RBC Capital reiterates Sector Perform rating on Becton Dickinson stock

Published 16/10/2025, 12:08
RBC Capital reiterates Sector Perform rating on Becton Dickinson stock

Investing.com - Becton Dickinson (NYSE:BDX) shares fell approximately 4% in post-market trading Tuesday after the company announced a CFO transition plan and released preliminary fourth-quarter results. The stock, which has seen a -20.6% return over the past year, is currently trading below its InvestingPro Fair Value, with a P/E ratio of 34.1x.

The medical technology company’s preliminary revenue and earnings per share results for the fiscal fourth quarter of 2025 came in slightly below the low end of its previous guidance, according to RBC Capital.

RBC Capital analyst Shagun Singh maintained a Sector Perform rating on Becton Dickinson stock with a price target of $211.00 following the announcement.

The CFO transition was "somewhat expected," according to RBC Capital’s research note, which indicated the firm remains "on the sidelines" ahead of Becton Dickinson’s full earnings report.

Becton Dickinson did not issue guidance for fiscal year 2026 in its preliminary announcement and will report complete fourth-quarter results on November 6.

In other recent news, Becton Dickinson (BD) reported impressive fiscal third-quarter results, with revenue reaching $5,509 million, marking a 3% organic year-over-year growth. This figure surpassed analysts’ expectations of $5,486 million. Additionally, the company’s earnings per share stood at $3.68, notably exceeding the consensus estimate of $3.40. In response to these results, Piper Sandler raised its price target for BD stock to $200 from $185, maintaining a Neutral rating. Meanwhile, RBC Capital initiated coverage on BD with a Sector Perform rating and set a $211 price target, as the company prepares for a future restructuring involving its Biosciences and Diagnostics businesses. BD has also announced a partnership with Opentrons Labworks to automate single-cell research workflows, aiming to enhance disease research and drug development. Furthermore, BD has partnered with Henry Ford Health to automate pharmacy services, utilizing the BD Rowa Vmax system to offer 24/7 prescription pickups. Lastly, BD has enrolled the first patient in its XTRACT Registry study to evaluate the Rotarex Catheter System for peripheral artery disease treatment.

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