Medtronic Valuation

Is 0Y6X undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0Y6X when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0Y6X ($81.02) is trading below our estimate of fair value ($135.38)

Significantly Below Fair Value: 0Y6X is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0Y6X?

Key metric: As 0Y6X is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0Y6X. This is calculated by dividing 0Y6X's market cap by their current earnings.
What is 0Y6X's PE Ratio?
PE Ratio24.2x
EarningsUS$4.29b
Market CapUS$103.90b

Price to Earnings Ratio vs Peers

How does 0Y6X's PE Ratio compare to its peers?

The above table shows the PE ratio for 0Y6X vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average42.4x
SN. Smith & Nephew
35x22.7%UK£8.5b
NIOX NIOX Group
22.9x15.8%UK£251.5m
BSX Boston Scientific
73.1x23.3%US$131.1b
SYK Stryker
38.7x11.6%US$139.0b
0Y6X Medtronic
24.2x10.2%US$103.9b

Price-To-Earnings vs Peers: 0Y6X is good value based on its Price-To-Earnings Ratio (24.2x) compared to the peer average (42.4x).


Price to Earnings Ratio vs Industry

How does 0Y6X's PE Ratio compare vs other companies in the European Medical Equipment Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0Y6X 24.2xIndustry Avg. 29.6xNo. of Companies9PE01632486480+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0Y6X is good value based on its Price-To-Earnings Ratio (24.2x) compared to the European Medical Equipment industry average (29.6x).


Price to Earnings Ratio vs Fair Ratio

What is 0Y6X's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0Y6X PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24.2x
Fair PE Ratio41x

Price-To-Earnings vs Fair Ratio: 0Y6X is good value based on its Price-To-Earnings Ratio (24.2x) compared to the estimated Fair Price-To-Earnings Ratio (41x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0Y6X forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$81.02
US$96.00
+18.5%
7.6%US$112.00US$82.00n/a27
Dec ’25US$86.54
US$96.43
+11.4%
7.2%US$112.00US$82.00n/a28
Nov ’25US$90.42
US$96.29
+6.5%
7.5%US$112.00US$82.00n/a28
Oct ’25US$89.62
US$95.01
+6.0%
7.7%US$112.00US$82.00n/a28
Sep ’25US$87.79
US$94.62
+7.8%
7.8%US$112.00US$82.00n/a28
Aug ’25US$80.04
US$93.24
+16.5%
9.3%US$112.00US$76.00n/a28
Jul ’25US$77.38
US$94.03
+21.5%
8.5%US$112.00US$76.00n/a28
Jun ’25US$80.98
US$94.03
+16.1%
8.5%US$112.00US$76.00n/a28
May ’25US$81.14
US$94.75
+16.8%
8.1%US$112.00US$75.00n/a28
Apr ’25US$87.28
US$94.52
+8.3%
8.1%US$112.00US$75.00n/a28
Mar ’25US$83.77
US$94.49
+12.8%
8.0%US$112.00US$75.00n/a28
Feb ’25US$88.21
US$92.47
+4.8%
9.6%US$112.00US$72.00n/a28
Jan ’25US$82.56
US$91.50
+10.8%
10.0%US$112.00US$68.00n/a28
Dec ’24US$79.80
US$91.06
+14.1%
10.2%US$112.00US$68.00US$86.5428
Nov ’24US$70.94
US$91.34
+28.8%
10.8%US$112.00US$68.00US$90.4228
Oct ’24US$77.99
US$94.65
+21.4%
8.8%US$112.00US$80.00US$89.6227
Sep ’24US$81.88
US$94.65
+15.6%
8.8%US$112.00US$80.00US$87.7927
Aug ’24US$87.68
US$93.91
+7.1%
9.5%US$112.00US$77.00US$80.0427
Jul ’24US$88.48
US$93.34
+5.5%
9.2%US$112.00US$77.00US$77.3825
Jun ’24US$82.88
US$92.41
+11.5%
9.0%US$112.00US$77.00US$80.9823
May ’24US$91.22
US$91.50
+0.3%
8.9%US$112.00US$79.00US$81.1422
Apr ’24US$80.21
US$89.91
+12.1%
8.8%US$112.00US$77.00US$87.2822
Mar ’24US$82.13
US$92.14
+12.2%
11.7%US$127.00US$77.00US$83.7722
Feb ’24US$84.30
US$89.91
+6.7%
12.8%US$127.00US$77.00US$88.2122
Jan ’24US$76.96
US$90.61
+17.7%
12.9%US$127.00US$77.00US$82.5623
Dec ’23US$79.02
US$90.77
+14.9%
13.2%US$127.00US$77.00US$79.8022

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/23 12:47
End of Day Share Price 2024/12/20 00:00
Earnings2024/10/25
Annual Earnings2024/04/26

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Medtronic plc is covered by 65 analysts. 31 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Kadambari DaptardarAccountability Research Corporation
Harshit GuptaAccountability Research Corporation
David ToungArgus Research Company