MassDevice

The Medical Device Business Journal — Medical Device News & Articles | MassDevice

Home » Analyst downgrades pressure medtech stocks

Analyst downgrades pressure medtech stocks

By

thumbs downSeveral medical device companies took hits yesterday after analysts on Wall Street downgraded their stocks, on a day when the major market indices each closed up a hair, and even medtech firms that enjoyed upgrades came under pressure.

Globus Medical (NYSE:GMED) suffered the most after Morgan Stanley analyst David Lewis cut his rating on the stock from “overweight” to “equal-weight,” sliding -8.5% to a $39.61-per-share close yesterday, compared with the prior day’s closing price.

In fact, Lewis’s downgrades led the pack in terms of impact, taking Insulet (NSDQ:PODD) and Hologic (NSDQ:HOLX) shares down some -7.4% and -6.5%, respectively. Here’s a look at some of yesterday’s downgrade action:

DOWNGRADES
Company Analyst Old rating New rating Close 1/2/19 %
Globus (GMED) Morgan Stanley Overweight Equal-Weight $39.61 -8.5%
Insulet (PODD) Morgan Stanley Hold Hold* $73.43 -7.4%
Hologic (HOLX) Morgan Stanley Equal-Weight Under-Weight $38.42 -6.5%
Abbott (ABT) Citigroup Neutral Sell $69.50 -3.9%
Medtronic (MDT) Citigroup Buy Neutral $87.92 -3.3%
Henry Schein (HSIC) Robert W. Baird Outperform Neutral $76.39 -2.7%
Smith & Nephew (SNN) JP Morgan Overweight Neutral $36.40 -2.6%
Bayer (BAYN) JP Morgan Overweight Neutral $17.40 -1.0%
*cut price target

The upgrade picture was murkier, with a trio of medical device companies taking hits despite upgrades, but three others gaining (including a bullish move from Lewis on shares of Baxter (NYSE:BAX)):

UPGRADES
Company Analyst Old rating New rating Close 1/2/2019 %
Tactile Systems (TCMD) Northland Capital Under Perform Market Perform $44.59 -2.1%
Stryker (SYK) Evercore ISI In-line Outperform $154.50 -1.4%
Zimmer Biomet (ZBH) Citigroup Neutral Buy $102.28 -1.4%
Bausch Health (BHC) Piper Jaffray Neutral Overweight $20.23 0.1%
Baxter (BAX) Morgan Stanley Under-Weight Overweight $65.30 0.8%
Citigroup Neutral Buy
Apollo Endosurgery (APEN) Northland Capital Under Perform Market Perform $3.65 5.8%

By way of comparison, the three major U.S. market indices all closed up a hair yesterday, with the Dow Jones Industrial Average closing up 0.1% at 23,346.24. The S&P 500 also closed up 0.1%, at 2,510.03, and the NASDAQ index ended at 6,665.94, up 0.5%.

In case you missed it

RSS From Medical Design & Outsourcing

  • 5 of the latest cardiac tech insights out of ACC.21
    The American College of Cardiology’s 70th Annual Scientific Session has produced some positive news about some controversial cardiac tech. Drug-coated stents, which a 2018 study linked to late-stage death, were shown to be non-inferior to non-drug-coated stents in patients with peripheral arterial disease. And a new study of renal denervation that used a different methodology… […]
  • Viant expands ortho plant in France
    Viant announced today that it completed a more than $8 million expansion of its France-based Orthopedic Implant & Coating Center of Excellence. Foxborough, Mass.-based Viant’s Chaumont, France facility expansion includes a new building with a controlled-environment room and an investment in recently FDA-cleared vacuum plasma spray (VPS) coating technology, according to a news release. The… […]
  • How will clinical trials be conducted in the future?
    The COVID-19 lockdown compelled clinical trial managers and regulatory compliance officers to innovate in ensuring that critical testing moved forward while the world had shut down. With life shifting back, how much of these new measures will remain in place? Join us on Tuesday, May 18 on DeviceTalks Tuesdays to hear representatives from Medtronic, Hologic… […]
  • Edwards Lifesciences tricuspid valve reduced leakage in 98% of patients
    Edwards Lifesciences‘s Evoque tricuspid valve replacement system reduces tricuspid heart valve leakage to non-traceable or mild leakage in 98% of patients, according to a new study reported at the American College of Cardiology’s 70th Annual Scientific Session. Evoque is designed to replace native tricuspid valves without open-heart surgery. The valve is implanted using a minimally… […]
  • DTW Podcast: Getting to the heart of Boston Scientific’s peripheral business; How Hologic sees trials changing
    In this week’s episode of the DeviceTalks Weekly Podcast, Boston Scientific peripheral business EVP Jeff Mirviss explains why the specialty’s name doesn’t really reflect the importance of arteries, veins and other critical “highways” in the body. Mirviss explains where the peripheral business is headed, and why Boston Scientific is uniquely positioned to address the business.… […]
  • ReCor Medical has positive renal denervation study news
    ReCor Medical‘s renal denervation significantly reduced blood pressure among people with drug-resistant hypertension, according to a new study reported at the American College of Cardiology’s 70th Annual Scientific Session. The study news, announced yesterday, could suggest a turnaround in fortunes for renal denervation technology. One considered the next big thing in the medical device industry,… […]
  • CMS delays Medicare payments for breakthrough devices until December
    Medicare coverage for FDA-designated breakthrough medical devices will have to wait several more months, despite broad support. The Centers for Medicare and Medicaid Services (CMS) issued a final rule on Medicare Coverage of Innovative Technology (MCIT) in January, granting coverage for breakthrough devices the same day as their FDA approvals, for up to four years. Immediately… […]
  • This imaging device could be a breakthrough for breast cancer treatment
    OncoRes Medical’s system may detect cancer cells on a microscopic scale during a lumpectomy, potentially averting the need for a second breast cancer surgery. Having breast surgery to remove a cancerous lump is traumatic enough. Learning that you’ll need another operation to remove cancer cells that the surgeon couldn’t detect the first time only adds… […]
  • Americans apparently trust healthcare professionals more than FDA, CDC
    As the U.S. tries to reach a post-COVID-19 pandemic “normal,” Americans are placing more trust in nurses and doctors than agencies such as the CDC and FDA, according to a new survey from the Robert Wood Johnson Foundation and Harvard T.H. Chan School of Public Health. The survey — conducted Feb. 11 – March 15,… […]
  • May 2021 Issue: Unmasking the response to the next pandemic
    3M, others may have unmasked a solution to future N95 shortages The 10 largest orthopedic device companies in the world How big medtech fared during a year of COVID-19 Medtech moves beyond the pandemic The COVID-19 pandemic is still very much with us, and medtech companies continue churning out devices to meet coronavirus patient needs.… […]
  • FDA warns about consumer electronics and implanted devices
    The FDA is advising the public that certain consumer devices have high-field strength-magnets that can send medical devices into “magnet mode.” Magnets of this nature can affect the normal operations of implanted medical devices until the magnetic field is moved, according to the FDA news release. These medical devices are designed with a “magnet mode”… […]