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Baxter International Inc

Baxter International Inc

BAX
$26.49USD↑+0.57%+0.15 today

MARKET CAP

13.7B

P/E (TTM)

—

FWD P/E

—

DAY RANGE

$26 – $27

52W RANGE

$16
$30

AI Summary

Stalk
Buy NowMedium

BAX remains in a Stage 2 advance, pulling back into the rising 9-day and 20-day EMAs after a blow-off top. The medium-term bias stays bullish as price holds above the 50-day and 200-day moving averages, and the short-term trend remains up with no exhaustion at the EMAs. Despite elevated transition risk from the blow-off top pattern, the pullback offers a favorable entry. A decisive break and sustained close below the 20-day EMA and 50-day MA would invalidate this bullish stance.

  • ↑Q2 2026 sales reached $3 B, +5% YoY both reported and organic.
  • ↑Free cash flow of $181 M helps reduce leverage toward ~3x by 2026.
  • ↓Novum pump shipment hold limits revenue until regulatory clearance.
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Baxter International Inc. (NYSE: BAX) is a leading player in the healthcare sector, focusing on innovative medical products that span infusion systems, pharmaceuticals, and surgical care solutions. The company is strategically positioned to capitalize on the growth of healthcare technologies, notably through advanced drug delivery systems, as well as treatments for critical and chronic conditions. Amidst evolving regulatory landscapes and market dynamics, Baxter is committed to enhancing patient care and operational efficiencies.

Bull says

  • ↑Q2 2026 sales reached $3 B, +5% YoY both reported and organic.
  • ↑Free cash flow of $181 M helps reduce leverage toward ~3x by 2026.
  • ↑Raised full-year 2026 sales growth guidance to 3–4% on portfolio strength.
  • ↑New Dynamo stretcher and Connected Care launches expand innovation pipeline.
  • ↑Dividend yield of 1.62% enhances returns amid deleveraging efforts.
  • ↑High earnings yield and strong momentum factors suggest undervaluation.

Bear says

  • ↓Novum pump shipment hold limits revenue until regulatory clearance.
  • ↓Negative profitability and growth factors reflect cost and mix pressures.
  • ↓Interim CFO resignation creates leadership uncertainty mid-turnaround.
  • ↓Gross margin at 38.6% under pressure from tariffs and inflation.
  • ↓Short interest is elevated, signaling investor skepticism on recovery.
  • ↓Inflation and ~$40 M tariffs weigh on cost structure and margins.

Investment themes with BAX

High Dividend Yield↑ +0.32%

Companies paying above-average dividends

AVGO · JPM · XOM
Medical Devices↑ +0.12%

Devices and instruments for medical treatment

ISRG · ABT · SYK

Earnings Call · Q2 2025 · Mgmt. Guidance

Updated 08-22-2026neutral

Transcript signals

Bull points

  • We feel very good about Andrew coming in based on his experience and his background, and I'm sure you've looked at his record with ATS value creation and what he brought to that company.
  • The fundamentals of our business remain strong and we are committed to accelerating sales growth and advancing innovation to drive incremental value.
  • we're very bullish on the Novum platform.

Bear points

  • really and truly the primary drivers of that impact on the low end really is from volume. I think the, you know, I already kind of commented on the tariff piece being a positive, but that low end of the OI range really does assume that our fluid conservation does not come back and that obviously the impact from not shipping Novum. Those really are the main drivers of that.
  • adjusted earnings from continuing operations were 59 cents per share for the quarter and increased 28% versus the prior year.
  • we have incurred negative free cash flows of $144 million, although during the second quarter we generated $77 million of positive free cash flows.
Read full transcript analysis ›