NYSE · Healthcare

Edwards Lifesciences Corporation

EW · Medical Devices

$83.33

▼ -0.65 (-0.77%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Edwards Lifesciences Corporation at $83.33.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 78.0%

Operating Margin 27.0%

Net Income Margin 17.7%

Fin. Health A

Years to Pay Off Debt 0.7 yrs

Working Capital vs Long-Term Debt $4.3B

Working Capital $4.9B

Valuation F

Margin of Safety 0.0%

Price-to-Book 4.65x

Cash Flow B

Free Cash Flow $1.3B

CapEx % of Net Income 24.2%

Owner Earnings $1.5B

3/7

Graham Score

Speculative

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $48.0B

Enterprise Value $45.3B

P/E (TTM) 45.04

Dividend Yield N/A

Exchange NYSE

Key Margins

Gross Profit 78.0%

Operating Margin 27.0%

Net Margin 17.7%

Company Info

Sector Healthcare

Industry Medical Devices

Employees 16000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Edwards Lifesciences Corporation at $83.33.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

At $83.33, the stock trades at a 207% premium to its Graham Number of $27.17. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Trading at 14.2x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

About Edwards Lifesciences Corporation

Edwards Lifesciences Corporation provides products and technologies to treat advanced cardiovascular diseases in the United States, Europe, Japan, and internationally. It offers transcatheter heart valve replacement products for minimally invasive replacement of aortic heart valves under the Edwards SAPIEN family of valves system; and transcatheter heart valve repair and replacement products to treat mitral and tricuspid valve diseases under the PASCAL and EVOQUE brands. The company also provides surgical structural heart solutions, such as aortic surgical valve under the INSPIRIS brand name; INSPIRIS RESILIA aortic valve, which offers RESILIA tissue and VFit technology; KONECT RESILIA, a pre-assembled tissue valve conduit for complex combined procedures; and MITRIS RESILIA valve. It distributes its products through a direct sales force and independent distributors. Edwards Lifesciences Corporation was founded in 1958 and is headquartered in Irvine, California.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	78.0% ▼	79.5%	80.5%	83.8%	N/A
Operating Margin %	27.0% ▼	27.2%	29.7%	34.5%	N/A
Net Income %	17.7% ▼	76.7%	28.0%	34.1%	N/A
Diluted EPS	1.83 ▼	6.97	2.30	2.44	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$13.7B	$13.1B	$9.4B	$8.3B	N/A
Total Debt	$705M ↑	$700M	$685M	$691M	N/A
Working Capital	$4.9B ▲	$4.8B	$2.8B	$2.1B	N/A
Years to Pay Debt	0.66	0.17	0.49	0.45	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$1.3B ▲	$260M	$630M	$953M	N/A
Owner Earnings	$1.5B	$4.6B	$1.8B	$1.9B	N/A
CapEx % of Net Income	24.2%	6.8%	19.0%	17.4%	N/A

