Smith & Nephew (S&N), Europe's largest maker of artificial joints, plans to sit out consolidation in its core business sector, saying that bigger is not necessarily better and more attractive opportunities can be found elsewhere.S&N, which posted a 5 percent drop in first-quarter trading profit on Thursday, faces stronger competition in reconstructive surgery after Zimmer Holdings announced last week that it had agreed to purchase rival Biomet for more than $13 billion.Analysts said that consolidation in the $45 billion global orthopaedics market had been a long time coming and that it could result in S&N being relegated to a second-tier of providers, trailing industry leader Johnson & Johnson, Zimmer-Biomet and Stryker.S&N Chief Executive Olivier Bohuon, however, said Zimmer's move was defensive and that it would not threaten his company's access to U.S. hospitals or its track record in innovation.
Johnson & Johnson is a holding company. The Company is engaged in the research and development, manufacture and sale of a broad range of products in the health care field. Shares of JNJ traded higher by 0.26% or $0.26/share to $101.29. In the past year, the shares have traded as low as $82.12 and as high as $101.98. On average, 8586910 shares of JNJ exchange hands on a given day and today's volume is recorded at 8519913.
Zimmer Holdings, Inc. (Zimmer) designs, develops, manufactures and markets orthopaedic reconstructive, spinal and trauma devices, biologics, dental implants and related surgical products. Shares of ZMH fell by 1.13% or $-1.11/share to $96.80. In the past year, the shares have traded as low as $74.55 and as high as $108.33. On average, 1475550 shares of ZMH exchange hands on a given day and today's volume is recorded at 1917355.
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