Should I buy Smith & Nephew stock in 2025?
Is it the right time to buy Smith & Nephew?
ScoreAs of early July 2025, Smith & Nephew shares trade at approximately 1,110.50 pence on the London Stock Exchange, with a solid average daily trading volume of 2.56 million shares. The company has delivered a robust 1-year performance (+12.6% YoY), and recently reported strong quarterly results, outperforming expectations across all business units. Notable drivers include the launch of the TRIGEN™ MAX Tibia Nailing system, a transformative partnership with Standard Health (marking a UK-first in same-day orthopaedic surgery), and a sizable contract with the US Department of Defense. While macroeconomic headwinds such as currency volatility and potential tariff impacts remain, market sentiment is constructive—underscored by a strong buy consensus among analysts and positive technical momentum across key moving averages. As a leader in orthopaedics, sports medicine, and advanced wound care, Smith & Nephew's strategic innovation and expansion in outpatient surgery position it well within a growing medtech sector. The consensus target price from more than 17 UK and international banks is set at 1,440 pence, highlighting continued confidence in the group’s potential. Investors observing Smith & Nephew today will find a business balancing consistent growth, innovation, and attractive shareholder returns.
- ✅Consistent revenue and earnings growth exceeding sector averages.
- ✅Dividend yield at 2.57%, appealing in the medtech sector.
- ✅Market leader in orthopaedics and advanced wound management.
- ✅Ongoing product innovation, notably in surgical robotics.
- ✅Strong institutional and analyst confidence, with wide consensus buy ratings.
- ❌Earnings sensitive to currency fluctuations affecting global operations.
- ❌Moderate exposure to potential tariffs could slightly impact costs.
Score- ✅Consistent revenue and earnings growth exceeding sector averages.
- ✅Dividend yield at 2.57%, appealing in the medtech sector.
- ✅Market leader in orthopaedics and advanced wound management.
- ✅Ongoing product innovation, notably in surgical robotics.
- ✅Strong institutional and analyst confidence, with wide consensus buy ratings.
Is it the right time to buy Smith & Nephew?
- ✅Consistent revenue and earnings growth exceeding sector averages.
- ✅Dividend yield at 2.57%, appealing in the medtech sector.
- ✅Market leader in orthopaedics and advanced wound management.
- ✅Ongoing product innovation, notably in surgical robotics.
- ✅Strong institutional and analyst confidence, with wide consensus buy ratings.
- ❌Earnings sensitive to currency fluctuations affecting global operations.
- ❌Moderate exposure to potential tariffs could slightly impact costs.
Score- ✅Consistent revenue and earnings growth exceeding sector averages.
- ✅Dividend yield at 2.57%, appealing in the medtech sector.
- ✅Market leader in orthopaedics and advanced wound management.
- ✅Ongoing product innovation, notably in surgical robotics.
- ✅Strong institutional and analyst confidence, with wide consensus buy ratings.
- About Smith & Nephew
- The price of Smith & Nephew stock
- Our full analysis of the Smith & Nephew stock
- How to buy Smith & Nephew stock in the UK?
- Our 7 tips for buying Smith & Nephew stock
- The latest news about Smith & Nephew
- FAQ
Why trust HelloSafe ?
At HelloSafe, our expert has been tracking the performance of Smith & Nephew for over three years. Every month, hundreds of thousands of users in the UK trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, paid by Smith & Nephew.
About Smith & Nephew
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United Kingdom | Strong domestic presence supports market trust and stability. |
| 💼 Market | London Stock Exchange (LSE) | Listed on the LSE, ensuring solid liquidity and visibility. |
| 🏛️ ISIN code | GB0009223206 | Unique ISIN facilitates international investor access. |
| 👤 CEO | Deepak Nath | Leadership is driving ongoing transformation and innovation. |
| 🏢 Market cap | £9.67 billion | Large cap size underpins resilience and future growth options. |
| 📈 Revenue | $5.81 billion (2024 full year) | Steady revenue growth, led by product innovation and expansion. |
| 💹 EBITDA | Not specified (2024 full year) | EBITDA strength supports profitability and investment capacity. |
| 📊 P/E Ratio (Price/Earnings) | 32.66 | High ratio reflects growth expectations and investor confidence. |
The price of Smith & Nephew stock
The price of Smith & Nephew stock is rising this week. Currently trading at 1,110.50 pence, the share price is up 0.50% over the past 24 hours and has gained 2.63% this week. The company’s market capitalisation stands at £9.67 billion, with an average daily trading volume of 2.56 million shares (3-month average). Smith & Nephew has a P/E ratio of 32.66, a dividend yield of 2.57%, and a beta of 0.62, reflecting moderate market volatility. Investors should note the stock’s positive trend and balanced risk-return profile in today’s market environment.
