Common Stock Valuation Ratios (Price Multiples)
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Current Valuation Ratios
Medtronic PLC, current price multiples
| Medtronic PLC | Abbott Laboratories | CVS Health Corp. | Elevance Health Inc. | Intuitive Surgical Inc. | UnitedHealth Group Inc. | Health Care Equipment & Services | Health Care | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||
| Current share price (P) | $86.34 | ||||||||||
| No. shares of common stock outstanding | 1,281,264,703 | ||||||||||
| Growth rate (g) | 1.56% | ||||||||||
| Earnings per share (EPS) | $3.64 | ||||||||||
| Next year expected EPS | $3.70 | ||||||||||
| Operating profit per share | $4.65 | ||||||||||
| Sales per share | $26.17 | ||||||||||
| Book value per share (BVPS) | $37.48 | ||||||||||
| Valuation Ratios (Price Multiples) | |||||||||||
| Price to earnings (P/E) | 23.73 | 17.26 | 18.25 | 14.15 | 78.60 | 19.02 | 21.79 | 32.88 | |||
| Price to next year expected earnings | 23.36 | 15.70 | 17.47 | 12.62 | 69.55 | 16.54 | 19.97 | 30.35 | |||
| Price-earnings-growth (PEG) | 15.16 | 1.74 | 4.09 | 1.17 | 6.04 | 1.27 | 2.39 | 3.95 | |||
| Price to operating profit (P/OP) | 18.58 | 33.90 | 9.89 | 11.62 | 77.72 | 8.49 | 15.50 | 22.96 | |||
| Price to sales (P/S) | 3.30 | 5.52 | 0.23 | 0.48 | 21.86 | 0.69 | 0.95 | 2.31 | |||
| Price to book value (P/BV) | 2.30 | 4.85 | 1.11 | 2.05 | 11.11 | 2.96 | 2.99 | 4.85 | |||
Based on: 10-K (reporting date: 2025-04-25).
If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.
Historical Valuation Ratios (Summary)
Medtronic PLC, historical price multiples
Based on: 10-K (reporting date: 2025-04-25), 10-K (reporting date: 2024-04-26), 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).
- Price to Earnings (P/E) Ratio
- The P/E ratio demonstrated notable volatility over the observed periods. It increased sharply from 26.3 in April 2020 to a peak of 46.56 in April 2021, indicating a substantial rise in market valuation relative to earnings during this time. Following this peak, the ratio declined significantly to 23.38 by April 2022, then experienced moderate fluctuations, ending at 23.73 in April 2025, evidencing a stabilization near pre-2021 levels.
- Price to Operating Profit (P/OP) Ratio
- The P/OP ratio followed a somewhat similar pattern to the P/E ratio but with less volatility. It rose from 26.29 in April 2020 to a high of 37.44 in April 2021, reflecting an elevated market valuation relative to operating profits. Subsequently, the ratio decreased steadily to 20.48 in April 2022 and continued a moderate decline to 18.58 by April 2025. This trend suggests an increasing operating profit relative to the market price or a reduced market premium over operating profit across the later years.
- Price to Sales (P/S) Ratio
- The P/S ratio showed a less pronounced fluctuation compared to earnings- and profit-based ratios. It rose moderately from 4.36 in April 2020 to 5.57 in April 2021, indicating an increase in valuation relative to sales. However, after 2021 it dropped sharply to 3.72 in April 2022 and remained largely stable around this level through April 2023. In the last two years, the ratio slightly decreased to 3.18 by April 2024 before edging up slightly to 3.3 by April 2025, suggesting relatively stable sales valuation with minor market adjustments.
- Price to Book Value (P/BV) Ratio
- The P/BV ratio declined over the periods, falling from 2.48 in April 2020 to a lower point of 2.05 in April 2024, indicating a gradual decrease in market valuation relative to the book value of the company. There was a slight recovery to 2.3 in April 2025, but overall the trend points to diminishing market premium over book value, which might reflect changing investor perceptions concerning the company's net asset value or underlying balance sheet strength.
