MEDTRONIC PLC (MDT) Fundamental Analysis & Valuation

NYSE:MDT • IE00BTN1Y115

88.98 USD
-0.91 (-1.01%)
Last: Mar 11, 2026, 11:16 AM
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This MDT fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

6

Taking everything into account, MDT scores 6 out of 10 in our fundamental rating. MDT was compared to 184 industry peers in the Health Care Equipment & Supplies industry. While MDT has a great profitability rating, there are some minor concerns on its financial health. MDT has a correct valuation and a medium growth rate. MDT also has an excellent dividend rating. These ratings would make MDT suitable for dividend investing!


Dividend Valuation Growth Profitability Health

8

1. MDT Profitability Analysis

1.1 Basic Checks

  • MDT had positive earnings in the past year.
  • In the past year MDT had a positive cash flow from operations.
  • In the past 5 years MDT has always been profitable.
  • MDT had a positive operating cash flow in each of the past 5 years.
MDT Yearly Net Income VS EBIT VS OCF VS FCFMDT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

1.2 Ratios

  • MDT has a better Return On Assets (5.04%) than 80.43% of its industry peers.
  • MDT has a Return On Equity of 9.42%. This is amongst the best in the industry. MDT outperforms 82.07% of its industry peers.
  • The Return On Invested Capital of MDT (6.57%) is better than 80.43% of its industry peers.
  • MDT had an Average Return On Invested Capital over the past 3 years of 6.35%. This is below the industry average of 9.15%.
  • The last Return On Invested Capital (6.57%) for MDT is above the 3 year average (6.35%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 5.04%
ROE 9.42%
ROIC 6.57%
ROA(3y)4.43%
ROA(5y)4.54%
ROE(3y)8.11%
ROE(5y)8.19%
ROIC(3y)6.35%
ROIC(5y)6.24%
MDT Yearly ROA, ROE, ROICMDT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6 8

1.3 Margins

  • The Profit Margin of MDT (13.00%) is better than 88.04% of its industry peers.
  • MDT's Profit Margin has declined in the last couple of years.
  • MDT has a Operating Margin of 18.98%. This is amongst the best in the industry. MDT outperforms 90.76% of its industry peers.
  • In the last couple of years the Operating Margin of MDT has remained more or less at the same level.
  • MDT has a better Gross Margin (65.16%) than 70.11% of its industry peers.
  • MDT's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 18.98%
PM (TTM) 13%
GM 65.16%
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%
MDT Yearly Profit, Operating, Gross MarginsMDT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. MDT Health Analysis

2.1 Basic Checks

  • MDT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • MDT has less shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, MDT has less shares outstanding
  • The debt/assets ratio for MDT is higher compared to a year ago.
MDT Yearly Shares OutstandingMDT Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
MDT Yearly Total Debt VS Total AssetsMDT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B

2.2 Solvency

  • An Altman-Z score of 2.95 indicates that MDT is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • MDT has a better Altman-Z score (2.95) than 69.57% of its industry peers.
  • MDT has a debt to FCF ratio of 5.19. This is a neutral value as MDT would need 5.19 years to pay back of all of its debts.
  • MDT has a better Debt to FCF ratio (5.19) than 78.26% 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: 60.87% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.57
Debt/FCF 5.19
Altman-Z 2.95
ROIC/WACC0.96
WACC6.85%
MDT Yearly LT Debt VS Equity VS FCFMDT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B 50B

2.3 Liquidity

  • MDT has a Current Ratio of 2.54. This indicates that MDT is financially healthy and has no problem in meeting its short term obligations.
  • MDT has a Current ratio (2.54) which is in line with its industry peers.
  • MDT has a Quick Ratio of 1.87. This is a normal value and indicates that MDT is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Quick ratio value of 1.87, MDT perfoms like the industry average, outperforming 47.83% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.54
Quick Ratio 1.87
MDT Yearly Current Assets VS Current LiabilitesMDT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. MDT Growth Analysis