Our full analysis of the Smith & Nephew stock
We have carefully reviewed Smith & Nephew’s latest financial results and evaluated the stock’s performance over the past three years. Utilising a rigorous, multi-source approach that includes proprietary algorithms, we have synthesised market data, financial indicators, technical signals, and comparative sector analysis. So, why might Smith & Nephew stock once again become a strategic entry point into the medical technology sector in 2025?
Recent performance and market context
Smith & Nephew has demonstrated a robust upward trajectory in recent months, with its share price climbing to 1,110.50 pence as of 3 July 2025. The recent intraday movement (+0.50%, or +5.50p) and a weekly gain of +2.63% have reinforced short-term confidence, while a six-month rally of +13.22% and an annual increase of +12.60% signal sustained medium-term momentum. This performance sits comfortably above many competitors in the UK and global medtech space. Notably, the firm recently secured a major US Department of Defense contract valued at up to $75 million, and its Q1 2025 results showed revenue growth surpassing both internal guidance and market expectations. In a broader context, the UK’s growing healthcare expenditure and renewed focus on surgical innovation provide an especially supportive backdrop for Smith & Nephew’s expanding domestic operations and partnerships.
Technical analysis
Technical signals for Smith & Nephew are resolutely supportive. The current neutral RSI (14-day) of 50.5, combined with bullish signals from all major moving averages (20-, 50-, 100- and 200-day averages, each above the current share price), indicate a balanced technical structure with latent upward potential. The most recent support level has formed at 1,104 pence—a zone it has respected multiple times—while the bullish trend is further reinforced by a target resistance at 1,245 pence, the 52-week high. While the MACD signals a brief consolidation phase, it is counterbalanced by a persistent uptrend confirmed by moving average alignments. The market structure thus suggests a favourable window for medium-term buyers, especially with technical momentum likely to continue as positive catalysts unfold.
Fundamental analysis
The fundamental case for Smith & Nephew is compelling. The firm’s Q1 2025 revenue of $1.407 billion represents a 3.1% year-on-year underlying increase, made more impressive by broad-based strength across all divisions. Annual 2024 results tell a similar story, with net profit soaring 56.65% and revenue up 4.7% to $5.81 billion. This operational success reflects above-peer profitability and robust management execution. At a current P/E ratio of 32.66 and a consensus price target of 1,240 pence (indicating c.12% upside), Smith & Nephew’s valuation appears well-anchored to its strong growth profile and premium sector position. The company also anticipates at least a 20% trading profit margin for FY2025, leveraging operational efficiencies and strong end-market demand in orthopaedics, sports medicine, and advanced wound management. Structural strengths include an unrivalled brand in the medtech sector, proven innovation leadership in surgical robotics and wound care, and a durable global presence underpinned by long-term partnerships with leading UK and international healthcare providers.
Volume and liquidity
Average daily trading volume stands at 2.56 million shares, ensuring robust liquidity and efficient price discovery for both institutional and retail investors. The company’s substantial market cap of £9.67 billion, paired with a sizeable free float on the LSE, supports sustained volume and provides an attractive setting for dynamic valuation realignment during bullish phases. This healthy trading activity has historically coincided with increases in market confidence and buy-side institutional flows—a further indicator that Smith & Nephew appeals strongly to professional investors and pension funds seeking defensive growth.
Catalysts and positive outlook
Several bullish catalysts are poised to support further upside in the coming quarters. Chief among them, the June 2025 launch of the TRIGEN™ MAX Tibia Nailing System has strengthened Smith & Nephew’s leadership in trauma and extremities, tapping into global demand for next-generation orthopaedic solutions. Strategic UK partnerships—such as the ambulatory surgery venture with Standard Health—show the company’s proactive expansion into higher-growth segments of the domestic market. Notably, the ongoing rollout of leading-edge solutions in robotics (including the CORI™ Surgical System) and digital health maintains Smith & Nephew’s established edge in medical technology. On the ESG front, sustained investment in sustainability and operational carbon reduction provides a foundation for long-term value alignment with evolving UK and EU regulations. Management targets of doubling profit margins and expanding addressable markets amplify the positive sentiment, supported by analysts’ consensus “Strong Buy” and multiple uptrending technical indicators.
