MEDTRONIC PLC (MDT) Stock Fundamental Analysis
USA - NYSE:MDT - IE00BTN1Y115 - Common Stock
90.3 USD
-0.12 (-0.13%)
We assign a fundamental rating of 6 out of 10 to MDT. MDT was compared to 189 industry peers in the Health Care Equipment & Supplies industry. MDT scores excellent on profitability, but there are some minor concerns on its financial health. MDT is not valued too expensively and it also shows a decent growth rate. Finally MDT also has an excellent dividend rating. This makes MDT very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
In the past year MDT was profitable.
In the past year MDT had a positive cash flow from operations.
MDT had positive earnings in each of the past 5 years.
MDT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MDT's Return On Assets of 5.12% is amongst the best of the industry. MDT outperforms 82.54% of its industry peers.
MDT has a Return On Equity of 9.73%. This is amongst the best in the industry. MDT outperforms 85.19% of its industry peers.
MDT has a Return On Invested Capital of 6.74%. This is amongst the best in the industry. MDT outperforms 82.01% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MDT is below the industry average of 9.08%.
The 3 year average ROIC (6.35%) for MDT is below the current ROIC(6.74%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.12% | ||
| ROE | 9.73% | ||
| ROIC | 6.74% |
ROA(3y)4.43%
ROA(5y)4.54%
ROE(3y)8.11%
ROE(5y)8.19%
ROIC(3y)6.35%
ROIC(5y)6.24%
1.3 Margins
MDT has a Profit Margin of 13.63%. This is amongst the best in the industry. MDT outperforms 91.01% of its industry peers.
In the last couple of years the Profit Margin of MDT has declined.
MDT has a better Operating Margin (19.57%) than 92.59% of its industry peers.
MDT's Operating Margin has been stable in the last couple of years.
With a decent Gross Margin value of 65.38%, MDT is doing good in the industry, outperforming 70.37% of the companies in the same industry.
MDT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.57% | ||
| PM (TTM) | 13.63% | ||
| GM | 65.38% |
OM growth 3Y-3.47%
OM growth 5Y0.37%
PM growth 3Y-4.39%
PM growth 5Y-3.44%
GM growth 3Y-1.55%
GM growth 5Y-0.76%
2. Health
2.1 Basic Checks
MDT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
MDT has less shares outstanding than it did 1 year ago.
MDT has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MDT has a worse debt to assets ratio.
2.2 Solvency
MDT has an Altman-Z score of 2.87. This is not the best score and indicates that MDT is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of MDT (2.87) is better than 69.31% of its industry peers.
MDT has a debt to FCF ratio of 5.39. This is a neutral value as MDT would need 5.39 years to pay back of all of its debts.
The Debt to FCF ratio of MDT (5.39) is better than 78.84% of its industry peers.
A Debt/Equity ratio of 0.55 indicates that MDT is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.55, MDT is not doing good in the industry: 61.90% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 5.39 | ||
| Altman-Z | 2.87 |
ROIC/WACC1.02
WACC6.59%
2.3 Liquidity
A Current Ratio of 2.01 indicates that MDT has no problem at all paying its short term obligations.
The Current ratio of MDT (2.01) is worse than 63.49% of its industry peers.
MDT has a Quick Ratio of 1.50. This is a normal value and indicates that MDT is financially healthy and should not expect problems in meeting its short term obligations.
MDT has a Quick ratio (1.50) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.53% over the past year.
Measured over the past 5 years, MDT shows a small growth in Earnings Per Share. The EPS has been growing by 3.68% on average per year.
Looking at the last year, MDT shows a small growth in Revenue. The Revenue has grown by 4.98% in the last year.
MDT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.01% yearly.
EPS 1Y (TTM)5.53%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%2.44%
Revenue 1Y (TTM)4.98%
Revenue growth 3Y1.91%
Revenue growth 5Y3.01%
Sales Q2Q%6.68%
3.2 Future
The Earnings Per Share is expected to grow by 6.47% on average over the next years.
