Wednesday, March 2, 2022

NuVasive's Turnaround Story Needs A Boost From Better Results

 

The long, frustrating, wait for meaningful better performance from NuVasive (NASDAQ:NUVA) continues on, with the company losing share during the pandemic and only just recently showing a little momentum again in the business. Newer offerings like Pulse and Simplify continue to offer some longer-term upside, but there’s also still meaningful work to do to improve margins and leverage what should be a strong portfolio into share regrowth.

About the best thing I can say about NuVasive’s share price performance since my last update is that you could have done worse. NUVA shares are down about 5% from that last article, basically matching the wider performance of medical devices, and also outperforming other spine players like Globus (NYSE:GMED), Alphatec (NASDAQ:ATEC), and SeaSpine (NASDAQ:SPNE).

At this point, a bullish position on NuVasive is still a contrarian call that NuVasive can reignite share growth in the business through newer products like Pulse and Simplify and a refreshed sales effort for key platforms like X360, as well as drive the meaningful margin leverage that has proven elusive for far too long.

 

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NuVasive's Turnaround Story Needs A Boost From Better Results

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