EW
NEUTRAL
$86.3
Live
Edwards Lifesciences Corporation · NYSE
Target $93.94
(+8.9%)
$65.94
52W Range
$87.21
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Nov 16, 2025
Market cap
$50.08B
P/E
37.85
ROE
13.5%
Profit margin
23.2%
Debt/Equity
0.07
Dividend yield
N/A
AI Analysis
AI-powered fundamental assessment
Confidence
72%
Edwards Lifesciences (EW) trades near its 52-week high at $86.30, reflecting strong recent price momentum (+30.4% 1Y, +18.3% 1M), supported by consistent revenue growth of 14.7% YoY and a solid track record of earnings beats over the past four quarters (avg. surprise: 9.24%). The company exhibits best-in-class profitability with a 78.2% gross margin and 27.4% operating margin, significantly above sector averages, while maintaining a fortress balance sheet with a Debt/Equity ratio of just 0.07 and a Current Ratio of 4.0. However, near-term earnings growth is deeply negative (-90.3% YoY), creating a dislocation between top-line strength and bottom-line performance, and insider selling worth $4.7M over the last six months raises caution. While analysts maintain a 'buy' recommendation with a $93.94 target implying 8.9% upside, valuation appears stretched relative to growth, particularly when compared to higher-growth peers like BNTX or capital-efficient leaders like ZTS.
Key Strengths
Revenue growth of 14.7% YoY significantly exceeds sector average of 10.24%
Exceptional profitability: 78.19% gross margin and 27.37% operating margin, both well above healthcare sector averages
Superior financial health with Debt/Equity of 0.07 vs. sector avg of 1.40 and Current Ratio of 4.0 indicating strong liquidity
Consistent earnings beat record: 3 out of last 4 quarters beat estimates with an average surprise of 9.24%
Attractive valuation relative to some peers despite high multiples—trades below COR's P/E of 45.47 and above ZTS's 20.34, but with better growth than ZTS
Key Risks
Severe earnings contraction: YoY earnings growth down 90.3%, raising concerns about cost structure or one-time charges
High valuation metrics: P/E of 37.85 and Forward P/E of 35.22 appear stretched given negative earnings growth
Insider selling pressure: $4.7M in insider sales over last 6 months with no buys, including CFO and multiple officers
Lack of dividend: zero payout policy may deter income-oriented investors despite strong cash generation
Near-term price resistance: trading just below 52-week high of $87.21 with limited technical room for upside
AI Fair Value Estimate
Based on comprehensive analysis
$92.5
+7.2% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
58
Moderate
58
64
76
90
0
AI Verdict
Edwards Lifesciences demonstrates high-quality fundamentals with industry-leading margins and robust revenue growth, supported by analyst optimism and solid historical performance, yet faces headwinds from collapsing earnings growth and elevated valuation, while insider selling adds caution—positioning it as fairly valued within a strong peer group where growth and profitability trade at a premium.
Key drivers: Strong revenue growth and margin profile, Negative earnings growth despite top-line strength, Insider selling and stretched near-term valuation
Confidence
75%
Value
58/100
EW's valuation is broadly in line with the healthcare sector's average P/E of 37.37, but its lack of earnings growth makes the multiple appear rich compared to fundamentals, especially when contrasted with higher-growth BNTX or more profitable COR.
Positives
- P/E of 37.85 is in line with sector average of 37.37
- Lower than high-flying peers like COR (P/E 45.47)
Watchpoints
- Forward P/E of 35.22 remains high given negative earnings growth
- Price/Sales of 8.51 is elevated versus sector dynamics
Future
64/100
While revenue momentum and price performance suggest bullish sentiment, the collapse in earnings growth creates a fundamental disconnect that could limit re-rating potential unless margins stabilize in upcoming quarters.
Positives
- Revenue growth of 14.7% YoY indicates strong demand and market share gains
- Positive price momentum: +30.4% over the past year and +18.3% in the last month
Watchpoints
- Earnings growth of -90.3% YoY suggests significant margin pressure or one-time costs
- Q/Q EPS growth flat at 0.0%, indicating no near-term recovery
Past
76/100
EW has demonstrated a strong historical ability to exceed earnings expectations, with a 25-quarter track record showing resilience, but its 5-year stock return of +5.0% lagged the broader market until a sharp 30.4% recovery in the past year.
Positives
- Consistent earnings beat history: 3 of last 4 quarters beat, with multiple double-digit surprises
- Long-term profitability stability: ROE of 13.49% and ROA of 7.71% reflect efficient capital use
Watchpoints
- Recent earnings misses in 2022 and early 2023 indicate volatility in execution
- 5Y stock return of only +5.0% reflects prolonged underperformance before recent rebound
Health
90/100
EW’s financial health is best-in-class, with minimal leverage and superior liquidity compared to peers like COR (Debt/Equity 4.38) and CI (0.81), providing significant flexibility for R&D, M&A, or downturn resilience.
Positives
- Extremely low leverage with Debt/Equity of 0.07, far below sector average of 1.40
- Exceptional liquidity: Current Ratio of 4.0 and Quick Ratio of 2.98
Watchpoints
- Lack of disclosed cash/debt figures limits full liquidity assessment
- No visibility on free cash flow or operating cash flow trends
Dividend
0/100
The absence of a dividend, combined with a 0.00% payout ratio, removes EW as a candidate for income-focused investors, especially in a sector where many peers offer yield as part of total return proposition.
Positives
No standout positives identified.
Watchpoints
- No dividend paid, resulting in zero yield and no income appeal
- Payout ratio of 0.00% indicates no commitment to shareholder returns via dividends
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$86.3
Analyst Target
$93.94
Upside/Downside
+8.9%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for EW and closest competitors.
Updated 2025-11-14
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
EW
Edwards Lifesciences Corporation
Primary
|
+5.0% | +13.6% | +30.4% | +10.6% | +18.3% | +3.5% |
|
CAH
Cardinal Health, Inc.
Peer
|
+270.8% | +159.6% | +48.8% | +24.1% | -5.2% | -6.6% |
|
ZTS
Zoetis Inc.
Peer
|
-23.5% | -16.7% | -29.9% | -25.4% | -14.7% | +0.5% |
|
IDXX
IDEXX Laboratories, Inc.
Peer
|
+51.5% | +58.8% | +62.9% | +33.2% | +7.9% | -2.6% |
|
BDX
Becton, Dickinson and Company
Peer
|
-8.2% | -14.8% | -9.9% | +5.4% | -10.8% | -1.2% |
EW
Edwards Lifesciences Corporation
Primary
5Y
+5.0%
3Y
+13.6%
1Y
+30.4%
6M
+10.6%
1M
+18.3%
1W
+3.5%
CAH
Cardinal Health, Inc.
Peer
5Y
+270.8%
3Y
+159.6%
1Y
+48.8%
6M
+24.1%
1M
-5.2%
1W
-6.6%
ZTS
Zoetis Inc.
Peer
5Y
-23.5%
3Y
-16.7%
1Y
-29.9%
6M
-25.4%
1M
-14.7%
1W
+0.5%
IDX
IDEXX Laboratories, Inc.
Peer
5Y
+51.5%
3Y
+58.8%
1Y
+62.9%
6M
+33.2%
1M
+7.9%
1W
-2.6%
BDX
Becton, Dickinson and Company
Peer
5Y
-8.2%
3Y
-14.8%
1Y
-9.9%
6M
+5.4%
1M
-10.8%
1W
-1.2%
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
37.85
Forward P/E
35.22
PEG Ratio
N/A
P/B Ratio
4.91
P/S Ratio
8.51
EV/Revenue
7.99
EV/EBITDA
26.28
Market Cap
$50.08B
Profitability
Profit margins and return metrics
Profit Margin
23.25%
Operating Margin
27.37%
Gross Margin
78.19%
ROE
13.49%
ROA
7.71%
Growth
Revenue and earnings growth rates
Revenue Growth
+14.7%
Earnings Growth
-90.3%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
-90.5%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.07
Low debt
Current Ratio
4.0
Strong
Quick Ratio
2.98
Excellent
Cash/Share
$6.62
Quarterly Earnings History
EPS performance vs analyst estimates
2026-02-11
$N/A
2025-10-30
$0.67
+12.6% surprise
2025-07-24
$0.67
+7.6% surprise
2025-04-23
$0.64
+7.5% surprise
Healthcare Sector Comparison
Comparing EW against 564 companies in the Healthcare sector
(36 bullish, 168 neutral, 360 bearish)
P/E Ratio
37.85
This Stock
vs
74.29
Sector Avg
-49.0%
(Discount)
Return on Equity (ROE)
13.49%
This Stock
vs
-87.3%
Sector Avg
-115.5%
(Below Avg)
Profit Margin
23.25%
This Stock
vs
-16.1%
Sector Avg
-244.4%
(Weaker)
Debt to Equity
0.07
This Stock
vs
2.65
Sector Avg
-97.4%
(Less Debt)
Revenue Growth
14.7%
This Stock
vs
123.13%
Sector Avg
-88.1%
(Slower)
Current Ratio
4.0
This Stock
vs
4.46
Sector Avg
-10.3%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
EW
Edwards Lifesciences Corporation
|
NEUTRAL | $50.08B | 37.85 | 13.5% | 23.2% | $86.3 | |
|
CAH
Cardinal Health, Inc.
