Yahoo Finance Stryker (SYK) to Gain From Solid Portfolio and Acquisitions
Stryker Corporation SYK, one of the largest medical device companies in the global orthopedic market, has successfully expanded its product portfolio over time, which aids the company to cater to evolving demands of customers.
The Kalamazoo, MI-based company boasts a diverse portfolio that has been aiding top-line growth, reflected through projected revenue growth of 8.53%. We expect the momentum to continue, banking on the strength of its portfolio and acquisitions.
The company’s product portfolio cushions it against any significant sales shortfall during economic downturns. Stryker’s pipeline includes products for Hip, Knee and Mako Robotic-Arm Assisted Surgeries. MAKO results in the last quarter were solid, with almost 26 global robot installations, of which, 24 were in the United States.
Furthermore, the platforms of bone cement, sports-medicine, bones substitute, soft tissue repair, trauma and extremities, endoscopy and more fortify the company’s market position. Meanwhile, Stryker’s exclusive navigation platform provides streamlined software solutions that allow surgeons to accurately track, analyze and monitor instrumentation pertaining to a patient’s anatomy during surgical procedures to enhance patient outcomes. We expect Stryker to perform well by virtue of its strong and diverse portfolio, innovative pipeline, strategic acquisitions along with ongoing cost control measures and increasing operating efficiency.
Stryker has been following an acquisition-driven strategy to boost growth profile. The acquisition of NOVADAQ Technologies Inc completed in September is a recent example.
Stryker has been focusing on international growth as well. In particular, the company’s Medsurg product line has witnessed strong demand in the European and Australian markets in 2017. However, China might prove to be a challenging market.
On the flip side Stryker along with its peers like Orthofix International N.V. OFIX, Female Health Company VERU and LeMaitre Vascular, Inc LMAT, continues to be challenged by lower demand for health care products. Additionally, the company’s spine business in the United States witnessed supply issues in 2017. The company has been facing challenging global economic conditions, particularly in the United States and Western Europe. Additionally, lower reimbursements for medical products and services may impose a downward pressure on the prices for the company’s products which will ultimately impact the top line.
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Stryker Corporation (SYK) : Free Stock Analysis Report
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