Teleflex (TFX) AI Stock Analysis

• Market Cap: $5.30B
• Dividend Yield: 1.13%
• Average Volume (3M): 631.42K
• Price to Earnings (P/E): 28.2
• Beta (1Y): 0.67
• Revenue Growth: 1.11%
• EPS Growth: -23.73%
• Country: US
• Employees: 14,100
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 3.73
• Shares Outstanding: 44,192,818
• 10 Day Avg. Volume: 704,289
• 30 Day Avg. Volume: 631,419
• PEG Ratio: -1.49
• Price to Book (P/B): 1.95
• Price to Sales (P/S): 2.74
• P/FCF Ratio: 16.37
• Enterprise Value/Market Cap: 1.32
• Enterprise Value/Revenue: 2.31
• Enterprise Value/Gross Profit: 4.15
• Enterprise Value/Ebitda: 14.00
• 1Y Price Target: $136.80
• Price Target Upside: 14.01% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 73 Outperform
• Price Target: $132.00 ▲(10.01% Upside)

Teleflex's strong financial performance and positive earnings call are the primary drivers of its stock score. The company's robust cash flow management and strategic acquisitions position it well for future growth. However, the high P/E ratio and mixed technical indicators suggest some caution. Despite challenges in specific segments, the overall outlook remains positive.

Positive Factors

Strategic Acquisition

The acquisition is expected to generate $204 million in revenue in the second half of 2025 and grow 6% or better annually starting 2026, enhancing Teleflex's market position and revenue base.

Cash Flow Management

Strong cash flow management underscores Teleflex's ability to sustain operations and invest in growth opportunities, contributing to long-term financial stability.

Revenue Growth Guidance

Increased revenue growth guidance reflects strong business momentum and successful integration of acquisitions, supporting future financial performance.

Negative Factors

Cash Flow Decrease

The decrease in cash flow from operations due to unfavorable changes in working capital can strain financial flexibility and impact the company's ability to fund new initiatives.

Revenue Decline in EMEA

The decline in EMEA revenue, driven by challenges in the Anesthesia business and military orders, could indicate regional market challenges that may affect overall growth.

Challenges in UroLift and OEM

Revenue declines in UroLift and OEM segments due to lost contracts and inventory issues suggest operational challenges that could impact profitability and market competitiveness.

Teleflex Business Overview & Revenue Model

Company Description

Teleflex Incorporated designs, develops, manufactures, and supplies single-use medical devices for common diagnostic and therapeutic procedures in critical care and surgical applications worldwide. It provides vascular access products that comprise Arrow branded catheters, catheter navigation and tip positioning systems, and intraosseous access systems for the administration of intravenous therapies, the measurement of blood pressure, and the withdrawal of blood samples through a single puncture site. The company also offers interventional products, which consists of various coronary catheters, structural heart therapies, and peripheral intervention and cardiac assist products that are used by interventional cardiologists and radiologists, and vascular surgeons; and Arrow branded catheters, Guideline and Trapliner catheters, the Manta Vascular Closure, and Arrow Oncontrol devices. It provides anesthesia products, such as airway and pain management products to support hospital, emergency medicine, and military channels; and surgical products, including metal and polymer ligation clips, and fascial closure surgical systems that are used in laparoscopic surgical procedures, percutaneous surgical systems, and other surgical instruments. The company also offers interventional urology products comprising the UroLift System, an invasive technology for treating lower urinary tract symptoms due to benign prostatic hyperplasia; and respiratory products, including oxygen and aerosol therapies, spirometry, and ventilation management products for use in various care settings. It provides urology products, such as catheters, urine collectors, and catheterization accessories and products for operative endourology; and bladder management services. The company serves hospitals and healthcare providers, medical device manufacturers, and home care markets. The company was incorporated in 1943 and is headquartered in Wayne, Pennsylvania.

