Is MMSI a Buy? What to Consider in 2026
Last updated July 2026
Short answer
The bull case for Merit Medical Systems (MMSI) rests on Organic growth in interventional devices: Merit's core peripheral intervention, cardiac intervention, and interventional oncology lines serve procedures that continue to shift toward minimally invasive approaches. Revenue (TTM) is ~$1.54B. If you believe that thesis holds, the real questions become position sizing and overlap, not timing. The main risk to that view: Merit competes against far larger and better-capitalized device companies including Boston Scientific, Medtronic, Abbott, Teleflex, Becton Dickinson, and Terumo, which can pressure pricing and share. Whether MMSI is a buy comes down to whether you believe the thesis. This is informational, not a recommendation, and Walnut is not an investment adviser.
Merit Medical Systems designs, manufactures, and markets a broad catalog of single-use and capital medical devices used in minimally invasive procedures. Its business splits into two segments: Cardiovascular (peripheral intervention, cardiac intervention, interventional oncology and spine, and cardiovascular and critical care) and Endoscopy (non-vascular stents, balloon dilators, and related tools for gastroenterologists and pulmonologists). The company sells globally through direct sales forces and distributors, and it has grown revenue toward roughly $1.5 to $1.6 billion annually, driven by a mix of organic volume and frequent product-line acquisitions. The investment picture is one of a steady compounder rather than a high-growth story. Merit converts single-digit revenue growth into faster non-GAAP EPS growth through margin expansion, and it trades at a premium medical-device multiple that reflects its consistency and acquisition track record. The picture also carries typical med-tech considerations: tariff and input-cost pressure on gross margin, reliance on M&A to sustain growth, and competition against much larger diversified device companies.
What's the case for buying MMSI?
1. Organic growth in interventional devices
Merit's core peripheral intervention, cardiac intervention, and interventional oncology lines serve procedures that continue to shift toward minimally invasive approaches. Management targets low-to-mid single-digit organic constant-currency growth, with Q1 2026 organic growth near 2.7 percent inside total revenue of about $382 million. The recurring, single-use nature of much of the catalog gives revenue a razor-and-blade quality.
2. Bolt-on acquisitions
A defining feature of Merit is its steady cadence of tuck-in acquisitions that add product lines and lift reported growth above the organic rate. Acquired products contributed several points of the roughly 7 percent GAAP growth in Q1 2026. This M&A engine is both a growth driver and a source of integration and capital-allocation risk.
3. Margin expansion and EPS leverage
Merit has pushed its non-GAAP operating margin higher, reaching about 19.7 percent in Q1 2026, its highest first-quarter figure on record. That operating leverage turns mid-single-digit revenue growth into high-single-digit non-GAAP EPS growth, the central mechanism behind the company's earnings story.
4. International and endoscopy expansion
The Endoscopy segment and international markets offer additional runway beyond the mature U.S. cardiovascular base. Global reach also exposes Merit to currency swings and geopolitical shipping disruptions, which trimmed a small amount of Q1 2026 revenue tied to Middle East tensions.
What are the risks to MMSI?
Merit competes against far larger and better-capitalized device companies including Boston Scientific, Medtronic, Abbott, Teleflex, Becton Dickinson, and Terumo, which can pressure pricing and share. Tariffs weighed on gross margin by roughly 120 basis points in early 2026, and input-cost and currency volatility remain ongoing headwinds. The growth model leans on continued acquisitions, so a slowdown in deal flow or a poorly integrated deal could stall the story. The stock also trades at a premium med-tech multiple, which leaves little room for execution missteps. Regulatory, reimbursement, and product-recall risks are inherent to the medical device industry.
How is MMSI valued? (as of JULY 2026)
Snapshot for MMSI as of July 2026, sourced from Yahoo Finance and may be delayed. Valuation figures move with price and earnings; verify the current numbers with your broker before deciding.
- Revenue (TTM): ~$1.54B
- Market cap: ~$4.0B
- Net income (TTM): ~$139M
- P/E (GAAP, TTM): ~27x
- 2026 revenue guidance: ~$1.61B to $1.63B
- 2026 non-GAAP EPS guidance: ~$4.01 to $4.15
Merit trades around a mid-20s to high-20s P/E on trailing GAAP earnings, a premium that reflects its consistency and acquisition-driven model. Q1 2026 revenue of about $382 million rose 7 percent year over year, with non-GAAP EPS of $0.94 beating expectations. Full-year 2026 guidance implies roughly 6 to 8 percent revenue growth and mid-to-high single-digit non-GAAP EPS growth.
