This Fund Built a $26 Million Stake in a Medical Tech Stock That's Soaring After a $9.9 Billion Deal Announcement

Core Insights - Parkman Healthcare Partners disclosed a new position in Masimo Corporation by acquiring 200,000 shares worth approximately $26.01 million at the end of the fourth quarter [1][2] Company Overview - Masimo Corporation is a leading provider of advanced noninvasive monitoring technologies and hospital automation solutions, with a market capitalization of $9.4 billion and revenue of $1.5 billion [4][6] - The company reported a net income of -$151.5 million for the trailing twelve months [4] - Masimo's stock price was $175.49 as of the last trading day [4] Business Model - Masimo generates revenue primarily through the sale of proprietary medical devices and software platforms to healthcare providers and OEM partners, serving a wide range of clients including hospitals and emergency medical services [9] Recent Developments - Shares of Masimo have surged 35% this year, largely due to the announcement of an acquisition deal valued at approximately $9.9 billion, with a cash offer of $180 per share [8] - The acquisition is expected to close in the second half of the year, highlighting the strategic value of Masimo's technology and hospital relationships [11] Investment Implications - The new stake by Parkman Healthcare Partners represents 2.48% of its $1.05 billion in reportable U.S. equity assets as of December 31, 2025, indicating a strategic focus on companies with strong intellectual property and durable demand [8][11]