EDWARDS LIFESCIENCES CORP (EW) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:EW • US28176E1082
80.59 USD
-1.51 (-1.84%)
Last: Feb 4, 2026, 02:13 PM
Taking everything into account, EW scores 7 out of 10 in our fundamental rating. EW was compared to 186 industry peers in the Health Care Equipment & Supplies industry. EW gets an excellent profitability rating and is at the same time showing great financial health properties. EW has a correct valuation and a medium growth rate. These ratings could make EW a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
- In the past year EW was profitable.
- EW had a positive operating cash flow in the past year.
- EW had positive earnings in each of the past 5 years.
- EW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of EW (10.31%) is better than 94.62% of its industry peers.
- With an excellent Return On Equity value of 13.40%, EW belongs to the best of the industry, outperforming 89.25% of the companies in the same industry.
- The Return On Invested Capital of EW (12.50%) is better than 93.01% of its industry peers.
- EW had an Average Return On Invested Capital over the past 3 years of 15.82%. This is significantly above the industry average of 8.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.31% | ||
| ROE | 13.4% | ||
| ROIC | 12.5% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)15.82%
ROIC(5y)17.27%
1.3 Margins
- EW's Profit Margin of 23.25% is amongst the best of the industry. EW outperforms 95.16% of its industry peers.
- In the last couple of years the Profit Margin of EW has grown nicely.
- With an excellent Operating Margin value of 27.73%, EW belongs to the best of the industry, outperforming 96.24% of the companies in the same industry.
- EW's Operating Margin has been stable in the last couple of years.
- With an excellent Gross Margin value of 78.19%, EW belongs to the best of the industry, outperforming 90.86% of the companies in the same industry.
- In the last couple of years the Gross Margin of EW has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.73% | ||
| PM (TTM) | 23.25% | ||
| GM | 78.19% |
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
2. Health
2.1 Basic Checks
- EW has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- EW has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, EW has less shares outstanding
- Compared to 1 year ago, EW has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 12.09 indicates that EW is not in any danger for bankruptcy at the moment.
- EW has a Altman-Z score of 12.09. This is amongst the best in the industry. EW outperforms 91.40% of its industry peers.
- The Debt to FCF ratio of EW is 0.75, which is an excellent value as it means it would take EW, only 0.75 years of fcf income to pay off all of its debts.
- EW's Debt to FCF ratio of 0.75 is amongst the best of the industry. EW outperforms 90.86% of its industry peers.
- A Debt/Equity ratio of 0.06 indicates that EW is not too dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.06, EW is doing good in the industry, outperforming 67.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.75 | ||
| Altman-Z | 12.09 |
ROIC/WACC1.23
WACC10.15%
2.3 Liquidity
- A Current Ratio of 4.00 indicates that EW has no problem at all paying its short term obligations.
- EW has a Current ratio of 4.00. This is in the better half of the industry: EW outperforms 68.28% of its industry peers.
- EW has a Quick Ratio of 3.29. This indicates that EW is financially healthy and has no problem in meeting its short term obligations.
- EW's Quick ratio of 3.29 is fine compared to the rest of the industry. EW outperforms 68.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4 | ||
| Quick Ratio | 3.29 |
3. Growth
3.1 Past
- The earnings per share for EW have decreased by -3.75% in the last year.
- EW shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.13% yearly.
- Looking at the last year, EW shows a small growth in Revenue. The Revenue has grown by 4.67% in the last year.
- The Revenue has been growing slightly by 4.58% on average over the past years.
EPS 1Y (TTM)-3.75%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%0%
Revenue 1Y (TTM)4.67%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%14.67%
3.2 Future
- EW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.40% yearly.
- Based on estimates for the next years, EW will show a quite strong growth in Revenue. The Revenue will grow by 8.47% on average per year.
EPS Next Y1.27%
EPS Next 2Y6.3%
EPS Next 3Y7.79%
EPS Next 5Y9.4%
Revenue Next Year4.63%
Revenue Next 2Y7.15%
Revenue Next 3Y8.06%
Revenue Next 5Y8.47%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 31.36, EW can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, EW is valued a bit cheaper than 74.19% of the companies in the same industry.
- EW is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 27.22 indicates a quite expensive valuation of EW.
- 73.12% of the companies in the same industry are more expensive than EW, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.51, EW is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.36 | ||
| Fwd PE | 27.22 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EW indicates a somewhat cheap valuation: EW is cheaper than 73.12% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, EW is valued a bit cheaper than the industry average as 72.04% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 58.49 | ||
| EV/EBITDA | 24.18 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EW does not grow enough to justify the current Price/Earnings ratio.
