The best stock This specific year isn't Netflix. of which's…

Undergrads design medical devices

Netflix stock has more than doubled This specific year because of strong gains in earnings in addition to subscribers. however Netflix is usually not the best performer inside the S&P 500 in 2018.

Neither is usually Twitter (TWTR) or Amazon (AMZN). Nope. The title belongs to an index newbie called Abiomed. The medical device company was added to the S&P 500 in late May.

Abiomed (ABMD) stock is usually up nearly 125% This specific year. The company makes the Impella heart pump, a device of which helps boost circulation in addition to cardiac performance.

Abiomed is usually doing well for much the same reason as Netflix (NFLX). Both companies have something investors care about: strong sales in addition to profit growth.

Wall Street analysts expect Abiomed to report sales growth of about 30% This specific year in addition to next year. Earnings should jump about 45% This specific year in addition to nearly 35% next year.

Analysts have been consistently raising profit forecasts for the company, in addition to Wall Street continues to love the stock even though of which has more than doubled. Nine of the 11 analysts following Abiomed have a buy rating on of which.

Related: is usually the binge over for Netflix stock?

however Abiomed, like Netflix, is usually an extremely expensive stock.

Shares trade at 0 times profit forecasts for the year. Larger medical equipment firms Medtronic (MDT) in addition to Abbott Laboratories (ABT) trade at 17 in addition to 22 times earnings estimates for 2018. (Disclosure: The reporter of This specific story owns shares of Abbott Laboratories.)

Abiomed’s reliance on Impella also makes of which a bit risky. The company said in May of which the heart pump accounted for nearly all of its sales last quarter. Investors will hear more through Abiomed on July 26 when of which releases its latest earnings.

Being a one-trick pony can work out just fine though if of which particular horse is usually a champion thoroughbred.

Just look at how much money Apple (AAPL) makes through the iPhone in addition to Facebook (FB) generates through advertising, for example.

So if Abiomed reports another round of strong results, of which could widen its lead atop the S&P 500 over more well-known tech giants.

sy88pgw (completely new York) First published July 16, 2018: 11:22 AM ET

The best stock This specific year isn't Netflix. of which's…

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