JPM | US Special Situations Daily: July 14, 2026

Research evidence excerpt

JPM | US Special Situations Daily: July 14, 2026

Neetu Jhamb - Specialist Sales - US Special Situations AC (1-212) 272-5971 North America Specialist Sales J P M O R G A N

neetu.jhamb@jpmorgan.com JPM | US Special Situations

J.P. Morgan Securities LLC Daily:States Sue To Block

Paramount Purchase Of Warner,

APGE sets shareholder vote

14 July 2026

challenges have seen shares fall close to ~70% since the start of 2024. With shares trading at just 1.5x EV/sales, ~7.0x EV/

EBITDA, ~9x P/E, and 14.0x FCF yield on next-twelve-months’ forecasts, however, we think there’s merit to Friday’s

headlines discussing CONMED as a potential takeout target. The company’s end-markets in orthopedics and general surgery

don’t make it the most attractive asset for strategic acquirers in MedTech (i.e., only 3-5% growth), especially with lingering

concerns about the fate of the AirSeal insufflator now that Intuitive Surgical has an integrated option in the newer daVinci 5

(daVinci attachments were the key growth driver), but it could make sense as part of a broader portfolio of other ortho assets.

We believe a financial buyer makes more sense than a strategic one due to this profile balancing attractive free cash flow

generation (~100% conversion) and a workable 2-3x net leverage ratio with lower organic growth, and can envision a

potential takeout that could look similar to recent private takeouts of other businesses like Hologic, Stryker Spine, and Vantive

(Baxter Kidney Care). Something ~9-10x EV/EBITDA NTM or a 30-40% premium isn’t unreasonable if the acquirer could

refinance the debt at lower rates and improve sales performance.

• Brown-Forman Corp: CEO Whiting to Retire; Board Considering Internal External but Company Generally

Evolutionary vs. Revolutionary - Drew Levine here