In the latest trading session, Medtronic (MDT) closed at $101.34, marking a +1.05% move from the previous day. The stock exceeded the S&P 500, which registered a gain of 0.55% for the day. Meanwhile, the Dow experienced a rise of 0.63%, and the technology-dominated Nasdaq saw an increase of 0.91%.
Shares of the medical device company witnessed a gain of 3.1% over the previous month, beating the performance of the Medical sector with its gain of 0.19%, and the S&P 500's gain of 0.71%.
Market participants will be closely following the financial results of Medtronic in its upcoming release. The company plans to announce its earnings on February 17, 2026. The company is predicted to post an EPS of $1.33, indicating a 4.32% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.9 billion, up 7.29% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $5.64 per share and revenue of $36.04 billion, which would represent changes of +2.73% and +7.46%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Medtronic. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Medtronic possesses a Zacks Rank of #4 (Sell).
Looking at valuation, Medtronic is presently trading at a Forward P/E ratio of 17.77. This denotes a discount relative to the industry average Forward P/E of 20.79.
We can also see that MDT currently has a PEG ratio of 2.64. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Medical - Products industry was having an average PEG ratio of 1.74.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 156, which puts it in the bottom 37% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Medtronic PLC (MDT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
