MEDTRONIC PLC (MDT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MDT - IE00BTN1Y115 - Common Stock
101.85 USD
-0.14 (-0.14%)
Overall MDT gets a fundamental rating of 6 out of 10. We evaluated MDT against 188 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 has a decent growth rate and is not valued too expensively.
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.
Each year in the past 5 years MDT has been profitable.
In the past 5 years MDT always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of MDT (5.22%) is better than 81.91% of its industry peers.
MDT's Return On Equity of 9.79% is amongst the best of the industry. MDT outperforms 85.64% of its industry peers.
With an excellent Return On Invested Capital value of 6.63%, MDT belongs to the best of the industry, outperforming 81.38% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MDT is below the industry average of 8.78%.
The last Return On Invested Capital (6.63%) for MDT is above the 3 year average (6.35%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.22% | ||
| ROE | 9.79% | ||
| ROIC | 6.63% |
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 13.71%. This is amongst the best in the industry. MDT outperforms 89.36% of its industry peers.
In the last couple of years the Profit Margin of MDT has declined.
With an excellent Operating Margin value of 19.42%, MDT belongs to the best of the industry, outperforming 93.09% of the companies in the same industry.
MDT's Operating Margin has been stable in the last couple of years.
MDT has a Gross Margin of 65.57%. This is in the better half of the industry: MDT outperforms 68.62% of its industry peers.
MDT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.42% | ||
| PM (TTM) | 13.71% | ||
| GM | 65.57% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MDT is destroying value.
The number of shares outstanding for MDT has been reduced compared to 1 year ago.
The number of shares outstanding for MDT has been reduced compared to 5 years ago.
MDT has a worse debt/assets ratio than last year.
2.2 Solvency
MDT has an Altman-Z score of 3.14. This indicates that MDT is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.14, MDT is in the better half of the industry, outperforming 71.28% of the companies in the same industry.
MDT has a debt to FCF ratio of 5.59. This is a neutral value as MDT would need 5.59 years to pay back of all of its debts.
MDT has a better Debt to FCF ratio (5.59) than 78.19% of its industry peers.
MDT has a Debt/Equity ratio of 0.57. This is a neutral value indicating MDT is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.57, MDT is not doing good in the industry: 61.17% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 5.59 | ||
| Altman-Z | 3.14 |
ROIC/WACC0.99
WACC6.71%
2.3 Liquidity
MDT has a Current Ratio of 2.42. This indicates that MDT is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.42, MDT is in line with its industry, outperforming 46.28% of the companies in the same industry.
MDT has a Quick Ratio of 1.80. 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 (1.80) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.8 |
3. Growth
3.1 Past
MDT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.24%.
MDT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.68% yearly.
Looking at the last year, MDT shows a small growth in Revenue. The Revenue has grown by 5.34% 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)7.24%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%7.94%
Revenue 1Y (TTM)5.34%
Revenue growth 3Y1.91%
Revenue growth 5Y3.01%
Sales Q2Q%6.64%
3.2 Future
The Earnings Per Share is expected to grow by 6.35% on average over the next years.
The Revenue is expected to grow by 5.79% on average over the next years.
EPS Next Y3.31%
EPS Next 2Y5.62%
EPS Next 3Y6.29%
EPS Next 5Y6.35%
Revenue Next Year7.02%
Revenue Next 2Y6.24%
Revenue Next 3Y6.21%
Revenue Next 5Y5.79%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
MDT is valuated rather expensively with a Price/Earnings ratio of 18.09.
82.98% of the companies in the same industry are more expensive than MDT, based on the Price/Earnings ratio.
MDT is valuated rather cheaply when we compare the Price/Earnings ratio to 26.41, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 16.60, the valuation of MDT can be described as correct.
84.04% of the companies in the same industry are more expensive than MDT, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MDT to the average of the S&P500 Index (35.40), we can say MDT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.09 | ||
| Fwd PE | 16.6 |
4.2 Price Multiples
MDT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MDT is cheaper than 83.51% 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 84.04% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.09 | ||
| EV/EBITDA | 14.8 |
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)5.46
PEG (5Y)4.91
EPS Next 2Y5.62%
EPS Next 3Y6.29%
5. Dividend
5.1 Amount
MDT has a Yearly Dividend Yield of 2.70%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.71, MDT pays a better dividend. On top of this MDT pays more dividend than 98.40% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, MDT has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
5.2 History
The dividend of MDT has a limited annual growth rate of 5.10%.
