According to Zacks, “We are disappointed with Stryker’s third quarter 2016 guidance. Moreover, China is expected to remain a challenging market for the company for the second half of the year. Further, product supply issues are also expected to impact the Spine business that can drag down top-line growth for the coming quarters. Additionally, intensifying competition is a major headwind. Nevertheless, we believe Stryker’s innovative product pipeline will be a key catalyst in the near term. Growing adoption of MAKO will drive sales in the orthopedic and reconstructive surgery market. However, challenging global economic conditions, fluctuations in foreign currency exchange rates, lower reimbursements, and a strengthening U.S. dollar pose major headwinds to Stryker’s top-line growth in the near term.”
Several other analysts have also commented on SYK. Needham & Company LLC reaffirmed a hold rating on shares of Stryker Corp. in a report on Sunday, July 24th. Guggenheim initiated coverage on Stryker Corp. in a report on Wednesday, June 8th. They set a buy rating and a $134.00 target price on the stock. Piper Jaffray Cos. raised their target price on Stryker Corp. from $120.00 to $135.00 and gave the stock an overweight rating in a report on Friday, July 22nd. Brean Capital reaffirmed a buy rating and set a $125.00 target price (up from $121.00) on shares of Stryker Corp. in a report on Monday, July 25th. Finally, Canaccord Genuity reaffirmed a buy rating and set a $130.00 target price on shares of Stryker Corp. in a report on Sunday, July 24th. Four investment analysts have rated the stock with a sell rating, nine have assigned a hold rating and eleven have issued a buy rating to the company. The company currently has a consensus rating of Hold and an average price target of $114.91.
Stryker Corp. (NYSE:SYK) opened at 117.42 on Tuesday. The company has a market capitalization of $43.95 billion, a P/E ratio of 27.68 and a beta of 0.71. Stryker Corp. has a one year low of $86.68 and a one year high of $123.55. The stock’s 50 day moving average price is $114.67 and its 200 day moving average price is $113.29.
Stryker Corp. (NYSE:SYK) last announced its quarterly earnings data on Thursday, July 21st. The medical technology company reported $1.39 earnings per share for the quarter, beating analysts’ consensus estimates of $1.37 by $0.02. The business had revenue of $2.84 billion for the quarter, compared to analyst estimates of $2.79 billion. Stryker Corp. had a return on equity of 23.61% and a net margin of 15.33%. Equities analysts anticipate that Stryker Corp. will post $5.76 EPS for the current fiscal year.
The company also recently disclosed a quarterly dividend, which will be paid on Monday, October 31st. Stockholders of record on Friday, September 30th will be paid a $0.38 dividend. The ex-dividend date of this dividend is Wednesday, September 28th. This represents a $1.52 dividend on an annualized basis and a dividend yield of 1.29%. Stryker Corp.’s payout ratio is presently 35.85%.
In related news, Director Ronda E. Stryker sold 18,000 shares of Stryker Corp. stock in a transaction on Thursday, June 30th. The stock was sold at an average price of $117.34, for a total value of $2,112,120.00. Following the completion of the transaction, the director now directly owns 193,142 shares in the company, valued at $22,663,282.28. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Ronda E. Stryker sold 6,000 shares of Stryker Corp. stock in a transaction on Tuesday, July 12th. The shares were sold at an average price of $122.75, for a total value of $736,500.00. Following the completion of the transaction, the director now owns 193,142 shares of the company’s stock, valued at $23,708,180.50. The disclosure for this sale can be found here. 7.80% of the stock is owned by insiders.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SYK. Blue Chip Partners Inc. raised its position in Stryker Corp. by 0.3% in the second quarter. Blue Chip Partners Inc. now owns 1,757 shares of the medical technology company’s stock worth $211,000 after buying an additional 6 shares during the period. Washington Trust Bank raised its position in Stryker Corp. by 0.5% in the second quarter. Washington Trust Bank now owns 3,040 shares of the medical technology company’s stock worth $364,000 after buying an additional 15 shares during the period. Wetherby Asset Management Inc. raised its position in Stryker Corp. by 0.3% in the second quarter. Wetherby Asset Management Inc. now owns 6,242 shares of the medical technology company’s stock worth $748,000 after buying an additional 18 shares during the period. Douglas Lane & Associates LLC raised its position in Stryker Corp. by 0.7% in the second quarter. Douglas Lane & Associates LLC now owns 2,945 shares of the medical technology company’s stock worth $353,000 after buying an additional 20 shares during the period. Finally, Bartlett & Co. LLC raised its position in Stryker Corp. by 0.5% in the second quarter. Bartlett & Co. LLC now owns 5,785 shares of the medical technology company’s stock worth $693,000 after buying an additional 30 shares during the period. Hedge funds and other institutional investors own 75.49% of the company’s stock.
Stryker Corp. Company Profile
Stryker Corporation (Stryker) is a medical technology company. The Company operates through three segments: Orthopaedics, MedSurg, and Neurotechnology and Spine. The Company’s Orthopaedics segment products consist of implants used in hip and knee joint replacements and trauma and surgeries. The Company’s MedSurg segment products consist of surgical equipment and surgical navigation systems (Instruments); endoscopic and communications systems (Endoscopy); patient handling and emergency medical equipment (Medical), and reprocessed and remanufactured medical devices (Sustainability), as well as other medical device products used in a range of medical specialties.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Stryker Corp. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Stryker Corp. and related companies with MarketBeat.com's FREE daily email newsletter.