Over the last three months, STERIS is trading above the broader Medical Instruments industry. We are impressed with the company’s persistent strong organic growth performance across most of its segments. Notably, Synergy Health continues to be one of the contributors to the company’s top line growth. The company’s last reported fourth-quarter fiscal 2017 results were also encouraging. Further, the company’s strong cash position buoys optimism. However, the year-over-year decline in sales was disappointing. Also the lowered guidance for fiscal 2018 revenue hints at a gloomy operating scenario in the days ahead. We note that, governments and insurance companies’ consistent efforts to curb the rising healthcare cost, has been putting pressure on the stock for quite some time. Additionally, currency and market headwinds continue to woe the company.