Merit Medical Systems (NASDAQ:MMSI) Posts Earnings Results, Beats Estimates By $0.10 EPS

Merit Medical Systems (NASDAQ:MMSI) released its quarterly earnings results on Thursday. The medical instruments supplier reported $0.94 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.84 by $0.10, FiscalAI reports. The firm had revenue of $381.88 million for the quarter, compared to analyst estimates of $377.59 million. Merit Medical Systems had a return on equity of 13.74% and a net margin of 9.03%.The business’s revenue was up 7.4% on a year-over-year basis. During the same quarter last year, the company posted $0.86 earnings per share. Merit Medical Systems updated its FY 2026 guidance to 4.010-4.150 EPS.

Here are the key takeaways from Merit Medical Systems’ conference call:

• Strong Q1 — total revenue of $381.9 million (GAAP) was up ~7% YoY (5% constant currency), with a record first-quarter non-GAAP operating margin of 19.7%, non-GAAP EPS up ~9%, and free cash flow of $25 million (+26% YoY).
• Acquired View Point Medical for $140 million (closed Apr 1), adding the OneMark ultrasound-enhanced markers to expand Merit’s oncology addressable procedures roughly 3x; transaction is ~ $0.05 dilutive to 2026 non-GAAP EPS but expected to be accretive thereafter with projected >20% growth and ~70% gross margins.
• Management restructured external reporting into two product categories — Foundational (≈2/3 of 2025 revenue) and Therapeutic (≈1/3) — and organized operations into eight platforms to improve internal alignment and investor transparency.
• OEM weakness — OEM sales fell ~14% YoY in Q1 due to APAC macro softness and U.S. inventory destocking tied to product transfers; management calls much of this timing-based but acknowledges it as a near-term drag while expecting normalized mid-to-high single-digit OEM growth over time.
• Tariff risk remains — the company assumes a ~$15 million 12‑month tariff headwind in 2026 (vs $9M in 2025), has begun filing for reimbursements, but the timing and ultimate outcome are still uncertain and will be revisited after Q2.

Merit Medical Systems Price Performance

NASDAQ:MMSI opened at $62.01 on Friday. Merit Medical Systems has a 12-month low of $61.31 and a 12-month high of $100.19. The firm has a market cap of $3.70 billion, a price-to-earnings ratio of 29.25, a price-to-earnings-growth ratio of 1.93 and a beta of 0.64. The company’s 50-day moving average is $70.68 and its two-hundred day moving average is $79.78. The company has a current ratio of 4.34, a quick ratio of 2.95 and a debt-to-equity ratio of 0.46.

More Merit Medical Systems News

Here are the key news stories impacting Merit Medical Systems this week:

• Positive Sentiment: Q1 results beat and management raised guidance — Merit reported Q1 non‑GAAP EPS of $0.94 (vs. $0.84 est.) and revenue of ~$382M (beat). The company lifted FY2026 EPS guidance to $4.01–$4.15 and reiterated revenue targets, pointing to steady segment/geographic gains and improved margins and free cash flow. Press Release
• Positive Sentiment: Operational highlights support durable cash generation — Management reported GAAP operating margin ~11.6%, non‑GAAP operating margin ~19.7%, and free cash flow up ~26%. These metrics support the company’s cash‑flow story and capital deployment (recent acquisition activity). Details
• Positive Sentiment: Acquisition expands product set — Merit closed the View Point Medical acquisition (OneMark detection/tissue marker products) for $140M (cash portion $90M), and divested the DualCap line for $28M; these moves can bolster higher‑margin therapeutic offerings. Transaction Details
• Neutral Sentiment: Earnings call / transcripts available — Call transcripts and highlights confirm beat and management commentary on organic growth, mix, and margin drivers; useful for investors who want management color. Earnings Call Transcript
• Negative Sentiment: Analysts trimmed price targets — Several firms cut PTs today (JPMorgan: $95→$77, Wells Fargo: $78→$74, Needham: $101→$90). Although ratings were maintained (overweight/equal weight/buy), the cuts reflect multiple‑compression or sector re‑rating concerns and likely contributed to selling pressure. Analyst Notes (Benzinga)
• Negative Sentiment: Market reaction driven by valuation vs. growth — Despite beats, some analysts flagged growth deceleration and applied lower sector multiples; with the stock already well off its 52‑week high, target trims can trigger headline-driven outflows. Analyst Commentary

Institutional Investors Weigh In On Merit Medical Systems

A number of hedge funds and other institutional investors have recently made changes to their positions in MMSI. Wellington Management Group LLP grew its stake in Merit Medical Systems by 377.7% during the 3rd quarter. Wellington Management Group LLP now owns 1,240,509 shares of the medical instruments supplier’s stock valued at $103,248,000 after purchasing an additional 980,823 shares in the last quarter. Iron Triangle Partners LP acquired a new position in shares of Merit Medical Systems in the 4th quarter valued at approximately $33,992,000. Champlain Investment Partners LLC purchased a new position in shares of Merit Medical Systems during the 4th quarter valued at approximately $32,359,000. Nomura Holdings Inc. boosted its stake in shares of Merit Medical Systems by 195.1% during the 3rd quarter. Nomura Holdings Inc. now owns 407,991 shares of the medical instruments supplier’s stock valued at $33,957,000 after buying an additional 269,752 shares during the last quarter. Finally, Fuller & Thaler Asset Management Inc. grew its position in shares of Merit Medical Systems by 12.7% during the fourth quarter. Fuller & Thaler Asset Management Inc. now owns 2,077,796 shares of the medical instruments supplier’s stock worth $183,137,000 after buying an additional 234,682 shares in the last quarter. Hedge funds and other institutional investors own 99.66% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on MMSI. JPMorgan Chase & Co. reduced their price objective on shares of Merit Medical Systems from $95.00 to $77.00 and set an “overweight” rating for the company in a research report on Friday. Wells Fargo & Company cut their target price on Merit Medical Systems from $78.00 to $74.00 and set an “equal weight” rating for the company in a research note on Friday. Needham & Company LLC reduced their price target on Merit Medical Systems from $101.00 to $90.00 and set a “buy” rating for the company in a report on Friday. Canaccord Genuity Group decreased their price target on Merit Medical Systems from $90.00 to $85.00 and set a “buy” rating on the stock in a research note on Friday. Finally, Compass Point set a $107.00 price objective on Merit Medical Systems in a report on Monday, April 20th. Eight equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, Merit Medical Systems presently has an average rating of “Moderate Buy” and a consensus target price of $92.80.

Merit Medical Systems Company Profile

Merit Medical Systems, Inc is a global manufacturer and marketer of a broad range of medical devices used in diagnostic and interventional procedures. The company’s product portfolio encompasses vascular access, drainage, embolotherapy, and interventional oncology devices, as well as radiofrequency ablation systems and hemostasis solutions. These products serve physicians and hospitals in critical care settings and support minimally invasive treatment options across multiple specialties, including cardiology, radiology, oncology, neurology and endoscopy.

Founded in 1987 by Fred Lampropoulos, Merit Medical Systems has grown through both organic development and targeted acquisitions to expand its technology offerings and geographic reach.