Medtronic Set to Release Q3 Earnings Amid Mixed Market Performance
Medtronic plc (MDT), boasting a market cap of $112.9 billion, specializes in creating and selling device-based medical therapies for healthcare systems, professionals, and patients. The company generates revenue through four key areas: Cardiovascular Portfolio, Medical Surgical Portfolio, Neuroscience Portfolio, and Diabetes. Analysts anticipate the release of the company’s fiscal 2025 Q3 earnings before the market opens on Tuesday, February 18.
Profit Expectations Rising
Analysts forecast an earnings per share (EPS) of $1.36 for Q3, reflecting a 4.6% increase from $1.30 per share reported in the same quarter last year. Medtronic has shown a strong record recently, consistently surpassing Wall Street’s earnings predictions over the last four quarters. In Q2, the company reported an EPS of $1.26, exceeding expectations by 1.6%.
Annual Projections Point to Growth
For the entire fiscal year 2025, experts predict that Medtronic will achieve an EPS of $5.45, marking a 4.8% rise from the $5.20 reported in fiscal 2024.
Stock Performance Compared to Major Indices
In the last 52 weeks, MDT shares have gained 2.4%. However, this growth falls short when compared to the S&P 500 Index’s 26.5% return. Even so, MDT outperformed the Health Care Select Sector SPDR Fund (XLV), which showed only minimal improvement during the same period.
Recent Financial Results and Stock Reaction
Despite posting adjusted Q2 earnings of $1.26 per share—which was better than expected—MDT’s shares declined by 3% on November 19. The company reported revenues of $8.4 billion, up 5.3% year-over-year. However, issues with a supplier led to stagnant sales in its cardiac ablation unit, which may have disappointed investors. Furthermore, MDT revised its full-year 2025 EPS forecast to a range of $5.44 to $5.50 and adjusted its revenue growth estimate to between 4.75% and 5%.
Analysts Show Mixed Sentiment
Wall Street analysts maintain a cautiously positive outlook on Medtronic’s stock, rating it as a “Moderate Buy.” Out of 28 analysts, 10 advocate a “Strong Buy,” one suggests a “Moderate Buy,” 15 recommend a “Hold,” and two advise a “Strong Sell.” The average price target for MDT stands at $93.83, hinting at a potential upside of 6.5% from its current price.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
