Medtronic (MDT) Advances While Market Declines: Some Information for Investors

In the latest trading session, Medtronic (MDT) closed at $92.09, marking a +1.64% move from the previous day. This move outpaced the S&P 500's daily loss of 0.69%. On the other hand, the Dow registered a loss of 0.22%, and the technology-centric Nasdaq decreased by 1.33%.

Coming into today, shares of the medical device company had gained 8.78% in the past month. In that same time, the Medical sector gained 2.6%, while the S&P 500 gained 3.96%.

The upcoming earnings release of Medtronic will be of great interest to investors. The company's earnings report is expected on September 1, 2026. The company is forecasted to report an EPS of $1.39, showcasing a 10.32% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $9.48 billion, up 10.53% from the year-ago period.

MDT's full-year Zacks Consensus Estimates are calling for earnings of $5.94 per share and revenue of $38.66 billion. These results would represent year-over-year changes of +7.41% and +6.33%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Medtronic. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, Medtronic is carrying a Zacks Rank of #2 (Buy).

Looking at valuation, Medtronic is presently trading at a Forward P/E ratio of 15.24. This expresses a discount compared to the average Forward P/E of 21.45 of its industry.

It is also worth noting that MDT currently has a PEG ratio of 2.43. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Medical - Products industry had an average PEG ratio of 2.06 as trading concluded yesterday.

The Medical - Products industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 102, finds itself in the top 42% echelons of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow MDT in the coming trading sessions, be sure to utilize Zacks.com.

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This article originally published on Zacks Investment Research (zacks.com).

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