ICU Medical's stock has underperformed the market, losing 3.3% over the past six months while the S&P 500 gained 6.3%. The company's revenue has declined at an annualized rate of 1.6% over the last two years, a sharp reversal from its five-year trend. Earnings per share grew at a compounded annual rate of just 2.9% over five years, well below its 11.8% annualized revenue growth, indicating declining profitability. Its five-year average return on invested capital was 0.9%, below the typical cost of capital for healthcare companies. The stock trades at 16.3 times forward earnings, and analysts see limited upside relative to potential downside, suggesting better opportunities exist elsewhere.
ICU Medical IncRevenue declining, earnings growth weak, ROIC below cost of capital, and limited upside per analysts.