Stock (Symbol) |
Becton Dickinson (BDX) |
Stock Price |
$232 |
Sector |
Healthcare |
Data is as of |
March 12, 2020 |
Expected to Report |
May 7 |
Company Description |
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Sharek’s Take |
![]() Since 1897 Becton, Dickenson has manufactured syringes, catheters, lab equipment, diagnostic tests, and other disposable items for hospitals. Its business is steady, and honestly boring. The company has more than 65,000 associates serving greater than 190 countries around the world. During the last five years, BDX made two key acquisitions which have boosted profits. In 2016 BDX acquired CareFusion, a maker of precision drug dispensing equipment, gave Becton a shot of growth as it used BDX’s deep International network to sell fancy CareFusion products. In December 2017 Becton acquired C.R. Bard (BCR), a leader in catheters and stents and merged two 100-year-old companies with long histories of providing equipment to hospitals. Both stocks were dependable 10% growers with histories of growth dating back a century. Last qtr the company launched 11 new products, including a new catheter with a valve that makes the catheter easier to care for. Becton, Dickinson does make products in China, with 95% of those products sold and used in China. BDX is divided into three segments:
Becton Dickenson (BDX) is a safe, steady stock that’s increased its dividend for 48 consecutive years and has grown profits every year since 1999. This stock has grown 11% per year during the past decade, has an Estimated Long Term Growth Rate of 8% a year and a dividend yield of 1%. BDX is a true Blue Chip stock that is a core holding in the Conservative Growth Portfolio. |
One Year Chart |
![]() The stock’s P/E has come down from 22 last qtr to 19 this qtr as the stock’s declined from $273 to $232. The Est. LTG of 8% is down from 10% last qtr and 11% 2QtrsAgo. |
Earnings Table |
![]() Annual Profit Estimates declined for the 6th straight qtr. Qtrly Estimates are for -3%, 3%, 8% and 12% profit growth the next 4 qtrs. This factors in lower guidance due to Alaris. |
Fair Value |
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Bottom Line |
![]() The company is having issues with its Alaris infusion system, and that matters more to the stock than the BD MAX, which is used for Coronavirus testing. BDX continues to rank 26th in the Conservative Portfolio Power Rankings. |
Power Rankings |
Growth Stock Portfolio
N/AAggressive Growth Portfolio N/AConservative Stock Portfolio 26 of 33 |