WCM Investment Management LLC Purchases Shares of 11,265,714 Medtronic PLC $MDT

Key Points

• WCM Investment Management initiated a large new position in Medtronic during the first quarter, buying 11.27 million shares worth about $965.9 million. The stake represented roughly 0.88% of Medtronic and about 2.2% of WCM’s portfolio.
• Medtronic reported better-than-expected quarterly results, with EPS of $1.55 and revenue of $9.81 billion, both slightly ahead of analyst estimates. The company also raised its full-year outlook, guiding FY2027 EPS to 5.90–6.00.
• The company increased its quarterly dividend to $0.72 per share from $0.71, bringing the annualized payout to $2.88 and a yield of about 3.5%. Meanwhile, analysts remain broadly positive, with a consensus rating of Moderate Buy and an average price target of $98.21.

WCM Investment Management LLC purchased a new position in Medtronic PLC (NYSE:MDT - Free Report) during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund purchased 11,265,714 shares of the medical technology company's stock, valued at approximately $965,922,000. Medtronic makes up approximately 2.2% of WCM Investment Management LLC's investment portfolio, making the stock its 18th biggest holding. WCM Investment Management LLC owned about 0.88% of Medtronic as of its most recent SEC filing.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Lodestone Wealth Management LLC bought a new stake in Medtronic in the 4th quarter worth approximately $27,000. Anfield Capital Management LLC raised its position in Medtronic by 410.7% in the 4th quarter. Anfield Capital Management LLC now owns 286 shares of the medical technology company's stock worth $27,000 after purchasing an additional 230 shares during the period. Monetary Solutions Ltd bought a new stake in shares of Medtronic during the 4th quarter worth approximately $27,000. Acumen Wealth Advisors LLC purchased a new position in Medtronic during the 4th quarter valued at $29,000. Finally, Imprint Wealth LLC bought a new position in Medtronic in the 3rd quarter valued at $31,000. Institutional investors own 82.06% of the company's stock.

Insider Transactions at Medtronic

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 transaction of $336,963.16. Following the completion of the sale, the executive vice president owned 37,227 shares of the company's stock, valued at $2,994,539.88. The trade was a 10.11% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.26% of the stock is owned by company insiders.

Medtronic Stock Performance

Shares of Medtronic stock opened at $83.20 on Monday. The firm has a market cap of $106.50 billion, a P/E ratio of 22.30, a P/E/G ratio of 2.23 and a beta of 0.56. The company has a current ratio of 2.13, a quick ratio of 1.62 and a debt-to-equity ratio of 0.52. Medtronic PLC has a 12 month low of $73.31 and a 12 month high of $106.33. The stock's fifty day moving average price is $79.50 and its 200-day moving average price is $87.94.

Medtronic (NYSE:MDT - Get Free Report) last released its quarterly earnings data on Wednesday, June 3rd. The medical technology company reported $1.55 earnings per share for the quarter, topping analysts' consensus estimates of $1.54 by $0.01. The company had revenue of $9.81 billion during the quarter, compared to analyst estimates of $9.62 billion. Medtronic had a net margin of 13.20% and a return on equity of 14.51%. The firm's revenue for the quarter was up 9.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.62 earnings per share. Medtronic has set its FY 2027 guidance at 5.900-6.000 EPS. On average, equities research analysts expect that Medtronic PLC will post 5.94 earnings per share for the current fiscal year.

Medtronic Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, July 17th. Shareholders of record on Friday, June 26th were issued a $0.72 dividend. This is an increase from Medtronic's previous quarterly dividend of $0.71. This represents a $2.88 dividend on an annualized basis and a dividend yield of 3.5%. The ex-dividend date of this dividend was Friday, June 26th. Medtronic's dividend payout ratio is 77.21%.

Wall Street Analyst Weigh In

A number of analysts have weighed in on MDT shares. Stifel Nicolaus set a $80.00 target price on Medtronic in a research note on Wednesday, June 3rd. Rothschild & Co Redburn cut their price target on shares of Medtronic from $111.00 to $106.00 and set a "buy" rating on the stock in a report on Friday, June 5th. Sanford C. Bernstein reduced their price target on shares of Medtronic from $112.00 to $97.00 and set an "outperform" rating on the stock in a research note on Thursday, June 4th. Barclays lifted their price objective on shares of Medtronic from $118.00 to $120.00 and gave the company an "overweight" rating in a report on Wednesday, April 1st. Finally, Argus lowered their price objective on shares of Medtronic from $125.00 to $115.00 and set a "buy" rating for the company in a research report on Monday, April 6th. Seventeen analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat.com, Medtronic has a consensus rating of "Moderate Buy" and an average price target of $98.21.

About Medtronic

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).

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