
NYSE:BDX
This summary was created by AI, based on 2 opinions in the last 12 months.
Becton Dickinson has undergone significant structural changes following the spinoff of its life sciences business, now operating primarily as a med tech company. This transition aims to focus on higher-growth and higher-margin sectors, with management setting an adjusted earnings per share (EPS) target of $12.50 for 2026, down from an earlier forecast of $15. Despite the reduction in EPS expectations, there has been an increase in operating margin projections from 21% to 25%, reflecting a potentially stronger financial outlook. The stock is currently considered fairly priced at a multiple of 14x, yet the recent changes introduce additional risks. Analysts have a price target set at $200, contributing to a cautious but optimistic sentiment toward the company's future performance after assessing the implications of the Waters Corp acquisition of part of its diagnostics business.
"Canadian Tire" of healthcare products for clinics and medical offices. Products are one-use only. Elective surgeries have been cancelled, so stock has not done much. Will shine in post-Covid era. Yield is 1.38%. (Analysts’ price target is $272.31)
Healthcare gets knocked down before an election so there is a constant battle at this time of year and then it disappears after the election. This is a great company and continues to do well and you should own it or SYK-N, which he owns.
BDX vs. BSX Owns Boston Scientific instead, with a strong history of execution. One-time events threw off that execution. Hospital procedures are coming back, which will benefit the entire industry. BSX is better known for innovation.
Allan Tong’s Discover Picks The pandemic helped BDX, since most of its products are disposable. Then again, during the spring lockdown, surgeries were cancelled across the board, so use of BDX's products nearly halted. Its chart this year has been rocky, though earlier this month, the stock returned to previous highs above $280 while it has met or narrowly beat its EPS in the past four quarters. BDX continues to be profitable at a margin of 7.13% and a 15.41% five-year average revenue growth. Forward PE stands at 20.44x and it pays a dividend of 1.2%. Read BDX, BSX, ISRG and Stryker Stock: Top 4 Medical Supply Stocks for our full analysis.