Insulet (PODD) stock up 14% on positive earnings and growth forecast

November 04, 2023 03:03 AM AEDT | By Invezz

Insulet (PODD) stock up 14% on positive earnings and growth forecast — Image source: Invezz

Insulet’s Q3 earnings beat expectations

In the latest earnings report, Insulet reported revenue of $432.7 million for the third quarter of 2023, marking a notable 27% year-over-year increase.

The company’s performance exceeded the Zacks Consensus Estimate of $413.82 million, showcasing a surprise of +4.56%. This significant revenue growth demonstrates the company’s solid financial performance.

Earnings per share (EPS) also displayed impressive growth, with Q3 EPS reported at $0.71, compared to $0.45 in the same quarter the previous year. This exceeded the consensus EPS estimate of $0.40 by a substantial +77.50%. The increase in profitability is a positive indicator for investors.

Key metrics of the recent Insulet report

Insulet outperformed in key metrics that are closely monitored by Wall Street analysts, providing insight into the company’s underlying performance:

The company reported $320.60 million in revenue from its US Omnipod segment, surpassing the estimated figure of $306.52 million. This represents a remarkable +34.7% change compared to the year-ago quarter, indicating robust growth in this segment.

Insulet generated $101.40 million in revenue from its International Omnipod segment, exceeding the estimated figure of $97.02 million. This segment also demonstrated growth, with a +15.2% change compared to the previous year.

While most segments showed growth, the Drug Delivery segment reported revenue of $10.70 million, in line with the 10-analyst average estimate of $10.62 million. However, this segment experienced a year-over-year decline of -27.2%.

Market response and outlook

The market responded positively to Insulet’s strong performance, driving the stock’s price up by 14%.

Despite recent stock volatility, the company’s positive outlook and promising growth in the diabetes-related Omnipod segments have generated confidence among investors and analysts. Insulet (PODD) currently holds a Zacks Rank #2 (Buy), suggesting potential outperformance in the near term.

Jim Hollingshead, President and CEO of Insulet, expressed optimism about the company’s future, attributing the strong results to the continued high demand for their Omnipod 5 product both in the US and globally.

As a result, the company has raised its full-year revenue growth guidance for 2023, projecting a range of 26% to 27%, up from the previous range of 22% to 25%.

The post Insulet (PODD) stock up 14% on positive earnings and growth forecast appeared first on Invezz

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.