Masimo Corporation reports first-quarter earnings Monday as shareholders await the close of Danaher Corporation’s $9.9 billion acquisition, a deal that will mark the medical-device maker’s final results as an independent public company.
Analysts expect Masimo to post earnings of $1.43 per share on revenue of $398.65 million. This represents year-over-year growth of 5.2% and 7.2%, respectively. The expected profit would mark a sharp reversal from the prior quarter’s loss of $0.18 per share.
The company agreed in February to be acquired by Danaher for $180 per share in cash. Shareholders approved the transaction on May 1. The deal is expected to close in 2026 pending regulatory clearances.
Masimo shares closed Friday at $178.64. All eight analysts rate it a Hold with a consensus price target of $180.00.
Analyst sentiment has cooled. EPS estimates have declined 5.7% over the past 60 days. Revenue estimates have edged down 1.5%.
Jefferies analyst Matthew Taylor raised his price target to $180 from $168 in April.
What Investors Are Watching
The market's focus has shifted to deal execution. Key questions include whether the company can navigate the final quarters without operational disruption, merger-related costs, and regulatory approval timeline.
Danaher plans to operate Masimo as a standalone unit within its Diagnostics segment. Masimo is expected to generate more than $530 million in EBITDA in 2027.
For long-term investors, Monday's report represents a final data point before Masimo exits public markets. For arbitrageurs, it's a test of whether anything might derail the deal.
