/Stryker%20Corp_%20logo%20on%20phone-by%20Piotr%20Swat%20via%20Shutterstock.jpg)
Headquartered in Portage, Michigan, Stryker Corporation (SYK) is a global medical technology company with a market cap of $129.93 billion. Stryker specializes in designing, manufacturing, and marketing a wide range of medical devices, equipment, and surgical instruments. The company’s innovative products play a crucial role in sectors such as orthopedics, neurotechnology, spine, and medical and surgical care, providing solutions that enhance the quality, precision, and efficiency of healthcare delivery worldwide.
Stryker shares have underperformed the broader market over the last year. SYK has gained 23.4% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 28.1%. Also, in 2024, the stock is up 14.5%, compared to SPX's 17.3% rise on a YTD basis.
Zooming in further, SYK has outperformed the iShares U.S. Medical Devices ETF (IHI) on a YTD basis. The exchange-traded fund has gained 5.9% over this period.
Stryker completed the acquisition of MOLLI Surgical Inc. last month, enhancing its portfolio in breast cancer care with wire-free soft tissue localization technology. The company reported Q2 earnings on Jul. 30. Revenue and earnings for the period were $5.42 billion and $2.81 per share, exceeding analysts' forecasts of $5.41 million and $2.79 per share, respectively. The stock declined marginally on the day of the earnings release.
For the current fiscal year, ending in December, analysts expect SYK's EPS to grow 13.1% year over year to $11.99 on a diluted basis. The company's earnings surprise history is robust. It beat the consensus estimate in each of the last four quarters.
Among the 27 analysts covering SYK stock, the consensus rating is a “Moderate Buy.” That’s based on 17 “Strong Buy” ratings, two “Moderate Buys,” and eight “Holds.”
On Aug. 1, Matt Miksic from Barclays maintained a “Buy” rating on Stryker, with a price target of $402, implying a potential upside of 17.2% from current levels.
The mean price target of $378.79 represents a 10.5% premium to SYK’s current price levels. The Street-high price target of $410 suggests an upside potential of 19.6%.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