Price to Earnings (P/E)
Medtronic PLC, historical P/E calculation, comparison to benchmarks
| Apr 25, 2025 | Apr 26, 2024 | Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,281,264,703 | 1,282,269,783 | 1,330,405,428 | 1,328,709,310 | 1,343,904,180 | 1,341,298,882 | |
| Selected Financial Data (US$) | |||||||
| Net income attributable to Medtronic (in millions) | 4,662) | 3,676) | 3,758) | 5,039) | 3,606) | 4,789) | |
| Earnings per share (EPS)2 | 3.64 | 2.87 | 2.82 | 3.79 | 2.68 | 3.57 | |
| Share price1, 3 | 86.34 | 80.17 | 87.41 | 88.67 | 124.93 | 93.91 | |
| Valuation Ratio | |||||||
| P/E ratio4 | 23.73 | 27.97 | 30.94 | 23.38 | 46.56 | 26.30 | |
| Benchmarks | |||||||
| P/E Ratio, Competitors5 | |||||||
| Abbott Laboratories | — | 17.46 | 34.57 | 26.76 | 29.13 | 48.49 | |
| CVS Health Corp. | — | 17.28 | 11.47 | 27.53 | 17.39 | 12.88 | |
| Elevance Health Inc. | — | 14.85 | 19.80 | 19.20 | 18.13 | 15.87 | |
| Intuitive Surgical Inc. | — | 87.82 | 74.11 | 64.99 | 59.94 | 87.47 | |
| UnitedHealth Group Inc. | — | 29.75 | 20.53 | 22.46 | 26.03 | 20.54 | |
| P/E Ratio, Sector | |||||||
| Health Care Equipment & Services | — | 25.63 | 23.36 | 24.57 | 26.88 | 24.48 | |
| P/E Ratio, Industry | |||||||
| Health Care | — | 37.14 | 29.43 | 21.38 | 21.35 | 30.75 | |
Based on: 10-K (reporting date: 2025-04-25), 10-K (reporting date: 2024-04-26), 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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
EPS = Net income attributable to Medtronic ÷ No. shares of common stock outstanding
= 4,662,000,000 ÷ 1,281,264,703 = 3.64
3 Closing price as at the filing date of Medtronic PLC Annual Report.
4 2025 Calculation
P/E ratio = Share price ÷ EPS
= 86.34 ÷ 3.64 = 23.73
5 Click competitor name to see calculations.
- Share Price Analysis
- The share price demonstrated notable volatility over the observed periods. Initially, it increased from $93.91 in April 2020 to a peak of $124.93 in April 2021. Subsequently, it declined significantly to $88.67 by April 2022 and then stabilized around the high eighties, reaching $87.41 in April 2023. The share price continued its downward trend to $80.17 by April 2024 before exhibiting a slight recovery to $86.34 in April 2025. Overall, the share price shows a pattern of a sharp rise followed by a correction and moderate fluctuation in the latter years.
- Earnings per Share (EPS) Analysis
- The EPS values fluctuated during the periods under review. EPS decreased from $3.57 in April 2020 to $2.68 in April 2021, before rebounding sharply to $3.79 in April 2022. In the subsequent years, EPS declined again to $2.82 in April 2023 and showed a marginal increase to $2.87 in April 2024. The final period reviewed recorded a more pronounced increase to $3.64 in April 2025. This indicates a cyclical pattern with varying profitability but an overall recovery in earnings toward the latest period.
- Price-to-Earnings (P/E) Ratio Analysis
- The P/E ratio exhibits significant fluctuations corresponding with changes in share price and EPS. It started at 26.3 in April 2020 and rose sharply to a peak of 46.56 in April 2021, reflecting potentially overvalued shares or lower earnings that year. Subsequently, the P/E ratio dropped to 23.38 in April 2022, indicating a correction. The ratio increased again to 30.94 in April 2023, followed by a decline to 27.97 in April 2024 and further down to 23.73 in April 2025. This downward trend in the P/E ratio in recent years suggests a normalization in valuation relative to earnings.
