In a report released today, Michael Matson from Needham reiterated a Buy rating on Stryker (SYK – Research Report), with a price target of $442.00.
Michael Matson has given his Buy rating due to a combination of factors including Stryker’s strong financial performance in the first quarter of 2025. The company’s revenue and earnings per share exceeded market expectations, and management has increased its guidance for organic revenue growth for the year. Despite a reduction in EPS guidance due to the impact of the Inari Medical dilution, Stryker has demonstrated resilience by effectively managing tariff-related challenges, which are anticipated to have a $200 million impact in 2025.
Additionally, Stryker has shown robust performance across various business segments, supported by high procedure volumes, the introduction of new products, and a backlog of capital equipment. The company’s gross and operating margins have improved year-over-year, indicating operational efficiency. While there are headwinds, such as tariffs affecting EPS potential, Stryker is handling these better than its peers, which reinforces the Buy rating.
Matson covers the Healthcare sector, focusing on stocks such as Atricure, Boston Scientific, and InMode. According to TipRanks, Matson has an average return of -9.5% and a 33.94% success rate on recommended stocks.
In another report released yesterday, Roth MKM also maintained a Buy rating on the stock with a $456.00 price target.