Medtronic stock: buy or sell?

MDT stock price: $108.12 -0.36% At close on October 18th, 2019

Updated on:
October 18th, 2019

5

Medtronic depreciated an unpleasant -0.36% and closed at $108.12.

Medtronic plc manufactures and sells device-based medical therapies to hospitals, physicians, clinicians, and patients worldwide.

Should I buy Medtronic stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. That's why is so important to define your own trading plan that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, Medtronic stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Medtronic stock a buy?

Financial institutions and banks post stock ratings everyday. At Stocks2.com, we gathered 15 ratings published for MDT stock in the last month.

The general sentiment of these ratings is bullish for MDT stock, with 11 positive ratings.
Is MDT a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-28Needham & Company LLCn/aBuy
2019-8-21Wells Fargo & Con/aOutperform
2019-8-21UBS Groupn/aBuy
2019-8-21Stifel Nicolausn/aHold
2019-8-21Raymond Jamesn/aBuy
2019-8-21Raymond Jamesn/aOutperform
2019-8-21Northland Securitiesn/aHold
2019-8-21Morgan Stanleyn/aEqual Weight
2019-8-21BTIG Researchn/aBuy
2019-8-21BMO Capital Marketsn/aOutperform
2019-8-21BMO Capital Marketsn/aOutperform
2019-8-21Barclaysn/aOverweight
2019-8-19Deutsche Bankn/aBuy
2019-8-16Royal Bank of Canadan/aOutperform
2019-8-14Morgan Stanleyn/aEqual Weight

Medtronic stock analysis

Daily outlook

Medtronic depreciated an unpleasant -0.36% and closed at $108.12.

Medtronic shares depreciated -0.36% to $108.12 on Oct 18th. On July, SMA100d and SMA200d crossed up triggering a rise of 12.19%. On Oct 9th MDT price bounced up over the SMA of 50 days demonstrating to be a significant support for this stock. On Sep 24th, MDT hit new all time highs, pushing higher previous ATH of $111.17 recorded on September 19th. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

MDT stock chart (daily)

Weekly outlook

Medtronic shares grew 0.50% this week, ending at $108.12.

MDT marked an uptrend of rising tops and rising bottoms. Since its last top late September at $111.49, price slid and bounced up back from $105.00. Breaking down under $105.00 would cancel the current uptrend and it might test lower supports. Note that $111.49 might act as a resistance line. Not so far away is the last all-time high Medtronic marked late September. Since SMA20d and SMA40w crossed up late June, MDT price climbed $9.78 per share (9.95%). Since price and SMA40w lines crossed up late May, MDT climbed $21.31 (24.55%).

MDT stock chart (weekly)

Medtronic stock price history

Medtronic stock historical price chart

MDT stock reached all-time highs on September/24 with a price of $111.49.

Medtronic stock price target is $115.50

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. You should not follow the analysts' MDT stock price predictions in the hope that they will be met as they may be wrong and not met. We have 15 price targets for Medtronic stock published in the last month:
MDT stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-28Needham & Company LLCReiteratesn/a$133.00-
2019-8-21Wells Fargo & CoReiterates$110.00$120.009.1%
2019-8-21UBS GroupRaises Target$112.00$122.008.9%
2019-8-21Stifel NicolausReiterates$95.00$112.0017.9%
2019-8-21Raymond JamesReiterates$105.00$118.0012.4%
2019-8-21Raymond JamesRaises Target$105.00$118.0012.4%
2019-8-21Northland SecuritiesReiteratesn/a$100.00-
2019-8-21Morgan StanleyRaises Target$105.00$111.005.7%
2019-8-21BTIG ResearchRaises Targetn/a$120.00-
2019-8-21BMO Capital MarketsReiterates$107.00$118.0010.3%
2019-8-21BMO Capital MarketsRaises Target$107.00$118.0010.3%
2019-8-21BarclaysRaises Target$110.00$117.006.4%
2019-8-19Deutsche BankReiterates$100.00$111.0011%
2019-8-16Royal Bank of CanadaRaises Targetn/a$110.00-
2019-8-14Morgan StanleyRaises Target$100.00$105.005%
(in average)$105.10$115.5010.0%
The price prediction for Medtronic stock is $115.50, moving in a range between $133.00 and $100.00. In average, analysts' outlook on MDT price forecast is positive, increasing the forecast by a 10.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Medtronic reported slightly fine results for 2019-Q1 on February. Medtronic gained Earnings per Share (EPS) by 4.00%, beating experts estimates of $1.24. Medtronic posted $1.29.
MDT earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/an/an/a
2017-Q3-n/an/an/a
2017-Q4-n/an/an/a
2018-Q12018-02-201.161.170.9%
2018-Q22018-05-241.381.422.9%
2018-Q32018-08-211.111.175.4%
2018-Q42018-11-201.141.227.0%
2019-Q12019-02-191.241.294.0%
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Medtronic annual sales stayed constant a neutral 0.01% to $29,953.00 M USD from $29,950.00 marked in 2018. In the same way, its profit margin (compared to sales) remained stable to 10.36%, that is $3,104.00 million.

