GMED's Q2 Earnings on Deck: Will Enabling Technologies Lead Results?

Globus Medical GMED is scheduled to report second-quarter 2026 results on Aug. 6, after market closes.

In the last reported quarter, the company's adjusted earnings per share (EPS) of $1.12 beat the Zacks Consensus Estimate by 21.74%. Globus Medical's earnings topped estimates in each of the trailing four quarters, the average surprise being 26.26%.

GMED's Q2 Estimates

The Zacks Consensus Estimate for the company's second-quarter 2026 revenues is pegged at $786.9 million, suggesting 5.6% growth from the year-ago reported figure.

The Zacks Consensus Estimate for second-quarter 2026 net earnings of $1.12 per share indicates a 30.3% increase from the year-ago reported figure. The estimate has remained unchanged in the past 60 days.

Here's a quick look at how the company is positioned leading up to this announcement.

Factors Shaping GMED's Q2 Performance

Within Musculoskeletal Solutions, Globus Medical is expected to have benefited from the continued strength of its U.S. Spine business. Categories such as standard fixation and MIS pedicle screws, expandable TLIF (Transforaminal Lumbar Interbody Fusion), ALIF (Anterior Lumbar Interbody Fusion), posterior cervical and cervical plating may have been key contributors to the performance.  Meanwhile, power tools and products like DuraPro are likely to have helped the company continue capturing market share while creating incremental cross-selling opportunities.

GMED likely continued to prioritize competitive recruiting within its Spine business during the second quarter, with efficient onboarding of sales representatives with required sets and inventories continuing to remain a key differentiator. Such efforts may have favorably supported the company's top-line performance in the second quarter of 2026.

Globus Medical, Inc. Price and EPS SurpriseGlobus Medical, Inc. Price and EPS Surprise

Globus Medical, Inc. price-eps-surprise | Globus Medical, Inc. Quote

Further, strong performance across the EMEA and Latin America regions likely supported International Spine business results. Its direct and distributor businesses in overseas markets are expected to have witnessed broad-based growth.

The Trauma business is also expected to have made a very strong contribution in the second quarter. The ANTHEM Elbow plating system may have again emerged as a standout product, with demand exceeding expectations and prompting the company to deploy additional sets to support adoption. Growth in the Precice Limb Lengthening portfolio may have been driven by the company's ability to fully meet market demand following the transition of manufacturing from the former NuVasive facilities to Globus Medical in early 2025.

Story Continues

We also expect favorable revenue contribution from the Nevro acquisition. Since acquiring Nevro, Globus Medical has been focused on rightsizing the business to drive profitable sales growth while reducing excess spending to quickly adopt the Globus approach. Management highlighted meaningful profitability improvements in 2025 following a series of organizational and operational changes. The impact of those cost control measures was also evident in the first quarter of 2026 and hence likely continued to support second-quarter performance.

Our model projects Musculoskeletal Solutions revenues to improve 6.1% year over year in the second quarter of 2026.

Enabling Technologies is also expected to have delivered a solid performance in the second quarter of 2026. Amid increasing competition in the rapidly evolving robotics space, adoption of Globus Medical's ExcelsiusGPS platform continues to be supported for its standard for ease and floor-mounted navigation-based robotic approach.

Management highlighted that the deal pipeline remains strong, although the mix is moving toward leases and rentals rather than outright sales. While this shift reduces upfront revenue recognition compared with the historical sales model, it aligns with the strategy of refocusing the company's capital approach to drive implant and other recurrent revenue product pull-through.

Going by our model, Enabling Technologies revenues are projected to grow 6.5% year over year.

Earnings Whispers for GMED

Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates, which is not the case here, as you can see below:

Earnings ESP: Globus Medical has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Zacks Rank: The company currently carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.

Key Picks

Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this time:

CVS Health CVS has an Earnings ESP of +1.42% and a Zacks Rank #2. The company is slated to release second-quarter 2026 results on Aug. 5.

CVS' earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.79%. The Zacks Consensus Estimate for the company's second-quarter EPS indicates an increase of 3.3% from the year-ago quarter's figure.

Cardinal Health CAH has an Earnings ESP of +1.24% and a Zacks Rank #2. The company is slated to release fourth-quarter fiscal 2026 results on Aug. 11.

CAH's earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.27%. The Zacks Consensus Estimate for the company's fourth-quarter EPS calls for a rise of 16.4% from the year-ago quarter's figure.

Cencora, Inc. COR has an Earnings ESP of +1.49% and a Zacks Rank #2. The company is slated to release third-quarter fiscal 2026 results on Aug. 5.

COR's earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 1.59%. The Zacks Consensus Estimate for the company's third-quarter EPS implies an increase of 9.3% from the year-ago quarter's figure.

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This article originally published on Zacks Investment Research (zacks.com).

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