施乐辉：风险回报更新

研报英文原文证据摘录

M

Update

August 5, 2026 03:30 AM GMT

Morgan Stanley & Co. International plc+

Smith & Nephew PLC | Europe

Aisyah Noor

Equity Analyst

Risk Reward Update

Smith & Nephew PLC (SN.L, SN/ LN)

What’s Changed

Medical Devices | United Kingdom

Smith & Nephew PLC (SN.L)

From

To

Price Target

1,333p

1,304p

Bull Case

1,556p

1,521p

Base Case

1,333p

1,304p

Bear Case

833p

815p

Updated Components

EPS

Bull Base Bear Scenarios

Risk Reward for Smith & Nephew PLC (SN.L) has been updated

Stock Rating

Industry View

Price target

Shr price, close (Aug 4, 2026)

52-Week Range

Fiscal Year Ending

EPS (US$)**

Prior EPS (US$)**

Overweight

In-Line

1,304p

1,122p

1,442-1,050p

12/25 12/26e 12/27e 12/28e

1.02

1.06

1.10

1.16

1.21

1.29

1.36

Unless otherwise noted, all metrics are based on Morgan Stanley ModelWare

framework

** = Based on consensus methodology

e = Morgan Stanley Research estimates

Reason for change

Updating SN model post 2Q26 results, at which sales came in -2% vs consensus, and

2H trading profit beat by 3%, but with an unexpected 6% tariff refund tailwind. The

company cut guidance for 2026 underlying revenue growth to around 4% (from

around 6%) but reiterated 2026 trading profit guidance of $1.3bn. Key changes

include: 1) decrease in 2026 revenue growth per updated guidance (challenging

Orthopaedics and worse than expected Skin Substitutes), leading -1.2% 2026

revenue, 2) decrease in 2026 trading profit to reflect execution risk given lower

revenue growth, leading to a -1.8% change in 2026 EPS, and 3) reduction in medium

term growth and profitability assumptions given softer performance, leading to 1.6% and -2.1% change in 2027 revenue and EPS respectively. Our PT and Bull/Bear

cases move accordingly to £8.15 / £13.04 / £15.21.

Morgan Stanley does and seeks to do business with

companies covered in Morgan Stanley Research. As a result,

investors should be aware that the firm may have a conflict of

interest that could affect the objectivity of Morgan Stanley

Research. Investors should consider Morgan Stanley

Research as only a single factor in making their investment

decision.