It’s difficult to find much comfort with Stryker’s (SYK) valuation, but the company continues to deliver exceptional financial results that at least help kick the valuation can a little further down the road. MAKO continues to drive share growth from Stryker in knee implants, while new power tools are driving strong surgical equipment growth, and the company continues to benefit from expanding penetration of interventional procedures for stroke patients.
I won’t try to justify the price Stryker is trading at today. Medical devices in general are trading well above long-term norms, but