Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
Medtronic PLC, MVA calculation
US$ in millions
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | Medtronic PLC market (fair) value less invested capital. | Medtronic PLC MVA decreased from 2021 to 2022 and from 2022 to 2023. |
MVA Spread Ratio
Medtronic PLC, MVA spread ratio calculation, comparison to benchmarks
| Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | Apr 26, 2019 | Apr 27, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Market value added (MVA)1 | 62,345) | 65,311) | 118,094) | 76,584) | 82,400) | 65,077) | |
| Invested capital2 | 70,505) | 69,629) | 72,405) | 71,146) | 72,690) | 70,880) | |
| Performance Ratio | |||||||
| MVA spread ratio3 | 88.43% | 93.80% | 163.10% | 107.64% | 113.36% | 91.81% | |
| Benchmarks | |||||||
| MVA Spread Ratio, Competitors4 | |||||||
| Abbott Laboratories | 257.59% | 230.60% | 266.78% | 300.18% | 202.12% | — | |
| Cigna Group | 49.48% | 36.39% | 21.75% | 20.67% | 16.09% | — | |
| CVS Health Corp. | 8.29% | 26.73% | 49.51% | 20.97% | 20.89% | — | |
| Danaher Corp. | 157.62% | 156.95% | 187.44% | 172.97% | 135.15% | — | |
| Elevance Health Inc. | 105.04% | 108.24% | 115.84% | 72.12% | 79.88% | — | |
| Humana Inc. | 86.56% | 156.66% | 122.92% | 163.20% | 196.12% | — | |
| Intuitive Surgical Inc. | 1,699.53% | 1,400.02% | 2,002.36% | 1,853.43% | 1,771.30% | — | |
| UnitedHealth Group Inc. | 192.81% | 214.27% | 265.59% | 189.93% | 187.47% | — | |
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
1 MVA. See details »
2 Invested capital. See details »
3 2023 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 62,345 ÷ 70,505 = 88.43%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | Medtronic PLC MVA spread ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
MVA Margin
Medtronic PLC, MVA margin calculation, comparison to benchmarks
| Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | Apr 26, 2019 | Apr 27, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Market value added (MVA)1 | 62,345) | 65,311) | 118,094) | 76,584) | 82,400) | 65,077) | |
| Net sales | 31,227) | 31,686) | 30,117) | 28,913) | 30,557) | 29,953) | |
| Add: Increase (decrease) in deferred revenue | 6) | 31) | 65) | (12) | 26) | —) | |
| Adjusted net sales | 31,233) | 31,717) | 30,182) | 28,901) | 30,583) | 29,953) | |
| Performance Ratio | |||||||
| MVA margin2 | 199.61% | 205.92% | 391.27% | 264.99% | 269.43% | 217.26% | |
| Benchmarks | |||||||
| MVA Margin, Competitors3 | |||||||
| Abbott Laboratories | 383.09% | 323.76% | 384.46% | 523.78% | 368.47% | — | |
| Cigna Group | 21.87% | 17.38% | 11.43% | 12.17% | 9.91% | — | |
| CVS Health Corp. | 3.14% | 10.28% | 22.27% | 10.70% | 11.44% | — | |
| Danaher Corp. | 517.54% | 389.99% | 468.46% | 507.10% | 438.18% | — | |
| Elevance Health Inc. | 43.12% | 46.51% | 54.14% | 33.92% | 42.99% | — | |
| Humana Inc. | 24.85% | 49.25% | 45.49% | 46.87% | 57.53% | — | |
| Intuitive Surgical Inc. | 1,695.34% | 1,209.45% | 1,575.51% | 1,900.32% | 1,312.48% | — | |
| UnitedHealth Group Inc. | 95.85% | 109.81% | 130.39% | 96.88% | 91.49% | — | |
Based on: 10-K (reporting date: 2023-04-28), 10-K (reporting date: 2022-04-29), 10-K (reporting date: 2021-04-30), 10-K (reporting date: 2020-04-24), 10-K (reporting date: 2019-04-26), 10-K (reporting date: 2018-04-27).
1 MVA. See details »
2 2023 Calculation
MVA margin = 100 × MVA ÷ Adjusted net sales
= 100 × 62,345 ÷ 31,233 = 199.61%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | Medtronic PLC MVA margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |