Steed Maintains Hold on Balanced Risk-Reward, Cutting Price Target to $80 Despite Solid Q1 Beat and Slight Guidance Raise

Analyst Travis Steed from Bank of America Securities reiterated a Hold rating on Merit Medical Systems and decreased the price target to $80.00 from $100.00.

Travis Steed has given his Hold rating due to a combination of factors, including a solid first‑quarter beat on revenue, earnings, and margins, along with early evidence that the new segment structure is supporting mid‑single to high‑single‑digit growth across the portfolio. Management also raised full‑year revenue guidance slightly and reiterated the EPS outlook, signaling confidence but maintaining a cautious stance as they typically avoid major guidance changes this early in the year.

At the same time, Steed sees reasons for restraint, such as the modest organic growth outlook, the headwind from the DualCap divestiture, and EPS dilution associated with the View Point acquisition, which together temper the near‑term upside. While he views the View Point deal as strategically attractive for expanding the breast localization addressable market and leveraging the existing sales force, he adjusted his model and cut the price target from $100 to $80, leaving the risk‑reward profile balanced rather than compelling at current levels.

Steed covers the Healthcare sector, focusing on stocks such as Boston Scientific, Stryker, and Medtronic. According to TipRanks, Steed has an average return of 0.2% and a 47.34% success rate on recommended stocks.

In another report released today, Wells Fargo also maintained a Hold rating on the stock with a $74.00 price target.