The medical technology sector is back on track for growth

The stock market has seen a remarkable increase in January, continuing the positive momentum that began in the last quarter of 2023. In this context, the Bellevue Medtech & Services fund, managed by Stefan Blum and Marcel Fritsch, has shown excellent performance, significantly outperforming major market indices. Growth prospects for 2024 look promising.

The renewed interest from investors has particularly benefited the medical technology and healthcare sector, outperforming general returns. The increasing adoption of artificial intelligence and the catch-up of surgical procedures delayed during the pandemic are contributing to an acceleration of growth in the sector. Furthermore, innovative medtech products promise significant industry evolution.

Positive profit forecasts for medical technology companies are being confirmed, notably due to discussions at the J.P. Morgan Healthcare conference in San Francisco. Optimism is based on sustained growth in surgical procedures and hopes for a better fiscal year in 2024.

The landscape for healthcare service providers also appears favorable with increasing procedure volumes and revenues. The performance of health insurance stocks in the United States illustrates this positive trend, despite some exceptions.

Fundamental conditions indicate that medical technology companies, hospital operators, and health insurers are expected to maintain a stable growth trajectory in 2024. Multiple factors, including continued product innovation and expanding profit margins, are set to benefit the sector.