Key Stats for Becton Dickinson Stock
- Price Change: -18.2%
- Current Price: ~$169
- Street Target: $213
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What Happened?
Becton Dickinson (BDX) plummeted 18.2% to close near $169 on Tuesday
Becton Dickinson suffered its worst single-day drop in years as investors fled the stock following a disappointing earnings update.
The primary trigger for the selloff was a shock reduction in full-year profit guidance.
Management slashed its fiscal 2026 adjusted EPS forecast to a range of $12.35 to $12.65, significantly below prior expectations of nearly $15.
The company cited “challenging market dynamics” in China, where volume-based procurement (VBP) policies are compressing prices for its medical consumables.
Additionally, lower-than-expected demand for vaccine delivery devices weighed on the quarter, forcing the company to reset expectations for the rest of the year.
Despite the gloom, analysts at Raymond James maintained an “Outperform” rating, arguing that the 18% drop is an overreaction to “transitory” headwinds.
The stock is now trading at a multi-year low valuation. Contrarian investors are eyeing the company’s $4 billion cash influx from its recent Life Sciences divestiture as a catalyst for massive share buybacks.
See analysts’ growth forecasts and price targets for Becton Dickinson stock (It’s free!) >>>
Is Becton Dickinson Undervalued Today?
During the earnings call, CEO Tom Polen acknowledged the challenges but emphasized the strength of the remaining portfolio.
He stated: “We delivered mid-single-digit growth across 90% of New BD’s portfolio… partially offset by 10% of our portfolio… undergoing challenging market dynamics.”
Polen also highlighted the company’s aggressive capital return plans following the Waters transaction: “I’m pleased to announce $2 billion will be deployed towards share repurchases… and $2 billion will be deployed towards debt paydown.”
Interim CFO Vitor Roque provided context on the guidance reset: “We are maintaining a prudent approach to our guidance for New BD… adjusted EPS guidance… remains operationally unchanged.”
Read the full Becton Dickinson Transcript on TIKR to see the 2026 Roadmap >>>
According to the Street Consensus, the market has over-penalized the stock for isolated issues.
- Street Target: $213
- Current Price: ~$170
- Potential Upside: +25.6%
Valuation Deep Dive
The investment case for Becton Dickinson is a “value recovery” play.
With the stock trading at ~$169, it is priced for zero growth, but the $213 target assumes a reversion to its historical valuation multiple as headwinds fade.
- The Buyback Floor: The immediate deployment of $2 billion for share repurchases provides a massive structural bid for the stock at these levels.
- The Core Resilience: 90% of the business is growing at mid-single digits, driven by high-demand areas like pharmacy automation and biologics.
- The Value Gap: The $213 target implies that once the China noise settles, investors will refocus on the company’s reliable cash flow and dominant market position.
If Becton Dickinson can execute its “New BD” strategy and stabilize its China business, the path to $213 is paved by multiple expansion and earnings quality.
Conclusion: A rare entry point. With a 25.6% upside potential to $213, Becton Dickinson offers a classic “fallen angel” opportunity for patient investors willing to look past short-term noise.
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How Much Upside Does Becton Dickinson Stock Have From Here?
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
