Never miss an important update on your stock portfolio and cut through the noise. Over 7 million investors trust Simply Wall St to stay informed where it matters for FREE.
Terumo (TSE:4543) is back in focus after reporting full year results to March 31, 2026, with sales of ¥1,131,877 million and net income of ¥135,914 million, both higher than a year earlier.
See our latest analysis for Terumo.
The earnings release has been met with a sharp change in sentiment, with a 24.53% 7 day share price return and a 21.99% 90 day share price return contrasting with a 1 year total shareholder return that declined 9.96%. This suggests short term momentum is building after a weaker year.
If Terumo's move has you rethinking where growth could come from in healthcare, it may be worth scanning other specialists using our curated list of 8 healthcare AI stocks
With earnings growing and the share price rebounding, Terumo now trades at what some may see as a discount to analyst targets and intrinsic value estimates. Is this a fresh opportunity, or is the market already pricing in future growth?
Most Popular Narrative: 16.6% Undervalued
Terumo's most followed narrative places fair value at ¥2,871.54, above the last close of ¥2,393.5, which frames the recent rebound in a different light.
Broad-based deployment and ramp-up of high-margin consumables, such as Rika in Global Blood Solutions, are driving improved production efficiency and a more favorable revenue mix; this recurring consumable revenue base is likely to further enhance profitability and cash flow.
Want to see why this narrative supports a higher price tag? It focuses on revenue trends, margins and an earnings profile that assumes the market will pay more.
Result: Fair Value of ¥2,871.54 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, this depends on Terumo offsetting around ¥10b in tariff costs and avoiding profit pressure if higher prices or changes in China's procurement begin to have an impact.
Find out about the key risks to this Terumo narrative.
Next Steps
With sentiment turning more positive, it helps to see the full picture yourself and move quickly if the story makes sense for you. To understand what investors are optimistic about, take a closer look at the 4 key rewards
Looking for more investment ideas?
If Terumo has sharpened your focus, do not stop here. A few minutes with the right stock filters could surface opportunities you will not want to miss.
-
Spot potential mispricings by scanning companies our models flag as quality opportunities using the 17 high quality undervalued stocks .
-
Prioritise resilience by filtering for companies that appear to have strong finances and low overall risk through the 57 resilient stocks with low risk scores .
-
Hunt for under-the-radar potential by checking the screener containing 58 high quality undiscovered gems before other investors catch on.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include 4543.T .
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