How the Company Makes Money

Teleflex generates revenue primarily through the sale of its medical devices and products across different healthcare sectors. The company has a diversified revenue model that includes direct sales to healthcare providers, hospitals, and other medical institutions. Key revenue streams include vascular access products, anesthesia products, and surgical instruments. Additionally, Teleflex benefits from strategic partnerships and collaborations with healthcare organizations and distributors, which enhance its market reach and product availability. The company's focus on innovation and development of new products also contributes significantly to its earnings, as it meets the evolving needs of the healthcare market.

Teleflex Financial Statement Overview

Summary

Teleflex demonstrates solid financial health across all verticals. The income statement reveals strong profitability and stable revenue growth. The balance sheet is robust with low leverage and a strong equity position. Cash flow generation is impressive, underscoring efficient cash management. Overall, the company is well-positioned for sustained financial stability and growth.

Income Statement

Teleflex shows strong profitability with a Gross Profit Margin of 55.7% and Net Profit Margin of 5.0% in TTM. Revenue grew modestly at 0.6% from the previous year, indicating stable growth. Notably, the EBITDA Margin stands at 15.9%, reflecting healthy operational efficiency. However, the EBIT Margin is somewhat lower at 8.6%, suggesting some operational cost challenges.

Balance Sheet

The company maintains a solid financial structure with a Debt-to-Equity Ratio of 0.05, indicating low leverage. The Return on Equity is 3.6% in TTM, which is moderate but could be improved. The Equity Ratio is robust at 57.2%, showcasing a strong equity base. Overall, the balance sheet is stable with manageable debt levels.

Cash Flow

Teleflex exhibits strong cash flow management, with a Free Cash Flow to Net Income Ratio of 3.41 in TTM, indicating efficient cash generation relative to earnings. The Operating Cash Flow to Net Income Ratio is 4.00, highlighting strong cash conversion. Free Cash Flow has grown slightly by 0.2% from the previous year, maintaining positive cash flow growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.04B	3.05B	2.97B	2.79B	2.81B	2.54B
Gross Profit	1.69B	1.70B	1.65B	1.53B	1.55B	1.32B
EBITDA	501.68M	452.66M	761.21M	751.65M	873.10M	665.98M
Net Income	191.93M	69.67M	356.33M	363.14M	485.37M	335.32M
Balance Sheet
Total Assets	7.38B	7.10B	7.53B	6.93B	6.87B	7.15B
Cash, Cash Equivalents and Short-Term Investments	253.70M	290.19M	222.85M	292.03M	445.08M	375.88M
Total Debt	2.00B	1.76B	1.93B	1.83B	1.97B	2.56B
Total Liabilities	3.13B	2.82B	3.09B	2.91B	3.12B	3.82B
Stockholders Equity	4.24B	4.28B	4.44B	4.02B	3.75B	3.34B
Cash Flow
Free Cash Flow	431.42M	509.31M	419.20M	262.95M	579.80M	345.71M
Operating Cash Flow	514.63M	635.74M	510.64M	342.14M	651.42M	436.41M
Investing Cash Flow	-56.02M	-99.36M	-621.23M	-257.94M	156.74M	-837.78M
Financing Cash Flow	-353.46M	-421.93M	38.54M	-217.51M	-715.82M	455.16M

Teleflex Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 119.99
• 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 TFX, the sentiment is Negative. The current price of 119.99 is below the 20-day moving average (MA) of 126.19, below the 50-day MA of 121.92, and below the 200-day MA of 138.95, indicating a bearish trend. The MACD of -0.88 indicates Positive momentum. The RSI at 41.51 is Neutral, neither overbought nor oversold. The STOCH value of 19.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TFX.

Teleflex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MMSI	79 Outperform	$4.75B	40.75	8.01%	―	10.14%	0.04%
TFX	73 Outperform	$5.30B	28.25	4.36%	1.13%	1.11%	-23.73%
LMAT	71 Outperform	$1.91B	40.89	12.99%	0.90%	14.11%	23.98%
HAE	68 Neutral	$2.32B	14.70	18.51%	―	0.91%	45.81%
ICUI	49 Neutral	$2.93B	-78.01	-1.75%	―	2.95%	47.92%
BLCO	49 Neutral	$5.13B	-18.75	-6.23%	―	8.81%	40.43%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%