Medtronic (MDT) Stock Forecast & Price Target

Medtronic demonstrates a positive growth trajectory across several key therapeutic areas, with Cranial & Spinal Technologies achieving 4.7% year-over-year organic growth, and Neuromodulation increasing by 7.3% year-over-year. Diabetes revenues reached $757 million, growing 7.1% year over year, driven by strong international demand for insulin pumps and continuous glucose monitoring systems. Notably, the Cardiovascular segment reported a remarkable 71% growth in Cardiac Ablation, indicating significant expansion opportunities, while the company's outlook remains optimistic for continued share gains and market expansion through FY26.

Medtronic's outlook appears negative primarily due to concerns over slower-than-expected product uptake and challenges in key markets such as cardiology and spine, which could hinder revenue growth. The company has also lowered its operating margin guidance and faces downside risks from competition, supply chain disruptions, and an inability to effectively leverage its operations amidst higher debt levels tied to acquisitions. Additionally, delays in key product launches, including the Hugo robotics system, could further exacerbate the company's struggles to achieve targeted top-line and margin expansion goals.