Can These Acquisitions Cure This Sales Slump?


Orthopedics maker Zimmer Holdings has had a tough time lately. Its sales have slumped as areas such as hip devices and spinal produces have seen revenue decline. While Zimmer's stock has soared year-to-date, this company has been hit by pricing pressures and tough competition in the industry.

Is a turnaround coming in the form of acquisitions? Zimmer agreed to acquire German device maker Normed Medizin-Technik this week, a move that comes on the heels of the company's earlier purchase of small American device company Knee Creations this year. Can these two buys put a spark back in Zimmer's sales? Motley Fool contributor Dan Carroll and health care analyst Max Macaluso discuss what you need to know below.

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Fool contributor Dan Carroll has no position in any stocks mentioned. The Motley Fool owns shares of Zimmer Holdings. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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