Globus Medical (GMED)
NYSE:GMED
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Globus Medical
(NYSE:GMED)
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Rating:80Outperform
Price Target:
$99.00
▲(18.17% Upside)
Action:ReiteratedDate:02/25/26
GMED scores well on financial strength and cash generation, reinforced by a positive earnings-call setup with reaffirmed revenue guidance and raised EPS expectations. Technicals support the trend (price above major moving averages), while the main constraint is valuation (P/E ~29.7) alongside execution/lumpiness risks noted in guidance and integration commentary.
Positive Factors
Conservative balance sheet
Very low leverage provides durable financial flexibility to fund R&D, deal integration and capital needs without pressuring cash flow. A conservative capital structure reduces refinancing and interest risks, enabling continued strategic M&A, buybacks or investment through 2–6 months and beyond.
Negative Factors
Nevro integration risk
Acquired business integration can strain resources and create non-linear growth as product portfolios, commercial models and cost bases are aligned. Persistent integration risks could prolong margin variability and complicate forecasting as sales and expense synergies are realized unevenly over quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Very low leverage provides durable financial flexibility to fund R&D, deal integration and capital needs without pressuring cash flow. A conservative capital structure reduces refinancing and interest risks, enabling continued strategic M&A, buybacks or investment through 2–6 months and beyond.
Read all positive factors
Globus Medical (GMED) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$11.31B
Dividend YieldN/A
Average Volume (3M)1.07M
Price to Earnings (P/E)21.9
Beta (1Y)0.82
Revenue Growth11.75%
EPS Growth364.73%
CountryUS
Employees5,300
SectorHealthcare
Sector Strength45
IndustryMedical - Devices
Share Statistics
EPS (TTM)1.28
Shares Outstanding112,625,130
10 Day Avg. Volume974,145
30 Day Avg. Volume1,067,396
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)2.58
Price to Sales (P/S)4.02
P/FCF Ratio20.04
Enterprise Value/Market Cap0.97
Enterprise Value/Revenue3.72
Enterprise Value/Gross Profit5.51
Enterprise Value/Ebitda13.37
Forecast
1Y Price Target
$110.33Price Target Upside31.69% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering13
EPS Forecast (FY)4.42
Revenue Forecast (FY)$3.20B
Globus Medical Business Overview & Revenue Model
Company Description
Globus Medical, Inc., a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders in the United States and internationally. It offers spine products, such as traditional fusion implants co...
How the Company Makes Money
Globus Medical primarily makes money by selling medical devices and related surgical tools used in spine and other musculoskeletal procedures. Its main revenue stream comes from the sale of implantable products (e.g., spine implants) that are sele...
Globus Medical Key Performance Indicators (KPIs)
Any
Revenue By Segment
Analyzes revenue from different business segments, highlighting which areas are driving growth and which may need strategic adjustments to improve performance.
Analyzes revenue from different business segments, highlighting which areas are driving growth and which may need strategic adjustments to improve performance.
Data provided by:
The Fly
The FlyGlobus Medical Earnings Call Summary
Earnings Call Date:Feb 24, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 12, 2026
Earnings Call Sentiment Positive
The call presented a largely positive picture: strong top- and bottom-line growth, record Q4 results, margin expansion, rapid synergy realization (NuVasive synergies ahead of plan), and earlier-than-expected accretion from Nevro. Management raised EPS guidance and reaffirmed revenue guidance for 2026 while outlining plans for continued R&D investment and capital placement flexibility. Offsetting these positives were early-year operational and Enabling Tech lumpiness, international supply chain and regional challenges, integration risk for Nevro, a meaningful decline in the cash balance due to acquisitions, debt paydown and buybacks, and temporary one-time charges. Overall, the highlights (robust revenue and profit growth, margin improvement, successful synergy capture, and raised guidance) outweigh the lowlights, which are largely short- to medium-term execution and integration issues.Positive Updates
Record Quarterly and Annual Financial Performance
Q4 2025 revenue of $826.4M (+25.7% YoY, +24.7% constant currency) and full year 2025 revenue of $2.939B (+16.7% as-reported, +16.2% constant currency); Q4 non-GAAP EPS $1.28 (+52.1% YoY) and full year non-GAAP EPS $3.98 (+30.8% YoY).