- Summary
- The company’s financial indicators portray a landscape of initial growth followed by correction and then stabilization. The share price, after reaching its highest point in April 2021, declined and then stabilized with slight upward movement in the most recent year. Earnings per share have shown fluctuation but ended with a notable recovery in the last period. The P/E ratio fluctuated widely, peaking in the second period, and has generally moved towards a more normalized valuation level in subsequent years. Collectively, these trends suggest periods of both investor optimism and market adjustment, alongside varying profitability but with positive signs in the latest year.
Price to Operating Profit (P/OP)
Medtronic PLC, historical P/OP calculation, comparison to benchmarks
| Apr 25, 2025 | Apr 26, 2024 | Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,281,264,703 | 1,282,269,783 | 1,330,405,428 | 1,328,709,310 | 1,343,904,180 | 1,341,298,882 | |
| Selected Financial Data (US$) | |||||||
| Operating profit (in millions) | 5,955) | 5,144) | 5,485) | 5,752) | 4,484) | 4,791) | |
| Operating profit per share2 | 4.65 | 4.01 | 4.12 | 4.33 | 3.34 | 3.57 | |
| Share price1, 3 | 86.34 | 80.17 | 87.41 | 88.67 | 124.93 | 93.91 | |
| Valuation Ratio | |||||||
| P/OP ratio4 | 18.58 | 19.98 | 21.20 | 20.48 | 37.44 | 26.29 | |
| Benchmarks | |||||||
| P/OP Ratio, Competitors5 | |||||||
| Abbott Laboratories | — | 34.28 | 30.54 | 22.18 | 24.45 | 40.69 | |
| CVS Health Corp. | — | 9.36 | 6.96 | 14.75 | 10.43 | 6.65 | |
| Elevance Health Inc. | — | 12.19 | 15.57 | 15.05 | 15.70 | 12.10 | |
| Intuitive Surgical Inc. | — | 86.83 | 75.42 | 54.49 | 56.11 | 88.37 | |
| UnitedHealth Group Inc. | — | 13.27 | 14.20 | 15.89 | 18.77 | 14.12 | |
| P/OP Ratio, Sector | |||||||
| Health Care Equipment & Services | — | 18.23 | 16.62 | 17.98 | 19.92 | 17.16 | |
| P/OP Ratio, Industry | |||||||
| Health Care | — | 25.94 | 25.66 | 16.51 | 17.67 | 22.32 | |
Based on: 10-K (reporting date: 2025-04-25), 10-K (reporting date: 2024-04-26), 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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
Operating profit per share = Operating profit ÷ No. shares of common stock outstanding
= 5,955,000,000 ÷ 1,281,264,703 = 4.65
3 Closing price as at the filing date of Medtronic PLC Annual Report.
4 2025 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 86.34 ÷ 4.65 = 18.58
5 Click competitor name to see calculations.
- Share Price
- The share price experienced a significant increase from US$93.91 in April 2020 to a peak of US$124.93 in April 2021. However, following this peak, the price showed a declining trend over the subsequent years, dropping to US$80.17 by April 2024 before a slight recovery to US$86.34 in April 2025. This indicates volatility with a downward trajectory after the initial surge.
- Operating Profit Per Share
- Operating profit per share fluctuated over the period. It began at US$3.57 in April 2020, decreased slightly in 2021 to US$3.34, then rose steadily reaching US$4.33 in 2022. After a minor decline in 2023 and 2024, it increased again to US$4.65 by April 2025. Overall, the operating profit per share showed growth with some variability but an upward trend toward the end of the period.
- Price to Operating Profit Ratio (P/OP)
- The P/OP ratio exhibited marked changes through the years. Starting at 26.29 in April 2020, it escalated sharply to 37.44 in April 2021, reflecting a higher valuation relative to operating profit per share. Subsequently, the ratio decreased significantly in the following years to reach 18.58 by April 2025. This decline in ratio suggests either the stock became more reasonably valued or profits increased at a higher pace than the price during this interval.
- Overall Insights
- The data reveals that after an initial surge in market valuation and share price in 2021, there was a period of correction or adjustment in investor sentiment reflected by declining share prices and P/OP ratios. Meanwhile, operating profit per share has generally improved, indicating potentially better operational performance. The decreasing P/OP ratio combined with increasing operating profit per share towards the end of the period suggests a more balanced valuation relative to earnings.
Price to Sales (P/S)
Medtronic PLC, historical P/S calculation, comparison to benchmarks
| Apr 25, 2025 | Apr 26, 2024 | Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,281,264,703 | 1,282,269,783 | 1,330,405,428 | 1,328,709,310 | 1,343,904,180 | 1,341,298,882 | |
| Selected Financial Data (US$) | |||||||
| Net sales (in millions) | 33,537) | 32,364) | 31,227) | 31,686) | 30,117) | 28,913) | |
| Sales per share2 | 26.17 | 25.24 | 23.47 | 23.85 | 22.41 | 21.56 | |
| Share price1, 3 | 86.34 | 80.17 | 87.41 | 88.67 | 124.93 | 93.91 | |
| Valuation Ratio | |||||||
| P/S ratio4 | 3.30 | 3.18 | 3.72 | 3.72 | 5.57 | 4.36 | |
| Benchmarks | |||||||
| P/S Ratio, Competitors5 | |||||||
| Abbott Laboratories | — | 5.58 | 4.93 | 4.25 | 4.78 | 6.30 | |
| CVS Health Corp. | — | 0.22 | 0.27 | 0.36 | 0.47 | 0.35 | |
| Elevance Health Inc. | — | 0.51 | 0.70 | 0.74 | 0.81 | 0.60 | |
| Intuitive Surgical Inc. | — | 24.42 | 18.71 | 13.81 | 17.89 | 21.29 | |
| UnitedHealth Group Inc. | — | 1.08 | 1.25 | 1.40 | 1.58 | 1.24 | |
| P/S Ratio, Sector | |||||||
| Health Care Equipment & Services | — | 1.11 | 1.15 | 1.22 | 1.48 | 1.29 | |
| P/S Ratio, Industry | |||||||
| Health Care | — | 2.61 | 2.72 | 2.48 | 2.65 | 2.59 | |
Based on: 10-K (reporting date: 2025-04-25), 10-K (reporting date: 2024-04-26), 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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
Sales per share = Net sales ÷ No. shares of common stock outstanding
= 33,537,000,000 ÷ 1,281,264,703 = 26.17
3 Closing price as at the filing date of Medtronic PLC Annual Report.
4 2025 Calculation
P/S ratio = Share price ÷ Sales per share
= 86.34 ÷ 26.17 = 3.30
5 Click competitor name to see calculations.
- Share Price
- The share price exhibited volatility over the observed periods. It increased significantly from $93.91 in April 2020 to a peak of $124.93 in April 2021. Subsequently, it declined steadily over the next years, reaching a low of $80.17 in April 2024 before slightly recovering to $86.34 by April 2025. This indicates a period of initial optimism followed by decreasing investor confidence or market adjustments, with a minor rebound in the latest period.
- Sales Per Share
- Sales per share showed a consistent upward trend throughout the entire time frame. Starting at $21.56 in April 2020, it rose gradually each year, reaching $26.17 by April 2025. This steady growth suggests improving operational performance or higher sales efficiency on a per-share basis, reflecting positively on the company's revenue generation capability relative to its shares outstanding.
- Price-to-Sales (P/S) Ratio
- The P/S ratio mirrored the fluctuations in the share price relative to sales per share. It peaked at 5.57 in April 2021, coinciding with the highest share price, and then declined sharply to 3.72 in the following year. The ratio continued to decrease, reaching a low of 3.18 in April 2024 before a slight increase to 3.3 in April 2025. This downward trend points to a valuation contraction relative to sales, possibly reflecting market reassessment of growth prospects or risk, despite rising sales.
