Medtronic CEO Pushes Back on Barclays Negative Comments
Shares of Medtronic fell 6.5% after Medtronic CEO, Omar Ishrak, said during a presentation at the J.P. Morgan Healthcare Conference that sales would fall at the mid-point of the company's yearly projections due to softness in their cardiac and vascular divisions.
On Tuesday, a Barclays research note shared a negative response to Medtronic's presentation at the J.P Morgan Healthcare Conference and added that the company has taken a "step back" based on their outlook.
Additionally, CNBC reported that Barclays analyst Kristen Stewart cut her price target on the stock to $104 from $113 and reiterated her overweight rating.
In a research note, Stewart said she wasn’t surprised by the sharp stock reaction and characterized Ishrak’s comments as “cautious.”
“If it isn’t one thing, it seems to be another when it comes to Medtronic,” Stewart said. “Medtronic has had a somewhat spotty record when it comes to providing guidance and has been affected by a series of one-off events over the past year and a half.”
In an interview with CNBC's Jim Cramer, Medtronic CEO, Omar Ishrak, pushed back on Barclays comments saying Medtronic has “the strongest pipeline that we’ve ever had in this company.” He continued, “We innovate, we create new markets and we disrupt our own market. We think these are game changers for health care.”
You can see Jim Cramer's interview in its entirety below: