Medtronic PLC Gross Profit vs. Price To Sales

MDT Stock  USD 85.75  0.46  0.53%   
Based on the measurements of profitability obtained from Medtronic PLC's financial statements, Medtronic PLC's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Medtronic PLC's ability to earn profits and add value for shareholders.
 
Gross Profit  
First Reported
1985-10-31
Previous Quarter
4.7 B
Current Value
5.5 B
Quarterly Volatility
1.9 B
 
Black Monday
 
Oil Shock
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
At this time, Medtronic PLC's Price To Sales Ratio is comparatively stable compared to the past year. EV To Sales is likely to gain to 6.60 in 2024, whereas Days Sales Outstanding is likely to drop 66.20 in 2024. At this time, Medtronic PLC's Income Tax Expense is comparatively stable compared to the past year. Net Income From Continuing Ops is likely to gain to about 4.2 B in 2024, whereas Income Before Tax is likely to drop slightly above 2.7 B in 2024.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.650.6011
Significantly Up
Slightly volatile
Net Profit Margin0.120.1136
Notably Up
Slightly volatile
Operating Profit Margin0.150.1589
Notably Down
Slightly volatile
Pretax Profit Margin0.130.1495
Fairly Down
Slightly volatile
Return On Assets0.03870.0409
Notably Down
Slightly volatile
Return On Equity0.07010.0732
Sufficiently Down
Slightly volatile
For Medtronic PLC profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Medtronic PLC to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Medtronic PLC utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Medtronic PLC's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Medtronic PLC over time as well as its relative position and ranking within its peers.
  

Medtronic PLC's Revenue Breakdown by Earning Segment

Check out Correlation Analysis.
For more information on how to buy Medtronic Stock please use our How to Invest in Medtronic PLC guide.
Is Health Care Equipment & Supplies space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Medtronic PLC. If investors know Medtronic will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Medtronic PLC listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.356
Earnings Share
3.27
Revenue Per Share
24.709
Quarterly Revenue Growth
0.028
Return On Assets
0.0442
The market value of Medtronic PLC is measured differently than its book value, which is the value of Medtronic that is recorded on the company's balance sheet. Investors also form their own opinion of Medtronic PLC's value that differs from its market value or its book value, called intrinsic value, which is Medtronic PLC's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Medtronic PLC's market value can be influenced by many factors that don't directly affect Medtronic PLC's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Medtronic PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if Medtronic PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Medtronic PLC's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Medtronic PLC Price To Sales vs. Gross Profit Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Medtronic PLC's current stock value. Our valuation model uses many indicators to compare Medtronic PLC value to that of its competitors to determine the firm's financial worth.
Medtronic PLC is regarded second in gross profit category among its peers. It is rated below average in price to sales category among its peers . The ratio of Gross Profit to Price To Sales for Medtronic PLC is about  6,397,866,887 . At this time, Medtronic PLC's Gross Profit is comparatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Medtronic PLC by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Medtronic Price To Sales vs. Gross Profit

Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

Medtronic PLC

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
21.71 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Medtronic PLC

P/S

 = 

MV Per Share

Revenue Per Share

 = 
3.39 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.

Medtronic Price To Sales Comparison

Medtronic PLC is currently under evaluation in price to sales category among its peers.

Medtronic PLC Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Medtronic PLC, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Medtronic PLC will eventually generate negative long term returns. The profitability progress is the general direction of Medtronic PLC's change in net profit over the period of time. It can combine multiple indicators of Medtronic PLC, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-3.3 B-3.2 B
Operating Income5.1 BB
Income Before Tax4.8 B2.7 B
Total Other Income Expense Net-307 M-322.4 M
Net Income3.7 B2.4 B
Income Tax Expense1.1 B1.2 B
Net Income Applicable To Common Shares4.3 B3.2 B
Net Income From Continuing Ops3.7 B4.2 B
Non Operating Income Net Other592.2 M621.9 M
Interest Income147.6 M140.2 M
Net Interest Income-719 M-755 M
Change To Netincome603.8 M633.9 M
Net Income Per Share 2.77  2.68 
Income Quality 1.85  1.72 
Net Income Per E B T 0.76  0.93 

Medtronic Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Medtronic PLC. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Medtronic PLC position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Medtronic PLC's important profitability drivers and their relationship over time.

Learn to be your own money manager

Our tools can tell you how much better you can do entering a position in Medtronic PLC without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

Did you try this?

Run Watchlist Optimization Now

   

Watchlist Optimization

Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm
All  Next Launch Module

Use Investing Themes to Complement your Medtronic PLC position

In addition to having Medtronic PLC in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Beers Thematic Idea Now

Beers
Beers Theme
Companies involved in production and distribution of domestic and international beer. The Beers theme has 39 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Beers Theme or any other thematic opportunities.
View All  Next Launch

Additional Tools for Medtronic Stock Analysis

When running Medtronic PLC's price analysis, check to measure Medtronic PLC's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Medtronic PLC is operating at the current time. Most of Medtronic PLC's value examination focuses on studying past and present price action to predict the probability of Medtronic PLC's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Medtronic PLC's price. Additionally, you may evaluate how the addition of Medtronic PLC to your portfolios can decrease your overall portfolio volatility.