Income Statement

	2025	2024	2023	2022	2021
Tax Effect Of Unusual Items	-87,738	-3,920	-18,648	-4,760
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	1,964,800	1,763,000	1,702,900	1,715,300
Total Unusual Items	-514,900	-39,900	-168,000	-37,000
Total Unusual Items Excluding Goodwill	-514,900	-39,900	-168,000	-37,000
Net Income From Continuing Operation Net Minority Interest	1,060,100	1,400,900	1,223,000	1,324,000
Reconciled Depreciation	156,600	155,200	144,900	139,600
Reconciled Cost Of Revenue	1,334,200	1,117,500	978,400	723,700
EBITDA	1,449,900	1,723,100	1,534,900	1,678,300
EBIT	1,293,300	1,567,900	1,390,000	1,538,700
Net Interest Income	148,400	100,500	49,600	16,300
Interest Expense	20,400	19,800	17,600	19,200
Interest Income	168,800	120,300	67,200	35,500
Normalized Income	1,487,262	1,436,880	1,372,352	1,356,240
Net Income From Continuing And Discontinued Operation	1,073,500	4,174,600	1,402,400	1,521,900
Total Expenses	4,431,400	3,959,400	3,523,800	2,924,900
Total Operating Income As Reported	1,264,200	1,378,700	1,308,900	1,498,400
Diluted Average Shares	585,800	599,300	609,400	624,200
Basic Average Shares	584,800	597,700	606,700	619,000
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	1,073,500	4,174,600	1,402,400	1,521,900
Net Income Common Stockholders	1,073,500	4,174,600	1,402,400	1,521,900
Net Income	1,073,500	4,174,600	1,402,400	1,521,900
Minority Interests	4,100	4,900	3,000	0
Net Income Including Noncontrolling Interests	1,069,400	4,169,700	1,399,400	1,521,900
Net Income Discontinuous Operations	13,400	2,773,700	179,400	197,900
Net Income Continuous Operations	1,056,000	1,396,000	1,220,000	1,324,000
Tax Provision	216,900	152,100	152,400	195,500
Pretax Income	1,272,900	1,548,100	1,372,400	1,519,500
Other Income Expense	-511,700	-32,500	-163,400	-35,900
Other Non Operating Income Expenses	3,200	7,400	4,600	1,100
Special Income Charges	-518,900	-101,400	-177,300	-36,900
Gain On Sale Of Business			-17,200	-60,700	0
Other Special Charges	325,400	40,400	203,500	12,000
Write Off	146,900	0	0
Impairment Of Capital Assets	40,000	0	0
Restructuring And Mergern Acquisition	6,600	61,000	-26,200	24,900
Gain On Sale Of Security	4,000	61,500	9,300	-100
Net Non Operating Interest Income Expense	148,400	100,500	49,600	16,300
Interest Expense Non Operating	20,400	19,800	17,600	19,200
Interest Income Non Operating	168,800	120,300	67,200	35,500
Operating Income	1,636,200	1,480,100	1,486,200	1,539,100
Operating Expense	3,097,200	2,841,900	2,545,400	2,201,200
Other Operating Expenses	-67,200	-300
Research And Development	1,079,200	1,053,000	962,900	843,600
Selling General And Administration	2,085,200	1,789,200	1,582,500	1,357,600
General And Administrative Expense			1,823,400	1,566,500	1,494,000
Other Gand A			1,824,600	1,567,600	1,493,700
Salaries And Wages			-1,200	-1,100	300
Gross Profit	4,733,400	4,322,000	4,031,600	3,740,300
Cost Of Revenue	1,334,200	1,117,500	978,400	723,700
Total Revenue	6,067,600	5,439,500	5,010,000	4,464,000
Operating Revenue	6,067,600	5,439,500	5,010,000	4,464,000

