Insulet Corp. (PODD)
Valuation Overview•Is Insulet Corp. Overvalued or Undervalued?
The market is pricing the stock in line with historical averages, assuming steady-state growth.
High-quality fundamentals with a strong composite quality score of 82/100, backed by robust profitability and solvency.
Analysts remain bullish, forecasting further upside expansion with consensus targets suggesting solid gains.
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Verdict: High-quality compounder, with profitability as the only relative weakness.
Wall Street is highly bullish, projecting significant upside alongside robust expected earnings growth. However, capital return yields remain modest, driven predominantly by aggressive share repurchases.
Returns capital exclusively via buybacks — no active dividend
PODD demonstrates strong business quality with robust profitability and healthy margins (highlighted by a massive 20.1% ROIC). This is supported by a highly conservative balance sheet featuring strong liquidity and pristine Altman Z safety.
The company is driving exceptional top-line expansion (27.5% 3Y CAGR) paired with highly explosive earnings growth (275.4% EPS 3Y CAGR). The company maintains healthy operational efficiency with a 16.9% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $801.7M | +30.7% | +27.5% | +24.5% | +26.2% | |
| EBITDA | $132.2M | — | +79.9% | — | — | |
| Net Income | $95.0M | -40.9% | +277.3% | — | — | |
| EPS (Diluted) | $1.37 | -39.8% | +275.4% | +103.4% | — | |
| Free Cash Flow | $145.4M | +23.7% | — | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 71.1% | 69.9% | 68.0% | 65.2% |
| Operating Margin | 16.9% | 15.1% | 11.9% | 7.3% |
| Net Margin | 12.3% | 13.8% | 8.7% | 3.3% |
| FCF Margin | 12.6% | 10.9% | 2.5% | -3.8% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q3'26Latest | $1.47 | $1.66 | +12.9% | ||
| Q2'26 | $1.19 | $1.42 | +19.3% | ||
| Q1'26 | $1.47 | $1.55 | +5.4% | ||
| Q4'25 | $1.14 | $1.24 | +8.8% | ||
| Q3'25 | $0.92 | $1.17 | +27.2% | ||
| Q2'25 | $0.79 | $1.02 | +29.1% | ||
| Q1'25 | $1.00 | $1.15 | +15.0% | ||
| Q4'24 | $0.76 | $0.90 | +18.4% |
Total return is -58.4% (1Y), lagging the benchmark by -74.4%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | -50.7% | -63.9% | — |
| 1Y | -58.4% | -74.4% | — |
| 3YCAGR | -3.6% | -25.8% | — |
| 5YCAGR | -13.5% | -25.7% | — |
| 10YCAGR | +12.0% | -1.4% | — |
The S&P 500 is at 31.6x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Insulet Corp. (PODD) valuation, health, and returns.
Insulet Corp. is estimated to be fair under our discounted cash flow framework. relative multiples indicate the stock is Fair versus peers compared to industry peers. trading near fair value (DCF: $152.92)
Insulet Corp. has multiple valuation anchors: DCF Intrinsic Value: $152.92 | Peer Relative Fair Value: $148.85 | Wall Street Analyst Target: $185.18 (implying +32.9% upside). A convergence of these signals offers higher conviction.
Insulet Corp. displays excellent financial health with a composite quality score of 82/100, supported by a Altman Z-Score of 5.1 (safe zone), Piotroski F-Score of 7/9, Return on Invested Capital (ROIC) of 20.1%.
Insulet Corp. returns capital via buybacks instead of dividends, carrying a 0.6% buyback yield and reducing outstanding shares by -2.7% in the last 12 months.
Insulet Corp.'s current growth trajectory is Accelerating. The company achieved +30.7% 1Y revenue growth and -39.8% 1Y EPS growth, compared to its 3Y revenue CAGR of +27.5%.
Wall Street consensus is Buy based on 50 analysts, beating EPS expectations in 92% of recent quarters with a 8-quarter streak. The consensus price target represents a +32.9% change from current levels.
Investment risks for Insulet Corp. include: -61.9% 1-year max drawdown. Volatility risk is characterized by a beta of 0.27x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.