Carl Zeiss Meditec, the medical technology giant, reported a significant downturn in its financial performance for fiscal year 2023/24, triggering a dramatic stock price decline of over 11% to €54.75. The company’s revenue contracted by 1.1% to €2.07 billion, while operating profit (EBIT) saw a steep decline from €348.1 million to €194.5 million. In response to these disappointing results, the company announced plans to reduce its dividend substantially from €1.10 to €0.60 per share. The downturn was primarily attributed to weakened demand in equipment sales, although recurring revenues from consumables, implants, and services now constitute 47% of total sales.
Market Outlook and Analyst Perspectives
Looking ahead to 2024, the company maintains a cautious stance, projecting only modest revenue growth. Management expects the EBITA margin to gradually improve to between 16% and 20%, supported by growing recurring revenue streams. Analysts have adjusted their expectations accordingly, setting an average price target of €66.50 and forecasting earnings per share of €1.84 for the upcoming fiscal year. The stock’s performance marks a significant decline from its March peak of €123.75, with the share price recently touching a 52-week low of €52.80.
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Carl Zeiss Meditec Stock: New Analysis – 14 December
Fresh Carl Zeiss Meditec information released. What’s the impact for investors? Our latest independent report examines recent figures and market trends.
Read our updated Carl Zeiss Meditec analysis…
Carl Zeiss Meditec, the medical technology giant, reported a significant downturn in its financial performance for fiscal year 2023/24, triggering a dramatic stock price decline of over 11% to €54.75. The company’s revenue contracted by 1.1% to €2.07 billion, while operating profit (EBIT) saw a steep decline from €348.1 million to €194.5 million. In response to these disappointing results, the company announced plans to reduce its dividend substantially from €1.10 to €0.60 per share. The downturn was primarily attributed to weakened demand in equipment sales, although recurring revenues from consumables, implants, and services now constitute 47% of total sales.
Market Outlook and Analyst Perspectives
Looking ahead to 2024, the company maintains a cautious stance, projecting only modest revenue growth. Management expects the EBITA margin to gradually improve to between 16% and 20%, supported by growing recurring revenue streams. Analysts have adjusted their expectations accordingly, setting an average price target of €66.50 and forecasting earnings per share of €1.84 for the upcoming fiscal year. The stock’s performance marks a significant decline from its March peak of €123.75, with the share price recently touching a 52-week low of €52.80.
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Fresh Carl Zeiss Meditec information released. What’s the impact for investors? Our latest independent report examines recent figures and market trends.