Is Medtronic Stock A Buy Now That Sales Growth Has Picked Up?
Investors considering Medtronic (MDT) stock face an immediate concern: the shares returned 1.9% over the past year, trailing the 17.3% gain for the S&P 500. Yet Medtronic raised its outlook for the year in September, following higher fiscal first-quarter profit and sales. The company is also splitting off MiniMed Group, meaning the business you buy today is changing. So how much faster is Medtronic actually growing?
Medtronic’s Sales And Margin Rose In Fiscal Q1 2027
Revenue grew 13.7% in fiscal Q1 2027, which ended July 31, 2026. This is an increase from the 8.4% recorded in the same quarter a year earlier, and growth has climbed from 6.6% in fiscal Q2 2026. Profit outpaced sales during the most recent period, with the net margin reaching 15.1% in the latest quarter against 12.1% a year earlier.
Over a three-year timeline, however, Medtronic has grown at roughly the pace of the broader market. Its sales growth averaged 6.0% a year over that stretch, closely tracking the 5.9% average for the S&P 500. The current speed-up is real, but it is recent.
Buyers Value Medtronic Like An Average S&P 500 Company
Medtronic stock trades at 23.1 times earnings, nearly matching the 22.7 multiple for the S&P 500. Those earnings are also growing. The company’s net income over the last twelve months was about 12% higher than a year earlier.
What Is Still Unsettled At Medtronic?
Medtronic is in the middle of splitting off MiniMed Group. The process began with an exchange offer on September 14, 2026, allowing shareholders to swap Medtronic shares for MiniMed shares. This transaction is generally tax-free for U.S. federal income tax purposes, and Medtronic aims to split off at least 80.1% of MiniMed’s shares this way.
Looking further out, Medtronic announced on October 1, 2026, that the American Medical Association approved new procedure codes for two of its technologies. One is Altaviva, which treats urge urinary incontinence. The other is Symplicity Spyral, which treats uncontrolled hypertension. Medtronic considers both to be important long-term growth opportunities and says the codes reflect growing clinical evidence and physician adoption. The catch is the timeline. The new codes take effect only in January 2028, more than a year from now.
Has Medtronic Stock Protected Investors In Downturns?
The track record is mixed. During the 2023 bond yield shock, Medtronic stock fell 21.0%, dropping more than twice as much as the S&P 500’s 9.5% decline. In the 2022 inflation shock, the shares fell 23.0%, putting them closely in line with the index’s 24.0% drop. Conversely, the stock lost only 6.5% in the 2025 tariff shock, outperforming the 19.0% decline for the broader index. The shares have ultimately sheltered investors in some shocks, but not in others.
The stock has also had a hard stretch of its own, falling about 29% from its highest close of the past year to its lowest. Shares hit that peak of $101.97 on November 25, 2025, before sliding to a low of $72.50 on June 2, 2026. They have since recovered some ground, closing at $94.23 on October 14, 2026.
Medtronic Reports Again In Mid-November
The next earnings report for Medtronic is expected on or around November 16, 2026. This will be the first financial update since the MiniMed exchange offer began, and revenue growth is the number to watch. The benchmark is the 13.7% growth posted in fiscal Q1 2027. If the upcoming figure holds near that pace, it would suggest the recent speed-up is lasting. If growth falls back near the 6.6% seen in fiscal Q2 2026, it would suggest the acceleration was brief.
How To Act On MDT?
Now you know MDT better. And that’s our purpose: to make you informed before you invest your money. However, making a bet on a single stock carries its own risks.
There is a smarter choice. Since its inception, the Trefis High Quality (HQ) Portfolio has beaten the benchmark that combines the three major indices – the S&P 500, S&P Mid-cap, and Russell 2000. And it did so without taking the concentrated risk that comes with do-it-yourself stock picking.
If you’d rather act on MDT itself:
| Play Offense | Play Defense |
|---|---|
| Learn More About MDT & Invest | Save Taxes On Capital Gain |
| Earn From MDT Cash Secured Puts | Covered Call Against MDT |