3.1 Past

  • The Earnings Per Share has been growing slightly by 4.87% over the past year.
  • MDT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.68% yearly.
  • The Revenue has been growing slightly by 6.88% in the past 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)4.87%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%-2.16%
Revenue 1Y (TTM)6.88%
Revenue growth 3Y1.91%
Revenue growth 5Y3.01%
Sales Q2Q%8.74%

3.2 Future

  • Based on estimates for the next years, MDT will show a small growth in Earnings Per Share. The EPS will grow by 7.10% on average per year.
  • The Revenue is expected to grow by 6.02% on average over the next years.
EPS Next Y3.55%
EPS Next 2Y5.66%
EPS Next 3Y6.35%
EPS Next 5Y7.1%
Revenue Next Year7.95%
Revenue Next 2Y7.35%
Revenue Next 3Y6.58%
Revenue Next 5Y6.02%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • 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.
MDT Yearly Revenue VS EstimatesMDT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B 40B
MDT Yearly EPS VS EstimatesMDT Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6

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6

4. MDT Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 15.89, MDT is valued correctly.
  • Compared to the rest of the industry, the Price/Earnings ratio of MDT indicates a rather cheap valuation: MDT is cheaper than 84.78% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.25, MDT is valued a bit cheaper.
  • Based on the Price/Forward Earnings ratio of 14.49, the valuation of MDT can be described as correct.
  • Based on the Price/Forward Earnings ratio, MDT is valued cheaply inside the industry as 86.96% 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 24.39.
Industry RankSector Rank
PE 15.89
Fwd PE 14.49
MDT Price Earnings VS Forward Price EarningsMDT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • MDT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MDT is cheaper than 83.70% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, MDT is valued cheaper than 88.04% of the companies in the same industry.
Industry RankSector Rank
P/FCF 21.12
EV/EBITDA 13.03
MDT Per share dataMDT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • MDT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.47
PEG (5Y)4.31
EPS Next 2Y5.66%
EPS Next 3Y6.35%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. MDT Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 3.05%, MDT has a reasonable but not impressive dividend return.
  • MDT's Dividend Yield is rather good when compared to the industry average which is at 0.21. MDT pays more dividend than 98.37% of the companies in the same industry.
  • MDT's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
Industry RankSector Rank
Dividend Yield 3.05%

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 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
MDT Yearly Dividends per shareMDT Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

  • 78.65% of the earnings are spent on dividend by MDT. This is not a sustainable payout ratio.
  • The dividend of MDT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP78.65%
EPS Next 2Y5.66%
EPS Next 3Y6.35%
MDT Yearly Income VS Free CF VS DividendMDT Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B
MDT Dividend Payout.MDT Dividend Payout, showing the Payout Ratio.MDT Dividend Payout.PayoutRetained Earnings

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MDT Fundamentals: All Metrics, Ratios and Statistics

MEDTRONIC PLC

NYSE:MDT (3/11/2026, 11:16:09 AM)

