Oppenheimer Outperform On Medtronic (MDT)

Oppenheimer & Co. has an Outperform rating and a $48 price target on shares of Medtronic MDT, as it previews earnings from Medtronic. In a note to investors, Oppenheimer writes, "MDT's F4Q11 results are due May 24. FY12 guidance will also be provided. We look for accelerated FY12 sales and EPS growth after a tough FY11 led by several recent key product launches. Sales will also benefit from easier comps and a much stronger FX tailwind based on current rates. Challenges remain: including suppressed US ICD growth and InFuse headwinds. But with MDT's pipeline now delivering, cash flow still strong, expected accelerated growth in FY12 and a new CEO imminent, we're upping our PT from $42 to $48 (1.5x PE/Growth—in line with peers). MDT still trades near ten-year lows relative to large cap medtech." Shares of MDT gained 45 cents on Friday to close at $42.69, a gain of 1.07%.