Trump/Putin summit, UnitedHealth and Japan’s GDP - what’s moving markets
Investing.com - Merit Medical Systems , Inc. (NASDAQ:MMSI) received a reiterated Buy rating and $108.00 price target from Needham on Thursday. According to InvestingPro data, analyst targets range from $90 to $122, while the stock currently trades at $82.96, near its 52-week low. The company maintains a "GREAT" financial health score, though it trades at a relatively high P/E ratio of 39.5x.
The medical device company reported second-quarter 2025 results that exceeded consensus expectations for both revenue and earnings per share. Merit Medical (TASE:BLWV)’s organic revenue growth improved to 6.7% year-over-year in the second quarter, up from 6.0% in the first quarter of 2025. The company maintains strong fundamentals with a healthy gross profit margin of 47.8% and a solid current ratio of 4.87x, indicating robust liquidity.
Management raised its full-year 2025 revenue guidance and increased its earnings per share outlook, citing a significantly reduced tariff impact of approximately $7 million compared to the previously expected $26 million, along with strong first-half performance. The company’s gross margin expanded by 170 basis points year-over-year, while operating margin improved by 110 basis points.
Merit Medical lowered its 2025 sales guidance for its WRAPSODY product to $2-4 million from $7-9 million due to delayed potential add-on outpatient reimbursement. The company plans to submit an application for a Transitional Pass-Through payment by September 1, 2025, with an expected response in December.
Free cash flow reached $70 million in the second quarter of 2025, compared to $58 million in the same period of 2024, demonstrating the company’s continued strong execution of its strategic initiatives. Want deeper insights? InvestingPro subscribers get access to 8 additional ProTips and comprehensive financial analysis, including detailed valuation metrics and peer comparisons in our Pro Research Report.
In other recent news, Merit Medical Systems reported its second-quarter earnings for 2025, delivering results that exceeded market expectations. The company achieved an earnings per share of $1.01, surpassing the anticipated $0.85, which represents an 18.82% surprise. Additionally, Merit Medical Systems reported revenue of $382.5 million, beating the forecasted $374.18 million. These results highlight the company’s strong financial performance in the quarter. While the stock’s slight increase in aftermarket trading was noted, the focus remains on the company’s earnings and revenue achievements. Such financial outcomes are crucial for investors assessing the company’s health and potential. These developments are part of the company’s recent progress, reflecting its current financial standing.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.