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Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on ICU Medical, Inc. (NASDAQ:ICUI) due to its excellent fundamentals in more than one area. ICUI is a company with great financial health as well as a an impressive track record of performance. In the following section, I expand a bit more on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on ICU Medical here.
Excellent balance sheet with proven track record
ICUI delivered a triple-digit bottom-line expansion over the past couple of years, with its most recent earnings level surpassing its average level over the last five years. In addition to beating its historical values, ICUI also outperformed its industry, which delivered a growth of 30%. This is an optimistic signal for the future. ICUI’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This implies that ICUI manages its cash and cost levels well, which is a key determinant of the company’s health. ICUI appears to have made good use of debt, producing operating cash levels of 101x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.
For ICU Medical, there are three relevant factors you should further research:
- Future Outlook: What are well-informed industry analysts predicting for ICUI’s future growth? Take a look at our free research report of analyst consensus for ICUI’s outlook.
- Valuation: What is ICUI worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether ICUI is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of ICUI? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
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 firstname.lastname@example.org.