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MDT Q2 Earnings Preview: Cardiovascular Unit Likely to Boost Growth
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Key Takeaways
Medtronic will report fiscal Q2 2026 results on Nov. 18, before market open.
MDT's Cardiovascular sales are expected to rise 8.4% on strong device uptake and share gains.
MDT's Diabetes revenues may grow 9.2%, driven by MiniMed 780G and Simplera Sync sensors.
Medtronic (MDT - Free Report) is set to release second-quarter fiscal 2026 results on Nov. 18, before the market opens.
The MedTech giant posted earnings per share (EPS) of $1.26 in the last reported quarter, which surpassed the Zacks Consensus Estimate by 2.44%. Medtronic’s earnings surprise history is impressive, having exceeded estimates in each of the trailing four quarters. The average beat is 2.20%.
MDT’s Q2 Estimates
For the fiscal second quarter, the Zacks Consensus Estimate for Medtronic’s revenues is pegged at $8.86 billion, suggesting a 5.4% year-over-year improvement.
The consensus mark for the company’s second-quarter EPS implies a 4% increase to $1.31. Earnings estimates have remained unchanged in the past 60 days.
Let’s briefly review the company’s performance leading up to this announcement.
Factors Shaping MDT’s Q2 Performance
Cardiovascular
The segment is likely to have continued its strong momentum, supported by broad-based strength across the portfolio. Within Cardiac Ablation Solutions (“CAS”), growth may have accelerated in both the United States and international markets, thanks to the strong uptake of Medtronic’s PulseSelect and Affera Sphere-9 pulsed field ablation (PFA) systems. Supply ramp-up efforts and on-track mapper hiring are expected to have helped the company enter new accounts and also deepen engagement in established accounts, benefiting its revenues.
In Structural Heart, the Evolut FX+ TAVR device is likely to have continued to gain traction across several geographies, including Japan. Medtronic may have benefited from a competitor’s market exit, allowing it to capture a large share of international revenues. Additionally, the continued strong adoption of premium Cardiac Rhythm Management products — including AURORA EV-ICD, Micra leadless pacemakers, as well as in 3830 conduction system pacing lead — is expected to have favored performance in the quarter under review.
The Zacks Consensus Estimate predicts Cardiovascular revenues to increase 8.4% year over year.
Neuroscience
Within this unit, Medtronic is likely to have achieved strong sales in the Cranial & Spinal Technologies business in the fiscal second quarter, driven by the continued adoption of the AiBLE spine technology ecosystem. Core Spine and Neurosurgery may also contribute favorably to the overall results.
Neuromodulation’s performance may have been supported by strong U.S. growth in Pain Stim and the Inceptiv closed-loop spinal cord stimulator. The continued adoption of the BrainSense Adaptive DBS technology for people with Parkinson's is expected to have favored Brain Modulation sales. In September, Medtronic achieved FDA approval for the Altaviva device, a minimally invasive implantable tibial neuromodulation (ITNM) therapy to treat urge urinary incontinence.
Meanwhile, Specialty Therapies sales in the first quarter were impacted by tender pricing in China and the Pipeline Vantage recall for Neurovascular. As previously indicated by the company, conditions are likely to have improved in the second quarter.
Going by the Zacks Consensus Estimate, Neuroscience revenues are expected to grow 1.5% year over year.
Medical Surgical
In the second quarter of fiscal 2026, Medtronic is likely to have seen strong demand for its LigaSure vessel sealing technology, driving share gains in the Advanced Energy product line. Performance is also expected to have been supported by growth in ProGrip self-gripping polyester mesh, Electrosurgery and Esophageal, similar to the previous quarter. The company’s growing footprint of the AI-powered Touch Surgery ecosystem may have positively impacted its overall revenues.
The Zacks Consensus Estimate for MedSurg revenues suggests a 5.4% year-over-year increase.
Diabetes
In the fiscal second quarter, Medtronic’s Diabetes unit is likely to have witnessed strong momentum, thanks to the strength of the MiniMed 780G automated insulated delivery (AID) system and Simplera Sync continuous glucose monitoring (CGM) sensor in international markets. Both Guardian 4 CGM sensors and Extended Infusion Sets may have continued to see strong adoption.
