Wednesday, January 8, 2020

Stryker Continues To Cut A Swath Through Med-Tech

Like one of the traction cities out of Mortal Engines, Stryker (SYK) continues to roll along, executing well with its core businesses, but also eagerly gobbling up technologies and product portfolios that management believes can aid its long-term growth prospects. While the third quarter wasn’t perfect down the line and the Wright Medical (WMGI) deal isn’t without some risk, Stryker rolls into 2020 with a lot of momentum and healthy prospects across its business.

As perhaps the best med-tech company out there now, Stryker continues to command a premium valuation. While a company with this combination of growth, organic growth, and margin power should be highly valued, I believe market outperformance increasingly relies on multiple expansion that seems less likely to me.

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Stryker Continues To Cut A Swath Through Med-Tech

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