Stryker Corporation (SYK) Stock Rating Lowered by Zacks Investment Research
Zacks Investment Research downgraded shares of Stryker Corporation (NYSE:SYK) from a hold rating to a sell rating in a research note published on Monday morning.
According to Zacks, “Stryker announced the voluntary product recall of the Oral Care lineup recently. The recall is likely to adversely impact the company’s sales and operating income. Moreover, volatility in foreign currency exchange is likely to impede revenue growth. Stryker also faces supply-side headwinds and has been grappling with issues in the spine business for long. On a positive note, Stryker exited the second quarter on a solid note, beating the Zacks Consensus Estimate on both counts. Solid performance in the MAKO platform drove revenues. An upbeat guidance for the full year instills investor confidence on the stock. Stryker has a diversified product portfolio. Continued strong demand for hemorrhagic and ischemic stroke products and neuro-powered instruments boosted sales in the neurotechnology segment. Stryker has had an impressive run on the bourse over the last year, trading above the broader industry.”
SYK has been the topic of a number of other research reports. Piper Jaffray Companies restated an overweight rating and set a $148.00 target price on shares of Stryker Corporation in a report on Thursday, August 24th. Needham & Company LLC upgraded shares of Stryker Corporation from an underperform rating to a hold rating in a report on Friday, August 25th. Morgan Stanley restated an overweight rating and set a $160.00 target price (up previously from $155.00) on shares of Stryker Corporation in a report on Monday, July 10th. Cantor Fitzgerald initiated coverage on shares of Stryker Corporation in a report on Thursday, June 29th. They set a neutral rating and a $153.00 target price on the stock. Finally, BidaskClub cut shares of Stryker Corporation from a buy rating to a hold rating in a report on Saturday, August 26th. Three research analysts have rated the stock with a sell rating, eight have issued a hold rating and twelve have issued a buy rating to the stock. The company presently has an average rating of Hold and a consensus target price of $146.78.
Stryker Corporation (SYK) traded up 0.33% on Monday, reaching $149.82. 138,259 shares of the company’s stock traded hands. Stryker Corporation has a 12 month low of $106.48 and a 12 month high of $150.26. The firm’s 50 day moving average price is $143.99 and its 200 day moving average price is $140.95. The company has a market cap of $56.04 billion, a PE ratio of 33.44 and a beta of 0.80.
Stryker Corporation (NYSE:SYK) last announced its earnings results on Thursday, July 27th. The medical technology company reported $1.53 EPS for the quarter, beating the Zacks’ consensus estimate of $1.51 by $0.02. Stryker Corporation had a net margin of 14.22% and a return on equity of 24.26%. The firm had revenue of $3.01 billion for the quarter, compared to analysts’ expectations of $2.98 billion. During the same quarter in the previous year, the business posted $1.39 EPS. The company’s quarterly revenue was up 6.1% on a year-over-year basis. On average, equities analysts expect that Stryker Corporation will post $6.45 EPS for the current fiscal year.
The firm also recently declared a quarterly dividend, which will be paid on Tuesday, October 31st. Stockholders of record on Friday, September 29th will be given a dividend of $0.425 per share. This represents a $1.70 annualized dividend and a dividend yield of 1.14%. The ex-dividend date of this dividend is Thursday, September 28th. Stryker Corporation’s payout ratio is currently 37.95%.
In other news, insider Graham A. Mclean sold 1,124 shares of the company’s stock in a transaction dated Tuesday, August 8th. The shares were sold at an average price of $146.26, for a total transaction of $164,396.24. Following the completion of the sale, the insider now owns 8,983 shares of the company’s stock, valued at approximately $1,313,853.58. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Lonny J. Carpenter sold 5,000 shares of the company’s stock in a transaction dated Friday, August 4th. The shares were sold at an average price of $146.36, for a total transaction of $731,800.00. Following the sale, the insider now directly owns 88,207 shares of the company’s stock, valued at approximately $12,909,976.52. The disclosure for this sale can be found here. 7.40% of the stock is owned by corporate insiders.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Bollard Group LLC increased its position in shares of Stryker Corporation by 0.4% during the 2nd quarter. Bollard Group LLC now owns 832 shares of the medical technology company’s stock valued at $115,000 after purchasing an additional 3 shares during the last quarter. Assetmark Inc. increased its position in shares of Stryker Corporation by 0.3% during the 1st quarter. Assetmark Inc. now owns 1,274 shares of the medical technology company’s stock valued at $168,000 after purchasing an additional 4 shares during the last quarter. Blue Chip Partners Inc. increased its position in shares of Stryker Corporation by 0.3% during the 1st quarter. Blue Chip Partners Inc. now owns 1,775 shares of the medical technology company’s stock valued at $234,000 after purchasing an additional 6 shares during the last quarter. Guardian Life Insurance Co. of America increased its position in shares of Stryker Corporation by 0.8% during the 1st quarter. Guardian Life Insurance Co. of America now owns 1,199 shares of the medical technology company’s stock valued at $158,000 after purchasing an additional 9 shares during the last quarter. Finally, FineMark National Bank & Trust increased its position in shares of Stryker Corporation by 0.4% during the 2nd quarter. FineMark National Bank & Trust now owns 3,878 shares of the medical technology company’s stock valued at $538,000 after purchasing an additional 15 shares during the last quarter. 74.10% of the stock is owned by hedge funds and other institutional investors.
Stryker Corporation Company Profile
Stryker Corporation is a medical technology company. The Company offers a range of medical technologies, including orthopedic, medical and surgical, and neurotechnology and spine products. The Company’s segments include Orthopaedics; MedSurg; Neurotechnology and Spine, and Corporate and Other. The Orthopaedics segment includes reconstructive (hip and knee) and trauma implant systems and other related products.
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