Wright Medical Group, Inc.’s (WMGI) Coverage Initiated With A Buy Rating

Duncan-Williams, Inc. has initiated coverage of Wright Medical Group, Inc. (NASDAQ: WMGI) with a Buy rating. Duncan-Williams has set a 12-month price target of $20 for the Wright Medical Group, Inc. stock, which is based on a multiple of 20x 2011 EPS estimate of $1.

According to Duncan-Williams, the company has significant defensive-growth characteristics. Duncan-Williams believes that the aging population, and increasing obesity trends in the U.S. puts the company in position for long-term growth.

The company has a diversified product line, which includes knee reconstruction, hip reconstruction, extremity reconstruction, and biologic product.