This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stryker Corporation - Shareholder/Analyst Call

This slide is a bit of an eye chart, and I'll qualify it. This slide represents all the individual segments that Stryker participates in. So you would expect, on the horizontal axis across the top, that Stryker would have black boxes in every category. So I don't want to be disingenuous here. But what we're attempting to show is that in the 3 categories, Reconstructive, MedSurg, Neurotech and Spine, of the host of competitors across the top, there's no one in those 3 segments that offers the breadth that we offer in those segments. So the message here is when we dive into a segment, we don't dabble, we go all in. And I think that reflects our acquisition of Ascent, and I think it is reflected in our acquisition of Neurovascular. We went after those, get into a new segment and we did it in a market share-leading approach.

This slide represents the company's history. Again, a little bit backward looking in terms of where we've been. You can see sales on the top, a nice, increasing trend even in 2009 in the midst of a very tough economic environment. Adjusted EPS, always climbing. I'm going to jump over dividends. I'll circle back on that in a moment. And R&D has been in a nice, upward trend. Somewhere in the midpoint of that 5% to 6% of sales range that we have historically targeted, in recent years it's been in the higher end of that. And as we've talked about this year, R&D, on a dollar for dollar basis, will essentially be flat with prior year because of the divestiture of the Biotech business and moving those R&D dollars into other parts of the company.

Coming back to dividends, there is a lot of rhetoric right now about capital allocation strategies. The point of this slide, and I'll circle back in a little bit later, we don't feel compelled right now to make any big change in our approach on dividends. We have had a very consistent and measured and, I would argue, aggressive approach on our dividend policy for the last 5 years. And I'll circle back in a little bit later, but I want to tee that up right now.

4 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs