Analysts have recently made significant adjustments to their ratings and price targets for shares of ICU Medical (NASDAQ: ICUI), reflecting a positive shift in investor sentiment. Notably, Wall Street Zen upgraded the stock from a hold rating to a buy rating in a report published on November 6, 2023.
In addition to Wall Street Zen, other research firms have also provided updates. KeyCorp raised its target price for ICU Medical from $173.00 to $175.00, maintaining an “overweight” rating. This was announced on the same day as the earnings report. Similarly, Piper Sandler increased its price objective from $153.00 to $172.00, also designating the stock as “overweight.” In contrast, Weiss Ratings reiterated a “sell (d-)” rating on October 8, 2023.
As it stands, one analyst has issued a Strong Buy rating for ICU Medical, while two analysts have assigned a Buy rating, one has given a Hold rating, and another a Sell rating. According to MarketBeat, the average rating for the company is currently classified as a “Moderate Buy,” with a consensus price target of $175.67.
Recent Earnings Report Highlights Positive Performance
ICU Medical’s latest quarterly earnings report, released on November 6, 2023, showcased strong financial results. The medical instruments supplier reported earnings per share (EPS) of $2.03, surpassing the consensus estimate of $1.43 by $0.60. The company generated revenue of $533.30 million for the quarter, exceeding analyst expectations of $511.46 million. Despite these positive results, the revenue reflected an 8.9% decline compared to the same quarter last year, during which the company reported an EPS of $1.59.
Looking ahead, ICU Medical has projected its fiscal year 2025 guidance to be between $7.350 and $7.650 EPS. Analysts forecast that the company will achieve an EPS of $4.11 for the current year.
Insider Activity and Institutional Investments
On the insider trading front, significant transactions occurred recently. Director Elisha W. Finney sold 1,285 shares of ICU Medical on November 11, 2023, at an average price of $140.42, totaling approximately $180,439.70. Following this sale, Finney holds 3,995 shares valued at around $560,977.90, marking a 24.34% reduction in the director’s ownership.
Additionally, Vice President Virginia Ruth Sanzone sold 930 shares on the same day, at an average price of $142.34, resulting in a total transaction value of $132,376.20. After this transaction, Sanzone owns 5,456 shares worth approximately $776,607.04, representing a 14.56% decrease in her position. These transactions were disclosed in filings with the Securities and Exchange Commission.
Recent changes in institutional holdings have also influenced the stock’s performance. Notable increases include Millennium Management LLC, which raised its position in ICU Medical by 173.4% during the third quarter, now owning 1,089,017 shares valued at approximately $130,638,000. Similarly, State Street Corp increased its stake by 3.2%, now holding 927,799 shares worth $122,609,000.
Other institutional investors, such as Dimensional Fund Advisors LP and Ameriprise Financial Inc., have also boosted their holdings significantly during this same period. Currently, institutional investors own 96.10% of ICU Medical’s stock.
ICU Medical, Inc., along with its subsidiaries, specializes in the development, manufacturing, and sale of medical devices used in infusion therapy, vascular access, and vital care applications. The company’s product offerings include various needle-free devices, catheter patency devices, and closed system transfer devices designed to enhance safety and efficacy in medical settings.
