Becton, Dickinson undervalued with 7-8% growth, strong fundamentals, and buybacks; rated BUY under $160.

Becton, Dickinson and Company (BDX) is currently seen as undervalued, trading at a price-to-earnings ratio of 12–13 despite expected annual growth of 7%–8% and improving business fundamentals. The company faces sector-wide challenges like cautious hospital spending, higher interest rates, and capital shifts toward AI, but its core operations remain strong. BDX holds a solid BBB credit rating, maintains conservative leverage, pays a 2.78% dividend with over 44 years of increases, and is actively executing $2 billion in share buybacks while retiring $2.1 billion in debt. The analyst assigns a BUY rating with a target price under $160 per share, expecting a 19.8% annualized return through 2028 based on solid capital allocation and earnings growth.