Home Sectors Healthcare Valuation Today: Merit Medical Systems (NASDAQ: MMSI)

Valuation Today: Merit Medical Systems (NASDAQ: MMSI)

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Merit Medical Systems trades as part of the healthcare sector and medical instruments and equipment industry. The company CEO is Fred P. Lampropoulos. Merit Medical Systems Inc designs, develops, manufactures and sells medical devices used in interventional and diagnostic procedures. Its products are used in thoracic surgery, interventional nephrology, vascular surgery, and oncology and pain management.

Previous Intraday Trading Performance:

The MMSI stock showed a previous change of 0.91% with an open at 56.47 and a close of 56.74. It reached an intraday high of 56.89 and a low of 55.28.

SeekingAlpha:  Merit Medical Systems, Inc. (MMSI) CEO Fred Lampropoulos on Q1 2019 Results – Earnings Call Transcript

Liquidity:

The stock has a market cap of $3.1b with 55.0m shares outstanding, of which the float is 53.3m shares. Trading volume reached 258,314 shares compared to its average volume of 317,184 shares. Based on the current average volume and close price, the trading liquidity is bad, highly speculative and an investor may want to avoid this stock.

Historical Trading Performance:

Over the last five trading days, Merit Medical Systems shares returned 2.85% and in the past 30 trading days it returned -0.21%. Over three months, it changed -2.86%. In one year it has changed 13.59% and within that year its 52-week high was 66.34 and its 52-week low was 48.51. MMSI stock is 16.97% above its 52 Week Low.

Our calculations show a 200 day moving average of 58.11 and a 50 day moving average of 56.68. Currently MMSI stock is trading -2.36% below its 200 day moving average and may be a good opportunity to buy, but should check other indicators to confirm a buy signal.

SeekingAlpha:  Merit Medical Systems, Inc. (MMSI) CEO Fred Lampropoulos on Q1 2019 Results – Earnings Call Transcript

Earnings:

The last annual fiscal EPS for the company was reported at 0.77 that ended on 31st of December 2018, which according to the previous close, that is a PE of 73.69. Based on 6 analyst estimates, the consensus EPS for the next quarter is 0.36. The TTM EPS is 1.69, which comes to a TTM PE of 33.57. Historically, the PE high was 116.40 and the PE low was 28.10. If the stock reached its PE low, that would represent a price of 47.49, which is a decrease of -16.29%.

Below was the last reported quarterly diluted earnings per share:

1stQtr of 2019 (Reported on 04/23/2019): 0.11
4thQtr of 2018 (Reported on 02/26/2019): 0.16
3rdQtr of 2018 (Reported on 10/25/2018): 0.30
2ndQtr of 2018 (Reported on 07/23/2018): 0.21
1stQtr of 2018 (Reported on 04/25/2018): 0.10

Base on our calculations, the intrinsic value per share is 34.69, which means it may be overvalued by -63.56%.

Indicators to Watch:

The current calculated beta is 1.06.

SeekingAlpha:  Dividend Challenger Highlights: Week Of June 9

Fundamental Indicators:

Based on last reported financials, the company’s return on equity is 5.48%, return on assets is 3.05%, profit margin is 4.70%, price-to-sales is 3.37 and price-to-book is 3.29.

Company Scores:

All scores are out of six:
 1  :Valuation Score
 3  :Past Performance Score
 4  :Financial Strength Score
 4  :Future Growth Score
 0  :Dividend Score
 3  :Overall Score

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John Jones
Worked for several Wall Street firms: Salomon Smith Barney, UBS, and Charles Schwab. Has developed skills and gained extensive experience over the years that is used today to uncover winning penny stocks.Also was an attorney for small businesses in Scottsdale, Arizona. That experience and understanding of law provides a unique perspective and edge in discovering quality companies in various industries.