- EW has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)24.76
PEG (5Y)4.4
EPS Next 2Y6.3%
EPS Next 3Y7.79%
5. Dividend
5.1 Amount
- No dividends for EW!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:EW (2/4/2026, 2:13:09 PM)
80.59
-1.51 (-1.84%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)02-10 2026-02-10/amc
Inst Owners89.94%
Inst Owner Change-2.54%
Ins Owners0.11%
Ins Owner Change-1%
Market Cap46.77B
Revenue(TTM)5.88B
Net Income(TTM)1.37B
Analysts79.52
Price Target97.99 (21.59%)
Short Float %1.38%
Short Ratio2.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.01%
Min EPS beat(2)4.4%
Max EPS beat(2)9.63%
EPS beat(4)4
Avg EPS beat(4)5.38%
Min EPS beat(4)3.4%
Max EPS beat(4)9.63%
EPS beat(8)5
Avg EPS beat(8)2.27%
EPS beat(12)6
Avg EPS beat(12)1.21%
EPS beat(16)7
Avg EPS beat(16)-0.18%
Revenue beat(2)1
Avg Revenue beat(2)0.37%
Min Revenue beat(2)-0.12%
Max Revenue beat(2)0.85%
Revenue beat(4)1
Avg Revenue beat(4)-0.56%
Min Revenue beat(4)-2.1%
Max Revenue beat(4)0.85%
Revenue beat(8)1
Avg Revenue beat(8)-2.7%
Revenue beat(12)2
Avg Revenue beat(12)-2.12%
Revenue beat(16)2
Avg Revenue beat(16)-2.48%
PT rev (1m)0.9%
PT rev (3m)9.16%
EPS NQ rev (1m)-0.25%
EPS NQ rev (3m)0.84%
EPS NY rev (1m)-0.24%
EPS NY rev (3m)2.87%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)0.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.36 | ||
| Fwd PE | 27.22 | ||
| P/S | 7.95 | ||
| P/FCF | 58.49 | ||
| P/OCF | 45.99 | ||
| P/B | 4.58 | ||
| P/tB | 6.4 | ||
| EV/EBITDA | 24.18 |
EPS(TTM)2.57
EY3.19%
EPS(NY)2.96
Fwd EY3.67%
FCF(TTM)1.38
FCFY1.71%
OCF(TTM)1.75
OCFY2.17%
SpS10.14
BVpS17.59
TBVpS12.59
PEG (NY)24.76
PEG (5Y)4.4
Graham Number31.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.31% | ||
| ROE | 13.4% | ||
| ROCE | 13.97% | ||
| ROIC | 12.5% | ||
| ROICexc | 18.63% | ||
| ROICexgc | 29.56% | ||
| OM | 27.73% | ||
| PM (TTM) | 23.25% | ||
| GM | 78.19% | ||
| FCFM | 13.59% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)15.82%
ROIC(5y)17.27%
ROICexc(3y)20.51%
ROICexc(5y)22.13%
ROICexgc(3y)29.09%
ROICexgc(5y)31.03%
ROCE(3y)17.66%
ROCE(5y)19.29%
ROICexgc growth 3Y-5.47%
ROICexgc growth 5Y-8.01%
ROICexc growth 3Y-11.82%
ROICexc growth 5Y-8.6%
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
F-Score6
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.75 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | 138.79% | ||
| Cap/Sales | 3.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 56.86% | ||
| Profit Quality | 58.45% | ||
| Current Ratio | 4 | ||
| Quick Ratio | 3.29 | ||
| Altman-Z | 12.09 |
F-Score6
WACC10.15%
ROIC/WACC1.23
Cap/Depr(3y)185.14%
Cap/Depr(5y)236.01%
Cap/Sales(3y)5.48%
Cap/Sales(5y)6.41%
Profit Quality(3y)37.92%
Profit Quality(5y)57.13%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.75%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%0%
EPS Next Y1.27%
EPS Next 2Y6.3%
EPS Next 3Y7.79%
EPS Next 5Y9.4%
Revenue 1Y (TTM)4.67%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%14.67%
Revenue Next Year4.63%
Revenue Next 2Y7.15%
Revenue Next 3Y8.06%
Revenue Next 5Y8.47%
EBIT growth 1Y4.68%
EBIT growth 3Y-4.72%
EBIT growth 5Y3.49%
EBIT Next Year13.12%
EBIT Next 3Y12.54%
EBIT Next 5Y12.3%
FCF growth 1Y1.45%
FCF growth 3Y-42.99%
FCF growth 5Y-22.01%
OCF growth 1Y-2.42%
OCF growth 3Y-32.1%
OCF growth 5Y-14.39%
EDWARDS LIFESCIENCES CORP / EW FAQ
What is the fundamental rating for EW stock?
ChartMill assigns a fundamental rating of 7 / 10 to EW.
What is the valuation status for EW stock?
ChartMill assigns a valuation rating of 4 / 10 to EDWARDS LIFESCIENCES CORP (EW). This can be considered as Fairly Valued.
How profitable is EDWARDS LIFESCIENCES CORP (EW) stock?
EDWARDS LIFESCIENCES CORP (EW) has a profitability rating of 9 / 10.
What is the earnings growth outlook for EDWARDS LIFESCIENCES CORP?
The Earnings per Share (EPS) of EDWARDS LIFESCIENCES CORP (EW) is expected to grow by 1.27% in the next year.