Coloplast stock closed at DKK441.8 on Wednesday, only modestly higher over the past week and month, even after investors digested a quarter that quietly reset the earnings narrative. The headline is a sharp profit rebound. Q3 basic earnings per share landed at 6.49 DKK with net income of DKK1,462m and total revenue of DKK7,355m.
The market still carries the scar of the recent one off loss that dragged the trailing net margin down to 7.5%. Today’s calm price action suggests investors are treating that hit as old news, while the latest margin and cash generation story is only starting to filter through.
Is Coloplast now a rare bargain after a sharp profit rebound, or does a 46.6x trailing P/E still price in too much optimism? Compare the market price against the analyst model in the valuation analysis for Coloplast
Q3 2026 Earnings Summary
- Revenue (Q3 2026 vs. Q3 2025) DKK7,355m vs. DKK6,958m (up roughly 6%)
- Net Income (Excl. Extra Items, Q3 2026 vs. Q3 2025) DKK1,462m vs. DKK805m (up around 82%)
- Basic EPS (Q3 2026 vs. Q3 2025) DKK6.49 vs. DKK3.57 (up around 82%)
- Trailing 12 Month Net Profit Margin (Q3 2026 vs. Q3 2025) 7.5% vs. 16.3% (margin roughly halved, reflecting a large one off DKK3.5b loss in the period)
Tired of scrolling through dense earnings tables and raw figures to understand Coloplast? See a clear visual view of the stock's valuation and how the business now earns its profits through our company report for Coloplast.
Coloplast bull case leans on Chronic Care delivery
Bulls argue Coloplast can compound value through resilient Chronic Care growth, a bigger U.S. footprint and better cash conversion. Q3 and 9 month numbers show that story starting to land in the operations, not just in presentations. Chronic Care, which is more than 75% of revenue, delivered 6% group organic growth with Ostomy and Continence both running at mid to high single digits and supported by products like SenSura Mio and Luja. That is the type of volume and mix bulls want to see.
The U.S. is already pulling more weight, with double digit Ostomy growth and strong Continence and Men’s Health contributions, supported by the Titan implant. At the same time free cash flow of DKK4.1b and roughly 91% cash conversion show the efficiency side of the thesis tracking the script. Pressure in Biologics and China sits against this, but it has not derailed the core Chronic Care and cash milestones.
Reveal where the surface looks calm, but the models start to disagree on Coloplast's next inflection point by accessing the full analyst estimates for Coloplast.Coloplast bear case still anchored in Kerecis and China
Bears argue Coloplast’s growth targets are at risk because China, Kerecis and manufacturing costs could blunt the Chronic Care engine. This quarter does not clear those worries. Biologics revenue fell 6% in Q3 as U.S. outpatient reimbursement changes continued to bite, so the hoped for high margin uplift from Kerecis is still missing. Management is pivoting Kerecis toward an inpatient focus and has moved leadership under the CEO. This signals that profitable growth here is not yet on a stable footing.
China remains a drag with Q3 hit by go to market changes and inventory reduction of about DKK45m. That shows execution risk in key markets is real, even if Ostomy and Continence are growing elsewhere. Ramp up costs in Costa Rica and Portugal, plus currency headwinds, pushed gross margin to 67% from 68%. This indicates that the Impact4 efficiency story has not yet translated into cleaner margin expansion.
After a large one off loss and debt funded Kerecis push, are these stumbles isolated or structural? Review our risk analysis for Coloplast which shows 4 important warning signs.Stay Ahead With Coloplast Insights
If Coloplast’s rebound in earnings and the debate over whether a 46.6x trailing P/E is justified has your attention, register for free with Simply Wall St and add it to a Watchlist to track the share price against fair value and watch for an entry that fits your plan. Once you hold the stock, use the Portfolio Command Center to cut through noise and focus on the key updates that matter for your returns. For a longer term view, tap into the Community to see how other investors are thinking about catalysts like Kerecis, China and cash conversion. This combination helps surface hidden risks and potential triggers early so you can stay ahead of the market.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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