The company achieved key FDA milestones during the quarter — the SmartGuard algorithm was cleared as an interoperable automated glycemic controller (iAGC) for integration with Abbott’s Instinct sensor for type 1 diabetes, and MiniMed 780G received approval for use in 18+ adults with insulin-requiring type 2 diabetes. Both developments may have contributed to top-line growth.
Moreover, Medtronic is likely to have advanced the planned separation of the Diabetes unit into a standalone, public company, named MiniMed. The strategic change allows Medtronic to focus its portfolio on high-margin growth markets such as PFA and renal denervation.
The Zacks Consensus Estimate for Diabetes revenues indicates 9.2% year-over-year growth.
What Our Model Says About Medtronic?
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, has a higher chance of beating estimates, which is not the case here.
Earnings ESP: Medtronic has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this time around:
Veeva Systems (VEEV - Free Report) has an Earnings ESP of +0.26% and a Zacks Rank #2. The company is slated to release third-quarter fiscal 2026 results on Nov. 20.
VEEV’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 9.71%. The Zacks Consensus Estimate for the company’s third-quarter EPS is expected to increase 11.43% from the year-ago quarter figure.
Alpha Cognition Inc. (ACOG - Free Report) has an Earnings ESP of +9.30% and a Zacks Rank #3. The company is set to release third-quarter 2025 results on Nov. 13.
ACOG has delivered an average earnings beat of 21.74% in the trailing four quarters. The company has an estimated earnings growth rate of 27.7% for 2025 compared with the industry’s 13% growth.
Ascendis Pharma (ASND - Free Report) has an Earnings ESP of +27.25% and a Zacks Rank #3. The company is slated to release third-quarter 2025 results on Nov. 12.
ASND has delivered an average earnings beat of 11.15% in the trailing four quarters. The Zacks Consensus Estimate for the company’s third-quarter loss per share suggests a 78.3% improvement year over year.
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MDT Q2 Earnings Preview: Cardiovascular Unit Likely to Boost Growth
Key Takeaways
Medtronic (MDT - Free Report) is set to release second-quarter fiscal 2026 results on Nov. 18, before the market opens.
The MedTech giant posted earnings per share (EPS) of $1.26 in the last reported quarter, which surpassed the Zacks Consensus Estimate by 2.44%. Medtronic’s earnings surprise history is impressive, having exceeded estimates in each of the trailing four quarters. The average beat is 2.20%.
MDT’s Q2 Estimates
For the fiscal second quarter, the Zacks Consensus Estimate for Medtronic’s revenues is pegged at $8.86 billion, suggesting a 5.4% year-over-year improvement.
The consensus mark for the company’s second-quarter EPS implies a 4% increase to $1.31. Earnings estimates have remained unchanged in the past 60 days.
Let’s briefly review the company’s performance leading up to this announcement.
Factors Shaping MDT’s Q2 Performance
Cardiovascular
The segment is likely to have continued its strong momentum, supported by broad-based strength across the portfolio. Within Cardiac Ablation Solutions (“CAS”), growth may have accelerated in both the United States and international markets, thanks to the strong uptake of Medtronic’s PulseSelect and Affera Sphere-9 pulsed field ablation (PFA) systems. Supply ramp-up efforts and on-track mapper hiring are expected to have helped the company enter new accounts and also deepen engagement in established accounts, benefiting its revenues.
In Structural Heart, the Evolut FX+ TAVR device is likely to have continued to gain traction across several geographies, including Japan. Medtronic may have benefited from a competitor’s market exit, allowing it to capture a large share of international revenues. Additionally, the continued strong adoption of premium Cardiac Rhythm Management products — including AURORA EV-ICD, Micra leadless pacemakers, as well as in 3830 conduction system pacing lead — is expected to have favored performance in the quarter under review.
The Zacks Consensus Estimate predicts Cardiovascular revenues to increase 8.4% year over year.
