Stryker Q2 - Inline numbers

Last week, medical device maker Stryker released results which were mostly what the market was expecting. Revenue was $5.4 billion (in-line with forecasts), earnings were $2.79 per share (a marginal beat) and forward guidance was on the mark. The market is a funny thing, matching expectations isn't exciting enough so Stryker's share price dropped slightly the next day.

These earnings feel almost irrelevant a week later, given all that has happened in the market in the last couple of days. Interestingly, Stryker has been up since Tuesday last week, highlighting the importance of having a diversified portfolio.

Looking at the results, the bulk of the 8.5% revenue growth came from sales volume increases, with price increases contributing a small amount. For Stryker, operating in a strong market, solid sales volume growth is a good sign. They are investing in the future, holding their research and development spending at around 7% of revenue. Medical innovation requires continuous investment in future technologies.

Stryker has a massive opportunity to push harder into the global market. At the moment, $4 billion of the $5.4 billion in sales per quarter comes from the US.

In summary, Stryker reported a set of pretty boring numbers, which in the current volatile climate is a good thing. We are happy shareholders. Steady as we go.