Wells Fargo & Company Forecasts Strong Price Appreciation for Merit Medical Systems (NASDAQ:MMSI) Stock

Key Points

• Wells Fargo raised Merit Medical’s price target to $83 from $74 but maintained an “equal weight” rating, implying virtually no upside from the stock’s $83.12 closing price. The broader analyst consensus remains “Moderate Buy,” with an average target of $96.56.
• Merit Medical exceeded second-quarter expectations, reporting $1.19 in EPS versus the $0.96 consensus and $418.8 million in revenue, up 9.5% year over year. Management raised its 2026 EPS outlook to $4.25–$4.35.
• Analyst sentiment is generally positive, with eight Buy ratings, although one firm downgraded the stock to Sell and year-to-date operating cash flow and free cash flow declined 11% and 14%, respectively.

Merit Medical Systems (NASDAQ:MMSI - Get Free Report) had its price target boosted by equities research analysts at Wells Fargo & Company from $74.00 to $83.00 in a report issued on Friday,Benzinga reports. The brokerage presently has an "equal weight" rating on the medical instruments supplier's stock. Wells Fargo & Company's target price points to a potential downside of 0.15% from the stock's previous close.

Other equities research analysts have also issued research reports about the company. Raymond James Financial restated an "outperform" rating on shares of Merit Medical Systems in a research report on Friday. Needham & Company LLC lifted their price target on Merit Medical Systems from $90.00 to $101.00 and gave the company a "buy" rating in a research note on Friday. Canaccord Genuity Group reduced their price target on Merit Medical Systems from $90.00 to $85.00 and set a "buy" rating on the stock in a report on Friday, May 1st. Weiss Ratings downgraded Merit Medical Systems from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Friday, May 8th. Finally, Barrington Research dropped their price objective on shares of Merit Medical Systems from $109.00 to $107.00 and set an "outperform" rating for the company in a report on Monday, April 20th. Eight research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $96.56.

Merit Medical Systems Price Performance

Merit Medical Systems stock traded down $0.23 during mid-day trading on Friday, reaching $83.12. The company had a trading volume of 427,913 shares, compared to its average volume of 797,398. Merit Medical Systems has a fifty-two week low of $59.74 and a fifty-two week high of $94.75. The company has a current ratio of 5.08, a quick ratio of 3.46 and a debt-to-equity ratio of 0.45. The company has a market cap of $4.96 billion, a P/E ratio of 36.07, a P/E/G ratio of 2.51 and a beta of 0.52. The business has a fifty day simple moving average of $69.45 and a 200 day simple moving average of $71.69.

Merit Medical Systems (NASDAQ:MMSI - Get Free Report) last posted its earnings results on Thursday, July 30th. The medical instruments supplier reported $1.19 earnings per share for the quarter, topping analysts' consensus estimates of $0.96 by $0.23. Merit Medical Systems had a net margin of 9.03% and a return on equity of 13.54%. The firm had revenue of $418.84 million for the quarter, compared to analysts' expectations of $405.25 million. During the same quarter in the previous year, the firm posted $1.01 earnings per share. The company's revenue was up 9.5% on a year-over-year basis. Merit Medical Systems has set its FY 2026 guidance at 4.250-4.350 EPS. On average, equities research analysts predict that Merit Medical Systems will post 3.62 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Brian G. Lloyd purchased 2,000 shares of Merit Medical Systems stock in a transaction on Thursday, May 7th. The shares were purchased at an average price of $62.62 per share, for a total transaction of $125,240.00. Following the transaction, the insider owned 2,000 shares of the company's stock, valued at approximately $125,240. This represents a ∞ increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Lynne N. Ward sold 5,000 shares of the stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $62.61, for a total value of $313,050.00. Following the completion of the sale, the director directly owned 7,809 shares of the company's stock, valued at approximately $488,921.49. The trade was a 39.04% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.70% of the company's stock.

Hedge Funds Weigh In On Merit Medical Systems

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Gradient Investments LLC bought a new stake in Merit Medical Systems in the second quarter valued at approximately $1,657,000. GAMMA Investing LLC lifted its position in shares of Merit Medical Systems by 235.4% in the 2nd quarter. GAMMA Investing LLC now owns 3,250 shares of the medical instruments supplier's stock worth $225,000 after purchasing an additional 2,281 shares during the period. Harbor Investment Advisory LLC acquired a new position in shares of Merit Medical Systems in the 2nd quarter worth approximately $50,000. Central Pacific Bank Trust Division boosted its stake in shares of Merit Medical Systems by 13.9% in the 2nd quarter. Central Pacific Bank Trust Division now owns 3,107 shares of the medical instruments supplier's stock valued at $215,000 after purchasing an additional 380 shares during the last quarter. Finally, Epiq Partners LLC bought a new stake in shares of Merit Medical Systems in the 2nd quarter valued at $208,000. 99.66% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Merit Medical Systems

Here are the key news stories impacting Merit Medical Systems this week:

• Positive Sentiment: Q2 earnings and revenue exceeded expectations. Non-GAAP EPS was $1.19, well above the $0.96 consensus and up from $1.01 a year earlier. Revenue increased 9.5% year over year to $418.8 million, beating estimates of $405.3 million. Merit Medical surpasses Q2 earnings and revenue estimates
• Positive Sentiment: Management raised its full-year outlook. Merit now expects 2026 EPS of $4.25–$4.35, above the roughly $3.98 analyst consensus, while revenue guidance is approximately $1.6 billion. The company also reported improved GAAP and non-GAAP operating margins in the quarter. Merit Medical reports Q2 results and updates guidance
• Positive Sentiment: Analysts became more bullish. Needham raised its price target from $90 to $101 and assigned a Buy rating, while BTIG lifted its target from $100 to $105 and maintained a Buy rating. The revisions reinforce expectations that the earnings beat and guidance increase could support further gains for MMSI. Needham raises Merit Medical price target
• Negative Sentiment: Cash generation was weaker year to date. Operating cash flow declined 11% to $110.0 million and free cash flow fell 14% to $76.6 million, a potential concern despite the stronger profit outlook. Merit Medical second-quarter financial highlights

About Merit Medical Systems

Merit Medical Systems, Inc is a global manufacturer and marketer of a broad range of medical devices used in diagnostic and interventional procedures. The company's product portfolio encompasses vascular access, drainage, embolotherapy, and interventional oncology devices, as well as radiofrequency ablation systems and hemostasis solutions. These products serve physicians and hospitals in critical care settings and support minimally invasive treatment options across multiple specialties, including cardiology, radiology, oncology, neurology and endoscopy.

Founded in 1987 by Fred Lampropoulos, Merit Medical Systems has grown through both organic development and targeted acquisitions to expand its technology offerings and geographic reach.

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