Insulet Corp. (PODD) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

STERIS Plc (Ireland)

ResMed, Inc.

Align Technology, Inc.

The Cooper Cos., Inc.

Insulet Corp.

Zimmer Biomet Holdings, Inc.

Hologic, Inc.

EXACT Sciences Corp.

Revvity, Inc.

Waters Corp.

Baxter International, Inc.

Why is Insulet Corp. ?

Poor Management Efficiency with a low ROCE of 11.86%

The company has been able to generate a Return on Capital Employed (avg) of 11.86% signifying low profitability per unit of total capital (equity and debt)

Healthy long term growth as Net Sales has grown by an annual rate of 24.53% and Operating profit at 55.87%

Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at USD 619.3 MM
INVENTORY TURNOVER RATIO(HY) Highest at 1.82 times
NET SALES(Q) At USD 761.7 MM has Grown at 33.87%

With ROCE of 27.05%, it has a expensive valuation with a 8.50 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -51.70%, its profits have fallen by -18.4%

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Below par performance in long term as well as near term

Along with generating -51.70% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Insulet Corp. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Insulet Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Insulet Corp.

-51.7%

-0.62

38.85%

S&P 500

25.41%

1.92

13.25%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

24.53%

EBIT Growth (5y)

55.87%

EBIT to Interest (avg)

3.49

Debt to EBITDA (avg)

3.34

Net Debt to Equity (avg)

0.31

Sales to Capital Employed (avg)

0.84

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

11.86%

ROE (avg)

16.61%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

9.67

EV to EBIT

31.43

EV to EBITDA

25.37

EV to Capital Employed

8.50

EV to Sales

5.50

PEG Ratio

Dividend Yield

ROCE (Latest)

27.05%

ROE (Latest)

22.52%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 619.3 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 1.82 times

NET SALES(Q)

At USD 761.7 MM has Grown at 33.87%

-8What is not working for the Company

INTEREST(HY)

At USD 34.3 MM has Grown at 77.72%

CASH AND EQV(HY)

Lowest at USD 1,196.5 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 20.26 %

Here's what is working for Insulet Corp.

Operating Cash Flow

Highest at USD 619.3 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Inventory Turnover Ratio

Highest at 1.82 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

At USD 761.7 MM has Grown at 33.87%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Depreciation

Highest at USD 32.5 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Insulet Corp.

Interest

At USD 34.3 MM has Grown at 77.72%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Profit Margin

Lowest at 20.26 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at USD 1,196.5 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents