By Peet Serfontein and Khumbulani Kunene
We enter a long position with a target price of $401.00 and a stop-loss of $309.00.
Stryker Corporation develops, manufactures and markets a broad range of medical devices, equipment and digital healthcare solutions used by hospitals, surgical centres and healthcare professionals.
Stryker serves customers worldwide and impacts more than 150 million patients annually. Fundamentally, the company has built a reputation for consistent product innovation, strategic acquisitions and strong relationships with healthcare providers, making it one of the largest and most influential medical device companies in the United States (US).
Technically, the price at the lower range of an inclining linear regression channel pattern presents an attractive buying opportunity (see the insert on the main chart). This pattern supports a constructive long-term outlook given the recent rebound from the vicinity of the −2 standard deviation band, suggesting that selling pressure may be easing and that buyers are beginning to re-emerge.
The price seems to be in the accumulation phase of the Wyckoff Price Cycle, also supportive of a bullish bias for the stock. This phase is typically characterised by diminishing selling pressure and improving market participation.
Upside price momentum according to the Moving Average Convergence Divergence (MACD) histogram, and the recent upward trajectory of the On-Balance Volume (OBV) indicator also supports our bullish view.
Share Performance
Share information
| Share Code | SYK US |
| Industry | Health Care Equipment & Services |
| Market Capital (USD) | 126.41 billion |
| One-Year Total Return | -14.47% |
| Return Year-to-Date | -5.67% |
| Current Price (USD) | 329.74 |
| 52-Week High (USD) | 404.87 |
| 52-Week Low (USD) | 281.00 |
| Financial Year End | December |
| The price remains below its 200-day simple moving average (SMA) but recently crossed above its 200-week SMA, which represents an encouraging longer-term technical development. | |
| FY25 | FY26E | FY27E | FY28E | |
|---|---|---|---|---|
| Headline Earnings per Share (USD) | 13.63 | 14.98 | 16.72 | 18.57 |
| Growth (%) | 9.93 | 11.59 | 11.08 | |
| Dividend Per Share (USD) | 3.36 | 3.55 | 3.81 | 4.17 |
| Growth (%) | 5.65 | 7.18 | 9.59 | |
| Forward PE (times) | 22.01 | 19.72 | 17.75 | |
| Forward Dividend Yield (%) | 1.08 | 1.15 | 1.26 | |
| The company is set to deliver double-digit earnings growth over the medium term, supported by healthy underlying demand and a robust pipeline. | ||||
Buy/Sell rationale
Technical analysis
Fundamental view
Update on previous Trade Ideas
| Share Name and position | Entry | Current Price | Movement | Comment | Time to exit |
|---|---|---|---|---|---|
| AXON - Take profit (Close position) | 452.51 | 593.96 | +31.3% | Take profit. Stock has reached profit target. | 26 September 2026 |
| VRTX - Take profit (Close position) | 453.17 | 528.04 | +16.5% | Take profit. Stock has reached profit target. | 26 August 2026 |
| AXP - Time exit (Close position) | 307.03 | 349.58 | +13.9% | Stock has reached time to exit. | 8 July 2026 |
| WMT - Stop loss (Close position) | 119.42 | 108.82 | -8.9% | Stock has hit stop-loss. Exit trade. | 27 October 2026 |
| VMC - Buy (Continue to hold) | 268.94 | 299.90 | +11.5% | The combination of supportive long-term trend dynamics, improving momentum conditions and favourable mean-reversion characteristics remains of interest. Remains above its 200-day SMA. Upside momentum halted, which is a concern. Our profit target is maintained at $314.00 with a trailing stop-loss at ~$290.00. | 19 August 2026 |
| MA - Buy (Continue to hold) | 513.60 | 531.60 | +3.5% | The price at the lower range of an inclining linear regression channel pattern remains of interest. Testing its 200-day SMA. Upside momentum is supportive. Our profit target is maintained at $570.00 with a trailing stop-loss at $519.00. | 2 September 2026 |
| UBER - Buy (Continue to hold) | 72.33 | 74.33 | +2.8% | The combination of the price at the lower range of an inclining channel pattern and the development of a double-bottom pattern remains of interest. Remains below its 200-day SMA. Upside momentum regained some strength, which is supportive. Our profit target is maintained at $85.00 with a trailing stop-loss at $71.60. | 11 August 2026 |
