Conmed (CNMD) AI Stock Analysis

• Market Cap: $1.41B
• Dividend Yield: 2.01%
• Average Volume (3M): 368.83K
• Price to Earnings (P/E): 12.9
• Beta (1Y): 0.60
• Revenue Growth: 4.69%
• EPS Growth: -51.57%
• Country: US
• Employees: 3,900
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 1.08
• Shares Outstanding: 30,954,964
• 10 Day Avg. Volume: 284,080
• 30 Day Avg. Volume: 368,831
• PEG Ratio: 0.15
• Price to Book (P/B): 2.19
• Price to Sales (P/S): 1.62
• P/FCF Ratio: 13.72
• Enterprise Value/Market Cap: 1.74
• Enterprise Value/Revenue: 1.83
• Enterprise Value/Gross Profit: 3.37
• Enterprise Value/Ebitda: 12.87
• 1Y Price Target: $53.50
• Price Target Upside: 20.63% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: $44.00 ▼(-0.79% Downside)

Conmed's overall stock score reflects strong financial performance and strategic initiatives aimed at long-term growth. However, bearish technical indicators and challenges in maintaining profit margins weigh on the score. The strategic shift in capital allocation and positive corporate governance changes provide additional support.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Strategic Focus

Focusing on core markets like minimally invasive surgery enhances competitive positioning and operational efficiency.

Cash Flow Management

Strong cash flow management enhances financial flexibility, enabling strategic investments and debt reduction.

Negative Factors

Profit Margin Pressure

Declining profit margins can impact long-term profitability, necessitating cost management and efficiency improvements.

Tariff Impact

Tariff impacts on margins can reduce competitiveness and profitability, requiring strategic adjustments to mitigate effects.

Dividend Suspension

Dividend suspension may concern income-focused investors, potentially affecting investor sentiment and stock attractiveness.

Conmed Business Overview & Revenue Model

Company Description

Conmed Corporation (CNMD) is a global medical technology company that specializes in the development and manufacturing of surgical devices and equipment. Operating primarily in the surgical and orthopedic sectors, Conmed offers a comprehensive range of products including electrosurgical instruments, surgical imaging systems, and orthopedic implants. The company's innovations are designed to enhance surgical outcomes and improve patient care, catering to a diverse clientele that includes hospitals, surgical centers, and healthcare professionals worldwide.

How the Company Makes Money

Conmed generates revenue through multiple key streams, primarily from the sale of its surgical devices and equipment. The company's product offerings can be categorized into two main segments: surgical devices and orthopedic products. Surgical devices, including electrosurgical and endoscopic instruments, represent a significant portion of Conmed's revenue, as they are essential tools in various surgical procedures. Additionally, Conmed benefits from recurring revenue through disposable products that accompany its surgical instruments. The orthopedic segment contributes to revenue through the sale of implants and instrumentation used in orthopedic surgeries. Strategic partnerships with healthcare providers, hospitals, and surgical centers also play a crucial role in expanding Conmed's market reach, allowing the company to establish long-term contracts and ensure a steady stream of income. Furthermore, ongoing investments in research and development enable Conmed to innovate and introduce new products, thereby enhancing its competitive position and driving future revenue growth.

Conmed Financial Statement Overview

Summary

Conmed shows strong revenue growth and effective cash flow management with improvements in leverage. However, challenges in maintaining profit margins and operational efficiency persist.