Balance Sheet

	2025	2024	2023	2022	2021
Treasury Shares Number	78,000	66,200	49,400	38,000
Ordinary Shares Number	580,700	588,600	601,100	608,300
Share Issued	658,700	654,800	650,500	646,300
Total Debt	705,400	700,000	685,100	691,300
Tangible Book Value	7,440,800	7,045,100	5,105,500	4,357,200
Invested Capital	10,935,900	10,596,100	7,247,000	6,403,000
Working Capital	4,925,200	4,780,200	2,840,300	2,073,400
Net Tangible Assets	7,440,800	7,045,100	5,105,500	4,357,200
Capital Lease Obligations	107,100	102,300	88,100	95,000
Total Capitalization	10,935,900	10,596,100	7,247,000	6,403,000
Total Equity Gross Minority Interest	10,337,600	10,062,900	6,719,400	5,806,700
Minority Interest	0	64,500	69,400	0
Stockholders Equity	10,337,600	9,998,400	6,650,000	5,806,700
Gains Losses Not Affecting Retained Earnings	-238,300	-244,500	-242,800	-254,900
Other Equity Adjustments	-238,300	-244,500	-242,800	-254,900
Treasury Stock	7,091,700	6,192,300	5,024,500	4,144,000
Retained Earnings	14,240,500	13,167,000	8,992,400	7,590,000
Additional Paid In Capital	2,768,400	2,613,400	2,274,400	1,969,300
Capital Stock	658,700	654,800	650,500	646,300
Common Stock	658,700	654,800	650,500	646,300
Total Liabilities Net Minority Interest	3,359,600	2,992,400	2,643,800	2,485,800
Total Non Current Liabilities Net Minority Interest	1,545,900	1,487,200	1,448,400	1,463,400
Other Non Current Liabilities	865,000	757,900	586,300	511,200
Liabilities Heldfor Sale Non Current		0	25,100
Non Current Accrued Expenses	0	52,700	94,200	143,000
Tradeand Other Payables Non Current		1,300	80,600	143,400	190,000
Long Term Debt And Capital Lease Obligation	680,900	676,600	662,200	665,800
Long Term Capital Lease Obligation	82,600	78,900	65,200	69,500
Long Term Debt	598,300	597,700	597,000	596,300
Current Liabilities	1,813,700	1,505,200	1,195,400	1,022,400
Other Current Liabilities	148,700	10,300	144,700	20,700
Current Deferred Liabilities	27,200	53,700	0
Current Deferred Revenue	27,200	53,700	0
Current Debt And Capital Lease Obligation	24,500	23,400	22,900	25,500
Current Capital Lease Obligation	24,500	23,400	22,900	25,500
Pensionand Other Post Retirement Benefit Plans Current	467,500	358,600	316,400	268,700
Current Provisions	50,000	73,800	69,100	15,600
Payables And Accrued Expenses	1,095,800	985,400	642,300	691,900
Current Accrued Expenses	590,900	413,300	349,200	393,800
Payables	504,900	572,100	293,100	298,100
Total Tax Payable	277,400	374,700	106,500	96,200
Accounts Payable	227,500	197,400	186,600	201,900
Total Assets	13,697,200	13,055,300	9,363,200	8,292,500
Total Non Current Assets	6,958,300	6,769,900	5,327,500	5,196,700
Other Non Current Assets	142,600	172,900	774,300	299,100
Non Current Prepaid Assets	93,300	101,600
Non Current Deferred Assets	1,138,100	992,100	749,400	484,000
Non Current Deferred Taxes Assets	1,138,100	992,100	749,400	484,000
Non Current Note Receivables	173,700	129,300
Non Current Accounts Receivable	314,800	293,900
Financial Assets	5,800	34,700
Investments And Advances	278,600	307,900	583,900	1,239,000
Investmentin Financial Assets	243,900
Available For Sale Securities	243,900
Long Term Equity Investment	34,700
Goodwill And Other Intangible Assets	2,896,800	2,953,300	1,544,500	1,449,500
Other Intangible Assets	1,128,200	1,176,600	399,400	285,200
Goodwill	1,768,600	1,776,700	1,145,100	1,164,300
Net PPE	1,914,600	1,784,200	1,675,400	1,725,100
Accumulated Depreciation	-849,800	-794,500	-698,600	-750,400
Gross PPE	2,764,400	2,578,700	2,374,000	2,475,500
Construction In Progress	301,200	244,000	292,500	255,200
Other Properties	102,700	98,200	84,400	129,700
Machinery Furniture Equipment	814,800	772,800	695,700	785,100
Buildings And Improvements	1,393,300	1,339,800	1,189,000	1,189,200
Land And Improvements	152,400	123,900	112,400	116,300
Current Assets	6,738,900	6,285,400	4,035,700	3,095,800
Other Current Assets	339,300	347,600	224,900	195,900
Assets Held For Sale Current	0	26,800	317,600
Prepaid Assets	135,000	121,000	128,800	110,000
Inventory	1,126,200	1,086,700	903,500	875,500
Finished Goods	676,700	609,400	511,400	541,700
Work In Process	252,900	236,200	195,800	177,400
Raw Materials	196,600	241,100	196,300	156,400
Receivables	912,100	727,400	828,100	699,100
Other Receivables	252,500	118,300	56,600	56,100
Accounts Receivable	659,600	609,100	771,500	643,000
Allowance For Doubtful Accounts Receivable	-15,000	-11,600	-8,200	-7,900
Gross Accounts Receivable	674,600	620,700	779,700	650,900
Cash Cash Equivalents And Short Term Investments	4,226,300	3,975,900	1,632,800	1,215,300
Other Short Term Investments	1,288,300	930,700	500,500	446,300
Cash And Cash Equivalents	2,938,000	3,045,200	1,132,300	769,000