To have an up to date view of the financial situation of Medtronic, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Medtronic TTM sales up to January 2019 were $30,555.00 and earnings were $4,919.00 M dollars. When comparing this TTM figures with the last reported annuality, we can esteem Medtronic business evolution since April 2018: Annual turnover up to January, compared to lastest yearly report, gained a tiny 2.01%. Similarly, profit margin (net income/revenues) soared at 10.36%.

MDT annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2014$17,010 M-$3,070 M18.0%-
2014$17,010 M0.00%$3,070 M18.0%0.00%
2015$20,260 M19.11%$2,680 M13.2%-12.70%
2015$20,261 M0.00%$2,675 M13.2%-0.19%
2016$28,830 M42.29%$3,540 M12.3%32.34%
2016$28,833 M0.01%$3,538 M12.3%-0.06%
2017$29,710 M3.04%$4,030 M13.6%13.91%
2017$29,710 M0.00%$4,028 M13.6%-0.05%
2018$29,950 M0.81%$3,100 M10.4%-23.04%
2018$29,953 M0.01%$3,104 M10.4%0.13%
TTM $30,555 M2.01%$4,919 M16.1%58.47%

Quarterly financial results

Medtronic reported $7,546.00 million in sales for 2019-Q1, a 0.87% up compared to previous quarter. Reported quarter income marked $1,269.00 million with a profit margin of 16.82%. Profit margin inched a 1.91% compared to previous quarter when profit margin was 14.90%. When comparing revenues to same quarter last year, Medtronic sales marked a slightly good growth and raised a 2.40%. Looking back to recent quarterly results, Medtronic posted 2 negative quarters in a row.
MDT quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$7,920 M-$1,160 M14.6%-
2017-Q3$7,390 M-6.69%$1,020 M13.8%-12.07%
2017-Q4$7,050 M-4.60%$2,017 M28.6%97.75%
2018-Q1$7,369 M4.52%$-1,389 M-18.8%-168.86%
2018-Q2$8,144 M10.52%$1,460 M17.9%-205.11%
2018-Q3$7,384 M-9.33%$1,075 M14.6%-26.37%
2018-Q4$7,481 M1.31%$1,115 M14.9%3.72%
2019-Q1$7,546 M0.87%$1,269 M16.8%13.81%

Medtronic ownership

When you are planning to invest in shares of a company, it's worth to have a look its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Medtronic, 0.06% of all outstanding shares are owned by its staff.

Bearish positions for MDT stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related companies:

MDTABTBAXBSXCNMD
Market cap$144.9 B$146.5 B$44.9 B$53.5 B$2.8 B
Total shares1,340.0 M1,770.0 M510.6 M1,390.0 M28.3 M
Float shares1,340.0 M1,750.0 M509.6 M1,390.0 M27.6 M
  - Institutional holdings (%)84.2%76.5%88.2%93.4%97.5%
  - Insider holdings (%)0.1%0.7%0.1%0.2%1.8%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

Medtronic summary

Friday, October 18th, 2019
Open$108.47
Close$108.12
Day range$107.96 - $108.91
Previous close$108.51
Session gain-0.36%
Average true range$1.60
50d mov avg$106.92
100d mov avg$102.60
200d mov avg$95.23
Daily pattern
Weekly pattern lb03a

Medtronic performance

To measure stock performance is always good to benchmark with competitors or related stocks. We selected , Baxter International, Boston Scientific, CONMED, Edwards Lifesciences, Integra LifeSciences, , Owens & Minor, Stryker and Zimmer Biomet as the bechmarking frame for Medtronic stock.
Stock3m6m12m
MDTMedtronic7.81%29.73%17.61%
ABT-4.99%12.87%24.51%
BAXBaxter Internatio...6.15%19.02%28.04%
BSXBoston Scientific-8.95%9.57%5.28%
CNMDCONMED16.00%23.41%37.36%
EWEdwards Lifescien...17.05%28.32%56.42%
IARTIntegra LifeScien...14.81%22.19%-0.14%
JNJ-1.27%-5.81%-5.62%
OMIOwens & Minor170.45%111.87%-51.72%
SYKStryker3.76%20.05%28.86%
ZBHZimmer Biomet11.67%15.12%11.52%

Medtronic competitors

We picked a few stocks to conform a list of Medtronic competitors to check if you are interested in investing in MDT:

Latest Medtronic stock news