Edwards Lifesciences (EW) had tremendous growth in the first half of 2017. The stock has been recovering from the lows in late 2016 and has recently been on a bullish trend. Let’s look at analysts’ target prices and rating recommendations for the next year.
As of September 4, 2017, on the basis of 22 brokerage companies in a Reuters survey, approximately 77.0% (or 17) of the analysts rated Edwards Lifesciences a “buy.” Around 18.0% (or four) of the firms rated it a “hold,” and only one of the 22 surveyed firms rated it a “sell.”
You can see the recommendation summary for Edwards Lifesciences over the next 12 months in the above chart. As of September 4, 2017, the 12-month target price for Edwards Lifesciences is $130.80, which represents a 15.4% return potential in the next year. That’s based on the company’s closing price of $113.30 on September 1, 2017.
Edwards Lifesciences accounts for ~0.20% of the total holdings of the iShares Russell 1000 Growth ETF (IWF). Investors can consider investing in IWF for diversified exposure to Edwards Lifesciences.
Target prices and revised recommendations
According to some recent analyst recommendations for Edwards Lifesciences, the lowest one-year target price for the stock is ~$94, while the highest target price is $155. These targets represent a -17.0% maximum downside risk on the stock in the next 12 months and a 37.0% maximum return potential.
On September 1, 2017, the Royal Bank of Canada restated its “buy” rating on EW stock with a price target of $130. On August 31, 2017, BMO Capital reiterated its “buy” rating on the stock with a price target of $132.
As of September 4, 2017, peer companies Boston Scientific (BSX), Medtronic (MDT), and Abbott Laboratories (ABT) have average broker target prices of $30.90, $91.40, and $54.90, respectively. Those target prices represent one-year returns of 12.3%, 14.2%, and 7.3%, respectively.