Sat, Dec 27, 2014, 3:25 PM EST - U.S. Markets closed


% | $
Quotes you view appear here for quick access.

Insulet Corporation (PODD) Message Board

  • bebonan35 bebonan35 Jun 10, 2008 3:09 PM Flag

    Cash Flow

    So if Insulet had $70M in cash the end of first quarter 08 with a $20M per quarter burn rate why do they need to borrow $60M? Their CFO stated during the last conference call Insulet would have a positive cash flow by fourh quarter 2008. They only have $20M in outstanding loans. Are they planning on buying something?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • So if you were concerned about cash flow before and Insulet has resolved the issue are you now a buyer of Insulet?

      • 1 Reply to bebonan35
      • Not a buyer. A couple of concerns have popped up recently that I want to get comfortable with.

        First, the VP of business development recently resigned, so I want to hear what they have to say about that on the next conference call. Seems odd for a business development guy of a fast growing company to leave if things are going well. They'll spin it as positively as possible, but I still want to hear what they have to say.

        Also, as someone else pointed out in a previous post, an emerging competitor, Medingo, raised $27 million from its parent company late last year. That demonstrates a very high level of confidence in Medingo. Based only on the Medingo web site, it sounds like their solution is even smaller and more discreet than PODD's, so I want to see how things develop there.

        I'm going to keep following PODD and listening to conference calls, but I'm not in a hurry to buy. I'd rather buy at a higher price if I'm more confident the company is on track and I better understand the competitive environment.

    • They needed to raise cash. They are projecting they'll be cash flow break even by Q4, but that's just a projection and things can go wrong. But even if they meet that goal, they would still have needed to do a capital raise to continue to add new manufacturing lines. I was actually relieved they did this convert deal. It's less dilution than selling common stock outright, which most likely would have been priced at a discount to market.

46.37+0.13(+0.28%)Dec 26 4:00 PMEST

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Prothena Corporation plc
NASDAQFri, Dec 26, 2014 4:00 PM EST
Thor Industries Inc.
NYSEFri, Dec 26, 2014 4:09 PM EST