It hasn't been easy to make money in medical device stocks over the past year. Volume growth has been stymied by a job market where people have lost health insurance coverage or cannot afford to take time off to recuperate from major procedures. At the same time, Department of Justice audits have forced hospitals to reexamine their reimbursement and device usage policies. If that wasn't enough, those same hospitals are pushing back on the sort of annual price increases that medical device companies once considered automatic.
Against that sluggish backdrop all is not lost. Hospitals may have over-implanted cardiac rhythm devices like ICDs and orthopedic devices like artificial hips, but long-term demographics and quality of life expectations still favor these businesses. What's more, many companies have harvested the cash flow of their existing businesses to invest in long-range R&D projects that could open up large markets in the years to come.
Please follow this link for more:
5 High Quality Large Med-Tech Names You Can Buy Today
No comments:
Post a Comment