Enovis stock price target cut to $55 by JMP Securities

Published 09/05/2025, 10:20
Enovis stock price target cut to $55 by JMP Securities

On Friday, JMP Securities analyst David Turkaly adjusted the price target for Enovis Corp (NYSE:ENOV) to $55.00 from the previous $62.00, while retaining a Market Outperform rating on the company’s shares. The revision follows Enovis’ release of its first-quarter financial results for 2025. According to InvestingPro data, the stock appears undervalued based on its Fair Value analysis, with analyst targets ranging from $37 to $75.

Enovis reported first-quarter results that closely aligned with consensus expectations. The company achieved a double-digit sales increase of 10% when adjusted for foreign exchange effects, which is nearing their high-single-digit target, excluding a 3.5 percentage point benefit from additional days. Additionally, Enovis saw gross margin expansion of 300 basis points year-over-year and an adjusted EBITDA margin growth of 160 basis points over the same period last year. InvestingPro data shows the company maintains a healthy current ratio of 2.55, indicating strong liquidity, though it operates with a significant debt burden of $1.4 billion.

Turkaly commented on the financial performance, noting the company’s ability to meet market expectations and highlighting the significant growth in sales and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA). The analyst’s reiteration of the Market Outperform rating suggests a continued positive outlook for Enovis despite the lowered price target. InvestingPro subscribers can access 7 additional ProTips and detailed financial metrics in the comprehensive Pro Research Report, providing deeper insights into Enovis’s financial health and growth potential.

The price target adjustment reflects a more conservative valuation in light of the reported financial figures and market conditions. The new target of $55.00 represents a decrease from the previous target but still indicates potential for growth above the current market price.

Enovis’ financial performance, particularly the expansion in gross margins and adjusted EBITDA, demonstrates the company’s operational efficiency and ability to grow its profitability. The double-digit sales growth, excluding foreign exchange impacts, also underscores the company’s strong sales execution and market presence.

In other recent news, Enovis Corporation reported its first-quarter 2025 financial results, surpassing analysts’ expectations with an adjusted earnings per share (EPS) of $0.81, compared to the forecast of $0.74. The company achieved revenue of $559 million, slightly above the forecast of $558.9 million, marking an 8% year-over-year increase. Despite these positive results, the company’s stock experienced a decline in early trading. The company has been actively expanding its product offerings, launching several new products in the orthopedic and recovery sciences markets. Enovis is also preparing for a leadership transition, with Damian McDonald set to take over as CEO. Analysts from Wells Fargo (NYSE:WFC) and Evercore ISI have been inquiring about the company’s strategies for tariff mitigation and its continued investment in growth. Enovis has provided a revenue guidance range of $2,220 to $2,250 million for 2025, along with an adjusted EBITDA range of $385 to $395 million. The company is focused on mitigating a $40 million tariff exposure to $20 million and maintains a positive free cash flow expectation.

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