Analysts see risks for elective-procedure medtechs after HCA cuts profit forecast

Edwards Lifesciences

15/07/2026 11:11

** RBC Capital Markets says medical device makers with significant elective procedure exposure could face pressure heading into second-quarter earnings after HCA Healthcare's HCA.N warning on weaker surgical volumes and rising uninsured patient levels
** RBC's discussions with the CFO of a Massachusetts-based hospital pointed to procedure volumes running about 5% lower over the past three months, driven largely by delayed elective surgeries, especially orthopedics
** Brokerage sees Zimmer Biomet ZBH.N as most exposed due to its orthopedic focus, while Intuitive Surgical ISRG.O, GE HealthCare GEHC.O and Stryker SYK.N could also face headwinds from weaker hospital capital spending
** RBC says electrophysiology, interventional cardiology and structural heart procedures remain relatively resilient, favoring names such as Johnson & Johnson JNJ.N, Edwards Lifesciences EW.N, Abbott ABT.N, Boston Scientific BSX.N and Medtronic MDT.N
   ** HCA's warning weighed on device stocks on Tuesday, with ISRG down 6.8%, SYK down 6.2%, MDT down 5.1%, BSX down 4.5%, Abbott down 3.4% and ZBH down 3.2%
** Citi's survey of 40 hospital executives showed about 70% reported ACA-related volume headwinds in Q2, but 86% expect deferred patients to return in the H2 2026, suggesting pressure may be temporary rather than structural


 (Reporting by Siddhi Mahatole)
 ((siddhi.mahatole@thomsonreuters.com))