Every investor would love to stumble upon the perfect stock. But will you ever really find a stock that provides everything you could possibly want?

One thing's for sure: You'll never discover truly great investments unless you actively look for them. Let's discuss the ideal qualities of a perfect stock, then decide if Medtronic, Inc. (NYSE:MDT) fits the bill.

The quest for perfection Stocks that look great based on one factor may prove horrible elsewhere, making due diligence a crucial part of your investing research. The best stocks excel in many different areas, including these important factors:

• Growth. Expanding businesses show healthy revenue growth. While past growth is no guarantee that revenue will keep rising, it's certainly a better sign than a stagnant top line.
• Margins. Higher sales mean nothing if a company can't produce profits from them. Strong margins ensure that company can turn revenue into profit.
• Balance sheet. At debt-laden companies, banks and bondholders compete with shareholders for management's attention. Companies with strong balance sheets don't have to worry about the distraction of debt.
• Money-making opportunities. Return on equity helps measure how well a company is finding opportunities to turn its resources into profitable business endeavors.
• Valuation. You can't afford to pay too much for even the best companies. By using normalized figures, you can see how a stock's simple earnings multiple fits into a longer-term context.
• Dividends. For tangible proof of profits, a check to shareholders every three months can't be beat. Companies with solid dividends and strong commitments to increasing payouts treat shareholders well.

With those factors in mind, let's take a closer look at Medtronic, Inc. (NYSE:MDT).

Source: S&P Capital IQ. Total score = number of passes.

Since we looked at Medtronic last year, the company hung onto its seven-point score for the third year in a row. The stock has also been quite consistent, posting gains of around 15% over the past year.

Medtronic is a giant in the medical-devices industry, with particular specialties in cardiac and cardiovascular devices like pacemakers, valves, and stents. With an aging population, that has been a high-growth industry, even as headwinds like the new excise tax on medical-device sales weighing on Medtronic's future prospects.

One area where Medtronic has focused its efforts is in China. With its September purchase of China Kanghui Holdings, Medtronic, Inc. (NYSE:MDT) boosted its presence in the orthopedic implant market, fighting back against both Johnson & Johnson (NYSE:JNJ) and Zimmer Holdings (NYSE:ZMH) . J&J has been able to boost its international medical device business despite adverse currency impacts, with the Asia-Pacific region providing much of the gains, while Zimmer made its own Chinese acquisition in 2010 and now relies on Asia for nearly a fifth of its total revenue.