Topic: Growth Stocks

C.R. BARD INC. $102 – New York symbol BCR

C.R. BARD INC. $102 (New York symbol BCR; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 82.3 million; Market cap: $8.4 billion; Price-to-sales ratio: 2.8; Dividend yield: 0.8%; TSINetwork Rating: Above Average; www. crbard.com) sued W.L. Gore & Associates Inc., the maker of Gore-Tex fabrics, for violating its patents in 2007.

Bard and Gore both make medical stents using a Teflon-like material called ePTFE. Lower courts have previously ruled that Bard held the rights to ePTFE. However, Gore continued to make its products using this substance.

In 2009, an Arizona court ordered Gore to pay Bard $185 million. With interest, royalties and fees, that award is now worth over $900 million, or 11% of Bard’s market cap. The U.S. Supreme Court has refused to hear Gore’s appeal. That increases the likelihood that Bard will receive at least part of this award.

C.R. Bard is a buy.

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