Management Meeting Highlights: Evaluating Ways to Combat U.S. Headwinds But Visibility Is Limited For Now

Research evidence excerpt

Management Meeting Highlights: Evaluating Ways to Combat U.S. Headwinds But Visibility Is Limited For Now

May 11, 2026 Embecta Corporation

(EMBC, Neutral)MEDICAL Marie Thibault

Management Meeting Highlights: Evaluating Ways to Combat U.S. (212) 527-3557 mthibault@btig.com

Headwinds But Visibility Is Limited For Now Alexandra Pang

(332) 400-5092 apang@btig.com

WHAT YOU SHOULD KNOW: Earlier this week, we hosted President and CEO Dev Sam Eiber Kurdikar and VP, Head of Investor Relations Pravesh Khandelwal from Embecta for (212) 588-6516 seiber@btig.com

virtual investor meetings. We downgraded EMBC following its F2Q earnings report (see Company Data

note here) in light of the surprisingly weak print, FY26 guidance cut, and softness in

Closing Price $3.56TECHNOLOGY the U.S. core business. The key question on investors' minds is whether EMBC can get

visibility into when it will be able to effectively fight U.S. market and share headwinds Price Target -

and gain confidence that the issues will not reoccur. Discussions centered on the drivers Market Cap (M) $210.82AND of U.S. core business weakness, management's strategic response, GLP-1 dynamics, Enterprise Value (M) $1,363.32

the pending Owen Mumford (Private) acquisition, and capital allocation priorities. Shares Out (M) 59.22

Management reiterated its long-term goal of transforming EMBC into a broad-based Avg Daily Vol-3 Months (M) 1.24

medical supplies company, though stabilizing the core U.S. business is the necessary

first step before that narrative can regain traction. F2Q was a disappointing quarter, Dividend / Yield $0.04 / 1.1%DIGITAL but we believe management takes seriously the need to rebuild investor credibility on Revisions

commercial execution and the profitability outlook. Maintain Neutral. Previous Current