Merit Medical Systems (NASDAQ:MMSI) Reaches New 12-Month High - Should You Buy?

Key Points

• Merit Medical Systems reached a new 52-week high of $94.85, with shares trading above their 50-day and 200-day moving averages.
• Analyst sentiment remains favorable, with eight Buy ratings and four Holds producing a consensus “Moderate Buy” rating and a $100 price target; recent targets range from $83 to $106.
• The company exceeded quarterly expectations, reporting $1.19 EPS versus the $0.96 consensus and $418.84 million in revenue, up 9.5% year over year. However, its valuation is elevated at a P/E ratio of 39.

Merit Medical Systems, Inc. (NASDAQ:MMSI - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Monday. The company traded as high as $94.85 and last traded at $94.4050, with a volume of 186,891 shares. The stock had previously closed at $93.30.

Analyst Ratings Changes

A number of brokerages recently weighed in on MMSI. Weiss Ratings raised shares of Merit Medical Systems from a "hold (c)" rating to a "hold (c+)" rating in a research report on Monday, October 12th. Zacks Research cut Merit Medical Systems from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 19th. Wells Fargo & Company raised their price target on Merit Medical Systems from $74.00 to $83.00 and gave the stock an "equal weight" rating in a report on Friday, July 31st. Raymond James Financial restated an "outperform" rating and set a $100.00 price objective on shares of Merit Medical Systems in a research report on Friday, July 31st. Finally, Piper Sandler raised their target price on Merit Medical Systems from $96.00 to $106.00 and gave the company an "overweight" rating in a research note on Friday, July 31st. Eight research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $100.00.

Merit Medical Systems Price Performance

The company has a 50 day moving average of $88.43 and a two-hundred day moving average of $76.87. The firm has a market cap of $5.63 billion, a P/E ratio of 39.00, a PEG ratio of 2.33 and a beta of 0.51. The company has a quick ratio of 2.79, a current ratio of 4.20 and a debt-to-equity ratio of 0.44.

Merit Medical Systems (NASDAQ:MMSI - Get Free Report) last released its earnings results on Thursday, July 30th. The medical instruments supplier reported $1.19 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.96 by $0.23. Merit Medical Systems had a return on equity of 13.75% and a net margin of 9.22%. The firm had revenue of $418.84 million for the quarter, compared to analyst estimates of $405.25 million. During the same period in the previous year, the company earned $1.01 earnings per share. Merit Medical Systems's revenue was up 9.5% compared to the same quarter last year. Merit Medical Systems has set its FY 2026 guidance at 4.250-4.350 EPS. Sell-side analysts expect that Merit Medical Systems, Inc. will post 3.84 EPS for the current year.

Hedge Funds Weigh In On Merit Medical Systems

Several hedge funds and other institutional investors have recently added to or reduced their stakes in MMSI. AMI Asset Management Corp increased its holdings in Merit Medical Systems by 0.8% during the 1st quarter. AMI Asset Management Corp now owns 21,818 shares of the medical instruments supplier's stock worth $1,504,000 after acquiring an additional 168 shares during the period. Arizona State Retirement System lifted its stake in Merit Medical Systems by 1.1% during the second quarter. Arizona State Retirement System now owns 16,459 shares of the medical instruments supplier's stock worth $1,141,000 after purchasing an additional 174 shares during the last quarter. Sowell Financial Services LLC lifted its position in Merit Medical Systems by 4.0% in the 3rd quarter. Sowell Financial Services LLC now owns 4,609 shares of the medical instruments supplier's stock worth $397,000 after buying an additional 179 shares during the last quarter. EverSource Wealth Advisors LLC boosted its stake in shares of Merit Medical Systems by 16.2% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,551 shares of the medical instruments supplier's stock valued at $107,000 after purchasing an additional 216 shares in the last quarter. Finally, Brucke Financial Inc. grew its stake in shares of Merit Medical Systems by 5.8% during the third quarter. Brucke Financial Inc. now owns 4,475 shares of the medical instruments supplier's stock valued at $386,000 after buying an additional 247 shares during the last quarter. Institutional investors own 99.66% of the company's stock.

About Merit Medical Systems

Merit Medical Systems, Inc is a medical device company that develops, manufactures and distributes disposable products used in interventional, diagnostic and therapeutic procedures. Its devices are designed for use by healthcare professionals in hospitals, outpatient facilities and other clinical settings.

The company's product portfolio includes devices for vascular access, angiography, intervention, drainage, embolization, oncology and cardiac procedures. Merit also offers products used in peripheral intervention, spine procedures and other specialized areas of minimally invasive medicine, including kits, accessories and related procedural equipment.

Founded in 1987 and headquartered in South Jordan, Utah, Merit Medical serves healthcare providers through a global commercial and manufacturing network.

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