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Becton, Dickinson, and Company (BDX), headquartered in Franklin Lakes, New Jersey, is a global medical technology company specializing in developing and manufacturing innovative medical devices, laboratory equipment, and diagnostic products. With a market cap of $67.24 billion, BDX is a major player in the healthcare industry, renowned for its extensive portfolio of products that enhance medication management, infection prevention, and diagnostic accuracy.
Companies valued at $10 billion or more are typically classified as "large-cap stocks," and Becton, Dickinson, and Company comfortably fit this category. BDX has established a strong market presence driven by its broad portfolio of medical devices, diagnostic products, and life sciences solutions, as well as its commitment to advancing healthcare and improving patient outcomes worldwide.
BDX shares are trading 12% below their 52-week high of $269.52, which they hit on Oct. 10. BDX has declined 1.4% over the past three months, underperforming the broader Nasdaq Composite ($NASX), which has gained 1.5% over the same time frame.
In the longer term, BDX is up 2.7% on a YTD basis, and the shares have gained 11.1% over the past 52 weeks. In comparison, the Nasdaq has gained 12.5% in 2024 and rallied 22.7% over the past year.
To confirm its recent bearish trend, BDX has been trading below its 200-day moving average since early October 2023. However, it's trading above the 50-day moving average since mid-July.
On Sep. 5, Becton, Dickinson, and Company completed its $4.2 billion acquisition of Edwards Lifesciences' Critical Care product group, strengthening its portfolio with advanced AI-driven patient monitoring technologies.
On Aug. 1, BDX shares dropped 2.1% after announcing its Q3 earnings report. It reported an adjusted EPS of $3.50 and total revenue of $14.7 billion, up 18.2% and 3.2% year over year, respectively. The company also updated GAAP revenue growth guidance to approximately 3.7%, with organic revenue growth expected between 5% and 5.3%.
Highlighting the contrast in performance, BDX's competitor, Baxter International Inc. (BAX), has significantly underperformed BDX. BAX has gained 1.5% on a YTD basis.
Analysts are optimistic about BDX's prospects despite the weak price performance. The stock has a consensus rating of "Strong Buy" from 17 analysts in coverage. The mean price target of $275.29 reflects a 16% premium over current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
