+21% MTD: This small-cap medtech is climbing on earnings and takeover speculation

Investing.com — Q3 earnings season is proving that corporate fundamentals remain exceptionally resilient. With more than 60% of the S&P 500 having reported, over 80% of companies have crushed Wall Street EPS forecasts, keeping blended earnings growth on track for its third consecutive quarter of double-digit expansion.

Crucially for stock pickers, the profits are no longer confined to mega-cap tech—smart money is rotating into undervalued medtech, medical device innovators, and overlooked cyclical winners.

Just yesterday, new picks in November, Booking (NASDAQGS:BKNG) jumped +9.8% and LivaNova PLC (NASDAQGS:LIVN) rallied +17.9% in the session alone of the back of standout Q3 earnings beats and guidance hikes. But it is a small-cap med tech name that following a +13.6% jump yesterday, is now up more than +21% just days into November.

The small-cap medtech name just delivered a strong Q3 performance, which coupled with takeover speculation from private equity firms has triggered a sharp re-rating across Wall Street.

Premium members have also received several other timely calls on a dozen double-digit winners just days into November: 

• LivaNova PLC (NASDAQGS:LIVN): +19.27% in Nov alone
• Canadian Solar Inc (NASDAQGS:CSIQ): +16.41% in Nov alone
• Stryker (NYSE:SYK): +16.37% in Nov alone (+24.43% since picked)
• Booking (NASDAQGS:BKNG): +15.42% in Nov alone
• First Solar (NASDAQGS:FSLR): +11.53% in Nov alone

Alongside many more!

This follows a massive October, in which several under-the-radar names rallied by by+30% and even +40%+ and more:

• Wingstop Inc (NASDAQGS:WING): +43.47% in Oct alone
• Bausch Health Companies Inc (NYSE:BHC): +43.11% in Oct alone
• Cracker Barrel Old Country Store Inc (NASDAQGS:CBRL): +35.94% in Oct alone
• Kohls Corp (NYSE:KSS): +28.49% in Oct alone
• Lockheed Martin Corp (NYSE:LMT): +26.00% in Oct alone

Alongside dozens of double-digit rallies throughout the month.

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Which medtech stock is surging to fresh 52-week highs on standout results and takeover speculation?

That stock is CONMED Corporation (NYSE: CNMD). The company just delivered a high-impact session that sent shares jumping over 13% to a 52-week high of $53.70 on a powerful mix of operational outperformance and buyout interest. CONMED reported Q3 adjusted EPS of $1.04, beating Wall Street consensus estimates of $1.00, driven by 6.7% organic constant-currency revenue growth in its flagship AirSeal insufflation and Buffalo Filter surgical smoke evacuation systems. Bolstered by strong demand and a margin-accretive exit from lower-margin gastroenterology product lines, management lifted full-year adjusted EPS guidance to $4.54–$4.61. Adding fuel to the move, media reports revealed private equity buyout interest and indicated CONMED is exploring strategic alternatives, including a potential sale—prompting immediate price target hikes from major institutions like JPMorgan ($50) and Wells Fargo ($49).

What our models identified in CONMED before the surge

Before the earnings beat and takeover buzz sent shares surging, our machine learning engine flagged CONMED Corporation as a high-conviction setup, spotting a glaring disconnect between its beaten-down share price and rock-solid underlying fundamentals.

Here is what the ML engine saw before the move:

• Deep Discount Entry: Trading near ~$44, the stock sat roughly 38% below fair value estimates of ~$71, presenting an asymmetrical risk/reward opportunity with roughly 60% implied upside relative to intrinsic valuation models.
• Accelerating Business Momentum: Core high-growth franchises demonstrated durable operational strength, generating ~7% organic constant-currency revenue growth in Q3, topping consensus estimates and setting up a full-year EPS guidance raise to $4.54–$4.61.
• Compelling Value & Margin Expansion: Priced at an attractive P/E of ~18x and a price-to-book ratio of just 1.25x, CONMED traded at steep discounts relative to medtech peers, all while its strategic portfolio pruning of commoditized GI lines systematically unlocked higher operating leverage.
• Robotic Surgical Tailwinds: Key regulatory clearance allowing AirSeal to interface directly with Intuitive Surgical’s flagship da Vinci 5 robotic platform established a vital commercial catalyst, seamlessly integrating CONMED’s technology into the next generation of robotic-assisted surgery.
• Enormous Runway in Core Clinical TAM: Flagship platforms like AirSeal, Buffalo Filter, and BioBrace continue to expand market share against traditional alternatives, with AirSeal currently utilized in only 6%–7% of eligible procedures—leaving a massive, unpenetrated clinical runway ahead.

Our AI models provide the same detailed rationale for every stock they select or remove, so members know exactly what the data showed at the time.

Backed by professional-grade financial intelligence, our monthly-updated list of tech picks has absolutely crushed the broader market, posting a +169.88% return since launching in November 2023. That is an incredible +88.37% outperformance over the benchmark S&P 500.

*These are real-world numbers, recorded since the official launch of our AI models in November 2023.

That is the power of moving out of overextended names and finding fresh value before the crowd does. The work for October is done, and the next cycle has already begun.

A New List of AI-Picked Stocks for November IS NOW LIVE

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Do not miss the opportunity to review the full list of November picks and see exactly where the smart money is moving next.

As part of our Early Bird Sale, you can secure an InvestingPro subscription for up to 55% off!

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At the beginning of each month, our proprietary AI system evaluates thousands of global equities using a complex blend of historical data, valuation signals, and forward-looking growth metrics.

By processing more than 15 years of financial data across more than 150 quantitative models, the engine identifies up to 20 high-conviction stocks per strategy based on their projected medium-term upside potential.

Every month, these strategies undergo a strict rebalancing process. New opportunities are added, strong performers are retained, and stocks that no longer meet the criteria are removed.

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The objective is to systematically reposition capital toward the strongest opportunities as market conditions evolve.

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