Globus Medical, Inc.

Globus Medical, Inc.

GMEDยทNYSE

$77.95

-0.38%
HealthcareMedical - Devices

Globus Medical, Inc., a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders in the United States and internationally. It offers spine products, such as traditional fusion implants comprising pedicle screw and rod systems, plating systems, intervertebral spacers, and corpectomy devices for treating degenerative, deformity, tumors, and trauma conditions; treatment options for motion preservation technologies that consist of dynamic stabilization, total disc replacement, and interspinous distraction devices; interventional pain management solutions to treat vertebral compression fractures; and regenerative biologic products comprising of allografts and synthetic alternatives. The company also offers products for the treatment of orthopedic trauma, including fracture plates, compression screws, intramedullary nails, and external fixation systems; and hip and knee joint solutions, including modular hip stems and acetabular cups, as well as posterior stabilizing and cruciate retaining knee arthroplasty implants. In addition, it distributes human cell, tissue, and cellular and tissue-based products. Globus Medical, Inc. was incorporated in 2003 and is headquartered in Audubon, Pennsylvania.

At a Glance

Live Snapshot
Market Cap$10.51B
EPS3.9800
P/E Ratio19.59
Earnings Date07/30/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

High confidence

Valuation multiple is mid-range (P/E 19.6).

Valuation inputs: P/E 19.6, earnings yield +5.1%, momentum -0.4%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is acceptable (ROE +11.8%, ROIC +8.8%).

Profitability stack: net margin +18.3%, ROE +11.8%, ROIC +8.8%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile looks controlled across current risk inputs.

Risk factors: liabilities/assets +13.8%, momentum -0.4%, net margin +18.3%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

gmed

Globus Medical, Inc. Market vs Earnings Trajectory

GMED ยท NYSE

Loading price and EPS data...

Globus Medical, Inc.

Globus Medical, Inc. Fair Value Envelope

GMED ยท NYSE

Our analysis suggests that GMED has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $77.95, this represents a potential HIDDEN relative to our calculated worth for Globus Medical, Inc..

Intrinsic Value
Current Price: $77.95
3Y+111.0%
5Y+283.0%
10Y+265.0%
3Y+187.0%
5Y+272.0%
10Y+421.0%
3Y+183.0%
5Y+426.0%
10Y+416.0%
3Y+322.0%
5Y+279.0%
10Y+338.0%
3Y+464.0%
5Y+336.0%
10Y+349.0%
3Y+155.0%
5Y+216.0%
10Y+472.0%
Globus Medical, Inc.

Globus Medical, Inc. Profit Bridge

GMED ยท NYSE
Revenue2.94B
Cost of Goods Sold (957.80M)
Gross Profit1.98B
Operating Expenses (1.50B)
Operating Income479.80M
Interest Expense (0.00)
Other Income/Expense130.10M
Pretax Income609.90M
Income Tax (72.00M)
Net Income537.90M
Net Income
537.90M

Profitability Analysis

Gross Margin

67.4%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

16.3%

Healthy operating margins demonstrate effective cost control and strong business fundamentals.

Net Profit Margin

18.3%

Strong net margins indicate efficient operations and favorable tax/interest management.

Effective Tax Rate

11.8%

Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.

Profitability Insight

High margin compression: Large gap between gross and net margins suggests operational inefficiencies or heavy debt burden. Focus on expense management and deleveraging.

67.41%
Gross Profit Margin
14%
3Y-9.0%
5Y-7.0%
10Y-11.0%
16.33%
Operating Profit Margin
148%
3Y-27.0%
5Y+16.0%
10Y-40.0%
18.30%
Net Profit Margin
348%
3Y-2.0%
5Y+41.0%
10Y-1.0%
11.76%
Return on Equity
377%
3Y+14.0%
5Y+73.0%
10Y-6.0%
10.14%
Return on Assets
417%
3Y+11.0%
5Y+67.0%
10Y-10.0%
8.78%
Return on Invested Capital
201%
3Y-6.0%
5Y+51.0%
10Y-27.0%
GMED

Globus Medical, Inc. Cash Conversion Engine

GMED ยท NYSE
Net Income537.87M
Depreciation & Amortization276.84M
Stock-Based Compensation49.78M
Change in Working Capital-82.71M
Others-46.95M
Capital Expenditures-164.68M
Free Cash Flow588.77M

Cash Flow Quality Analysis

FCF Conversion Rate

109.5%

Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.

CapEx Intensity

21.9%

Moderate capital requirements typical of many stable businesses. Healthy balance between reinvestment and cash generation.

FCF Growth Trend

+45.3%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$82.71M

Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.

Cash Flow Quality Insight

Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.

gmed

Globus Medical, Inc. Funding & Solvency Profile

GMED ยท NYSE
Cash & Cash Equivalents560.95M
Net Receivables686.43M
Inventory772.60M
Other Current Assets109.23M
Total Current Assets2 B
Property, Plant & Equipment618.65M
Goodwill & Intangible Assets2.16B
Long-Term Investments0.00
Other Non-Current Assets248.40M
Total Non-Current Assets867 M
Total Assets
5.44B

Financial Health Analysis

Current Ratio

4.56x

Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.

Debt-to-Equity Ratio

0.15x

Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.

Working Capital

2 B

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

40% Current

Balanced asset mix between current and non-current assets, typical of many stable businesses.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

gmed

Globus Medical, Inc. Street Expectations Map

GMED ยท NYSE

Wall Street analysts project that GMED stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 110.29, with estimates ranging from a low of 100.00 to a high of 117.00.

Lowest Target
100.00
28.29%
Consensus Target
110.29
41.49%
Highest Target
117.00
50.10%

The consensus 1-year price target stands at 110.29, with estimates ranging from a low of 100.00 to a high of 117.00.

Analyst Consensus Analysis

Upside Potential

+41.5%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

15.4% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.

gmed

Globus Medical, Inc. Insider Positioning

GMED ยท NYSE

During the last 12 months, insiders have sold $11.69M worth of GMED shares, with no buying activity reported.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

0

0.00

Sold

39.6K

3.69M

Net Activity

-3.7M

-$3.69M

6-9 Months

Bought

0

0.00

Sold

96.0K

8.00M

Net Activity

-8.0M

-$8.00M

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

No buying activity

Top Sellers

1
HK

Huller Kelly

Officer: Evp, Gc, Corporate Secretary

37.5K sharesโ€ข3 transactions

$3.44M

2
DDD

Davidar David D

Director

25.0K sharesโ€ข1 transactions

$2.15M

3
ZST

Zarrilli Stephen T

Director

25.0K sharesโ€ข1 transactions

$2.11M

4
KK

Kline Kyle

Officer: Senior Vice President, Cfo

22.1K sharesโ€ข2 transactions

$2.03M

5
RAD

Rhoads Ann D

Director

20.0K sharesโ€ข3 transactions

$1.40M

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $11.69M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Insider Participation

High Selling

5 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.

No Dividend Yield Data

GMED has not reported any dividend yield values in the available annual periods.

ย 

gmed Dividend History

GMED
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%