Today I will take a look at IntriCon Corporation’s (NASDAQ:IIN) most recent earnings update (30 June 2018) and compare these latest figures against its performance over the past few years, as well as how the rest of the medical equipment industry performed. As an investor, I find it beneficial to assess IIN’s trend over the short-to-medium term in order to gauge whether or not the company is able to meet its goals, and ultimately sustainably grow over time.
Did IIN’s recent performance beat its trend and industry?
IIN’s trailing twelve-month earnings (from 30 June 2018) of US$4.2m has
In terms of returns from investment, IntriCon has fallen short of achieving a 20% return on equity (ROE), recording 15.9% instead. However, its return on assets (ROA) of 7.8% exceeds the US Medical Equipment industry of 6.8%, indicating IntriCon has used its assets more efficiently. And finally, its return on capital (ROC), which also accounts for IntriCon’s debt level, has increased over the past 3 years from 9.7% to 10.6%. This correlates with a decrease in debt holding, with debt-to-equity ratio declining from 64.1% to 53.0% over the past 5 years.
What does this mean?
While past data is useful, it doesn’t tell the whole story. I recommend you continue to research IntriCon to get a more holistic view of the stock by looking at:
Future Outlook: What are well-informed industry analysts predicting for IIN’s future growth? Take a look at our free research report of analyst consensus for IIN’s outlook.
Financial Health: Are IIN’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
NB: Figures in this article are calculated using data from the trailing twelve months from 30 June 2018. This may not be consistent with full year annual report figures.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at email@example.com.