Medtronic (MDT) is a Top-Ranked Value Stock: Should You Buy?
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
Medtronic (MDT)
In 2015, Medtronic, Inc. (the legacy NYSE-listed parent company, incorporated in Minnesota) acquired Ireland-based Covidien plc for cash and stock of $49.9 billion. The acquisition resulted in the formation of a new holding company incorporated in Ireland called Medtronic plc (the new Irish tax resident, NYSE-listed parent company holding both the legacy Medtronic and Covidien).
MDT boasts a Value Style Score of B and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Shares of Medtronic are trading at a forward earnings multiple of 14.6X, as well as a PEG Ratio of 2.3, a Price/Cash Flow ratio of 11X, and a Price/Sales ratio of 3.1X.
Many value investors pay close attention to a company's earnings as well. For MDT, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.00 to $5.44 per share for 2025. Per share MDT boasts an average earnings surprise of 4.5%.
Investors should take the time to consider MDT for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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Medtronic PLC (MDT) : Free Stock Analysis Report