Monday, April 16, 2018

Inogen May Only Be Getting Started

A mid-cap med-tech company with 20%-plus revenue growth, profitable operations, positive free cash flow, and a large addressable market is going to get noticed, and so it has been for Inogen (INGN) - the shares have risen more than 70% in the past year and trounced the likes of ResMed (RMD) and Invacare (NYSE:IVC), not to mention the S&P 500, over the last three years as this company has grabbed more and more share of the growing portable oxygen market.

Although the fundamental growth story is strong, it's hard to see the appeal outside of growth and momentum as the company trades well above what I consider a reasonable cash flow-based valuation and at over 9x forward revenue. That said, if you are a valuation-insensitive growth investor looking for a momentum story, maybe this is a name to check out.

Read more here:
Inogen May Only Be Getting Started

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