Healthcare solutions provider Solventum (NYSE: SOLV) will be reporting earnings tomorrow after market close. Here’s what investors should know.
Solventum beat analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $2.07 billion, up 1.9% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ organic revenue estimates and a decent beat of analysts’ EPS estimates.
Is Solventum a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Solventum’s revenue to be flat year on year at $2.01 billion, in line with its flat revenue from the same quarter last year. Adjusted earnings are expected to come in at $1.22 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Solventum has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time since going public by 1.7% on average.
Looking at Solventum’s peers in the surgical equipment & consumables - diversified segment, some have already reported their Q1 results, giving us a hint as to what we can expect. CONMED delivered year-on-year revenue growth of 2.9%, beating analysts’ expectations by 2.6%, and Zimmer Biomet reported revenues up 1.1%, topping estimates by 0.7%. CONMED traded up 16.9% following the results while Zimmer Biomet was down 9.9%.
Read our full analysis of CONMED’s results here and Zimmer Biomet’s results here.
There has been positive sentiment among investors in the surgical equipment & consumables - diversified segment, with share prices up 5.9% on average over the last month. Solventum is up 3.9% during the same time and is heading into earnings with an average analyst price target of $80.39 (compared to the current share price of $65.47).
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