Topic: Growth Stocks

Growth stocks: Here’s another way to profit from an aging population

Demand for medical devices and supplies will undoubtedly continue to grow as the population ages. Companies in this fast-changing field make a wide range of products, from wheelchairs to syringes and surgical instruments.

Some medical-equipment firms are large and well-established, like Baxter International (symbol BAX on New York), one of the stocks we cover in our Wall Street Stock Forecaster newsletter.

Baxter gets most of its sales from its Medical Products division, which makes intravenous pumps, syringes and kidney-dialysis equipment. Overall, the company has over $12.8 billion U.S. in annual sales. It also has a long history of paying dividends.

At the other end of the scale are companies like Intuitive Surgical (symbol ISRG on Nasdaq). The growth stock’s share price has risen sharply since the start of this year, but its sales of $1.7 billion U.S. are only about 13% of Baxter’s sales. As well, Intuitive only has one product — the da Vinci computerized surgical system (more on that below) — and does not pay a dividend.

In light of the growth stock’s rapidly rising share price and other developments, we’ve updated our buy/sell/hold advice on Intuitive in a just-published issue of Stock Pickers Digest, our newsletter that recommends growth stocks for the part of your portfolio you devote to aggressive investing. Read on to learn how you can get your copy of this issue absolutely FREE.

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This growth stock’s specialized product helps it hold on to customers

One of Intuitive Surgical’s key advantages is its strong brand loyalty. That’s because the company makes a highly specialized product: the “da Vinci,” a computerized surgical system.

Guided by a miniature camera connected to a 3-D monitor, surgeons use the da Vinci to operate by remotely manipulating tiny robotic arms. This is safer and far less invasive than regular surgery, and helps cut a patient’s recovery time and post-operative discomfort. It also lowers scarring and infection risk.

The growth stock’s sales have been steadily climbing. That’s because more hospitals are using robots to perform a wider range of surgeries, largely because of Intuitive’s successful marketing efforts.

Get our updated analysis and clear buy/sell/hold advice on Intuitive Surgical and 19 other aggressive growth stocks FREE

Even though Intuitive has a number of strengths, there are risks involved in investing in the company. For example, the growth stock’s rapid share-price rise makes it vulnerable to a downturn on any hint of bad news. Moreover, drug stocks and medical-supply firms will face higher costs under the new U.S. health-care reforms (nicknamed “Obamacare”).

In the latest Stock Pickers Digest, we take a fresh look at Intuitive to see if its recent moves are enough to help it keep improving its sales.

Best of all, you can get our analysis, which concludes with our clear advice on whether you should buy, hold—or sell—this intriguing investment absolutely FREE when you take a 1-month FREE trial to Stock Pickers Digest today.

This issue also includes our full analysis of 19 other stocks that might be appropriate for your aggressive portfolio. Plus you also get 5 in-depth Special Reports and access to our weekly Email/Telephone Hotlines. Don’t wait! Click here to get started right away.

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