5 Best Global Stocks To Buy Now

2. Medtronic plc (NYSE:MDT)

Number of Hedge Fund Holders: 54

Next on our list of the best global stocks is Medtronic plc (NYSE:MDT), an Irish company that manufactures and sells device-based medical therapies to healthcare systems, clinicians, and patients worldwide. Despite supply constraints, Medtronic plc (NYSE:MDT) returned notable amounts of cash to shareholders last year and is positioned to do so this year as well. 

On October 5, Citi analyst Joanne Wuensch reiterated a Buy recommendation on Medtronic plc (NYSE:MDT) but lowered the price target on the shares to $108 from $110. The analyst is bullish on device utilization in a normalized environment and said “the best thing that could come out of the 3Q season is an in-line delivery, 2022 reiterations, and a level setting for 2023.”

According to Insider Monkey’s data, 54 hedge funds were long Medtronic plc (NYSE:MDT) at the end of June 2022, and Arrowstreet Capital featured as the leading position holder in the company, with 3.8 million shares worth $338.3 million. 

Here is what Artisan Partners specifically said about Medtronic plc (NYSE:MDT) in its Q2 2022 investor letter:

“While Medtronic plc (NYSE:MDT)’s procedure volumes recovered to pre-COVID levels, foreign exchange headwinds overshadowed underlying business value growth, and supply chain issues, including those related to China’s lockdowns, impacted the surgical innovations business. The downdraft in the market during the quarter led to a pile-on. We are being patient with our investment in Medtronic because the company continues to be a strong free cash flow generator and is attractively priced, with a FCF yield of 5% on trailing one-year numbers and a dividend yield of 3%. Medtronic is under new management that is focused on growing the company’s top line, reinvesting in R&D, returning cash to shareholders and growing operating profits. We like new management’s strategy and believe new product launches, increased surgery visits, sound M&A transactions and a shareholder returns focus, should reinvigorate the business. We added to our positions in these health care names during the quarter.”