12 Best Medical Device Stocks to Buy According to Analysts

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1. Butterfly Network, Inc. (NYSE:BFLY)

Analyst Upside: 163.16%

Number of Hedge Fund Holders: 33

Butterfly Network, Inc. (NYSE:BFLY) is one of the best medical device stocks to buy according to analysts. On August 1, analyst Josh Jennings from TD Cowen reiterated a Buy rating on Butterfly Network, Inc. (NYSE:BFLY), setting a $3.50 price target.

The analyst told investors in a research note that Butterfly Network, Inc. (NYSE:BFLY) attained record quarterly revenue and gross margin in Q2 despite a challenging macro environment affecting sales cycles and enterprise deals.

Butterfly Network, Inc. (NYSE:BFLY) reported $23.4 million in revenue for the quarter, reflecting a 9% year-over-year growth. The growth was attributed to international market expansion and higher average selling prices.

The analyst further reasoned that Butterfly Network, Inc. (NYSE:BFLY) underwent an 18% growth in gross profit compared to last year, resulting in a record high gross margin of 63.7%.

Butterfly Network (NYSE:BFLY) is a digital health company specializing in transforming care through intuitive software, semiconductor-based ultrasound technology, services, and educational offerings. The company has two portable ultrasound devices on the market: the third-generation Butterfly iQ3 and the second-generation Butterfly iQ+. The Ultrasound-on-Chip technology powers both technologies, allowing them to undertake whole-body imaging on a single handheld probe through digital semiconductor technology.

While we acknowledge the potential of BFLY 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 BFLY and that has 100x upside potential, check out our report about this cheapest AI stock.

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