As a shareholder, I'm pleased to see that Wright Medical (NASDAQ:WMGI) shares have done well since my last update
after third quarter earnings. Management continues to do a good job
running this business and there may well be legitimate underappreciated
opportunities to outperform on the top line (new product introductions,
share gains) and bottom line (better expense leverage) in the next few
years.
Even so, it looks as though the Street is
moving back to a "what if they get bought out?" sort of mentality, as
the shares do seem to be factoring in quite a bit of growth and margin
improvement from here. I don't like to bet against good management teams
and good product stories, so I'm still content to hold tight with my
position in Wright Medical, but I'd be a little more cautious about
buying in on the assumption that a big M&A payday is right around
the corner.
Click here for more:
Back To The Future With Wright Medical
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