Medtronic (MDT, $92.27) outperforms in earnings and revenue expectations
Medtronic PLC beat earnings as well as revenue estimates for the fiscal third quarter.
The healthcare device company’s earnings of $1.29 per cents per share for the quarter was higher five cents compared to than analysts’ estimates. Revenue of $2.12 billion edged past analysts’ expectations of $2.08 billion. Its minimally invasive therapies business, which makes surgical instruments and endoscopy products, was a major contributor to the sales performance.
Medtronic projects its full-year earnings to be in the range of $5.14 and $5.16 per share – that’s higher compared to its previous predicted range of $5.10 to $5.15 per share. Analysts are expecting earnings of $5.12 per share.
The company also revised its 2019 organic revenue growth forecast range upwards to 5.25% - 5.5 %, albeit with a caveat that a strong dollar would affect its full-year revenue by about $425 million to $475 million.
Omar Ishrak, Medtronic chairman and chief executive officer indicated that the company’s business diversification was an advantage in generating the strong sales figures. "Revenue outperformance in our Minimally Invasive Therapies and Restorative Therapies Groups, as well as broad strength across Emerging Markets, helped to offset certain market-specific headwinds we faced during the quarter, reflecting the full benefits of our diversification", Ishrak said.
Momentum Indicator for MDT turns positive, indicating new upward trend
MDT saw its Momentum Indicator move above the 0 level on May 15, 2025. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 86 similar instances where the indicator turned positive. In of the 86 cases, the stock moved higher in the following days. The odds of a move higher are at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Moving Average Convergence Divergence (MACD) for MDT just turned positive on April 23, 2025. Looking at past instances where MDT's MACD turned positive, the stock continued to rise in of 47 cases over the following month. The odds of a continued upward trend are .
MDT moved above its 50-day moving average on May 16, 2025 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where MDT advanced for three days, in of 327 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 245 cases where MDT Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 4 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where MDT declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
MDT broke above its upper Bollinger Band on May 12, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.231) is normal, around the industry mean (24.152). P/E Ratio (27.625) is within average values for comparable stocks, (79.080). Projected Growth (PEG Ratio) (1.648) is also within normal values, averaging (5.667). Dividend Yield (0.032) settles around the average of (0.018) among similar stocks. P/S Ratio (3.588) is also within normal values, averaging (42.477).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. MDT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. MDT’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock worse than average.
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General Information
a provider of medical technology services
Industry MedicalSpecialties
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