Medtronic (NYSE:MDT) is scheduled to announce Q4 earnings results on Thursday, May 23rd, before market open.
Analysts are expecting profit of $1.45 (-7.6% Y/Y) on revenue of $8.44B (-0.7% Y/Y).
Investors will keep an eye out for the FY2025 guidance along with any updates on inflation, as the company is expected to gain from their cardiology and diabetes categories.
“We see the potential for PulseSelect and PMRI wind down benefits to offset FX and inflation pressures keeping us at Buy,” said Mizuho Securities.
Mizuho believes that select product areas where the outlooks remain bullish include Cardiology linked to recent launch of PulseSelect, Diabetes supported by ongoing 780G relaunch/stand-alone CGM roll-out, and TAVR supported by Evolut FX+ launch benefits.
Over the last 2 years, MDT has beaten EPS estimates 88% of the time and has beaten revenue estimates 75% of the time.
Over the last 3 months, EPS estimates have seen 5 upward revisions and 13 downward. Revenue estimates have seen 19 upward revisions and 5 downward.
SA analyst Mike Zaccardi noted, “Compared to its peers, MDT features a middle-of-the-road valuation rating, but earnings multiples are attractive on an absolute basis. And while the company’s growth trajectory has been lackluster lately, a growing top line appears likely to translate into solid EPS growth going forward.”
MDT has a Hold rating according to SA Quant Ratings, while Wall Street estimates it to be a Buy.
The stock has gained 3% YTD, trailing behind the broader S&P 500’s 11.6% rise.
