Medtronic (MDT) closed at $86.68 in the latest trading session, marking a +1.51% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.48%. Elsewhere, the Dow gained 1.32%, while the tech-heavy Nasdaq added 2.13%.

The medical device company's shares have seen an increase of 2.64% over the last month, surpassing the Medical sector's gain of 0.67% and the S&P 500's gain of 0.19%.

The investment community will be paying close attention to the earnings performance of Medtronic in its upcoming release. The company is slated to reveal its earnings on September 1, 2026. The company is forecasted to report an EPS of $1.39, showcasing a 10.32% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $9.48 billion, up 10.53% from the prior-year quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.94 per share and a revenue of $38.66 billion, indicating changes of +7.41% and +6.33%, respectively, from the former year.

Investors might also notice recent changes to analyst estimates for Medtronic. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.03% increase. Medtronic presently features a Zacks Rank of #4 (Sell).

In terms of valuation, Medtronic is currently trading at a Forward P/E ratio of 14.37. This signifies a discount in comparison to the average Forward P/E of 19.53 for its industry.

Investors should also note that MDT has a PEG ratio of 2.29 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Medical - Products industry was having an average PEG ratio of 1.88.

The Medical - Products industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 149, placing it within the bottom 40% of over 250 industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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Medtronic PLC (MDT): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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