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Needham names Stryker top pick for 2025 on new products, margin gains

Investing.comDec 12, 2024 5:50 PM
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Investing.com -- Needham analyst named Stryker Corporation (NYSE:SYK) its top pick for 2025, highlighting growth potential from new products, margin improvements, and expected M&A activity. Raised its price target on the stock to $442 from $409.

The medical device maker is poised for strong growth next year with the launch of its Pangea trauma plating system, LIFEPAK 35 monitor/defibrillator, and new shoulder and spine applications for the Mako surgical platform.

Needham also noted the company’s projection of margin improvement in 2025, with potential revenue growth fuelling upside for earnings per share.

Stryker’s plans to increase merger and acquisition activity could act as an additional catalyst, Needham said. Brokerage now values Stryker based on its 2026 earnings estimates, underscoring confidence in the company’s growth trajectory.

The brokerage added Stryker to its Conviction List, replacing Enovis Corp, which it maintains at a “buy” rating.

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