RBC Capital shared their outlook on Smith & Nephew plc (NYSE:SNN) ahead of the upcoming Q1/23 earnings announcement, scheduled on April 26, expecting revenue growth of 3.9%. This is due to the company benefiting from positive trends in US electives but tempered by headwinds in China.

According to the analysts, Q1 is set to be 2023's weakest quarter, in line with company guidance and commentary from competitors. The analysts continue to believe that the company's valuation vs peers do not account for its competitive positioning or growth outlook, and they anticipate a gradual re-rating as it delivers on its self-help strategy.