US MedTech: NY Valves 2026: Day Three Was Quiet but Just as Informative

研报英文原文证据摘录

US MedTech: NY Valves 2026: Day Three Was Quiet but Just as Informative

target price is based on 22-23x our 2027 EPS estimate given J&J’s diversification, the recovery in elective procedures,

new product regulatory approval, its cash balance, and its ability to increase its dividend.

Risks

Risks specific to Johnson & Johnson shares achieving our target price include: 1) the utilization of healthcare products by

consumers, hospitals, and physicians: 2) new product regulatory approval; 3) competition, particularly in its Pharmaceutical

franchise as it relates to biosimilar and generic drugs; 4) litigation; and 5) the ability of the company to execute and manage in

a changing healthcare environment.

Medtronic Plc

(MDT.N; US$80.52; 1; 25 Jun 26; 16:00)

Valuation

While MDT has frequently, and recently, traded at a discount to its peers, the gap has been closing. This is not surprising as

investors grasp the power of the product portfolio and the multi-year effect it can have on revenue growth (and revenue growth

tends to drive MedTech multiples). Applying an 17x-18x multiple to our CY27 EPS estimate, we arrive at a target price of $110

(range of $109-$115).

Risks specific to Medtronic achieving our target price include: 1) the overall health of the medical technology market, including

pricing and hospitalization trends; 2) the competitive landscape, particularly in its Structural Heart and Rhythm management

franchises; 3) new product approvals (a significant part of the Medtronic story is the product pipeline development and

commercialization); 4) emerging market strategy; 5) leverage of the income statement; 6) use of cash, including integration of

acquisitions; and 7) management execution.