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Medtronic Poised to Jump After Earnings

by Jon Lewis 08/19/09

Medtronic (MDT), a major player in the medical appliance and equipment field (pacemakers, defibrillators, stents, catheters, drug delivery devices, etc.), reports earrings on Aug. 25.

The company has a solid earnings track record, having missed just one analyst estimate in the past 18 quarters. The Street expects a modest profit increase of just 8% for the quarter, which compares favorably to the average 12% gain for the past four quarters.

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On the chart, Medtronic has been rising steadily since March, gaining more than 50% since the bottom.

Recently, the shares have found solid support from their ascending 10-day moving average, a trendline the stock hasn't closed a day below in more than a month. Note how the 10-day provided a solid foundation during this morning's market weakness.

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