10 Undervalued Medical Device Stocks to Buy Now

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1. Zimmer Biomet Holdings, Inc. (NYSE:ZBH)

Forward P/E: 11.74

Number of Hedge Fund Holders: 52

Zimmer Biomet Holdings, Inc. (NYSE:ZBH) is one of the best undervalued medical device stocks to buy now. On July 10, Needham analyst Michael Matson maintained a neutral stance on Zimmer Biomet Holdings, Inc. (NYSE:ZBH), giving the stock a Hold rating. The analyst based the rating on the company’s recent strategic decision to acquire Monogram Technologies.

The acquisition is valued at around $168 million and aims at boosting the company’s robotics and enabling technologies offerings.

Although the analyst acknowledged that the acquisition is anticipated to be neutral to earnings per share between 2025 and 2027, he expressed some reservations associated with potential interest from surgeons in a fully automated robotic system.

He also stated that the acquisition may potentially bolster Zimmer Biomet Holdings, Inc.’s (NYSE:ZBH) standing in the robotics space, especially with the integration of Monogram’s AI-navigated knee arthroplasty solutions.

Despite this, Matson maintained a cautiously neutral outlook due to his concerns regarding the adoption of fully autonomous systems by surgeons.

Zimmer Biomet Holdings, Inc. (NYSE:ZBH) designs, manufactures, and markets orthopedic reconstructive products. It also offers biologics, extremities, sports medicine, dental implants, trauma products, and related surgical products.

While we acknowledge the potential of ZBH to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ZBH and that has 100x upside potential, check out our report about this cheapest AI stock.

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