Neuroscience
Within this unit, Medtronic is likely to have achieved strong sales in the Cranial & Spinal Technologies business in the fiscal second quarter, driven by the continued adoption of the AiBLE spine technology ecosystem. Core Spine and Neurosurgery may also contribute favorably to the overall results.
Medtronic PLC Price and EPS Surprise
Medtronic PLC price-eps-surprise | Medtronic PLC Quote
Neuromodulation’s performance may have been supported by strong U.S. growth in Pain Stim and the Inceptiv closed-loop spinal cord stimulator. The continued adoption of the BrainSense Adaptive DBS technology for people with Parkinson's is expected to have favored Brain Modulation sales. In September, Medtronic achieved FDA approval for the Altaviva device, a minimally invasive implantable tibial neuromodulation (ITNM) therapy to treat urge urinary incontinence.
Meanwhile, Specialty Therapies sales in the first quarter were impacted by tender pricing in China and the Pipeline Vantage recall for Neurovascular. As previously indicated by the company, conditions are likely to have improved in the second quarter.
Going by the Zacks Consensus Estimate, Neuroscience revenues are expected to grow 1.5% year over year.
Medical Surgical
In the second quarter of fiscal 2026, Medtronic is likely to have seen strong demand for its LigaSure vessel sealing technology, driving share gains in the Advanced Energy product line. Performance is also expected to have been supported by growth in ProGrip self-gripping polyester mesh, Electrosurgery and Esophageal, similar to the previous quarter. The company’s growing footprint of the AI-powered Touch Surgery ecosystem may have positively impacted its overall revenues.
The Zacks Consensus Estimate for MedSurg revenues suggests a 5.4% year-over-year increase.
Diabetes
In the fiscal second quarter, Medtronic’s Diabetes unit is likely to have witnessed strong momentum, thanks to the strength of the MiniMed 780G automated insulated delivery (AID) system and Simplera Sync continuous glucose monitoring (CGM) sensor in international markets. Both Guardian 4 CGM sensors and Extended Infusion Sets may have continued to see strong adoption.
The company achieved key FDA milestones during the quarter — the SmartGuard algorithm was cleared as an interoperable automated glycemic controller (iAGC) for integration with Abbott’s Instinct sensor for type 1 diabetes, and MiniMed 780G received approval for use in 18+ adults with insulin-requiring type 2 diabetes. Both developments may have contributed to top-line growth.
Moreover, Medtronic is likely to have advanced the planned separation of the Diabetes unit into a standalone, public company, named MiniMed. The strategic change allows Medtronic to focus its portfolio on high-margin growth markets such as PFA and renal denervation.
The Zacks Consensus Estimate for Diabetes revenues indicates 9.2% year-over-year growth.
What Our Model Says About Medtronic?
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, has a higher chance of beating estimates, which is not the case here.
Earnings ESP: Medtronic has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks Rank #1 stocks here.
Stocks Worth a Look
Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this time around:
Veeva Systems (VEEV - Free Report) has an Earnings ESP of +0.26% and a Zacks Rank #2. The company is slated to release third-quarter fiscal 2026 results on Nov. 20.
VEEV’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 9.71%. The Zacks Consensus Estimate for the company’s third-quarter EPS is expected to increase 11.43% from the year-ago quarter figure.
Alpha Cognition Inc. (ACOG - Free Report) has an Earnings ESP of +9.30% and a Zacks Rank #3. The company is set to release third-quarter 2025 results on Nov. 13.
ACOG has delivered an average earnings beat of 21.74% in the trailing four quarters. The company has an estimated earnings growth rate of 27.7% for 2025 compared with the industry’s 13% growth.
Ascendis Pharma (ASND - Free Report) has an Earnings ESP of +27.25% and a Zacks Rank #3. The company is slated to release third-quarter 2025 results on Nov. 12.
ASND has delivered an average earnings beat of 11.15% in the trailing four quarters. The Zacks Consensus Estimate for the company’s third-quarter loss per share suggests a 78.3% improvement year over year.