From Yahoo Finance: 2025-05-09 06:35:00

In a recent article, we listed the 11 best medical device stocks to buy now, including Medtronic plc (NYSE: MDT). Trump’s tariffs are creating a divide in the medical community, with device makers facing challenges while protective equipment manufacturers may benefit. The duties could raise costs for hospitals and patients, impacting access to critical care and equipment.

The medical community is split as Trump’s tariffs impact medical device and protective gear manufacturers differently. These tariffs may increase healthcare costs for patients and taxpayers, ultimately affecting Medicare, Medicaid, and VA programs. Hospital trade groups are advocating for tariff exemptions to maintain quality care and patient access to critical devices.

President Trump has imposed significant tariffs on imported goods, with Chinese goods facing a 145% tariff rate. Medical institutions buying equipment may struggle to pass on higher costs under current insurance contracts. Businesses like Aeroflow Health are concerned about passing tariff costs onto consumers and seek predictability in tariff changes.

Medtronic plc (NYSE: MDT) received FDA approval for the OmniaSecure defibrillation lead, a significant innovation in electrophysiology. The company’s recent announcement of positive clinical study results for robotic-assisted urologic surgery also boosted investor sentiment. Wells Fargo analyst Larry Biegelsen maintained a Buy rating on MDT with a price target of $98.00.

While Medtronic plc (NYSE: MDT) ranks 9th on the list of best medical device stocks to buy now, some AI stocks may offer greater returns in a shorter timeframe. Investors seeking promising AI stocks with high potential should consider alternatives to MDT. Check out our report on an undervalued AI stock with massive upside potential trading at less than 5 times its earnings.

Read more: Is Medtronic plc (MDT) the Best Medical Device Stock to Buy Now?