Zacks Industry Outlook Highlights: Medtronic, Inc., Haemonetics Corporation, Boston Scientific Corporation, St. Jude Medical Inc. and Becton, Dickinson and Company

For Immediate Release

Chicago, IL – May 11, 2010 – Today, Zacks Equity Research discusses the Medical Devices Industry, including Medtronic, Inc. (MDT - Analyst Report), Haemonetics Corporation (HAE - Analyst Report), Boston Scientific Corporation (BSX - Analyst Report), St. Jude Medical Inc. (STJ - Analyst Report) and Becton, Dickinson and Company (BDX - Analyst Report).

A synopsis of today’s Industry Outlook is presented below. The full article can be read at http://www.zacks.com/stock/news/34019/Medical+Devices+Stock+Review+-+May+2010.

We recommend companies providing life-sustaining products to investors in the medical devices space. These companies provide a strong recurring stream of revenues as patients are unable to forego these products due to their life-sustaining nature. Furthermore, investors should allocate funds to companies with high-earnings-quality profiles.

Large companies with a wide portfolio of products are also better poised for improved returns. These companies have a greater capability of withstanding a downturn in the economy.

We advise investors to avoid companies that have grown historically through acquisitions. These companies may find it difficult to fund acquisitions in the future. Also, they face increasing challenges in delivering operational synergies from these acquisitions, which are considered to be the prime reason for failures of mergers & acquisitions. Additionally, the financial statements of these companies have a large number of one-time items that affect the quality of earnings.

In our portfolio, we see growth potential in companies dealing with cardiovascular devices, Neuro, blood-related and disposable products. Names in this list include Medtronic, Inc. (MDT - Analyst Report), Haemonetics Corporation (HAE - Analyst Report), Boston Scientific Corporation (BSX - Analyst Report), St. Jude Medical Inc. (STJ - Analyst Report) and Becton, Dickinson and Company (BDX - Analyst Report). These are all producers of life-sustaining products and are less affected by economic turbulence. Among these names, Medtronic has a diversified presence in Cardiovascular, Neuro, Spinal, Diabetes, ENT, etc.

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Read the full analyst report on MDT

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Read the full analyst report on BDX