Should You Retain Teleflex Stock in Your Portfolio Now?

Teleflex’s TFX Interventional Urology portfolio is well positioned for sustained growth, led by UroLift’s expanding global footprint and strong clinical differentiation. Supported by favorable clinical data and increasing clinician adoption, Barrigel meaningfully broadens TFX’s presence in prostate cancer care, reinforcing its long-term growth prospects. Meanwhile, a high debt burden and an unfavorable FX remain key concerns for Teleflex.

Over the past year, this Zacks Rank #3 (Hold) stock has declined 29.9% compared with the industry’s 0.5% drop. The S&P 500 composite has risen 14.6% during the same period. 

The global provider of medical technologies has a market capitalization of $5.52 billion. TFX’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 5.4%. 

Let’s delve deeper.

Tailwinds for Teleflex

Urolift Long-term Prospects: UroLift is a minimally invasive medical device designed to treat lower urinary tract symptoms caused by benign prostatic hyperplasia (BPH). It is a key portfolio in the company’s Interventional Urology unit. The company enhanced its market penetration by commercializing the UroLift system in Japan and China and introducing the UroLift 2 System and the UroLift ATC Advanced Tissue Control System in the United States.

Teleflex continues to build clinical evidence supporting UroLift as a safe, effective and minimally invasive treatment for BPH. Recently, the company presented several clinical studies, reinforcing UroLift’s superiority over Rezum and tamsulosin, particularly in terms of early patient satisfaction, rapid symptom relief and sexual function outcomes. 

Palette Inclusion, a Significant Value Addition: Following Palette's business integration, its Barrigel continues to gain traction in the United States with strong sequential revenue momentum. Barrigel rectal spacer is the first and only hyaluronic acid rectal spacer that separates the prostate from the rectum to protect the rectum during radiation therapy for prostate cancer. During the third quarter, Barrigel was commercially launched in Japan as a proven safe and effective option to minimize the harmful long-term side effects of prostate radiation therapy. 

Barrigel delivers precise, ultrasound-guided placement, significantly reducing rectal radiation exposure and Grade 1 plus GI toxicity, while expanding adoption through clinician training in Japan. Favorable trial data supported Barrigel’s safety and efficacy in men undergoing hypofractionated post-prostatectomy radiation therapy in the United States and Australia.

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Concerns for TFX

Highly Leveraged Balance Sheet: Teleflex exited the third quarter of 2025 with cash and cash equivalents of $354 million and near-term payables of $100 million. However, long-term debt was $2.57 billion, up 42.7% sequentially. For the third quarter of 2025, the debt-to-capital ratio was 41.1%. Meanwhile, times interest earned was a negative 2.5% compared to a positive 4.1% at the end of the second quarter.

Adverse Foreign Exchange Translation Impacts: Foreign exchange is a major headwind for Teleflex due to a considerable percentage of its revenues coming from outside the United States. The strengthening of the Euro and some other developed market currencies has been constantly hampering the company’s performance in the international markets. 

TFX Stock Estimate Trend

The Zacks Consensus Estimate for TFX’s 2025 earnings per share (EPS) has remained unchanged at $14.08 in the past 30 days.

The Zacks Consensus Estimate for the company’s 2025 revenues is pegged at $3.32 billion, implying an 8.8% rise from the year-ago reported number.

Key Picks

Some better-ranked stocks in the broader medical space are BrightSpring Health Services BTSG, lllumina ILMN and Insulet PODD.

BrightSpring Health Services has an estimated long-term earnings growth rate of 53.3% compared with the industry’s 15.5% growth. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 45.1%. BTSG shares have surged 93.9% against the industry’s 0.1% decline over the past year.

BTSG sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Illumina, currently sporting a Zacks Rank #1, has an earnings yield of 3.7% compared to the industry’s -7.9% yield. Shares of the company have lost 10.8% over the past year against the industry’s 9.9% growth. ILMN’s earnings outpaced estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 6.7%.

Insulet, currently carrying a Zacks Rank #2 (Buy), has an earnings yield of 3.9% against the industry’s -0.9% yield. Shares of the company have lost 7.8% compared with the industry’s 2.6% decline. PODD’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 17.8%.

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This article originally published on Zacks Investment Research (zacks.com).

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