Medtronic Stock Slumps as Sales Miss Estimates
Key Takeaways
Medtronic (
MDT
) shares slumped Tuesday after the medical device maker missed sales forecasts.
The company reported fiscal third-quarter revenue rose 2.5% year-over-year to $8.29 billion, below analysts’ estimates compiled by Visible Alpha. Adjusted earnings per share (EPS) came in at $1.39, slightly above forecasts.
The revenue miss came as sales at Medtronic’s Medical Surgical division declined 1.9% to $2.07 billion. The company pointed to stapling segment pressures, as well as a drop in purchases of its blood oxygen management products because of fewer respiratory-related hospitalizations in the U.S.
Shares of Medtronic fell more than 7% in intraday trading Tuesday following the release, though even with Tuesday’s losses, they’ve gained more than 7% since the start of the year.
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