TD Cowen Keeps a Buy on Medtronic (MDT) After Better Growth in Q4

Josh Jennings, an analyst from TD Cowen, reiterated a Buy rating on Medtronic plc (NYSE:MDT) with an unchanged price target of $95.

The analyst viewed FQ4 2025 results favourably as the company managed to post an organic sales growth of 5.4%, ahead of street expectations of 4.6%. The analyst highlighted the strength of Medtronic’s strategy and execution, which helped the company post mid-single-digit organic revenue growth for the last ten quarters.

In terms of guidance, the company expects to report organic sales growth of 5% for FY 2026, which was better than expectations. That said, EPS growth guidance of high-single-digit was modestly below the street due to a higher-than-expected impact from tariffs. Josh Jennings praised the company's guidance, which he believes is supported by growth momentum and the advantages of the upcoming diabetes division spin-off (announced along with results). After the spin-off is completed over the next 18 months, the company expects to increase its focus on more profitable businesses.

Medtronic plc (NYSE:MDT) is a healthcare technology company. It primarily develops, manufactures, distributes, and sells device-based medical therapies and services.

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