Covidien (NYSE: COV) is expected to report Q1 earnings on Jan. 25. Here's what Wall Street wants to see:

The 10-second takeaway
 Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Covidien's revenues will grow 3.4% and EPS will drop -6.2%.

The average estimate for revenue is $3.00 billion. On the bottom line, the average EPS estimate is $1.06.

Revenue details
 Last quarter, Covidien logged revenue of $3.00 billion. GAAP reported sales were 2.5% lower than the prior-year quarter's $3.08 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 Last quarter, non-GAAP EPS came in at $1.02. GAAP EPS of $0.96 for Q4 were 4.3% higher than the prior-year quarter's $0.92 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
 For the preceding quarter, gross margin was 56.0%, 80 basis points worse than the prior-year quarter. Operating margin was 21.3%, 110 basis points worse than the prior-year quarter. Net margin was 15.4%, 70 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $12.39 billion. The average EPS estimate is $4.43.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Covidien is outperform, with an average price target of $64.83.

Is Covidien the best health care stock for you? Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks," including one above-average health care logistics company. Click here for instant access to this free report.