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Here's Why You Should Invest in Wright Medical (WMGI) Now

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Wright Medical Group N.V. (WMGI - Free Report) is one of the top-performing stocks in the MedTech space now. A raised outlook for 2018 and a broad spectrum of products favor the stock.

Price Performance

In a year’s time, shares of Wright Medical have rallied 19.3% compared with the industry's 5% growth. The current level also compares favorably with the S&P 500 index’s decline of 7.4%.

The stock currently carries a Zacks Rank #2 (Buy).

What Makes the Stock an Attractive Pick?

Bullish Outlook

Wright Medical raised the revenue guidance to the band of $825-$828 million, up from the previous $812-$822 million. This represents growth of 11-12% on a constant-currency basis.

The company expects 2018 adjusted loss per share within 8-3 cents, narrower than the previous 14-21 cents.

Full-year adjusted EBITDA is anticipated in the range of $110-$116 million, higher than the previous band of $106-$113 million.

Product Portfolio Looks Promising

In recent years, Wright Medical has spent significant resources in expanding its extremities and biologics businesses globally. The company’s rollout of SIMPLICITI shoulder system and the launch of PERFORM Reversed glenoid system are key highlights. Other notable platforms are the AUGMENT Bone Graft, SALVATION Limb Salvage and Total Ankle Replacement.

It is also encouraging to note that a series of product launches favors the stock. For instance, the launch of the PERFORM Reversed glenoid along with the expanded BLUEPRINT surgical planning modules deserve a special mention. The company is also banking on the launch of Augment Bone Graft in the United States, after it received the final FDA approval for the same and the new SALVATION 2 Limb Reconstruction System.

Which Way Are Estimates Treading?

For the fourth quarter, the Zacks Consensus Estimate for earnings is pegged at 6 cents, reflecting year-over-year decline of 40%. The same for revenues stands at $235.9 million, mirroring an 8.4% improvement year over year.

For 2018, the Zacks Consensus Estimate for earnings is pinned at a loss of 7 cents. The same for revenues is pegged at $834 million.

Other Key Picks

Other top-ranked stocks in the broader medical space are Veeva Systems Inc. (VEEV - Free Report) , Integer Holdings Corporation (ITGR - Free Report) and OPKO Health, Inc. (OPK - Free Report) .

Veeva Systems’ long-term earnings growth rate is projected at 19.5%. The stock currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Integer projects earnings growth rate of 31.2% for the fourth quarter. It currently carries a Zacks Rank #1.

OPKO Health’s long-term earnings growth rate is projected at 12%. The stock presently carries a Zacks Rank of 1.

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