Here's Why You Should Hold IART Stock in Your Portfolio Now

Integra LifeSciences Holdings Corporation IART is well-poised to grow in the coming quarter, driven by healthy sales growth within its Tissue Technologies business. The company’s rapid international business growth looks encouraging. Meanwhile, headwinds such as currency fluctuation and fierce competition pose concerns for Integra’s operations.In the past year, this Zacks Rank #3 (Hold) company’s shares have lost 48.4% against the industry’s 5.2% growth and the  S&P 500 composite’s 26.5% increase.The renowned medical device company has a market capitalization of $1.73 billion. In the last quarter, the company delivered an earnings surprise of 1.41%.Let’s delve deeper.Tailwinds for IART StockDecent Sales Projections Within Tissue Technologies: Integra's Tissue Technologies business is consistently gaining traction on efficient growth strategies and a better price management policy. Within the business, the wound reconstruction subcategory is gaining momentum, banking on robust demand for Integra Skin, DuraSorb and the UBM portfolio, including MicroMatrix and Cytal. As a major development within this business, Integra announced its plans to restart the production of PriMatrix and SurgiMend at the new state-of-the-art manufacturing facility in Braintree, MA. As of the third-quarter earnings call, Integra had largely completed construction and begun installing equipment within the facility. Solid Growth in International Business: Integra is successfully broadening its international footprint through certain key developments on the overseas front. International sales within Codman Specialty Surgical have been strong recently, driven by growth in the core neurosurgery business and strength in certain key markets such as Europe, Canada, China and Japan. Per Integra, the acquisition of Codman is effectively doubling the company’s international business within the CSS segment.In terms of the latest developments, the company witnessed continued strength in its international markets in the third quarter despite adverse consequences of the ongoing supply issues. The company is also gaining from the global relaunch of CereLink and witnessing strong market uptake, demonstrating the resilience and differentiation of its intracranial pressor monitoring portfolio.Headwinds for IART StockForeign Exchange Woes: Integra generates significant revenues outside the United States, some of which are U.S. dollar-denominated transactions conducted with customers who generate revenues in currencies other than the U.S. dollar. As a result, currency fluctuations between the U.S. dollar and the currencies in which those customers do business may impact the demand for IART’s products in foreign countries. With the recent upward trend observed in the value of the U.S. dollar, further acceleration expected by analysts in this value may affect the company’s revenues overseas. Image Source: Zacks Investment ResearchCompetitive Pressure: Integra faces significant competition in the surgical implants and medical instruments market. The company needs to be innovative on the product front to keep up with the competition. Moreover, consolidation trends in the industry could lead to intense pricing pressure and further competition in this niche. In addition, IART competes with many smaller, specialized and larger companies that do not otherwise focus on specialty surgical solutions.IART’s Estimate TrendThe Zacks Consensus Estimate for 2024 earnings per share has remained constant at $2.45 in the past 30 days.The consensus estimate for the company’s 2024 revenues is pegged at $1.61 billion, which indicates a 4.6% increase from the year-ago reported number.Key PicksSome better-ranked stocks in the broader medical space are Omnicell OMCL, Penumbra PEN and ResMed RMD.Omnicell has an earnings yield of 3.7% compared to the industry’s 9.5%. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 121.74%. OMCL’s shares have risen 15.2% against the industry’s 16.8% decline in the past year.OMCL carries a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.Penumbra, carrying a Zacks Rank #2 (Buy) at present, has an estimated 2024 earnings growth rate of 33.5% compared with the industry’s 15.9%. Shares of Penumbra have lost 5.3% against the industry’s 5.3% growth in the past year. PEN’s earnings surpassed estimates in three of the trailing four quarters and missed in one, the average surprise being 10.54%.ResMed, carrying a Zacks Rank #2 at present, has an estimated earnings growth rate of 8.9% for fiscal 2025. Its shares have surged 33.4% compared with the industry’s 11.1% growth in the past year. RMD’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.41%. Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Omnicell, Inc. (OMCL): Free Stock Analysis Report ResMed Inc. (RMD): Free Stock Analysis Report Integra LifeSciences Holdings Corporation (IART): Free Stock Analysis Report Penumbra, Inc. (PEN): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks