4 Top Growth Picks as MedTech Battle Rages On

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After several failed efforts to repeal and replace Obamacare, Trump’s government came up with a Graham-Cassidy-Heller-Johnson (“GCHJ”) bill or the Graham-Cassidy bill. However, this bill also failed to materialize. This we believe is a boon to the space as the Congressional Budget Office’s (CBO) latest ‘warning report’ projected health coverage loss for millions of Americans due to a $1 trillion reduction in federal spending on Medicaid through 2026.

4 Top Growth Picks as MedTech Battle Rages On

Meanwhile, the market is abuzz with rumors of the signing of an impending executive order by Trump in a fortnight. We believe it might pose a threat to healthcare players. It is believed that if the draft is passed, the industry will see a contraction in the customer base.

Trump’s Obamacare replacement saga has compelled investors to keep an eye on the MedTech sector. According to a report by Today’s Medical Developments report, the global medical devices market is positioned for impressive growth in the near term. The revenue and international trade value is expected to reach $543.9 billion and $289.2 billion, respectively, by 2020 due to an aging population, increasing healthcare costs and technological advancement.

4 Growth Stocks in Focus

Let’s take a look at four MedTech stocks that are expected to gain over the long haul. Apart from flaunting a strong Zacks Rank #1 (Strong Buy) or 2 (Buy), these stocks boasts a Growth Style Score of A or B.

Our Growth Style Score highlights all of the vital metrics of the company’s financials to obtain a clearer picture of the quality and sustainability of its growth. Our research shows that stocks with Style Scores of A or B, when combined with a Zacks Rank #1 or 2, offer the best investment opportunities.

Top Growth Picks as MedTech Battle Rages On: Straumann Holding AG (SAUHF)

Straumann Holding AG (OTCMKTS:SAUHF) is a global leader in implant and restorative dentistry and oral tissue regeneration. The company sports a Zacks Rank #1 and has a long-term expected earnings growth rate of 15%. The projected EPS growth rate of the stock for a year stands at 26.3%, compared to the broader industry’s projection of 9.7%. The company has a Growth Score of A. You can see the complete list of today’s Zacks #1 Rank stocks here.

The stock has gained 69.5% over the last year, better than the broader industry’s 11.1%.

Top Growth Picks as MedTech Battle Rages On: IDEXX Laboratories, Inc. (IDXX)

IDEXX Laboratories, Inc. (NASDAQ:IDXX) is a world leader in providing diagnostic, detection, and information products to the animal health industry as well as quality assurance products and services to the food and water industries. This Zacks Rank #2 company has a long-term expected earnings growth rate of 19.8% and a Growth Score of A.

The projected EPS growth rate of the stock for a year stands at 26.9%, compared to the broader industry’s estimation of 12.9%. The stock has gained 40.3% over the last year, higher than the broader industry’s 11.5%. The company has a Growth Score of A and VGM Score of B.

Top Growth Picks as MedTech Battle Rages On: Steris Plc (STE)

Steris Plc (NYSE:STE) provides infection prevention, contamination control, microbial reduction, and procedural support products and services for healthcare, pharmaceutical, scientific, research, industrial and governmental customers.  The company boasts a Zacks Rank #2.

With a Growth Score of B and VGM Score of B, the stock has gained 28.7% over the last year compared to the broader industry’s gain of 11.5%. The historical EPS growth rate of the stock for a year stands at 14% compared to the broader industry’s 13.9%.

Top Growth Picks as MedTech Battle Rages On: Tandem Diabetes Care, Inc. (TNDM)

Tandem Diabetes Care Inc (NASDAQ:TNDM): Tandem Diabetes Care designs, develops and commercializes products for people with insulin-dependent diabetes. This Zacks Rank #2 stock promises long-term expected earnings growth of 40.2%. Notably, Tandem Diabetes Care has a Growth Style Score of A. The projected EPS growth rate of the stock for a year stands at 36.5%, compared to the broader industry’s projection of 12.9%.

The stock has gained 0.8% over the last month, higher than the broader industry’s 0.2% gain.

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