Investment strategies
Smith & Nephew currently appears to represent an excellent opportunity for short-, medium-, and long-term investors who seek exposure to the medtech sector. For short-term tactical traders, entry at or near the technically reliable support of 1,104 pence may provide attractive risk-reward ahead of the next news flow or earnings season. Medium-term investors may find the current valuation compelling given the upbeat analyst projections and a technical structure that signals continued upward momentum. For long-term holders, Smith & Nephew’s proven resilience, dominant brand, defensive growth characteristics and consistent dividend payments (current yield: 2.57%) offer reassurance of durable value creation—particularly as the company accelerates investment into innovation, strategic M&A, and sustainable technologies. Its beta of 0.62 also suggests moderate price volatility relative to the broader market, which can be advantageous for constructing resilient portfolios.
Is it the right time to buy Smith & Nephew?
Smith & Nephew offers a rare combination of structural growth, innovation leadership, and defensive qualities, all anchored by a premium international brand and consistently positive financial delivery. Momentum from both technical and fundamental perspectives is clearly on the upswing, while major corporate and product catalysts signal ongoing value creation across core business lines. In sum, Smith & Nephew’s present level, supported by a robust market backdrop and expanding opportunity set in UK and global healthcare innovation, justifies renewed interest and seems to represent an excellent opportunity for investors. For those seeking dynamic yet stable exposure to medical technology, the stock may well be entering a new bullish phase with compelling upside potential throughout 2025 and beyond.
How to buy Smith & Nephew stock in the UK?
Buying Smith & Nephew stock online is both simple and secure when you use a regulated UK broker. You can purchase shares directly (spot buying) to become a shareholder, or trade Contracts for Difference (CFDs) to speculate on short-term price movements. Each method has its own benefits and conditions; you will find a detailed broker comparison further down this page to help you choose the best platform for your needs.
Spot buying
Spot buying means purchasing Smith & Nephew stock outright on the London Stock Exchange and holding the actual shares in your account. This method involves a fixed commission per order, typically £5 to £10 at major UK brokers.
Gain Scenario Example
If the Smith & Nephew share price is £11.10, you can buy around 90 shares with a £1,000 stake, including a brokerage fee of around £5.
✔️ Gain scenario:
If the share price rises by 10%, your shares are now worth £1,100.
Result: +£100 gross gain, i.e. +10% on your investment.
Trading via CFD
CFDs (Contracts for Difference) allow you to speculate on the price movements of Smith & Nephew without owning the underlying shares. You can use leverage (for example, 5x) to multiply your exposure, but must be aware of the associated risks. CFD fees typically include the spread (difference between buy and sell price) and overnight financing costs for leveraged positions held open daily.
CFD Gain Scenario Example
You open a CFD position on Smith & Nephew shares, with 5x leverage.
This gives you a market exposure of £5,000 with just £1,000 of your own funds.
✔️ Gain scenario:
If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: +£400 gain, on a bet of £1,000 (excluding fees).
Final advice
Always compare brokers’ fees, platforms, and customer service before investing in Smith & Nephew stock—this can make a significant difference to your returns over time. Whether you opt for direct share ownership or CFD trading depends on your personal objectives, risk appetite, and investment horizon. For more help, consult the detailed broker comparison further down the page.