Income Statement

Conmed has demonstrated consistent revenue growth with a TTM revenue growth rate of 1.60% and a strong gross profit margin of 56.12%. However, the net profit margin has decreased to 8.30% from 10.13% in the previous year, indicating some pressure on profitability. The EBIT and EBITDA margins have also slightly decreased, suggesting operational challenges.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.88 from 0.98, indicating better leverage management. Return on equity is at 11.37%, showing decent profitability relative to equity. However, the equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Conmed's free cash flow growth is robust at 48.20%, and the free cash flow to net income ratio is strong at 89.73%, indicating efficient cash generation. However, the operating cash flow to net income ratio has decreased slightly, suggesting potential areas for improvement in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.35B	1.31B	1.24B	1.05B	1.01B	862.46M
Gross Profit	730.53M	733.03M	676.25M	571.25M	568.04M	460.30M
EBITDA	191.52M	272.18M	192.48M	7.80M	179.33M	118.28M
Net Income	64.07M	132.42M	64.46M	-80.58M	62.54M	9.52M
Balance Sheet
Total Assets	2.32B	2.31B	2.30B	2.30B	1.77B	1.75B
Cash, Cash Equivalents and Short-Term Investments	38.93M	24.46M	24.30M	28.94M	20.85M	27.36M
Total Debt	853.75M	905.78M	991.25M	1.05B	684.66M	776.45M
Total Liabilities	1.31B	1.34B	1.47B	1.55B	980.58M	1.04B
Stockholders Equity	1.01B	962.68M	834.22M	745.54M	785.43M	709.04M
Cash Flow
Free Cash Flow	148.96M	153.88M	106.32M	11.58M	96.90M	51.52M
Operating Cash Flow	167.69M	166.97M	125.35M	33.37M	111.77M	64.53M
Investing Cash Flow	-17.89M	-13.08M	-20.03M	-249.53M	-14.87M	-13.64M
Financing Cash Flow	-149.52M	-151.00M	-110.43M	225.00M	-101.55M	-52.06M

Conmed Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 44.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CNMD, the sentiment is Negative. The current price of 44.35 is above the 20-day moving average (MA) of 42.29, below the 50-day MA of 44.40, and below the 200-day MA of 51.65, indicating a bearish trend. The MACD of -1.19 indicates Positive momentum. The RSI at 32.41 is Neutral, neither overbought nor oversold. The STOCH value of 12.35 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CNMD.

Conmed Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UFPT	75 Outperform	$1.62B	24.78	18.31%	―	29.47%	23.24%
AHCO	74 Outperform	$1.39B	18.80	4.77%	―	-0.23%	―
CNMD	67 Neutral	$1.41B	12.91	6.60%	2.01%	4.69%	-51.57%
AORT	58 Neutral	$2.05B	―	-2.45%	―	9.81%	-1067.00%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
IART	45 Neutral	$1.03B	―	-38.71%	―	4.99%	-7151.40%
PRCT	41 Neutral	$1.96B	―	-27.22%	―	50.07%	21.22%

Conmed Corporate Events

Conmed Exits Gastroenterology Products to Focus on Core Markets

On December 5, 2025, CONMED Corporation announced its strategic decision to exit its gastroenterology product lines as part of its portfolio optimization strategy. This move includes terminating its distribution agreement with W.L. Gore & Associates for the Gore® VIABIL® biliary stent, effective January 1, 2026, and exiting other gastroenterology products. The company aims to focus on its core markets, such as minimally invasive surgery and orthopedic soft tissue repair, to enhance long-term success and leadership in surgical innovation. Financially, the exit is expected to improve CONMED’s gross margin profile by approximately 80 basis points, despite an anticipated EPS dilution of $0.45–$0.55 in 2026. The company reaffirms its 2025 revenue and EPS guidance, indicating no material impact on its financial results for that year.

Conmed Appoints Kim Kelderman to Board of Directors

On September 8, 2025, CONMED Corporation announced the appointment of Kim Kelderman to its Board of Directors. Mr. Kelderman, who has extensive experience in the life sciences sector, will serve on the Corporate Governance and Nominating Committee and the Strategy Committee. His previous roles include President and CEO of Bio-Techne and leadership positions at Thermo Fisher Scientific and Becton Dickinson. This strategic appointment is expected to enhance CONMED’s board with Mr. Kelderman’s global leadership experience and insights, supporting the company’s long-term vision and stakeholder value delivery.