Stryker Corp

Stryker posted a convincing third-quarter beat, with adjusted EPS of $3.19 topping the $3.13 consensus by 1.86% and revenue of $6.06 billion edging above estimates by 0.20% while growing 10.3% year-over-year. The standout driver was 9.5% organic growth, well above Street expectations, fueled by 9.1% volume gains that reflected broad procedural demand across both the Orthopaedics and MedSurg and Neurotechnology segments. Orthopaedics delivered 11.4% organic growth, with Trauma and Extremities and Knees leading, while the Vascular business surged 59.6% on a reported basis following the earlier close of the Inari Medical acquisition. Adjusted operating margin expanded 90 basis points to 25.6%, demonstrating disciplined cost management even as acquisition-related financing lifted interest expense sharply to $106 million. Institutional investors have taken note, with new stakes reported in recent weeks. Management raised full-year 2025 guidance, now targeting organic net sales growth of 9.8% to 10.2% and adjusted EPS of $13.50 to $13.60, with foreign exchange expected to provide a modest tailwind.