BTIG analyst Ryan Zimmerman highlighted that Medtronic's organic revenue growth is now structurally higher than in previous years, supported by new product contributions that are expected to enhance the company's top-line performance. The firm set a price target of $90 for Medtronic shares, indicating a potential upside of 15% from the stock's recent closing price.
Currently, Medtronic trades at 13 times forward earnings, which is notably lower than the average multiple of 16.6 for its peers, suggesting it is undervalued in a market that may not fully appreciate its income and durability. Medtronic achieved its strongest annual revenue in a decade during fiscal 2026 and has shown signs of accelerating organic growth in the following fiscal period.
New products like the FDA-approved Altaviva for urinary incontinence and the Symplicity treatment for high blood pressure are expected to contribute significantly to revenue in the coming year. This positive outlook aligns with the broader consensus among analysts, with 18 out of 33 recommending a buy or strong buy on the stock, despite shares having declined nearly 19% year-to-date