Edwards Lifesciences' Acquisition Blocked, EPS Guidance Raised
Edwards Lifesciences Corp's stock fell 3.02% and hit a 20-day low amid broader market declines, with the Nasdaq-100 down 1.54% and the S&P 500 down 0.80%.
The U.S. District Court blocked Edwards Lifesciences' acquisition of JenaValve, which the company believed would benefit underserved patients. Despite this setback, Edwards raised its 2026 adjusted EPS guidance to a range of $2.90 to $3.05, exceeding analyst expectations, reflecting confidence in its future performance and ongoing commitment to innovation in heart disease treatments.
The acquisition blockage presents challenges for Edwards' market expansion strategy, but the company remains focused on advancing its SOJOURN transcatheter AR valve and enrolling patients in the JOURNEY pivotal trial, indicating a strong commitment to improving patient care.
Trade with 70% Backtested Accuracy
Analyst Views on EW
About EW
About the author

- DuPont Earnings Expectations: DuPont is expected to report earnings of $0.43 per share and revenue of $1.69 billion for Q4 2025, with analysts noting ongoing pressure in short-cycle businesses, while slight improvements in the automotive sector may influence investor sentiment.
- Cisco's AI Focus: Cisco anticipates earnings of $1.02 per share and revenue of $15.1 billion for Q2 FY2026, with CEO highlighting a major multi-year campus networking refresh, making AI infrastructure demand a critical growth driver.
- Importance of Employment Report: The January employment report is expected to show an addition of 80,000 nonfarm payrolls and an unchanged unemployment rate of 4.4%, directly impacting private consumption and U.S. GDP, making it crucial for investors to monitor.
- Consumer Price Index Insights: The January CPI is projected to increase by 2.5% year-over-year, with core CPI rising by 2.6%, providing essential inflation details despite not being the Fed's preferred measure, particularly regarding persistent shelter cost inflation.

- Market Performance: The Dow Jones Industrial Average rose by 2.5% and closed above 50,000 for the first time.
- Nasdaq Struggles: In contrast, the Nasdaq Composite ended the week down 1.8%, despite a strong rally on Friday.
- Job Data Expectations: The U.S. is expected to add 60,000 jobs in January, up from 50,000 in December, which could influence the Fed's monetary policy direction amidst ongoing economic uncertainty.
- Inflation Metrics Analysis: The January Consumer Price Index is projected to rise by 0.29% month-over-month and 2.5% year-over-year, showing improvement but still falling short of the Fed's 2% target, potentially affecting investor rate expectations.
- Market Reaction and Risks: Recent signs of labor market weakness, including an ADP report indicating only 22,000 new private sector jobs, may heighten expectations for further Fed rate cuts, although investors remain optimistic about economic resilience.
- Stock Market Rotation Trend: A significant rotation within the stock market is underway, with the Dow Jones Industrial Average rising over 2% this week, reflecting confidence in economic recovery, despite ongoing weakness in tech stocks.
- Strong Institutional Order Flow: Edwards Lifesciences has recently experienced substantial institutional order flow, indicating confidence in a Q1 2026 fundamental breakout, particularly through the purchase of 2,600 March 20, 2026, $92.50 calls while simultaneously selling 2,600 $82.50 puts, effectively creating a near-zero-cost upside position.
- Risk Reversal Trading Strategy: This trade exploits the pronounced options volatility skew, allowing institutional traders to fund call purchases by selling overpriced puts, with the $82.50 strike positioned just below the 200-day moving average, reflecting confidence that algorithmic buying and institutional support will absorb any near-term downside risk.
- Key Catalyst Timing: The timing of this trade aligns with three key catalysts: the J.P. Morgan Healthcare Conference in January 2026, Q4 earnings and 2026 guidance in early February, and anticipated FDA approval of the SAPIEN M3 Transcatheter Mitral Valve Replacement system in Q1 2026, which could rapidly drive stock price increases.
- Robust Business Growth: Edwards' Transcatheter Mitral and Tricuspid Therapies unit is growing at a remarkable 57% year-over-year, and the ongoing $500 million accelerated share repurchase creates a structural valuation floor, with overall institutional positioning offering high-probability downside protection and substantial upside potential, targeting $100 in Q1 2026.
- Conference Participation: Edwards Lifesciences Corporation announced its participation in the 46th Annual TD Cowen Health Care Conference on March 2, 2026, where CFO Scott Ullem is scheduled to present at 9:50 a.m. ET, highlighting the company's latest advancements in structural heart innovation.
- Live Webcast Details: The presentation will be available via live webcast on Edwards Lifesciences' investor relations website at http://ir.edwards.com/, with an archived version accessible later the same day, ensuring broad dissemination of key information to investors and the public.
- Company Background: Edwards Lifesciences is a leading global structural heart innovation company focused on improving patient lives through breakthrough technologies and partnerships with clinicians and healthcare stakeholders, reflecting its patient-centered corporate culture.
- Brand Communication Channels: The company encourages the public to learn more through its website www.edwards.com and social media platforms such as LinkedIn, Facebook, Instagram, and YouTube, further enhancing brand visibility and market awareness.
- Price Range Analysis: IHI's stock has a 52-week low of $52.9047 and a high of $65.18, with the latest trade at $59.62, indicating significant price fluctuations that reflect market interest and investor sentiment.
- Technical Analysis Tool: Comparing the latest stock price to the 200-day moving average provides investors with valuable insights for technical analysis, helping them assess price trends and potential buy or sell opportunities to optimize investment decisions.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, reflecting dynamic market liquidity and investor behavior.
- Inflows and Outflows Monitoring: Weekly monitoring of ETFs for notable inflows (new units created) or outflows (old units destroyed) can impact the underlying stocks held within ETFs, influencing overall market performance and investor strategies.










