Stryker Launches Iconix

Orthopedic major, Stryker Corp. (SYK - Analyst Report) has launched the Iconix all suture anchor platform with IntelliBraid technology at the American Academy of Orthopaedic Surgeons 2013 Annual Meeting. The device is used in shoulder and hip arthroscopy surgeries.

The Iconix family of anchors from Stryker's Joint Preservation business represents the next generation suture anchor technology with innovative design. Iconix has been around since the first use of all suture fixation technology in clinical cases in 1998.

Stryker acquired this pioneering all suture platform from Laurane Medical, which it took over in 2011. Since then, the company has invested in developing the technology to meet the current operating room needs and allow more flexibility to doctors.

Stryker, with a market-cap of $24.65 billion, is one of the largest medical device manufacturers operating in the global orthopedic market. The ongoing turnaround in the company’s core Reconstructive business is a major positive for Stryker.

The company’s well-diversified product portfolio, expanding foothold in emerging markets along with acquisitions are expected to drive future growth. Recently, it completed the acquisition of China-based Trauson Holdings to grow its market share in the value-oriented orthopedic segment in developing nations.

Moreover, the company remains committed in delivering incremental returns to investors, as reflected in the recent hike in dividend and sizeable share repurchase program.

However, Stryker faces several challenges, which include continued soft international sales and tough hospital capital budgets. Despite the recent stability in the domestic market, the company remains challenged by the prevailing austerity measures in Europe.

Stryker carries a Zacks Rank #3 (Hold). Companies like Abaxis ((ABAX - Analyst Report)), Edwards Lifesciences ((EW - Analyst Report)) and Hanger (HGR - Analyst Report), each carrying a Zacks Rank #2 (Buy), are expected to do well in the medical industry.