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	1,335,000	259,900	629,500	953,400
Repurchase Of Capital Stock	-893,400	-1,159,400	-879,600	-1,727,100
Repayment Of Debt			-300	-200	-7,000
Issuance Of Debt			0	0	5,200
Capital Expenditure	-260,200	-282,400	-266,300	-264,800
Interest Paid Supplemental Data		19,600	19,900	19,300	20,200
Income Tax Paid Supplemental Data		1,196,100	470,100	504,100	182,500
End Cash Position	2,939,500	3,058,800	1,148,000	772,600
Beginning Cash Position	3,058,800	1,148,000	772,600	867,400
Effect Of Exchange Rate Changes	-44,800	38,600	16,800	19,200
Changes In Cash	-74,500	1,872,200	358,600	-114,000
Financing Cash Flow	-956,800	-983,000	-711,000	-1,584,500
Cash Flow From Continuing Financing Activities	-956,800	-983,000	-711,000	-1,584,500
Net Other Financing Charges	-237,500	-3,100	-1,300	-3,800
Proceeds From Stock Option Exercised	174,100	179,500	169,900	146,400
Net Common Stock Issuance	-893,400	-1,159,400	-879,600	-1,727,100
Common Stock Payments	-893,400	-1,159,400	-879,600	-1,727,100
Net Issuance Payments Of Debt			-300	-200	-1,800
Net Long Term Debt Issuance			-300	-200	-1,800
Long Term Debt Payments			-300	-200	-7,000
Long Term Debt Issuance			0	0	5,200
Investing Cash Flow	-712,900	2,312,900	173,800	252,300
Cash Flow From Continuing Investing Activities	-712,900	2,312,900	173,800	252,300
Net Other Investing Changes	-69,500	-75,600	-59,200	-63,100
Net Investment Purchase And Sale	-282,100	-134,400	610,300	580,200
Sale Of Investment	2,878,100	857,600	715,800	1,359,100
Purchase Of Investment	-3,160,200	-992,000	-105,500	-778,900
Net Business Purchase And Sale	-101,100	2,805,300	-111,000	0
Sale Of Business		3,927,400	0	0
Purchase Of Business	-101,100	-1,122,100	-111,000	0
Net Intangibles Purchase And Sale	0	-30,000	-13,300	-20,200
Purchase Of Intangibles	0	-30,000	-13,300	-20,200
Capital Expenditure Reported	-260,200	-252,400	-253,000	-244,600
Operating Cash Flow	1,595,200	542,300	895,800	1,218,200
Cash Flow From Continuing Operating Activities	1,595,200	542,300	895,800	1,218,200
Change In Working Capital	154,600	-259,300	-526,300	-421,400
Change In Other Working Capital	-176,300	-208,100	-17,400	-57,600
Change In Payables And Accrued Expense	318,600	52,700	113,000	-66,400
Change In Accrued Expense	-76,500	-36,800	-33,000	-45,000
Change In Payable	395,100	89,500	146,000	-21,400
Change In Account Payable	395,100	89,500	146,000	-21,400
Change In Prepaid Assets	-15,400	31,000	-191,700	100
Change In Inventory	50,700	-256,100	-289,000	-213,400
Change In Receivables	-23,000	121,200	-141,200	-84,100
Other Non Cash Items	-12,800	-3,362,200	10,500	-800
Stock Based Compensation	158,100	162,300	139,400	126,800
Asset Impairment Charge	186,900	0	0	55,100
Deferred Tax	-117,600	-323,400	-272,100	-254,500
Deferred Income Tax	-117,600	-323,400	-272,100	-254,500
Depreciation Amortization Depletion	156,600	155,200	144,900	139,600
Depreciation And Amortization	156,600	155,200	144,900	139,600
Amortization Cash Flow			6,100	5,700	7,700
Amortization Of Intangibles			6,100	5,700	7,700
Depreciation			138,900	133,900	127,000
Operating Gains Losses		-5,200	100	51,500	-36,800
Gain Loss On Investment Securities		-5,200	100	51,500	-36,800
Net Income From Continuing Operations	1,069,400	4,169,700	1,399,400	1,521,900

