Becton Dickinson

Methodology

Becton Dickinson's medical technology spanning diagnostics, medication management, and surgical instruments provides stable healthcare demand with recurring consumable revenue. The company's large acquisitions (C.R. Bard, CareFusion) expanded scale but added integration complexity and debt. This fair value calculation works reasonably for BD's diversified medical device portfolio, though acquisition-related costs and debt service can temporarily obscure underlying business performance.

Methodology

BD's PEG ratio typically ranges from 1.5-2.5, reflecting moderate valuations for a diversified medical device company with steady mid-single-digit organic growth. The company's combination of installed base consumables and new product launches provides predictability, but high debt from acquisitions limits multiple expansion. Compare to other large-cap med-tech companies to assess whether BD's scale and procedural volume exposure justify current positioning.

Methodology

Becton Dickinson's dividend yield (around 1.0-1.5%) is modest as the company prioritizes debt reduction following major acquisitions. The med-tech giant balances capital allocation between dividends, debt paydown, and R&D investments. PEGY adds some context for BD investors, though for a leveraged medical device company, free cash flow generation and deleveraging progress matter more than dividend-adjusted earnings multiples in the near term.