10 Best Medical Device Stocks To Buy According to Hedge Funds

6. Abbott Laboratories (NYSE:ABT)

Number of Hedge Fund Holders: 63

Abbott Laboratories (NYSE:ABT) discovers, develops, manufactures, and sells healthcare products. Its business segments include Medical Devices, Diagnostic Products, Established Pharmaceutical Products, and Nutritional Products. Its Medical Devices segment manages the global sales of heart failure, rhythm management, structural heart, electrophysiology, neuromodulation, and diabetes care products.

Abbott Laboratories’s (NYSE:ABT) innovative abilities, diversified business, and industry expertise lend it a competitive market edge. In fiscal Q4 2024, the company generated $8.5 billion in operating cash flow, which it used to reinvest in its business by repaying debts, funding capacity expansions, and returning $5 billion to shareholders through share repurchases and dividends.

The company’s main business highlights several growth opportunities. Its FreeStyle Libre franchise in the diabetes care unit, which comprises a range of continuous glucose monitoring (CGM) systems, has been one of the most significant growth drivers for the company and holds the potential to expand its market share. The company’s cardiovascular devices, which include its structural heart portfolio, are also expected to drive long-term growth as the global population ages.

Abbott Laboratories (NYSE:ABT) is well positioned to deliver strong growth in fiscal 2025 and forecasts organic sales growth in the 7.5% to 8.5% range. The company ranks sixth on our list of the best medical device stocks to buy.