Neha Panjwani
2 min read
In This Article:
Insulet Corporation (PODD), headquartered in Acton, Massachusetts, operates as an innovative medical device company. Valued at $21.3 billion by market cap, the company develops, manufactures, and sells insulin delivery systems for people with insulin-dependent diabetes.
Companies worth $10 billion or more are generally described as “large-cap stocks,” and PODD perfectly fits that description, with its market cap exceeding this mark, underscoring its size, influence, and dominance within the medical devices industry. Insulet drives innovation through heavy investment in R&D, focusing on user-friendly diabetes solutions. With a customer-centric approach, the company provides comprehensive support services and engages with the diabetes community. Revenue comes primarily from Omnipod system sales, supplemented by strategic partnerships. Insulet is expanding globally, entering new markets and establishing distribution channels to increase its international presence.
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Despite its notable strength, PODD slipped 6.6% from its 52-week high of $329.33, achieved on May 21. Over the past three months, PODD stock has gained 14.7%, outperforming the iShares U.S. Medical Devices ETF’s (IHI) 1.7% gains during the same time frame.
In the longer term, shares of PODD rose 17.9% on a YTD basis and climbed 50.7% over the past 52 weeks, outperforming IHI’s YTD gains of 3.9% and 7.5% returns over the last year.
To confirm the bullish trend, PODD is trading above its 50-day moving average since early May. The stock has been trading above its 200-day moving average over the past year, with slight fluctuations.
Insulet's strong performance is driven by robust U.S. growth, expanding international demand, and successful Omnipod insulin delivery systems. With continued innovation and global expansion, the company is well-positioned for long-term growth in the diabetes care market, making it a promising investment in the medical technology sector.
On May 8, PODD reported its Q1 results, and its shares closed up more than 20% in the following trading session. Its adjusted EPS of $1.02 surpassed Wall Street expectations of $0.81. The company’s revenue was $569 million, topping Wall Street forecasts of $542.1 million.