MDT has paid a dividend for at least 10 years, which is a reliable track record.
MDT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.1%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
75.86% 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.
DP75.86%
EPS Next 2Y5.62%
EPS Next 3Y6.29%
NYSE:MDT (12/5/2025, 10:27:07 AM)
101.85
-0.14 (-0.14%)
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 Change0.39%
Ins Owners0.29%
Ins Owner Change3.84%
Market Cap130.63B
Revenue(TTM)34.76B
Net Income(TTM)4.76B
Analysts72.82
Price Target103.15 (1.28%)
Short Float %1.06%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
Yearly Dividend2.77
Dividend Growth(5Y)5.1%
DP75.86%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.96%
Min EPS beat(2)1.49%
Max EPS beat(2)2.43%
EPS beat(4)4
Avg EPS beat(4)1.68%
Min EPS beat(4)1.21%
Max EPS beat(4)2.43%
EPS beat(8)6
Avg EPS beat(8)1.26%
EPS beat(12)9
Avg EPS beat(12)1.96%
EPS beat(16)10
Avg EPS beat(16)1.24%
Revenue beat(2)2
Avg Revenue beat(2)0.49%
Min Revenue beat(2)0.08%
Max Revenue beat(2)0.91%
Revenue beat(4)3
Avg Revenue beat(4)-0.06%
Min Revenue beat(4)-1.38%
Max Revenue beat(4)0.91%
Revenue beat(8)7
Avg Revenue beat(8)0.29%
Revenue beat(12)10
Avg Revenue beat(12)0.59%
Revenue beat(16)11
Avg Revenue beat(16)-0.1%
PT rev (1m)2.58%
PT rev (3m)2.89%
EPS NQ rev (1m)-0.71%
EPS NQ rev (3m)-0.97%
EPS NY rev (1m)0%
EPS NY rev (3m)0.22%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)0.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.09 | ||
| Fwd PE | 16.6 | ||
| P/S | 3.76 | ||
| P/FCF | 25.09 | ||
| P/OCF | 18.37 | ||
| P/B | 2.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.8 |
EPS(TTM)5.63
EY5.53%
EPS(NY)6.14
Fwd EY6.02%
FCF(TTM)4.06
FCFY3.99%
OCF(TTM)5.55
OCFY5.44%
SpS27.1
BVpS37.93
TBVpS-3.06
PEG (NY)5.46
PEG (5Y)4.91
Graham Number69.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.22% | ||
| ROE | 9.79% | ||
| ROCE | 8.29% | ||
| ROIC | 6.63% | ||
| ROICexc | 7.39% | ||
| ROICexgc | 26.33% | ||
| OM | 19.42% | ||
| PM (TTM) | 13.71% | ||
| GM | 65.57% | ||
| FCFM | 14.98% |
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-Score8
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 5.59 | ||
| Debt/EBITDA | 2.83 | ||
| Cap/Depr | 63.21% | ||
| Cap/Sales | 5.49% | ||
| Interest Coverage | 8.53 | ||
| Cash Conversion | 72.83% | ||
| Profit Quality | 109.28% | ||
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.8 | ||
| Altman-Z | 3.14 |
F-Score8
WACC6.71%
ROIC/WACC0.99
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)7.24%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%7.94%
EPS Next Y3.31%
EPS Next 2Y5.62%
EPS Next 3Y6.29%
EPS Next 5Y6.35%
Revenue 1Y (TTM)5.34%
Revenue growth 3Y1.91%
Revenue growth 5Y3.01%
Sales Q2Q%6.64%
Revenue Next Year7.02%
Revenue Next 2Y6.24%
Revenue Next 3Y6.21%
Revenue Next 5Y5.79%
EBIT growth 1Y7.35%
EBIT growth 3Y-1.62%
EBIT growth 5Y3.4%
EBIT Next Year19.44%
EBIT Next 3Y11.21%
EBIT Next 5Y9.23%
FCF growth 1Y28.67%
FCF growth 3Y-4.64%
FCF growth 5Y-2.95%
OCF growth 1Y27.68%
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 18.09 and the Price/Book (PB) ratio is 2.69.
Can you provide the financial health for MDT stock?
The financial health rating of MEDTRONIC PLC (MDT) is 5 / 10.