Insulet Corporation
Insulet Corporation Fundamental Analysis
Insulet Corporation (PODD) shows moderate financial fundamentals with a PE ratio of 68.65, profit margin of 9.12%, and ROE of 17.36%. The company generates $2.7B in annual revenue with strong year-over-year growth of 30.73%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 75.3/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze PODD's fundamental strength across five key dimensions:
Efficiency Score
WeakPODD struggles to generate sufficient returns from assets.
Valuation Score
WeakPODD trades at a premium to fair value.
Growth Score
ModeratePODD shows steady but slowing expansion.
Financial Health Score
ExcellentPODD maintains a strong and stable balance sheet.
Profitability Score
ModeratePODD maintains healthy but balanced margins.
Key Financial Metrics
Is PODD Expensive or Cheap?
P/E Ratio
PODD trades at 68.65 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, PODD's PEG of 240.27 indicates potential overvaluation.
Price to Book
The market values Insulet Corporation at 11.20 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 34.16 times EBITDA. This signals the market has high growth expectations.
How Well Does PODD Make Money?
Net Profit Margin
For every $100 in sales, Insulet Corporation keeps $9.12 as profit after all expenses.
Operating Margin
Core operations generate 17.50 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.36 in profit for every $100 of shareholder equity.
ROA
Insulet Corporation generates $7.75 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Insulet Corporation produces operating cash flow of $569.16M, showing steady but balanced cash generation.
Free Cash Flow
Insulet Corporation generates strong free cash flow of $377.61M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $5.37 in free cash annually.
FCF Yield
PODD converts 2.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
68.65
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
240.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
11.20
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.26
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.78
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.19
vs 25 benchmark
How PODD Stacks Against Its Sector Peers
| Metric | PODD Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 68.65 | 29.43 | Worse (Expensive) |
| ROE | 17.36% | 800.00% | Weak |
| Net Margin | 9.12% | -20145.00% (disorted) | Weak |
| Debt/Equity | 0.69 | 0.30 | Weak (High Leverage) |
| Current Ratio | 2.78 | 4.64 | Strong Liquidity |
| ROA | 7.75% | -17936.00% (disorted) | Weak |
PODD outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Insulet Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
175.54%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
3243.88%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
-100.00%
Industry Style: Defensive, Growth, Innovation
Declining