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    Should FDA Approval of Altaviva Device Prompt a Closer Look From Medtronic (MDT) Investors?

    Simply Wall St·09/27/2025 22:05:34
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    • Medtronic recently received U.S. FDA approval for its Altaviva™ device, a minimally invasive implantable therapy designed to treat urge urinary incontinence with features such as a 15-year battery lifespan and MRI compatibility.
    • This approval positions Medtronic as the only company offering a full portfolio of neuromodulation therapies for bladder control, addressing a major unmet clinical need affecting millions of U.S. adults.
    • We'll explore how this milestone strengthens Medtronic's leadership in neuromodulation and could reshape the company's long-term growth outlook.

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    Medtronic Investment Narrative Recap

    To be a Medtronic shareholder, you need to believe in the company's ability to convert its industry-leading innovation in medical technology, especially in minimally invasive treatments and advanced neuromodulation, into steady, long-term growth amid sector challenges. While FDA approval of the Altaviva™ device highlights Medtronic's execution on its innovation pipeline and may reinforce its Neuromodulation division, this specific event is not expected to materially shift the most important short-term catalyst, which remains accelerating margin improvement, or the biggest near-term risk, which is ongoing product mix headwinds affecting overall profitability.

    Recently, Medtronic also initiated the ELEVATE-HFpEF study, targeting heart failure with preserved ejection fraction using novel pacemaker programming. This demonstrates the company's continued focus on addressing large unmet clinical needs, complementing new product launches like Altaviva™ as it seeks to drive volume growth and sharpen its competitive edge in key procedural areas.

    However, despite this progress, investors should be aware that pressure on gross margins due to unfavorable product mix and execution risks in manufacturing could...

    Read the full narrative on Medtronic (it's free!)

    Medtronic's outlook expects $40.0 billion in revenue and $6.3 billion in earnings by 2028. This is based on analysts projecting 5.4% annual revenue growth and an earnings increase of $1.6 billion from the current $4.7 billion.

    Uncover how Medtronic's forecasts yield a $98.63 fair value, a 5% upside to its current price.

    Exploring Other Perspectives

    MDT Community Fair Values as at Sep 2025
    MDT Community Fair Values as at Sep 2025

    Eight individual fair value estimates from the Simply Wall St Community range from US$82.66 to US$98.63 per share. With margin pressures in core segments still presenting a challenge, you can explore several contrasting viewpoints to assess how these factors may influence long-term value.

    Explore 8 other fair value estimates on Medtronic - why the stock might be worth 12% less than the current price!

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.