Medtronic Inc (MDT-N)

They just delivered a fantastic quarter recently and has rallied 6% since then as the market rotates to healthcare.

MDT is a mature MedTech company that is now trading at a 15.9x Forward P/E. Over the last few years, MDT’s valuation has ranged from 13.4x to 22.8x Forward P/E, we think the current valuation is fairly attractive. MDT’s share price has performed well recently due to a combination of 1) investors moving to defensive sectors with stable cash flows 2) MDT reported very solid earnings with a 5.3% organic growth rate.
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MDT is a mature MedTech company that is now trading at a 15.9x Forward P/E. Over the last few years, MDT’s valuation has ranged from 13.4x to 22.8x Forward P/E, we think the current valuation is fairly attractive. MDT’s share price has performed well recently due to a combination of 1) investors moving to defensive sectors with stable cash flows 2) MDT reported very solid earnings with a 5.3% organic growth rate.
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They use AI in their medical devices; have lots of good devices.

It has neuroscience products, robotic surgery products, etc. People are getting back into having surgeries so it can raise prices. He is looking for better returns in the next while.

They partner with Nvidia aggressively, as in MDT's effective colonoscopy machine.

Demand for healthcare electronics not slowing down. Business continues to perform. However, recently sold shares - thinks better opportunities elsewhere. Not allocating capital in the best possible way. 

Medical devices, not pharma. Important area that keeps people out of expensive hospitals, improves quality of life, and reduces reliance on drugs. Great advances, which will grow over the years. You want to be in this area. He owns SYK and JNJ in the space.

Medical technology demand growing.
Surgery demand growing after the end of Covid-19.
Current share price a good buying opportunity.
Large exposure to Asia market.
Aging population also a good factor. 

Ugly chart. Street opinion is a blend of Buy and Hold at these levels. She waits to see a trend reversal before getting in. Fundamentally, 9/10. Diverse portfolio, likes the positioning. Healthcare is great before a recession, but better names out there. Ride it out until you can break even.

It reports next week. A great value name. Medtronic has been focusing on organic growth. 

It is a great company which is well diversified. It had problems with some heart devices that didn't work out well. He prefers Stryker  which is in the field of joint replacement, is well managed, less risky and a better value.

He has owned it for 20 years. It beat in the last quarter and pays a good dividend. However there are names that are a little better such as J&J and Danaher.

A medical tech powerhouse, up 15% this year. The FDA approved their diabetes-management device, which triggered upgrades. Shares have struggled in past years, but is showing life. It reports Thursday, which he will watch. It could turnaround.

After a rough 18 months it is now a turn-around story. It is in the growth area of global medical devices. The headwinds have been supply chain issues, Covid, and inflation. It missed earnings in all four quarters last year. It has a growing dividend of 3 1/2 %.  
Buy 13   Hold 16   Sell 2