Skip to Content

Baxter International Inc BAX

Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Baxter Delivers Strong Q3 With Higher-Than-Expected Margins; No FVE Change

Julie Utterback, CFA Senior Equity Analyst

Analyst Note

| Julie Utterback, CFA |

Baxter reported strong third-quarter results, including higher margins than we were expecting. Even after mildly increasingly our near-term profit assumptions, though, our $86 fair value estimate has not changed materially. We continue to view Baxter's moat as narrow and built on its essential dialysis and injectable therapies, which have both intangible assets and switching costs as moat sources.

Read Full Analysis

Company Profile

Business Description

Baxter manufactures medical products across seven major reported business segments. The renal segment (32% of 2020 sales) includes peritoneal dialysis and hemodialysis products for chronically ill patients while the acute therapies segment (6%) offers kidney or other organ support tools in intensive care situations. The medication delivery segment (23% of sales) sells IV pumps, administrative sets, and solutions while the nutrition segment (8% of sales) offers parenteral nutrition therapies. The pharmaceuticals segment (18% of sales) offers injectable drugs, anesthetic gases, and compounding services. The advanced surgery segment (8% of sales) provides hemostatic products and biosurgical sealants. Contract manufacturing rounds out the remaining sales.

Contact
One Baxter Parkway
Deerfield, IL, 60015
T +1 224 948-2000
Sector Healthcare
Industry Medical Instruments & Supplies
Most Recent Earnings Sep 30, 2021
Fiscal Year End Dec 31, 2021
Stock Type Classic Growth
Employees 50,000

Related