Wright Medical Group (WMGI) - Raising PT After Solid Quarter - Leerink

Leerink Partners analyst, Richard Newitter, reiterated his Outperform rating on shares of Wright Medical (NASDAQ: WMGI) after the company's 2Q outperformance, guidance raise, and positive litigation update reinforce the analyst's bullish view on the stock.

The analyst cited 3 points:

1) WMGI/TRNX remains an attractive mid-cap growth extremities/biologics asset with broad reach across three of the fastest-growing ortho markets (shoulder, foot & ankle, and biologics) with ramping/inflecting EBITDA margin

2) upper/lower extremities end-mkt growth remains healthy & WMGI's share gain prospects within them is strong

3) a settlement related to the company's metal-on-metal (MoM) litigation has been an overhang on the stock and is not likely to be worse than feared.

The price target goes to $27.00 from $25.00 based on higher estimates & multiple.

For an analyst ratings summary and ratings history on Wright Medical click here. For more ratings news on Wright Medical click here.

Shares of Wright Medical closed at $21.18 yesterday.

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