Medtronic (NYSE:MDT) Announces Earnings Results

Key Points

• Medtronic beat quarterly expectations, reporting adjusted EPS of $1.45 versus the $1.39 consensus and revenue of $9.76 billion versus estimates of $9.55 billion.
• The company declared a quarterly dividend of $0.72 per share, or $2.88 annualized, representing a 3.2% yield; the dividend will be paid October 16 to shareholders of record September 25.
• Analyst sentiment remains positive overall, with 18 Buy ratings and nine Holds producing a “Moderate Buy” consensus and an average price target of $99.79, although several firms recently lowered their targets.

Medtronic (NYSE:MDT - Get Free Report) issued its earnings results on Tuesday. The medical technology company reported $1.45 EPS for the quarter, beating analysts' consensus estimates of $1.39 by $0.06, FiscalAI reports. The business had revenue of $9.76 billion during the quarter, compared to analyst estimates of $9.55 billion. Medtronic had a return on equity of 14.51% and a net margin of 13.20%.

Medtronic Stock Down 0.4%

MDT stock opened at $90.82 on Tuesday. The business has a 50 day moving average of $85.81 and a 200 day moving average of $85.48. The company has a quick ratio of 1.62, a current ratio of 2.13 and a debt-to-equity ratio of 0.52. The firm has a market cap of $116.25 billion, a PE ratio of 24.35, a price-to-earnings-growth ratio of 2.45 and a beta of 0.55. Medtronic has a twelve month low of $73.31 and a twelve month high of $106.33.

Medtronic Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 16th. Shareholders of record on Friday, September 25th will be paid a dividend of $0.72 per share. The ex-dividend date of this dividend is Friday, September 25th. This represents a $2.88 dividend on an annualized basis and a dividend yield of 3.2%. Medtronic's dividend payout ratio (DPR) is currently 77.21%.

Analyst Ratings Changes

MDT has been the subject of several analyst reports. Mizuho decreased their price objective on shares of Medtronic from $120.00 to $100.00 and set an "outperform" rating for the company in a research note on Wednesday, June 3rd. Robert W. Baird cut their target price on shares of Medtronic from $93.00 to $85.00 and set a "neutral" rating for the company in a research report on Thursday, June 4th. Leerink Partners reduced their price target on Medtronic from $117.00 to $104.00 and set an "outperform" rating for the company in a research report on Thursday, June 4th. Needham & Company LLC upped their target price on shares of Medtronic from $101.00 to $114.00 and gave the stock a "buy" rating in a report on Thursday, August 27th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of Medtronic in a report on Tuesday, August 18th. Eighteen research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $99.79.

Insider Buying and Selling

In related news, EVP Harry Skip Kiil sold 4,189 shares of Medtronic stock in a transaction dated Monday, June 8th. The stock was sold at an average price of $80.44, for a total value of $336,963.16. Following the completion of the sale, the executive vice president directly owned 37,227 shares in the company, valued at approximately $2,994,539.88. This trade represents a 10.11% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 0.27% of the company's stock.

Institutional Investors Weigh In On Medtronic

Several institutional investors and hedge funds have recently added to or reduced their stakes in MDT. Sunbelt Securities Inc. increased its position in Medtronic by 11.1% during the fourth quarter. Sunbelt Securities Inc. now owns 4,105 shares of the medical technology company's stock valued at $394,000 after acquiring an additional 409 shares during the last quarter. T. Rowe Price Investment Management Inc. grew its stake in shares of Medtronic by 38.7% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 39,635 shares of the medical technology company's stock valued at $3,808,000 after purchasing an additional 11,060 shares during the period. Compound Planning Inc. increased its position in shares of Medtronic by 11.5% during the 4th quarter. Compound Planning Inc. now owns 16,396 shares of the medical technology company's stock valued at $1,575,000 after purchasing an additional 1,694 shares during the last quarter. Axxcess Wealth Management LLC lifted its stake in shares of Medtronic by 10.0% in the 4th quarter. Axxcess Wealth Management LLC now owns 15,132 shares of the medical technology company's stock worth $1,454,000 after purchasing an additional 1,370 shares during the period. Finally, Corient Private Wealth LLC lifted its stake in shares of Medtronic by 33.3% in the 4th quarter. Corient Private Wealth LLC now owns 751,932 shares of the medical technology company's stock worth $72,231,000 after purchasing an additional 187,902 shares during the period. Hedge funds and other institutional investors own 82.06% of the company's stock.

Medtronic News Summary

Here are the key news stories impacting Medtronic this week:

• Positive Sentiment: Medtronic announced a strategic investment in Pi-Cardia Ltd. to accelerate innovation for complex transcatheter aortic valve replacement (TAVR) procedures. The deal could strengthen Medtronic’s structural-heart portfolio and support longer-term growth, although financial terms were not disclosed. Medtronic Announces Strategic Investment in Pi-Cardia to Accelerate Innovation for Complex TAVR
• Positive Sentiment: Wall Street’s average brokerage recommendation remains equivalent to a Buy, indicating continued confidence in Medtronic’s defensive healthcare profile, cash generation and dividend. However, the article cautions that bullish analyst ratings may be overly optimistic and should not be used alone to make an investment decision. Brokers Suggest Investing in Medtronic
• Neutral Sentiment: Medtronic’s fiscal first-quarter 2027 earnings were scheduled for release before the market opened on Sept. 1. Analysts cited in the previews expected approximately $1.39 in adjusted EPS and $9.54 billion in revenue, making the report the main near-term catalyst for the stock. Medtronic Q1 Earnings on Deck: What to Expect
• Neutral Sentiment: Medtronic is highlighted among stocks to watch as investors await its earnings announcement, but the article provides no company-specific change to its outlook. Medtronic, Dell and 3 Stocks to Watch
• Negative Sentiment: Pre-earnings commentary warned that Medtronic shares could fall following the results, reflecting the risk that earnings, revenue or guidance may not meet elevated expectations. Broader weakness in U.S. equity futures, linked partly to renewed geopolitical tensions and interest-rate concerns, also creates a less supportive market environment. Will Medtronic Stock Rise or Fall After Earnings?

Medtronic Company Profile

Medtronic plc is a global medical technology company that develops and manufactures a broad range of therapeutic devices and health care solutions. Headquartered legally in Ireland with principal operational offices in the United States, the company markets products to hospitals, physicians and health systems worldwide and has grown from its founding in 1949 into one of the largest medical-device manufacturers serving global health-care markets.

Medtronic's offerings span several clinical areas, including cardiac rhythm and heart failure (pacemakers, implantable cardioverter‑defibrillators and related cardiac therapies), minimally invasive and surgical technologies (laparoscopic and advanced energy devices, visualization systems and surgical innovations), restorative therapies (spine and orthopedics, neuromodulation and neurovascular treatments) and diabetes management (insulin-delivery systems and glucose monitoring solutions).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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