The investment landscape for orthopedic innovation is shifting under our feet, and to get a clear view of the damage, we’re looking at two recent, sobering deep dives from J.P. Morgan’s equity research team.
The first, "What’s Troubling SMid Cap MedTech?" (February 12, 2026), outlines why small and mid-cap stocks have fallen so far out of favor that they are now trading at trough multiples not seen since the Great Financial Crisis.
The follow-up report, "Enough Is Enough; Valuation Compression Appears to Have Gone Too Far" (March 12, 2026), argues that while the "AI trade" has sucked the oxygen out of the room, the massive sell-off in MedTech has finally disconnected from the sector's healthy underlying fundamentals. T
ogether, these reports provide a roadmap for why the "missing middle" in orthopedics is struggling and what it will take to jumpstart the sector.
2026-02-12 JPM Whats Troubling MedtechDownload
JPM_Medical_Devices Valuation Compression 2026-03-12 (1)Download
For those of us in the orthopedic trenches, the disconnect is jarring.
Procedure volumes are healthy, the technology is evolving, yet the stocks are trading at trough multiples we haven't seen since the 2008 fi...
