Are Wall Street Analysts Bullish on Baxter International Stock?

Baxter International Inc. (BAX) is a prominent global healthcare and medtech company with a market capitalization of $11.3 billion. Headquartered in Deerfield, Illinois, Baxter specializes in medical products and pharmaceuticals, focusing on intravenous (IV) therapy, surgical care, anesthesia, drug compounding, and connected healthcare systems.

Despite its strong presence in the healthcare sector, Baxter’s stock performance has been lackluster in comparison to the broader market. Over the past 52 weeks, BAX has fallen by 39%, while the S&P 500 Index has gained 14.5%. Additionally, the company’s stock has dipped by 24.7% year-to-date, trailing behind the S&P 500’s 6.1% increase. Baxter International has also struggled to keep up with the Health Care Select Sector SPDR Fund’s 13.3% drop over the past year and 4.7% decline in 2025.

In its second-quarter earnings report released on Jul. 31, Baxter posted revenue of $2.81 billion, a 4% year-over-year increase, and adjusted earnings per share (EPS) of $0.59, a 28% rise. However, the company lowered its full-year guidance, citing operational challenges and cautious hospital spending, leading to a 22.4% dip in its stock price.

Analysts expect Baxter’s EPS to grow by 31.8% year-over-year to $2.49 for the current fiscal year ending in December 2025. The company’s earnings surprise history has been mixed, beating consensus estimates in three of the last four quarters. Among the 15 analysts covering the stock, the consensus rating is a “Moderate Buy,” with four “Strong Buy” ratings, ten “Holds,” and one “Moderate Sell.”

On August 1, Wells Fargo & Company analyst Larry Biegelsen maintained an “Equal-Weight” rating on Baxter International but reduced the price target from $33 to $24, reflecting a more cautious outlook on the stock. The mean price target of $36.21 suggests a potential upside of 64.9% from the current market prices, while the Street-high price target of $42 indicates a robust potential upside of 91.3%.

In conclusion, while Baxter International Inc. faces challenges in the market, analysts remain cautiously optimistic about its future prospects. Investors should carefully consider all available information before making any investment decisions.