Oppenheimer Publishes Industry Update on Large-Cap Medtech

In the report, Oppenheimer writes, “Overall, our investment bias in large cap remains toward companies focusing cash flow on diversification efforts and working more broadly/creatively with hospitals in an environment where providers want fewer vendors. We see Outperform-rated MDT and SYK as farther along in these efforts. We note that Perform-rated BSX and STJ have P&L offsets to near-term revenue pressures and expectations are low for both heading into 3Q.Medium-term overhangs keep us on the sidelines. Finally, we remain most cautious on Perform-rated ZMH given high exposure to the sluggish hip/knee market”. Companies Included in the Oppenheimer report are: Medtronic

, Stryker

, Boston Scientific

, and St. Jude Medical

.