Stryker Corporation (NYSE:SYK) Lowered to “Hold” at Zacks Investment Research
Zacks Investment Research lowered shares of Stryker Corporation (NYSE:SYK) from a buy rating to a hold rating in a research report sent to investors on Thursday.
According to Zacks, “We believe Stryker's performance would be affected by supply-side headwinds, the company has been grappling with issues in the spine business for long and it is expected to affect performance in the second quarter also. Also China might prove to be a challenging market for the company. Additionally, challenging global economic conditions and rising competition raise concerns. Meanwhile, Stryker's shares are trading at a higher valuation versus the broader Medical industry over the past three months. Estimate movement has also been mixed ahead of its second quarter earnings release. However growing adoption of MAKO will drive sales in the orthopedic and reconstructive surgery market. The acquisitions of Sage Products and Physio Control and the tie-up with Indo UK Institute of Health's Medicity Program are also major positives.”
SYK has been the topic of several other reports. Oppenheimer Holdings, Inc. set a $135.00 price objective on Stryker Corporation and gave the stock a hold rating in a report on Saturday, April 8th. BMO Capital Markets reiterated a hold rating and issued a $125.00 price objective on shares of Stryker Corporation in a report on Tuesday, April 11th. Jefferies Group LLC reiterated a hold rating and issued a $132.00 price objective on shares of Stryker Corporation in a report on Thursday, April 13th. Piper Jaffray Companies reiterated an overweight rating and issued a $148.00 price objective on shares of Stryker Corporation in a report on Monday, April 17th. Finally, Needham & Company LLC reiterated a sell rating on shares of Stryker Corporation in a report on Wednesday, April 26th. Three analysts have rated the stock with a sell rating, seven have issued a hold rating and twelve have issued a buy rating to the company’s stock. The company currently has a consensus rating of Hold and a consensus target price of $143.87.
Stryker Corporation (NYSE SYK) traded down 0.39% during midday trading on Thursday, hitting $147.22. The company had a trading volume of 666,648 shares. The firm has a market capitalization of $55.07 billion, a P/E ratio of 32.86 and a beta of 0.79. Stryker Corporation has a 1-year low of $106.48 and a 1-year high of $148.15. The company has a 50 day moving average price of $142.41 and a 200 day moving average price of $133.92.
Stryker Corporation (NYSE:SYK) last posted its earnings results on Thursday, July 27th. The medical technology company reported $1.53 EPS for the quarter, beating the Zacks’ consensus estimate of $1.51 by $0.02. Stryker Corporation had a return on equity of 24.26% and a net margin of 14.22%. The firm had revenue of $3.01 billion for the quarter, compared to analysts’ expectations of $2.98 billion. During the same period last year, the firm earned $1.39 EPS. The company’s quarterly revenue was up 6.1% on a year-over-year basis. Equities research analysts forecast that Stryker Corporation will post $6.43 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which will be paid on Monday, July 31st. Stockholders of record on Friday, June 30th will be given a dividend of $0.425 per share. This represents a $1.70 annualized dividend and a dividend yield of 1.15%. The ex-dividend date is Wednesday, June 28th. Stryker Corporation’s payout ratio is presently 37.95%.
In other news, insider Timothy J. Scannell sold 13,322 shares of Stryker Corporation stock in a transaction that occurred on Tuesday, May 2nd. The shares were sold at an average price of $135.89, for a total transaction of $1,810,326.58. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider David Floyd sold 7,381 shares of Stryker Corporation stock in a transaction that occurred on Monday, June 5th. The shares were sold at an average price of $144.70, for a total transaction of $1,068,030.70. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 40,008 shares of company stock worth $5,669,088. Corporate insiders own 7.40% of the company’s stock.
Hedge funds have recently added to or reduced their stakes in the stock. Bollard Group LLC raised its stake in Stryker Corporation by 0.4% in the first quarter. Bollard Group LLC now owns 829 shares of the medical technology company’s stock valued at $109,000 after buying an additional 3 shares during the last quarter. Baystate Wealth Management LLC raised its stake in Stryker Corporation by 2.1% in the first quarter. Baystate Wealth Management LLC now owns 1,066 shares of the medical technology company’s stock valued at $139,000 after buying an additional 22 shares during the last quarter. James Investment Research Inc. purchased a new stake in Stryker Corporation during the second quarter valued at approximately $155,000. Guardian Life Insurance Co. of America raised its stake in Stryker Corporation by 0.8% in the first quarter. Guardian Life Insurance Co. of America now owns 1,199 shares of the medical technology company’s stock valued at $158,000 after buying an additional 9 shares during the last quarter. Finally, Assetmark Inc. raised its stake in Stryker Corporation by 0.3% in the first quarter. Assetmark Inc. now owns 1,274 shares of the medical technology company’s stock valued at $168,000 after buying an additional 4 shares during the last quarter. 74.07% of the stock is currently owned by hedge funds and other institutional investors.
About Stryker Corporation
Stryker Corporation is a medical technology company. The Company offers a range of medical technologies, including orthopedic, medical and surgical, and neurotechnology and spine products. The Company’s segments include Orthopaedics; MedSurg; Neurotechnology and Spine, and Corporate and Other. The Orthopaedics segment includes reconstructive (hip and knee) and trauma implant systems and other related products.
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