Abbott Laboratories vs. Zimmer Biomet Holdings: Which Medical Device Stock is a Better Buy?

With the slowdown in COVID-19 cases, the growing demand for critical surgical procedures made the medical devices industry rebound last year. This, along with continued product innovations, integration of new technologies for enhanced precision, accuracy, and predictions, and robotic assistance in operating rooms, positions the industry well for solid growth.

Investors’ interest in this space is evident from the iShares U.S. Medical Devices ETF’s (IHI) 6.6% returns over the past month versus the SPDR S&P 500 Trust ETF’s (SPY) 5% gains. The global medical devices market is expected to grow at a 5.4% CAGR to reach $657.98 billion by 2028.