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Inogen Has Reported 121.6% Growth YTD

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Inogen stock movement

A leading player in the oxygen therapy market, Inogen (INGN) reported a rise in its stock of 121.6%, from $119.17 on January 2, 2018, to $263.85 on September 7, 2018. Inogen is focused on investing in its operations and marketing and sales efforts to increase the adoption of its portable oxygen concentrations globally.

In Q2 2018, Inogen reported revenues of $97.2 million, a YoY (year-over-year) rise of 51.7%. It beat Wall Street’s consensus revenue and EPS estimates by $15.3 million and $0.21, respectively, in the quarter. On June 1, the company set the minimum retail advertised price for its Inogen One G3 and G4 systems at $2,295, which is 8% less than the previous price.

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Inogen has been witnessing rising sales in its direct-to-consumer channel, mainly due to an increasing number of sales representatives and consumer advertising efforts. While sales in its business-to-business sales channel are bumpy, Inogen benefited from an increasing demand from its private label partners, as well as its home medical equipment providers in Q2 2018. Its international business expects to benefit from an increasing demand in Europe and favorable foreign currency fluctuations.

Analyst recommendations for Inogen

The consensus recommendation for Inogen over the next 12 months is a “buy.”

Of the eight analysts covering Inogen in September, three have recommended a “strong buy” for the stock, three have recommended a “buy,” and two have recommended a “hold.”

Wall Street analysts have projected a 12-month consensus target price of $255.80 for Inogen, which would be a decline of 3.1% over its closing price on September 7.

Wall Street analysts expect Inogen to report revenues of $349.4 million, a YoY rise of 40.1%. The consensus estimate is in line with Inogen’s 2018 revenue guidance of $340 million–$350 million, an upward revision from the previously projected $310 million–$320 million.

In the next part, we’ll look at the growth trends for Abiomed.

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