Based on estimates for the next years, MDT will show a small growth in Revenue. The Revenue will grow by 5.37% on average per year.
EPS Next Y3.31%
EPS Next 2Y5.62%
EPS Next 3Y6.2%
EPS Next 5Y6.47%
Revenue Next Year7.02%
Revenue Next 2Y6.24%
Revenue Next 3Y5.84%
Revenue Next 5Y5.37%
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
MDT is valuated correctly with a Price/Earnings ratio of 16.33.
MDT's Price/Earnings ratio is rather cheap when compared to the industry. MDT is cheaper than 84.66% of the companies in the same industry.
MDT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.03.
The Price/Forward Earnings ratio is 14.72, which indicates a correct valuation of MDT.
Based on the Price/Forward Earnings ratio, MDT is valued cheaply inside the industry as 86.77% of the companies are valued more expensively.
MDT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.33 | ||
| Fwd PE | 14.72 |
4.2 Price Multiples
MDT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MDT is cheaper than 82.01% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MDT indicates a rather cheap valuation: MDT is cheaper than 84.13% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.84 | ||
| EV/EBITDA | 13.45 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of MDT may justify a higher PE ratio.
PEG (NY)4.93
PEG (5Y)4.43
EPS Next 2Y5.62%
EPS Next 3Y6.2%
5. Dividend
5.1 Amount
MDT has a Yearly Dividend Yield of 3.12%. Purely for dividend investing, there may be better candidates out there.
MDT's Dividend Yield is rather good when compared to the industry average which is at 1.90. MDT pays more dividend than 97.88% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, MDT pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.12% |
5.2 History
The dividend of MDT has a limited annual growth rate of 5.10%.
MDT has been paying a dividend for at least 10 years, so it has a reliable track record.
MDT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.1%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
77.27% of the earnings are spent on dividend by MDT. This is not a sustainable payout ratio.
MDT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP77.27%
EPS Next 2Y5.62%
EPS Next 3Y6.2%
NYSE:MDT (11/5/2025, 3:33:09 PM)
90.3
-0.12 (-0.13%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners87.1%
Inst Owner Change-1.12%
Ins Owners0.29%
Ins Owner Change4.84%
Market Cap115.83B
Revenue(TTM)34.20B
Net Income(TTM)4.66B
Analysts73.33
Price Target103.01 (14.08%)
Short Float %1.17%
Short Ratio2.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.12% |
Yearly Dividend2.77
Dividend Growth(5Y)5.1%
DP77.27%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.54%
Min EPS beat(2)1.49%
Max EPS beat(2)1.59%
EPS beat(4)3
Avg EPS beat(4)1.05%
Min EPS beat(4)-0.08%
Max EPS beat(4)1.59%
EPS beat(8)6
Avg EPS beat(8)1.56%
EPS beat(12)9
Avg EPS beat(12)1.82%
EPS beat(16)10
Avg EPS beat(16)1.17%
Revenue beat(2)2
Avg Revenue beat(2)0.54%
Min Revenue beat(2)0.17%
Max Revenue beat(2)0.91%
Revenue beat(4)3
Avg Revenue beat(4)0.07%
Min Revenue beat(4)-1.38%
Max Revenue beat(4)0.91%