These metrics estimate what Edwards Lifesciences Corporation is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$27.17

Margin of Safety

Market Cap ÷ Company Value

1.06

P/B Ratio

4.65

Warren's Owner Earnings

$1.5B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

3/7 — Speculative Investor

✅ Adequate Size

$6.1B

vs > $1.5B revenue

✅ Strong Financial Condition

3.72x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

❌ Dividend Record

No dividend

vs Uninterrupted dividends

❌ Earnings Growth

-25.0% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

45.0x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

4.65x P/B (P/E×P/B: 209.3)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$5.86

Trading at 14.2x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$31.53

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	24.2%	6.8%	19.0%	17.4%	N/A
Repurchase of Capital Stock	-$893M	-$1.2B	-$880M	-$1.7B	N/A
Free Cash Flow	$1.3B ▲	$260M ▼	$630M ▼	$953M •	N/A •
Warren's Owner Earnings	$1.5B	$4.6B	$1.8B	$1.9B	N/A

Peers & Industry Comparison

Medical Devices — Auto-detected peers

Company	Price	Market Cap	P/E	Gross Margin	Net Margin	Revenue
EW	$83.33	$48.0B	45.04	78.0%	17.7%	$6.1B
MDT Medtronic plc.	$78.30	$100.5B	21.9	65.2%	13.0%	$35.5B
ABT Abbott Laboratories	$87.54	$152.5B	24.5	56.5%	13.9%	$45.1B
SYK Stryker Corporation	$290.88	$111.4B	34.6	64.7%	13.2%	$25.3B
BSX Boston Scientific Corporation	$56.85	$84.5B	23.8	68.9%	17.3%	$20.6B

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.17%

Low — management has little skin in the game

Return on Equity (ROE)

10.4%

Adequate — returns are moderate

Return on Assets (ROA)

7.8%

Strong — management uses assets efficiently

Share Buybacks (Latest Year)

$893M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

+0.8% YoY

Debt is roughly stable

Leadership Team

Bernard Zovighian

CEO & Director

Age 57

Pay: $3,788,122

0.353% of net income

Scott Ullem

Corporate VP & CFO

Age 58

Pay: $1,845,590

0.172% of net income

Donald Bobo Jr.

Corporate Vice President of Strategy & Corporate Development

Age 63

Pay: $1,595,262

0.149% of net income

Daveen Chopra

Corporate Vice President of Transcatheter Mitral & Tricuspid Therapies

Age 46

Pay: $1,555,892

0.145% of net income

Annette Maria Bruls

Corporate Vice President of EMEA, Canada, & Latin America

Age 54

Pay: $1,627,873

0.152% of net income

Top Institutional Holders

Institution	% Owned	Shares
Vanguard Group Inc	12.16%	70,079,435
Blackrock Inc.	9.10%	52,461,915
JPMORGAN CHASE & CO	4.51%	26,024,852
State Street Corporation	4.51%	25,991,524
Wellington Management Group, LLP	3.78%	21,793,949
Bank Of New York Mellon Corporation	3.03%	17,492,589
FMR, LLC	2.88%	16,582,547
Jennison Associates LLC	2.39%	13,780,515

Risk Analysis

Beta (Market Risk)

0.87

Low volatility — more stable than the market

Short Interest

1.8% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.07x

Conservative balance sheet — low financial risk

52-Week Price Range

Low: $72.30 Current: $83.33 High: $87.89

Currently at 71% of 52-week range

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