Medical tech company Masimo (NASDAQ: MASI) will be reporting earnings tomorrow after market close. Here’s what investors should know.
Masimo beat analysts’ revenue expectations by 1.5% last quarter, reporting revenues of $600.7 million, up 9.4% year on year. It was an exceptional quarter for the company, with a solid beat of analysts’ EPS estimates and full-year operating income guidance exceeding analysts’ expectations.
Is Masimo a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Masimo’s revenue to decline 25.4% year on year to $367.9 million, a further deceleration from the 12.8% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.21 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Masimo has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Masimo’s peers in the patient monitoring segment, some have already reported their Q1 results, giving us a hint as to what we can expect. iRhythm delivered year-on-year revenue growth of 20.3%, beating analysts’ expectations by 3.3%, and ResMed reported revenues up 7.9%, in line with consensus estimates. iRhythm traded up 20.1% following the results while ResMed was also up 10.1%.
Read our full analysis of iRhythm’s results here and ResMed’s results here.
There has been positive sentiment among investors in the patient monitoring segment, with share prices up 4.9% on average over the last month. Masimo is up 10.3% during the same time and is heading into earnings with an average analyst price target of $195.70 (compared to the current share price of $165.87).
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