MedtronicXSWX:MDT +1.21%21 Gross Margin % is 65.35% as of Apr. 2026, which is 2% below its 10-year median of 66.54. GuruFocus rates XSWX:MDT with a GF Score™ of 21/100 and a GF Value™ of CHF80.97 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 805 Medical Devices & Instruments companies, Medtronic ranks better than 70.93% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Medtronic's Gross Profit for the
three
months ended in Apr. 2026 was CHF5,048 Mil. Medtronic's Revenue for the
three
months ended in Apr. 2026 was CHF7,724 Mil. Therefore, Medtronic's Gross Margin % for the quarter that ended in Apr. 2026 was 65.35%.
The historical rank and industry rank for Medtronic's Gross Margin % or its related term are showing as below:
XSWX:MDT'
s Gross Margin % Range Over the Past 10 Years
Min: 65.02 Med: 66.54 Max: 70.04
Current: 65.02
During the past 13 years, the highestGross Margin % of Medtronic was 70.04%. The lowest was 65.02%. And the median was 66.54%.
XSWX:MDT's Gross Margin % is ranked better than 70.93% of 805
companies
in the Medical Devices & Instruments industry
Industry Median: 52.07
vs XSWX:MDT: 65.02
Medtronic had a gross margin of 65.35% for the quarter that ended in Apr. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Medtronic was -0.40% per year.
Medtronic (XSWX:MDT) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Medtronic had a gross margin of 65.35% for the quarter that ended in Apr. 2026 => Durable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Medtronic Gross Margin % Related Terms
Medtronic Gross Margin % Historical Data
* Premium members only.
The historical data trend for Medtronic's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XSWX:MDT vs SYK, BSX, EW: Gross Margin % Comparison
For the Medical Devices subindustry, Medtronic's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Medtronic Gross Margin % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Medtronic's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Medtronic's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Medtronic (XSWX:MDT) has a Gross Margin % of 65.35% as of Apr. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Medtronic and its competitors. This is near median its historical median of 66.54. Over the past decade, Medtronic's Gross Margin % has ranged from 65.02 to 70.04. According to the industry distribution chart, Medtronic ranks #234 out of 805 companies in the Medical Devices & Instruments industry, placing it in the top 29.1%.
Is Medtronic's Gross Margin % too high?
Medtronic's current Gross Margin % of 65.35% is near median its 10-year median of 66.54. Over the past 10 years, this metric has ranged from a low of 65.02 to a high of 70.04. The Medical Devices & Instruments industry median Gross Margin % is 52.07. Medtronic's value of 65.35% is 25.5% above this industry median. Based on the distribution chart, Medtronic ranks #234 out of 805 companies in the Medical Devices & Instruments industry, which is above the industry midpoint. Overall, Medtronic has a GF Score™ of 21/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Medtronic's Gross Margin % compare to SYK and BSX?
According to the Medical Devices & Instruments industry distribution chart, Medtronic ranks #234 out of 805 companies for Gross Margin %. This puts Medtronic in the upper half of its industry. The industry median Gross Margin % is 52.07. Medtronic's value of 65.35% is 25.5% above this benchmark. Historically, Medtronic's own Gross Margin % has ranged from 65.02 to 70.04 over the past decade. While the company's 10-year median is 66.54 vs. the industry median of 52.07, Medtronic has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Medical Devices & Instruments company?
The median Gross Margin % among Medical Devices & Instruments companies is 52.07, based on 805 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Medtronic's current Gross Margin % of 65.35% is 25.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Medtronic and its competitors. For the Medical Devices & Instruments industry, the median Gross Margin % is 52.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Medtronic's current Gross Margin % is 65.35%, which is near median its own 10-year median of 66.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Medtronic stock overvalued right now?
Based on GuruFocus' analysis, Medtronic (XSWX:MDT) is currently considered Modestly Undervalued. The stock's GF Value™ is CHF80.97, compared to a current price of CHF65.29 — trading 19.4% below its estimated fair value. The current Gross Margin % is 65.35%, which is near median its 10-year median of 66.54 and 25.5% above the Medical Devices & Instruments industry median of 52.07. Medtronic's overall GF Score™ is 21/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Medtronic (XSWX:MDT), the current Gross Margin % is 65.35% as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Medtronic (XSWX:MDT) Overvalued in 2026?
Based on GuruFocus' analysis, Medtronic stock appears to be undervalued.
The current stock price of CHF65.29 is trading 19.4% below its estimated GF Value™ of CHF80.97.
GuruFocus considers Medtronic to be Modestly Undervalued.
Key valuation signals for XSWX:MDT:
Gross Margin %: 65.35% (near median its 10-year median of 66.54)
GF Value™: CHF80.97 vs. price of CHF65.29 (19.4% below fair value)
Industry Position: 25.5% above the Medical Devices & Instruments median (#234 of 805)
No single metric tells the full story. See the XSWX:MDT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
One of the largest medical-device companies, Medtronic develops and manufactures therapeutic medical devices for chronic diseases. Its portfolio includes pacemakers, defibrillators, transcatheter heart valves, stents, spinal fixation devices, neurovascular products, advanced energy, ablation laser therapy, and surgical tools. The company primarily markets its products to healthcare institutions and physicians in the United States, Western Europe, and Japan. Foreign sales account for roughly 50% of the company's total sales.
21GF Score
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