ICU Medical Earnings Preview

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Investors hope ICU Medical (NAS: ICUI) will top analyst estimates once again after beating predictions by $0.11 in the previous quarter. The company will unveil its latest earnings on Monday. ICU Medical is engaged in the development, manufacture, and sale of proprietary, disposable medical connection systems for use in vascular therapy applications.

What analysts say:
 

  • Buy, sell, or hold?: Analysts are very bullish on this stock, unanimously backing it as a buy. Analysts like ICU Medical better than competitor Merit Medical Systems overall. Six out of eight analysts rate Merit Medical Systems a buy compared to four of four for ICU Medical. Analysts still rate the stock a moderate buy, but they are a bit more wary about it compared to three months ago.
  • Revenue forecasts: On average, analysts predict $76.2 million in revenue this quarter. That would represent a rise of 0.6% from the year-ago quarter.
  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.56 per share. Estimates range from $0.55 to $0.59.

What our community says:
CAPS All-Stars are solidly backing the stock with 87.5% giving it an outperform rating. The community at large agrees with the All-Stars with 82.1% granting it a rating of outperform. Fools are keen on ICU Medical, though the message boards have been quiet lately with only 23 posts in the past 30 days. The CAPS rating of five out of five stars for ICU Medical is far more upbeat than the community assessment.

Management:
ICU Medical's profit has risen year over year by an average of 47.3% over the past five quarters. Revenue has now gone up for three straight quarters.

Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross, operating, and net margins over the past four quarters.

Quarter

Q2

Q1

Q4

Q3

Gross Margin

46.5%

48.4%

49.6%

44.9%

Operating Margin

18.0%

17.1%

21.8%

19.3%

Net Margin

12.2%

11.3%

13.2%

11.9%

For all our ICU Medical-specific analysis, including earnings and beyond, add ICU Medical to My Watchlist.

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At the time this article was published

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