No. 1: MAKO Surgical
Current Return: +46%
Investor: David Gardner
Little-known MAKO Surgical (NASDAQ:MAKO) continues to be the darling for our Best Stocks for 2012 buy list. The last time we checked in, in mid-February, MAKO had gained 46%. A few weeks later, and those returns have jumped to an astounding 67.2% — in just three months!
MAKO — a niche medical company banking on a narrow product line — is unlike most of the other stocks in the buy list, which are broad-based plays on an economic recovery. Still, Motley Fool co-founder David Gardner is looking the genius, with his belief in the company’s MAKOplasty procedure which resurfaces joints using custom implants and a surgical robot called the RIO.
Yes, a small-cap medical device company usually makes for a highly speculative play. But MAKO could have a game-changing product in its arsenal — and best of all, it’s playing into the growing group of baby boomers needing increased medical care as they age.
With the stock on pace to more than double, MAKO looks like the right place to be.