Revenue beat(8)6
Avg Revenue beat(8)0.26%
Revenue beat(12)9
Avg Revenue beat(12)0.38%
Revenue beat(16)10
Avg Revenue beat(16)-0.26%
PT rev (1m)2.44%
PT rev (3m)4.73%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)-0.71%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)1.35%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)1.43%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.33 | ||
| Fwd PE | 14.72 | ||
| P/S | 3.39 | ||
| P/FCF | 21.84 | ||
| P/OCF | 16.21 | ||
| P/B | 2.42 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.45 |
EPS(TTM)5.53
EY6.12%
EPS(NY)6.14
Fwd EY6.79%
FCF(TTM)4.13
FCFY4.58%
OCF(TTM)5.57
OCFY6.17%
SpS26.66
BVpS37.34
TBVpS-4.16
PEG (NY)4.93
PEG (5Y)4.43
Graham Number68.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.12% | ||
| ROE | 9.73% | ||
| ROCE | 8.43% | ||
| ROIC | 6.74% | ||
| ROICexc | 7.5% | ||
| ROICexgc | 29.59% | ||
| OM | 19.57% | ||
| PM (TTM) | 13.63% | ||
| GM | 65.38% | ||
| FCFM | 15.51% |
ROA(3y)4.43%
ROA(5y)4.54%
ROE(3y)8.11%
ROE(5y)8.19%
ROIC(3y)6.35%
ROIC(5y)6.24%
ROICexc(3y)7.09%
ROICexc(5y)7.05%
ROICexgc(3y)29.85%
ROICexgc(5y)33.32%
ROCE(3y)7.94%
ROCE(5y)7.8%
ROICexgc growth 3Y-11.61%
ROICexgc growth 5Y-5.52%
ROICexc growth 3Y-2.49%
ROICexc growth 5Y3.26%
OM growth 3Y-3.47%
OM growth 5Y0.37%
PM growth 3Y-4.39%
PM growth 5Y-3.44%
GM growth 3Y-1.55%
GM growth 5Y-0.76%
F-Score7
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 5.39 | ||
| Debt/EBITDA | 2.72 | ||
| Cap/Depr | 62.54% | ||
| Cap/Sales | 5.39% | ||
| Interest Coverage | 9.24 | ||
| Cash Conversion | 74.13% | ||
| Profit Quality | 113.8% | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 2.87 |
F-Score7
WACC6.59%
ROIC/WACC1.02
Cap/Depr(3y)59.68%
Cap/Depr(5y)55.94%
Cap/Sales(3y)5.04%
Cap/Sales(5y)4.79%
Profit Quality(3y)124.85%
Profit Quality(5y)125.74%
High Growth Momentum
Growth
EPS 1Y (TTM)5.53%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%2.44%
EPS Next Y3.31%
EPS Next 2Y5.62%
EPS Next 3Y6.2%
EPS Next 5Y6.47%
Revenue 1Y (TTM)4.98%
Revenue growth 3Y1.91%
Revenue growth 5Y3.01%
Sales Q2Q%6.68%
Revenue Next Year7.02%
Revenue Next 2Y6.24%
Revenue Next 3Y5.84%
Revenue Next 5Y5.37%
EBIT growth 1Y8.97%
EBIT growth 3Y-1.62%
EBIT growth 5Y3.4%
EBIT Next Year19.44%
EBIT Next 3Y10.76%
EBIT Next 5Y9.23%
FCF growth 1Y19.33%
FCF growth 3Y-4.64%
FCF growth 5Y-2.95%
OCF growth 1Y22.55%
OCF growth 3Y-1.39%
OCF growth 5Y-0.53%
MEDTRONIC PLC / MDT FAQ
What is the ChartMill fundamental rating of MEDTRONIC PLC (MDT) stock?
ChartMill assigns a fundamental rating of 6 / 10 to MDT.
Can you provide the valuation status for MEDTRONIC PLC?
ChartMill assigns a valuation rating of 6 / 10 to MEDTRONIC PLC (MDT). This can be considered as Fairly Valued.
How profitable is MEDTRONIC PLC (MDT) stock?
MEDTRONIC PLC (MDT) has a profitability rating of 8 / 10.
What are the PE and PB ratios of MEDTRONIC PLC (MDT) stock?
The Price/Earnings (PE) ratio for MEDTRONIC PLC (MDT) is 16.33 and the Price/Book (PB) ratio is 2.42.
Can you provide the financial health for MDT stock?
The financial health rating of MEDTRONIC PLC (MDT) is 5 / 10.