Merit Medical Systems maintains growth outlook despite soft Q1 and CEO change.

Merit Medical Systems trades at a reasonable valuation of 17-18 times earnings with solid fundamentals and moderate leverage. Although Q1 organic growth was weak, the company maintained and slightly raised its full-year sales guidance, supported by recent acquisitions like View Point Medical and the WRAPSODY product. These growth drivers are expected to boost revenue and margins through 2026. Despite a CEO transition and softer organic growth, Merit’s business remains resilient with potential for stock re-rating as these growth initiatives take effect.