1 Stock the Shorts are Wrong About

The following video is part of our "Motley Fool Conversations" series, in which health-care editor/analyst David Williamson and industrials editor/analyst Brendan Byrnes discuss topics across the investing world.

In today's edition, David and Brendan take a closer look at two highly shorted healthcare companies with high short interest and discuss whether the shorts" have it right. Medical Equipment makers MAKO Surgical and Hansen Medical find themselves with alarmingly high short positions; 33.5% and 25% of each companies' respective floats. But, are the shorts right to wager so heavily on these companies and their game-changing technologies? Watch and find out.

With Europe in shambles, many investors may be nervous about investing in a company that's internationally focused, but they shouldn't be. Emerging markets are giving new life to established American companies with deep pockets. As these industry titans look abroad for more sales, they aren't starting with a blank slate -- they're bringing their operational excellence to new markets and thriving. To uncover these picks today, we invite you to read a copy of our free report: "3 American Companies Set to Dominate the World." The report won't be available forever, so we invite you to enjoy a free copy today. Click here to get your copy today!

Brendan Byrnes has no positions in the stocks mentioned above. David Williamson owns shares of Johnson & Johnson. The Motley Fool owns shares of Johnson & Johnson and MAKO Surgical. Motley Fool newsletter services recommend Intuitive Surgical, Johnson & Johnson and MAKO Surgical. 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.

Read/Post Comments (4) | Recommend This Article (8)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On February 29, 2012, at 11:30 PM, jdwelch62 wrote:

    David is right; the shorts have got it wrong. MAKO has great procedures that are beneficial to the patients in so many ways, & they've got a great business model. I think it's just a matter of a couple more years of good, solid sales & they will hit a tipping point where demand will heat up & sales will take off. I bought, gonna hold & hope I can buy more sometime soon before they take off... :-)

  • Report this Comment On March 01, 2012, at 9:39 AM, Borisbmx wrote:

    i agree with jd. the market is gonna expand, and if the competition doesnt hog the opportunity, mako should do well.

  • Report this Comment On March 01, 2012, at 9:48 AM, GW1000 wrote:

    What competition are you refering to?

  • Report this Comment On March 01, 2012, at 10:06 AM, Borisbmx wrote:

    lets see the companies that have a $8 billion stake in the business. don't expect them to sit back and do nothing.

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1796359, ~/Articles/ArticleHandler.aspx, 10/23/2016 4:28:23 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 1 day ago Sponsored by:
DOW 18,145.71 -16.64 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
HNSN $0.00 Down +0.00 +0.00%
Hansen Medical CAPS Rating: *
MAKO.DL $0.00 Down +0.00 +0.00%
MAKO Surgical CAPS Rating: ****
ISRG $678.02 Down -3.80 -0.56%
Intuitive Surgical CAPS Rating: ****
JNJ $113.44 Down -1.43 -1.24%
Johnson and Johnso… CAPS Rating: ****