Globus Medical

Globus Medical reported second-quarter revenues of $789.6 million, up 5.9% year on year and 0.9% above analysts' expectations, as the medical devices and supplies specialty industry posted a strong quarter overall. The company also beat analysts' full-year EPS guidance estimates and their quarterly EPS estimates, with President and Chief Executive Officer Keith Pfeil citing 6% overall revenue growth, or 9% excluding Nevro, driven by share gains in US Spine, up 7%, and International Spine, up 14% as-reported and 12% on a constant currency basis. Despite the beat, Globus Medical shares are down 8.8% since reporting and trade at $73.94. Across the seven specialty medical device stocks tracked, group revenues beat consensus by 2.1%, with Inspire Medical Systems posting the highest full-year guidance raise of the group and STAAR Surgical delivering the biggest analyst estimate beat and fastest revenue growth, while Enovis turned in the weakest performance against estimates and the weakest guidance update. Inspire Medical Systems shares are up 32.3% since reporting at $69.08, Haemonetics is up 27.8% at $106.86, STAAR Surgical is down 21.8% at $19.87, and Enovis is down 39.6% at $18.24.

Zacks Investment Research added five stocks to its Zacks Rank #1 (Strong Buy) List for September 11th. RCM Technologies, a national provider of business, technology and resource solutions in information technology and professional engineering to corporate and government customers, saw its Zacks Consensus Estimate for current-year earnings rise 13.3% over the last 60 days. Healthcare Services Group, which provides housekeeping, laundry, linen, facility maintenance and food services to the health care industry, posted a 12.9% increase in its consensus estimate for current-year earnings over the same period. Bloomin' Brands, the casual dining restaurant company with a portfolio of differentiated restaurant concepts, recorded a 10.1% gain in its current-year earnings estimate, while Argan, an engineering and construction firm operating through wholly owned subsidiaries across power generation, industrial construction and teledata infrastructure, saw a 6.7% increase. Globus Medical, a medical device company that develops and commercializes healthcare solutions for patients with musculoskeletal disorders, rounded out the list with a 5.3% rise in its current-year earnings estimate over the last 60 days.

Globus Medical, Inc. announced that its Excelsius3D intelligent 3-in-1 imaging system has received CE marking, allowing commercial sale in the European Union and the United Kingdom. The system, which combines 3D cone-beam CT, 2D fluoroscopy, and digital radiography, expands the company's Excelsius Ecosystem and enhances the capabilities of its ExcelsiusGPS robotic navigation system. The CE mark follows the system's FDA 510(k) clearance in 2021, and Globus Medical will now begin commercialization in these markets. Company executives highlighted the milestone as key to integrating imaging, navigation, and robotics in surgical workflows.

Globus Medical has acquired Durham, N.C.-based Higgs Boson Health, a digital healthcare experience company incubated out of Duke University, to expand its digital health portfolio. The acquisition brings Higgs Boson's software developers and AI scientists into Globus Medical to advance its digital ecosystem across the full episode of care. Keith Pfeil, President and CEO, said the technology will be part of the company's surgical intelligence pillar, integrating outcomes and analytics in a closed-loop manner to improve patient outcomes. David Paul, Founder and Executive Chairman, added that the company aims to optimize provider decision-making and improve long-term patient results, targeting a goal of 95% favorable outcomes at 10 years for musculoskeletal procedures.

Globus Medical is scheduled to report second-quarter 2026 results on August 6 after market close. The Zacks Consensus Estimate for revenues is $786.9 million, implying 5.6% growth from the prior year, while the consensus EPS estimate of $1.12 suggests a 30.3% increase. The company's Musculoskeletal Solutions segment is projected to grow 6.1% year over year, driven by strength in U.S. Spine, Trauma, and international markets, along with contributions from the Nevro acquisition. Enabling Technologies revenues are expected to rise 6.5% year over year, supported by adoption of the ExcelsiusGPS platform despite a shift toward leases and rentals. Globus Medical has an Earnings ESP of 0.00% and a Zacks Rank #3, indicating no clear signal for an earnings beat this quarter.

BMO Capital Markets has named Intuitive Surgical, Globus Medical, and Teleflex as its highest-conviction picks in the medical technology sector, initiating coverage with Outperform ratings and calling the beaten-down group a buying opportunity. Analyst Vik Chopra noted that MedTech stocks trade roughly 31% below their 10-year relative average, approaching the widest discount to the S&P 500 in a decade, while demand for hospital procedures remains strong. He attributed the weakness to fund flows and policy noise rather than fundamentals, describing the sector as under-owned and under-appreciated with the marginal buyer absent. Intuitive Surgical, his top pick, trades at about a 31% discount to its three-year historical multiple despite having the strongest fundamental profile among peers. Globus Medical was highlighted for sector-leading margin growth partly driven by its Nevro acquisition, and Teleflex was cited for a 2027 earnings inflection not yet reflected in consensus. Price targets were set at $518 for Intuitive Surgical, $94 for Globus Medical, and $159 for Teleflex.

Globus Medical and Medtronic have both outperformed the medical device industry over the past year, but Globus Medical shows stronger momentum and higher short-term upside. Globus Medical posted 27% year-over-year revenue growth in the first quarter, driven by double-digit gains in U.S. Spine and a 30.4% increase in Trauma, while Medtronic reported 9.9% revenue growth in its fiscal fourth quarter, supported by its Surgical & Endoscopy and Acute Care & Monitoring segments. Globus Medical remains debt-free with $560.9 million in cash and generated $202.4 million in operating cash flow, whereas Medtronic holds $9.2 billion in cash and investments but carries long-term debt after issuing $1.75 billion and repaying $2.93 billion in fiscal 2026. Based on analyst price targets, Globus Medical's average target of $109.83 implies a 29.75% upside, compared to Medtronic's average target of $96.96 representing a 20.42% increase. Zacks Investment Research rates Globus Medical a Buy and Medtronic a Sell, favoring the higher-growth, debt-free company for investors seeking stronger returns.

Globus Medical shares jumped 5.1% to $79.23 in the last trading session on higher-than-average volume, driven by investor optimism following the company's solid first-quarter 2026 performance. The medical device company posted adjusted earnings per share of $1.12 and revenues of $759.9 million, both surpassing Zacks Consensus Estimates. The consensus EPS estimate for the upcoming quarter has been revised 2.5% higher over the last 30 days, and the stock currently carries a Zacks Rank of 2, or Buy. Lucid Diagnostics, another stock in the Zacks Medical - Instruments industry, rose 9.9% to $1.08 in the same session.