Is Edwards Lifesciences (EW) a Smart Long-Term Buy?

Wedgewood Partners, an investment management firm, published its fourth quarter 2022 investor letter – a copy of which can be downloaded here. A quarterly net increase of 5.2% has been recorded by the fund for the fourth quarter of 2022, below the S&P 500 Index’s 7.56% gain for the same period. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

In its Q3 2022 investor letter, Wedgewood Partners mentioned Edwards Lifesciences Corporation (NYSE:EW) and explained its insights for the company. Founded in 1958, Edwards Lifesciences Corporation (NYSE:EW) is an Irvine, California-based medical technology company with a $48.4 billion market capitalization. Edwards Lifesciences Corporation (NYSE:EW) delivered a 4.96% return since the beginning of the year, while its 12-month returns are down by -32.58%. The stock closed at $78.31 per share on January 18, 2023.

Here is what Wedgewood Partners has to say about Edwards Lifesciences Corporation (NYSE:EW) in its Q3 2022 investor letter:

“Edwards Lifesciences reported +6% growth in revenue (foreign exchange adjusted) compared to a year ago. While this quarter represented a deceleration in revenue growth from earlier this year, much of that was due to hospital staffing shortages and the vagaries of global health-care systems emerging from a myriad of Pandemic disruptions. Earlier this year, the Company received FDA approval for its minimally invasive mitral valve repair system PASCAL. The Company has presented compelling clinical data, which could help support accelerating growth in the next few years. As for Edwards’ core TAVR system, there continues to be a (unfortunately) pent-up, untreated population suffering from severe aortic stenosis that will ultimately be able to find their way back into healthcare systems as labor market pressures ease, thus driving long-term, double-digit revenue growth.”

Source:unsplash

Our calculations show that Edwards Lifesciences Corporation (NYSE:EW) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Edwards Lifesciences Corporation (NYSE:EW) was in 57 hedge fund portfolios at the end of the second quarter of 2022, compared to 39 funds in the previous quarter. Edwards Lifesciences Corporation (NYSE:EW) delivered a -8.89% return in the past 3 months.

In October 2022, we also shared another hedge fund’s views on Edwards Lifesciences Corporation (NYSE:EW) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters Q4 2022 page.

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Disclosure: None. This article is originally published at Insider Monkey.