I entered Medtronic (MDT) at around $48 on a hunch that the stock was too cheap to stay below 50 for long. Medtronic reported 2nd quarter revenue growth of 11% which sent the stock to $53 in after hours trading. Medtronic is a solid large-cap stocks that has some room to run after recently moving up from a bottom.
I like Medtronic for a couple of reasons:
Medtronic’s Stable Growth and Revenue Gains
I like the large size of Medtronic and plan to hold the stock for the long term mainly because I’m very conservative when it comes to the medical equipment industry. There are just too many lawsuits, SEC reviews, and patent infringement cases that small companies must steer away from. By investing in a larger giant like Medtronic, their $60 billion market cap and reputation as a medical device maker giant really hedges a lot of potential problems.
Which medical equipment stocks do you currently hold?