|
NEUTRAL | $47.03B | 28.76 | -% | 0.7% | $199.85 | Compare |
|
ZTS
Zoetis Inc.
|
BULLISH | $53.39B | 20.34 | 49.9% | 28.2% | $120.82 | Compare |
|
IDXX
IDEXX Laboratories, Inc.
|
BULLISH | $56.01B | 54.63 | 64.6% | 24.7% | $689.93 | Compare |
|
BDX
Becton, Dickinson and Company
|
NEUTRAL | $56.67B | 25.56 | 7.0% | 8.0% | $156.41 | Compare |
EW
Edwards...
NEUTRAL
Mkt Cap
$50.1B
P/E
37.9
ROE
13.5%
Price
$86.3
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-11-10 | LIPPIS DANIEL J | Officer | Sale | 1,020 | $84,196 |
| 2025-11-10 | ULLEM SCOTT B | Chief Financial Officer | Sale | 13,000 | $1,080,093 |
| 2025-11-10 | ULLEM SCOTT B | Chief Financial Officer | Option Exercise | 13,000 | $770,337 |
| 2025-11-10 | LIPPIS DANIEL J | Officer | Option Exercise | 1,020 | $60,442 |
| 2025-09-11 | CHOPRA DAVEEN | Officer | Stock Award | 3,205 | - |
| 2025-09-11 | MARKOWITZ WAYNE | Officer | Stock Award | 6,410 | - |
| 2025-08-25 | CHOPRA DAVEEN | Officer | Sale | 2,500 | $204,865 |
| 2025-08-18 | WOOD LARRY L | Officer | Sale | 8,950 | $698,679 |
| 2025-08-18 | WOOD LARRY L | Officer | Option Exercise | 8,950 | $530,347 |
| 2025-07-28 | LIPPIS DANIEL J | Officer | Sale | 4,114 | $326,900 |
| 2025-06-16 | WOOD LARRY L | Officer | Sale | 8,950 | $673,268 |
| 2025-06-16 | WOOD LARRY L | Officer | Option Exercise | 8,950 | $530,347 |
| 2025-06-03 | ZOVIGHIAN BERNARD J | Chief Executive Officer | Sale | 17,066 | $1,317,837 |
| 2025-06-02 | BOBO DONALD E JR | Officer | Sale | 2,570 | $198,911 |
| 2025-05-22 | CHOPRA DAVEEN | Officer | Sale | 1,500 | $112,612 |
LIPPIS DANIEL J
Officer
2025-11-10
1,020 shares
·
$84,196
ULLEM SCOTT B
Chief Financial Officer
2025-11-10
13,000 shares
·
$1,080,093
ULLEM SCOTT B
Chief Financial Officer
2025-11-10
13,000 shares
·
$770,337
LIPPIS DANIEL J
Officer
2025-11-10
1,020 shares
·
$60,442
CHOPRA DAVEEN
Officer
2025-09-11
3,205 shares
MARKOWITZ WAYNE
Officer
2025-09-11
6,410 shares
CHOPRA DAVEEN
Officer
2025-08-25
2,500 shares
·
$204,865
WOOD LARRY L
Officer
2025-08-18
8,950 shares
·
$698,679
WOOD LARRY L
Officer
2025-08-18
8,950 shares
·
$530,347
LIPPIS DANIEL J
Officer
2025-07-28
4,114 shares
·
$326,900
WOOD LARRY L
Officer
2025-06-16
8,950 shares
·
$673,268
WOOD LARRY L
Officer
2025-06-16
8,950 shares
·
$530,347
ZOVIGHIAN BERNARD J
Chief Executive Officer
2025-06-03
17,066 shares
·
$1,317,837
BOBO DONALD E JR
Officer
2025-06-02
2,570 shares
·
$198,911
CHOPRA DAVEEN
Officer
2025-05-22
1,500 shares
·
$112,612
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
28 analysts
Truist Securities
2025-11-03
Hold
Hold
Canaccord Genuity
2025-11-03
Hold
Hold
Barclays
2025-10-31
Overweight
Overweight
Citigroup
2025-10-31
Buy
Buy
JP Morgan
2025-10-31
Neutral
Neutral
Goldman Sachs
2025-10-31
Buy
Buy
Piper Sandler
2025-10-31
Overweight
Overweight
RBC Capital
2025-10-31
Outperform
Outperform
Stifel
2025-10-31
Buy
Buy
Evercore ISI Group
2025-10-31
Outperform
Outperform
Past News Coverage
Recent headlines mentioning EW from our newsroom.
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No matching news yet.