shareholders through regular payments.

15 handpicked stocks

Rest & Recharge

Tap into the booming wellness economy with companies revolutionizing how we sleep and relax. These carefully selected stocks represent innovative leaders in sleep technology, relaxation services, and wellness solutions that are responding to our growing desire for better rest and recovery.

Han Tan | Market Analyst

Updated 2 days ago | Published at juin 17