- Summary
- Overall, sales per share demonstrated steady growth, indicative of strengthening sales performance per share unit. However, the share price and P/S ratio experienced significant volatility, with peak valuation in 2021 followed by declines and only modest recovery thereafter. The decoupling between rising sales per share and declining valuation multiples may suggest investor concerns beyond revenue growth, such as profitability, market conditions, or competitive pressures.
Price to Book Value (P/BV)
Medtronic PLC, historical P/BV calculation, comparison to benchmarks
| Apr 25, 2025 | Apr 26, 2024 | Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | ||
|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 1,281,264,703 | 1,282,269,783 | 1,330,405,428 | 1,328,709,310 | 1,343,904,180 | 1,341,298,882 | |
| Selected Financial Data (US$) | |||||||
| Shareholders’ equity (in millions) | 48,024) | 50,214) | 51,483) | 52,551) | 51,428) | 50,737) | |
| Book value per share (BVPS)2 | 37.48 | 39.16 | 38.70 | 39.55 | 38.27 | 37.83 | |
| Share price1, 3 | 86.34 | 80.17 | 87.41 | 88.67 | 124.93 | 93.91 | |
| Valuation Ratio | |||||||
| P/BV ratio4 | 2.30 | 2.05 | 2.26 | 2.24 | 3.26 | 2.48 | |
| Benchmarks | |||||||
| P/BV Ratio, Competitors5 | |||||||
| Abbott Laboratories | — | 4.91 | 5.12 | 5.06 | 5.75 | 6.65 | |
| CVS Health Corp. | — | 1.05 | 1.25 | 1.61 | 1.83 | 1.33 | |
| Elevance Health Inc. | — | 2.15 | 3.02 | 3.19 | 3.07 | 2.19 | |
| Intuitive Surgical Inc. | — | 12.41 | 10.01 | 7.78 | 8.59 | 9.53 | |
| UnitedHealth Group Inc. | — | 4.63 | 5.18 | 5.81 | 6.27 | 4.83 | |
| P/BV Ratio, Sector | |||||||
| Health Care Equipment & Services | — | 3.51 | 3.64 | 3.75 | 4.16 | 3.51 | |
| P/BV Ratio, Industry | |||||||
| Health Care | — | 5.48 | 5.44 | 4.90 | 5.07 | 4.90 | |
Based on: 10-K (reporting date: 2025-04-25), 10-K (reporting date: 2024-04-26), 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).
1 Data adjusted for splits and stock dividends.
2 2025 Calculation
BVPS = Shareholders’ equity ÷ No. shares of common stock outstanding
= 48,024,000,000 ÷ 1,281,264,703 = 37.48
3 Closing price as at the filing date of Medtronic PLC Annual Report.
4 2025 Calculation
P/BV ratio = Share price ÷ BVPS
= 86.34 ÷ 37.48 = 2.30
5 Click competitor name to see calculations.
- Share Price
- The share price experienced a notable increase from $93.91 in April 2020 to a peak of $124.93 in April 2021. Subsequently, it declined steadily over the next three years, reaching $80.17 in April 2024, before slightly recovering to $86.34 in April 2025. This trend indicates a period of volatility with a significant correction following the peak in 2021.
- Book Value Per Share (BVPS)
- The book value per share remained relatively stable over the analyzed period, fluctuating within a narrow range from $37.83 in April 2020 to $37.48 in April 2025. Minor increases and decreases occurred, with a peak of $39.55 in April 2022, followed by a slight decline toward the end of the period.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio reflected the changes in share price relative to book value. Initially, it increased from 2.48 in April 2020 to 3.26 in April 2021, aligning with the share price peak. Afterwards, it decreased significantly to 2.05 by April 2024, indicating a lower market valuation relative to book value, before modestly increasing to 2.3 in April 2025. This suggests a market revaluation following the decline in share price, with modest recovery in the final year reviewed.