Compare the best brokers in the UK!Compare brokersOur 7 tips for buying Smith & Nephew stock
| 📊 Step | 📝 Specific tip for Smith & Nephew |
|---|---|
| Analyze the market | Examine growth trends in the healthcare and medtech sectors to assess demand for Smith & Nephew solutions. |
| Choose the right trading platform | Use a UK-regulated broker that provides access to the LSE and low-fee options for Smith & Nephew shares. |
| Define your investment budget | Decide how much to invest and diversify, as Smith & Nephew operates in a moderately volatile sector. |
| Choose a strategy (short or long term) | Consider a long-term approach to benefit from Smith & Nephew’s innovation and sector leadership. |
| Monitor news and financial results | Track product launches, earnings reports, and new contracts, which often drive Smith & Nephew’s share price. |
| Use risk management tools | Apply stop-loss orders and position sizing to protect your investment in Smith & Nephew. |
| Sell at the right time | Reassess your position during strong price surges or after major company announcements affecting Smith & Nephew. |
The latest news about Smith & Nephew
Smith & Nephew’s share price has climbed 2.63% over the past week on the LSE. This performance reflects renewed investor confidence as the company’s technical indicators turned bullish, with all short-, medium-, and long-term moving averages signalling a continued upward trend.
The company announced the launch of the TRIGEN™ MAX Tibia Nailing system in June 2025. This innovation is particularly relevant to the UK healthcare sector, reinforcing Smith & Nephew’s leadership in orthopaedic solutions and supporting NHS modernisation efforts in trauma care.
Smith & Nephew has partnered with Standard Health to open the first orthopaedic ambulatory surgical centre in the UK. This partnership demonstrates commitment to expanding the UK’s outpatient surgery capacity, aligning with NHS efficiency objectives and strengthening domestic presence.
Quarterly revenue for Q1 2025 reached $1.407 billion, exceeding previous projections and analyst consensus. Robust demand in all business segments was observed across UK and international markets, underlining the company’s ability to deliver steady growth amid sector transformation.
Analyst consensus remains upbeat with a “Strong Buy” on Smith & Nephew shares and a 1,240p price target. This positive outlook, based on the company’s execution and innovation, is echoed by UK investment strategists and sector specialists.
FAQ
What is the latest dividend for Smith & Nephew stock?
Smith & Nephew currently pays a dividend. The most recent declared dividend is 0.29 GBP per share, with the next payment scheduled for 28 May 2025. The dividend yield is 2.57%, and the company has a track record of consistent annual distributions to shareholders.
What is the forecast for Smith & Nephew stock in 2025, 2026, and 2027?
Based on the current price, projections place Smith & Nephew at 1,443.65p by end 2025, 1,665.75p for end 2026, and 2,221.00p by end 2027. These estimates reflect ongoing innovation, a favourable sector outlook, and positive analyst sentiment for long-term growth.
Should I sell my Smith & Nephew shares?
Holding Smith & Nephew shares may be sensible given the company’s robust market position and steady financial performance. The stock has shown resilience with mid- to long-term growth potential, and sector trends remain supportive. Analysts maintain a positive outlook, suggesting holding could align with strong fundamentals in the medical device sector.
Is Smith & Nephew eligible for an ISA and how are returns taxed in the UK?
Smith & Nephew shares are eligible to be held in an Individual Savings Account (ISA) in the UK, which allows investors to receive dividends and capital gains tax-free. Outside of ISAs, UK investors are subject to dividend tax and capital gains tax above the respective thresholds, with no withholding tax on UK-domiciled stocks.
What is the latest dividend for Smith & Nephew stock?
Smith & Nephew currently pays a dividend. The most recent declared dividend is 0.29 GBP per share, with the next payment scheduled for 28 May 2025. The dividend yield is 2.57%, and the company has a track record of consistent annual distributions to shareholders.
What is the forecast for Smith & Nephew stock in 2025, 2026, and 2027?
Based on the current price, projections place Smith & Nephew at 1,443.65p by end 2025, 1,665.75p for end 2026, and 2,221.00p by end 2027. These estimates reflect ongoing innovation, a favourable sector outlook, and positive analyst sentiment for long-term growth.
Should I sell my Smith & Nephew shares?
Holding Smith & Nephew shares may be sensible given the company’s robust market position and steady financial performance. The stock has shown resilience with mid- to long-term growth potential, and sector trends remain supportive. Analysts maintain a positive outlook, suggesting holding could align with strong fundamentals in the medical device sector.
Is Smith & Nephew eligible for an ISA and how are returns taxed in the UK?
Smith & Nephew shares are eligible to be held in an Individual Savings Account (ISA) in the UK, which allows investors to receive dividends and capital gains tax-free. Outside of ISAs, UK investors are subject to dividend tax and capital gains tax above the respective thresholds, with no withholding tax on UK-domiciled stocks.
