Stockchase Opinions

Danny Tomka Biomet Inc BMET-Q TOP PICK Mar 29, 2005

Primary business is the hip/knee replacements. What has generated a product cycle recently is that they can do hips less invasively with only small incisions and knees can be replaced. Stock has been coming off recently. Trades around 19 X earnings. Top line growth is 15% and earnings closer to 20%.
$38.760

Stock price when the opinion was issued

biotechnology pharmaceutical
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TOP PICK
Medical devices have been holding up well and Biomet is the world leader in orthopedic devices. Growing revenues. Some competition.
PAST TOP PICK
(Was a top pick on Feb 13. Up 8%.) Still likes. Would continue to buy under $30.
TOP PICK
A little volatile. No debt. Earnings growth is 15/20% a year. Has a lot of sales in Europe which acts as a hedge on currency. Age demographics means more demand for their products.
PAST TOP PICK
(Was a top pick on May 23/03. No change.) An age demographic play.
TOP PICK
Health care looks very attractive.
TOP PICK
Generally cautious on the mainstream pharmaceutical companies, but this company is well positioned to benefit from the aging baby boomers with artificial hips and knees.
TOP PICK
Has $2 billion in sales. Knee and hip business. Likes this business. Great demographics with an older population. Wonderful cash flow earnings growth. Limited competition so reasonably stable.