MMSI Stock Analysis: Buy, Sell, or Hold?

MMSI - Merit Medical Systems Inc

SURGICAL & MEDICAL INSTRUMENTS & APPARATUS
$68.23
-0.70 (-1.02%) ▼
5d: +0.18%
30d: -8.84%
90d: -22.96%
BUY
HIGH Confidence
Analysis Updated: Apr 1, 2026 12:00 AM ET
Earnings: Apr 23, 2026 20d

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
✅ BUY SIGNAL: MMSI appears deeply undervalued. Market expects -7.4% annual earnings decline despite 39% recent earnings growth. Contrarian opportunity at discount to historical valuation.

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$115.02
Based on 6.0% avg growth
INTRINSIC VALUE TODAY
$71.42
4.5% Margin of Safety

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 19.6x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: MMSI is currently trading at $68.23, which is considered slightly low relative to its 30-day fair value range of $67.37 to $76.22. From a valuation perspective, the stock is trading at a discount (Forward PE: 15.6) compared to its historical average (19.6). Remarkably, the market is currently pricing in an annual earnings decline of 7.4% over the next few years. This pessimistic expectation contrasts with the company's recent 38.8% earnings growth, suggesting potential undervaluation if the company simply maintains stability.

Technical Outlook: Technically, MMSI is in a strong downtrend. The price is currently testing key support at $66.34. A bounce from this level would confirm strength, while a break below could signal further downside.

Market Sentiment: MMSI has a strong technical setup (60/100), with favorable trendlines, momentum, and price action for short-term traders. Wall Street analysts see significant upside, with an average price target of $102.00 (+49.5%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.

Quick Decision Summary

Current Position SLIGHTLY LOW
Fair Price Range $67.37 - $76.22
Company Quality Score 64/100 (BUY)
Volume Confirmation HIGH
Confidence Score 90.5%

All Signals

  • BULLISH: Price oversold vs 30-day range
  • BULLISH: Strong technical setup (60/100)
  • BULLISH: High volume confirmation
  • BULLISH: Trading 49.5% below Wall St target ($102.00)

Fair Price Analysis

30-Day Fair Range $67.37 - $76.22
Current vs Fair Value SLIGHTLY LOW

Support & Resistance Levels

Support Level $66.34
Resistance Level $71.40
Current Trend Strong Downtrend
Technical data as of Apr 1, 2026

Fundamental Context

Forward P/E (Next Year Est.) 15.55
Wall Street Target $102.00 (+49.5%)
Revenue Growth (YoY) 10.9%
Earnings Growth (YoY) 38.8%
Profit Margin 8.5%
Valuation Discount vs History -7.4% cheaper
PE vs Historical 15.6 vs 19.6 CHEAP
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): -7.4% (market-implied from PE analysis)
1-Year Target $63.18 (-7%)
2-Year Target $58.51 (-14%)
3-Year Target $54.18 (-21%)
3-Yr Target (if PE normalizes) (PE: 16→20) $68.28 (+0%)
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 22.4, Growth: 8.0%) $123.56 (+81%)
Base: (SPY PE: 15.6, Growth: 8.0%) $85.98 (+26%)
Bear: (PE: 13.2, Growth: 8.0%) $73.08 (+7%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (31x PE), but valuation improves significantly next year (16x PE) as earnings recover.
Trailing PE: 31.32 | Current EPS (TTM): $2.13
Bull Case $146.76 (+115%)
Analyst growth 100.0%, PE expands to 34.5
Base Case $133.42 (+96%)
Market implied 100.0%, PE stable at 31.3
Bear Case $45.36 (-33%)
Severe decline -20.0%, PE contracts to 26.6
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡 Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 15.6 to 19.6
Stabilization Target: $85.99 (+26.0%)
PE Expansion Potential: +26.0%
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Last updated: April 02, 2026 9:22 AM ET
Data refreshes hourly during market hours. Next update: 10:22 AM
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Ticker Score Recommendation Change %
Technical Signals Check
Insider Activity (6 Months)
0
Buys
4
Sells
Net
INSIDERS SELLING
Recent Transactions
Fred P Lampropoulos SELL 10000 shares 2025-11-25
Fred P Lampropoulos SELL 25000 shares 2025-11-21
Fred P Lampropoulos SELL 20000 shares 2025-11-20

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