Becton Dickinson (BDX)
NYSEHealth CareMedical - Instruments & SuppliesSnapshot 2026-09-04
$184.74-1.54%
Close 2026-09-04 · 1-day change
NYSEHealth CareMedical - Instruments & SuppliesSnapshot 2026-09-04
Intact: The reason to own it still holds.
Becton Dickinson is a stable medical device company growing revenue about 5% yearly. It keeps beating earnings estimates with EPS around $12.6 next year. The company returns cash to shareholders with $2.2 billion in buybacks and dividends. Its valuation is cheap compared to peers with a PE of 11.6 versus 36.5.
Revenue growth could slow below 0% as analysts expect a 9% decline next year. Management is volatile and guidance is soft, which may hurt confidence. The company’s share repurchase progress is mixed and debt repayment plans are uncertain.
The market prices in about 9% revenue decline and the stock trades 29% below our fair value near $220. Our fair value is 26% above the Street median, reflecting more optimism on growth and valuation.
Breaks if: Capital returned falls below $2 billion annually
Breaks if: Debt repayment from cash distribution falls below $1 billion
EPS guidance falls below $12.5 for FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a durable compounder with a focus on growth and margin expansion. The current thesis state is intact, supported by strong recent financial performance, though management execution has been mixed.
The market appears to be pricing in an expensive valuation relative to peers, with a premium of 0.5. There is a modest expectations gap of 0.13, indicating that some growth is already anticipated.
Fundamentals are likely to remain strong in the near term, given the robust earnings quality and management's focus on growth strategies. However, there is a moderate risk due to recent volatility in management and a history of misses.
The long-term thesis hinges on management's ability to execute on their growth and margin expansion strategies, as well as external factors like sector performance and economic conditions. Key triggers include guidance changes and the performance of sector bellwethers.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. Becton Dickinson completed trial enrollment for a new product. This supports their growth strategy and margin expansion. The company also beat earnings expectations again. Their diverse clinical portfolio continues to grow. There are no new threats to the thesis.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Breaks if: YoY revenue growth falls below 0% next year
Complete the spin-off of the Biosciences and Diagnostic Solutions business and combine it with Waters Corporation.
Overall, BDX presents a complex picture with strong fundamentals but mixed management execution and sector risks. Not investment advice.