Citizens JMP reiterates Market Perform rating on Globus Medical stock

Investing.com - Citizens JMP has reiterated its Market Perform rating on Globus Medical (NYSE:GMED) following the release of the company’s second-quarter 2025 results. According to InvestingPro analysis, the company currently appears undervalued, with strong financial health metrics earning a "GREAT" rating.

Globus Medical reported total sales growth of 3% year-over-year, or 5% on a day-adjusted basis, slightly exceeding consensus estimates. The company’s adjusted earnings per share reached $0.86, outperforming Street expectations of $0.75 by approximately 15%. The company maintains impressive profitability with a 67.1% gross margin and healthy liquidity, demonstrated by a current ratio of 4.07.

The medical device manufacturer noted that operational challenges mentioned in the first quarter had largely subsided, with product supply "dramatically improved" across the business. U.S. spine sets and inventory returned to normal levels, while international supply gradually increased throughout the quarter. InvestingPro subscribers can access 8 additional key insights about Globus Medical’s operational performance and future outlook.

Results showed a rebound in Enabling Technologies revenue, which was down 4% year-over-year but increased nearly 60% sequentially following a 31% year-over-year decline in the first quarter of 2025. U.S. Spine growth reached 6% year-over-year (7% day adjusted), and adjusted EPS hit a new quarterly record.

Despite the improved performance, Globus Medical maintained its full-year guidance for both top-line revenue and adjusted earnings per share.

In other recent news, Globus Medical reported strong financial results for the second quarter of 2025, surpassing analysts’ expectations. The company posted an earnings per share (EPS) of $0.86, which exceeded the forecasted $0.76, marking a 13.16% surprise. Additionally, revenue reached $745.3 million, slightly above the anticipated $739.16 million. These results reflect a positive financial performance for the company. The earnings announcement was followed by a notable increase in after-hours trading. This development highlights the company’s capacity to outperform market projections. Investors may take interest in these figures as they consider their investment strategies.

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