Edwards Lifesciences Corp (NYSE:EW) stock rose 1.75% (As on February 11, 11:28:42 AM UTC-4, Source: Google Finance) after the company issued upbeat guidance that outweighed a slight earnings miss in its fourth quarter results. Edwards’ Transcatheter Aortic Valve Replacement (TAVR) business, its largest segment, saw sales grow 12% to $1.16 billion, while its Transcatheter Mitral and Tricuspid Therapies (TMTT) division posted impressive growth of more than 40% to $156 million. The company highlighted several growth catalysts for 2026, including long-term clinical trial results, the impact of the EARLY TAVR trial, new European guidelines for treating aortic stenosis, and approvals of the first transcatheter mitral replacement therapy. Edwards ended 2025 with approximately $3.0 billion in cash and cash equivalents and total debt of about $600 million.

Moreover, in the surgical product group, fourth quarter global sales of $254 million increased 2% over the prior year. The company continues to expect mid-single digit sales growth rate in surgical in 2026, driven by continued adoption of the RESILIA therapies that offer extended durability of the surgical therapies, including Inspiris, Connect, and Mitris. The company is looking forward to seeing 10-year data from the commenced trial at the AATS conference in May, studying long-term durability of the best-in-class RESILIA tissue.

EW in the fourth quarter of FY25 has reported the adjusted earnings per share of 58 cents, missing the analysts’ estimates for the adjusted earnings per share of 62 cents. The company had reported the adjusted revenue growth of 13.3 percent to $1.57 billion in the fourth quarter of FY25, beating the analysts’ estimates for revenue of $1.55 billion. Fourth quarter adjusted operating profit margin of 23.7%. Research and development expense was $268 million in the fourth quarter, or 17.1% of sales, compared to $271 million, or 19.6% of sales in the same period last year.

Investors responded positively to the company’s guidance for the first quarter of 2026, with projected earnings of $0.70-$0.76 per share, above the consensus of $0.69, and revenue forecast between $1.55-1.63 billion. For the full year 2026, the company expressed “increased confidence” in meeting its sales growth guidance of 8-10% and adjusted EPS of $2.90-$3.05. The TMTT segment is expected to grow 35-45% to $740-780 million. The company is focusing on expanding its product portfolio, including the launch of the next-generation PASCAL and entering the Left Atrial Appendage Closure market.