88.98

-0.91 (-1.01%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)02-17
Earnings (Next)05-20
Inst Owners87.75%
Inst Owner Change0.51%
Ins Owners0.28%
Ins Owner Change-1.36%
Market Cap114.24B
Revenue(TTM)35.48B
Net Income(TTM)4.61B
Analysts76.32
Price Target113.25 (27.28%)
Short Float %1.36%
Short Ratio2.19
Dividend
Industry RankSector Rank
Dividend Yield 3.05%
Yearly Dividend2.77
Dividend Growth(5Y)5.1%
DP78.65%
Div Incr Years11
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.66%
Min EPS beat(2)0.89%
Max EPS beat(2)2.43%
EPS beat(4)4
Avg EPS beat(4)1.6%
Min EPS beat(4)0.89%
Max EPS beat(4)2.43%
EPS beat(8)6
Avg EPS beat(8)1.11%
EPS beat(12)9
Avg EPS beat(12)1.9%
EPS beat(16)11
Avg EPS beat(16)1.33%
Revenue beat(2)2
Avg Revenue beat(2)0.17%
Min Revenue beat(2)0.08%
Max Revenue beat(2)0.26%
Revenue beat(4)4
Avg Revenue beat(4)0.35%
Min Revenue beat(4)0.08%
Max Revenue beat(4)0.91%
Revenue beat(8)7
Avg Revenue beat(8)0.23%
Revenue beat(12)10
Avg Revenue beat(12)0.48%
Revenue beat(16)12
Avg Revenue beat(16)0.07%
PT rev (1m)1.06%
PT rev (3m)1.48%
EPS NQ rev (1m)-1.51%
EPS NQ rev (3m)-1.44%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)-0.05%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.09%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)0.29%
Valuation
Industry RankSector Rank
PE 15.89
Fwd PE 14.49
P/S 3.22
P/FCF 21.12
P/OCF 15.68
P/B 2.33
P/tB N/A
EV/EBITDA 13.03
EPS(TTM)5.6
EY6.29%
EPS(NY)6.14
Fwd EY6.9%
FCF(TTM)4.21
FCFY4.73%
OCF(TTM)5.67
OCFY6.38%
SpS27.64
BVpS38.15
TBVpS-2.53
PEG (NY)4.47
PEG (5Y)4.31
Graham Number69.34
Profitability
Industry RankSector Rank
ROA 5.04%
ROE 9.42%
ROCE 8.21%
ROIC 6.57%
ROICexc 7.32%
ROICexgc 25.19%
OM 18.98%
PM (TTM) 13%
GM 65.16%
FCFM 15.24%
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 Turnover0.39
Health
Industry RankSector Rank
Debt/Equity 0.57
Debt/FCF 5.19
Debt/EBITDA 2.84
Cap/Depr 60.84%
Cap/Sales 5.28%
Interest Coverage 8.77
Cash Conversion 74.21%
Profit Quality 117.26%
Current Ratio 2.54
Quick Ratio 1.87
Altman-Z 2.95
F-Score7
WACC6.85%
ROIC/WACC0.96
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)4.87%
EPS 3Y-0.72%
EPS 5Y3.68%
EPS Q2Q%-2.16%
EPS Next Y3.55%
EPS Next 2Y5.66%
EPS Next 3Y6.35%
EPS Next 5Y7.1%
Revenue 1Y (TTM)6.88%
Revenue growth 3Y1.91%
Revenue growth 5Y3.01%
Sales Q2Q%8.74%
Revenue Next Year7.95%
Revenue Next 2Y7.35%
Revenue Next 3Y6.58%
Revenue Next 5Y6.02%
EBIT growth 1Y4.15%
EBIT growth 3Y-1.62%
EBIT growth 5Y3.4%
EBIT Next Year18.67%
EBIT Next 3Y11.27%
EBIT Next 5Y9.86%
FCF growth 1Y9.67%
FCF growth 3Y-4.64%
FCF growth 5Y-2.95%
OCF growth 1Y12.56%
OCF growth 3Y-1.39%
OCF growth 5Y-0.53%

MEDTRONIC PLC / MDT FAQ

What is the fundamental rating for MDT stock?

ChartMill assigns a fundamental rating of 6 / 10 to MDT.


What is the valuation status for MDT stock?

ChartMill assigns a valuation rating of 6 / 10 to MEDTRONIC PLC (MDT). This can be considered as Fairly Valued.


What is the profitability of MDT stock?

MEDTRONIC PLC (MDT) has a profitability rating of 8 / 10.


What is the valuation of MEDTRONIC PLC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for MEDTRONIC PLC (MDT) is 15.89 and the Price/Book (PB) ratio is 2.33.


What is the earnings growth outlook for MEDTRONIC PLC?

The Earnings per Share (EPS) of MEDTRONIC PLC (MDT) is expected to grow by 3.55% in the next year.