Why NASDAQ:PODD Is a Promising High-Growth Stock in the Midst of Consolidation.

Growth investors are on the lookout for stocks displaying robust revenue and EPS growth. In this analysis, we'll assess whether INSULET CORP (NASDAQ:PODD) aligns with growth investing criteria, especially as it consolidates and signals a possible breakout. As always, investors should conduct their own research, but INSULET CORP has surfaced on our radar for growth with base formation, warranting further examination.

Understanding NASDAQ:PODD's Growth Score

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NASDAQ:PODD, the assigned 9 reflects its growth potential:

• The Earnings Per Share has grown by an impressive 455.10% over the past year.
• PODD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 122.39% yearly.
• Looking at the last year, PODD shows a very strong growth in Revenue. The Revenue has grown by 30.02%.
• The Revenue has been growing by 24.66% on average over the past years. This is a very strong growth!
• PODD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.56% yearly.
• The Revenue is expected to grow by 16.91% on average over the next years. This is quite good.

A Closer Look at Health for NASDAQ:PODD

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NASDAQ:PODD was assigned a score of 5 for health:

• An Altman-Z score of 5.23 indicates that PODD is not in any danger for bankruptcy at the moment.
• The Altman-Z score of PODD (5.23) is better than 79.59% of its industry peers.
• PODD has a better Debt to FCF ratio (38.79) than 69.39% of its industry peers.
• A Current Ratio of 3.51 indicates that PODD has no problem at all paying its short term obligations.
• A Quick Ratio of 2.62 indicates that PODD has no problem at all paying its short term obligations.

Evaluating Profitability: NASDAQ:PODD

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NASDAQ:PODD, the assigned 8 is a significant indicator of profitability:

• PODD has a Return On Assets of 7.97%. This is amongst the best in the industry. PODD outperforms 88.78% of its industry peers.
• Looking at the Return On Equity, with a value of 28.16%, PODD belongs to the top of the industry, outperforming 98.47% of the companies in the same industry.
• With an excellent Return On Invested Capital value of 7.36%, PODD belongs to the best of the industry, outperforming 85.20% of the companies in the same industry.
• The 3 year average ROIC (4.58%) for PODD is below the current ROIC(7.36%), indicating increased profibility in the last year.
• With an excellent Profit Margin value of 12.16%, PODD belongs to the best of the industry, outperforming 89.29% of the companies in the same industry.
• PODD's Profit Margin has improved in the last couple of years.
• PODD has a better Operating Margin (12.96%) than 83.16% of its industry peers.
• In the last couple of years the Operating Margin of PODD has grown nicely.
• Looking at the Gross Margin, with a value of 68.35%, PODD is in the better half of the industry, outperforming 78.06% of the companies in the same industry.

Looking at the Setup

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NASDAQ:PODD scores a 8 out of 10:

Although the technical rating is bad, PODD does present a nice setup opportunity. Prices have been consolidating lately and the volatility has been reduced. There is a resistance zone just above the current price starting at 177.99. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 169.24, a Stop Loss order could be placed below this zone.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

Our latest full fundamental report of PODD contains the most current fundamental analsysis.

Check the latest full technical report of PODD for a complete technical analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.