How do you decide if MMSI is a buy?
Rather than asking whether MMSI is a buy in the abstract, it tends to help to answer four questions:
- Thesis: do you believe the case above, and is it still true today?
- Time horizon: a single stock can be volatile, so a longer horizon absorbs more of the swings.
- Position sizing: a thesis can be right and the sizing still wrong; decide how much of your portfolio one name should be.
- Overlap: check whether you already hold MMSI indirectly through an index or sector ETF before adding more.
For the full picture, see the MMSI stock guide (what the company does, the ETFs that hold it, similar stocks, and the themes it fits). In Walnut you can ask its AI about MMSI against your real portfolio and see your actual exposure before deciding.
The bottom line on MMSI
The bottom line: Merit Medical Systems's story right now is Organic growth in interventional devices, with revenue (ttm) at ~$1.54B. If you believe that narrative continues, the call is about sizing MMSI sensibly and checking overlap with what you own; if you doubt it (the risk: merit competes against far larger and better-capitalized device companies including Boston Scientific, Medtronic, Abbott, Teleflex, Becton Dickinson, and Terumo, which can pressure pricing and share.), it is not for you. Decide from the thesis, not the ticker. Walnut is not an investment adviser.
More on MMSI
- MMSI stock guide (what the company does, ETFs that hold it, similar stocks, and the themes it fits)
- MMSI stock forecast (the drivers and risks shaping the outlook)
- Does MMSI pay a dividend?
Build a basket around MMSI with Walnut
Use Merit Medical Systems as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
Is MMSI a good stock to buy right now?
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The case for Merit Medical Systems right now is Organic growth in interventional devices, with revenue (ttm) at ~$1.54B. If you believe that thesis holds, MMSI is a way to own it and the real questions are sizing and overlap, not timing; the main risk to that view is merit competes against far larger and better-capitalized device companies including Boston Scientific, Medtronic, Abbott, Teleflex, Becton Dickinson, and Terumo, which can pressure pricing and share. So it comes down to whether you believe the thesis. Walnut is not an investment adviser and this is not a recommendation.
What does Merit Medical Systems do?
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Merit Medical Systems designs, manufactures, and markets a broad catalog of single-use and capital medical devices used in minimally invasive procedures.
What are the main risks of MMSI?
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Merit competes against far larger and better-capitalized device companies including Boston Scientific, Medtronic, Abbott, Teleflex, Becton Dickinson, and Terumo, which can pressure pricing and share. Tariffs weighed on gross margin by roughly 120 basis points in early 2026, and input-cost and currency volatility remain ongoing headwinds. The growth model leans on continued acquisitions, so a slowdown in deal flow or a poorly integrated deal could stall the story. The stock also trades at a premium med-tech multiple, which leaves little room for execution missteps. Regulatory, reimbursement, and product-recall risks are inherent to the medical device industry.
What does Merit Medical Systems do?
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Merit develops, manufactures, and markets single-use and capital medical devices used in minimally invasive procedures across interventional cardiology, radiology, oncology, and endoscopy. Its products include catheters, guide wires, stents, inflation devices, and procedure kits.
What exchange is MMSI listed on?
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MMSI trades on the Nasdaq Stock Market. Merit Medical is headquartered in South Jordan, Utah, and is classified within the medical devices industry of the healthcare sector.
How does Merit Medical make money?
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Most of Merit's revenue comes from single-use, disposable devices consumed during procedures, which creates recurring demand. The company reports through two segments, Cardiovascular and Endoscopy, and sells globally through direct sales teams and distributors.
What were Merit Medical's recent results?
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In Q1 2026 Merit reported revenue of about $382 million, up 7 percent year over year, with non-GAAP EPS of $0.94 that beat expectations. Non-GAAP operating margin reached about 19.7 percent, its highest first-quarter level on record.
Walnut is informational and is not an investment adviser. This page is educational and not a recommendation to buy or sell MMSI; figures are approximate and dated, and your own situation, time horizon, and risk tolerance should drive any decision. Verify current data before investing.