Negative Updates
Early-Year Operational Headwinds and Lumpiness
2025 began with a disappointing Q1 and intermittent lumpiness in Enabling Technologies deals (elongated pipeline throughout the year), producing uneven quarter-to-quarter performance before a strong Q4 recovery.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Quarterly and Annual Financial Performance
Q4 2025 revenue of $826.4M (+25.7% YoY, +24.7% constant currency) and full year 2025 revenue of $2.939B (+16.7% as-reported, +16.2% constant currency); Q4 non-GAAP EPS $1.28 (+52.1% YoY) and full year non-GAAP EPS $3.98 (+30.8% YoY).
Read all positive updates
Company Guidance
Globus reaffirmed full‑year 2026 revenue guidance of $3.18–$3.22 billion (implying growth of 8.2%–9.6% vs. 2025) and raised non‑GAAP diluted EPS guidance to $4.40–$4.50 (vs. prior $4.30–$4.40, implying EPS growth of 10.6%–13.1%), expects at least 100 bps of adjusted gross margin expansion to a full‑year 69%–70% (with a long‑term mid‑70s target), projects R&D of 5%–6% of sales, SG&A of 38%–39% of sales, CapEx of 5%–6% of sales, and a non‑GAAP tax rate of 24%–25%; management noted guidance contemplates a mix of cash sales and placements (including fair‑market‑value leases) that can affect near‑term revenue recognition, and that Nevro—now EPS‑accretive within the first nine months post‑acquisition—may remain lumpy in the short term but is expected to drive profitable growth over the medium to long term.Globus Medical Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
90
Very Positive
Cash Flow
82
Very Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 2.94B | 2.52B | 1.57B | 1.02B | 958.10M |
| Gross Profit | 1.98B | 1.48B | 1.02B | 759.12M | 718.88M |
| EBITDA | 729.90M | 473.73M | 346.58M | 304.50M | 264.73M |
| Net Income | 537.90M | 102.98M | 122.87M | 190.17M | 149.19M |
Balance Sheet | |||||
| Total Assets | 5.30B | 5.25B | 5.09B | 2.08B | 1.96B |
| Cash, Cash Equivalents and Short-Term Investments | 557.24M | 890.06M | 517.79M | 446.06M | 443.45M |
| Total Debt | 118.66M | 537.19M | 520.40M | 6.01M | 0.00 |
| Total Liabilities | 729.51M | 1.07B | 1.09B | 229.75M | 215.88M |
| Stockholders Equity | 4.57B | 4.18B | 4.00B | 1.85B | 1.74B |
Cash Flow | |||||
| Free Cash Flow | 588.77M | 405.21M | 165.22M | 104.42M | 219.38M |
| Operating Cash Flow | 753.45M | 520.64M | 243.50M | 178.47M | 276.27M |
| Investing Cash Flow | -355.01M | -176.05M | 302.97M | -110.36M | -375.94M |
| Financing Cash Flow | -679.16M | -27.70M | -231.82M | -109.96M | 54.15M |
Globus Medical Technical Analysis
Negative
83.78
Price Trends
89.61
Negative
87.77
Negative
73.06
Positive
Market Momentum
-1.19
Positive
37.71
Neutral
49.90
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GMED, the sentiment is Negative. The current price of 83.78 is below the 20-day moving average (MA) of 87.37, below the 50-day MA of 89.61, and above the 200-day MA of 73.06, indicating a neutral trend. The MACD of -1.19 indicates Positive momentum. The RSI at 37.71 is Neutral, neither overbought nor oversold. The STOCH value of 49.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GMED.
Globus Medical Risk Analysis
Globus Medical disclosed 52 risk factors in its most recent earnings report. Globus Medical reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Globus Medical Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $11.31B | 21.94 | 12.40% | ― | 11.75% | 364.73% | |
72 Outperform | $13.44B | 22.70 | 11.79% | 2.28% | 5.78% | 61.52% | |
68 Neutral | $102.64B | 48.91 | 12.53% | ― | 21.62% | 54.80% | |
66 Neutral | $125.31B | 41.38 | 15.04% | 0.95% | 10.95% | -18.32% | |
65 Neutral | $17.33B | 25.25 | 5.60% | 1.05% | 5.47% | -23.03% | |
64 Neutral | $25.77B | 24.78 | 8.21% | 3.30% | -0.76% | -55.03% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
GMED
Globus Medical
83.78
10.58
14.45%
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14.06%
SYK
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327.44
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ZBH
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-21.14%
Globus Medical Corporate Events
Executive/Board ChangesShareholder Meetings
Globus Medical Announces Board Resignation, Affirms Governance Stability
Neutral
Mar 23, 2026
On March 23, 2026, Globus Medical announced that board member John A. DeFord, Ph.D., resigned from its Board of Directors effective immediately and will not stand for re-election at the June 3, 2026, annual shareholders’ meeting. The company...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.