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INGN

Inogen NasdaqGS:INGN Stock Report

Last Price

US$24.28

Market Cap

US$555.2m

7D

5.9%

1Y

-44.8%

Updated

30 Sep, 2022

Data

Company Financials +
INGN fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance0/6
Financial Health6/6
Dividends0/6

INGN Stock Overview

Inogen, Inc., a medical technology company, develops, manufactures, and markets portable oxygen concentrators to patients, physicians and other clinicians, and third-party payors in the United States and internationally.

Inogen Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Inogen
Historical stock prices
Current Share PriceUS$24.28
52 Week HighUS$44.30
52 Week LowUS$22.28
Beta0.99
1 Month Change-15.19%
3 Month Change-0.90%
1 Year Change-44.82%
3 Year Change-49.22%
5 Year Change-74.36%
Change since IPO60.26%

Recent News & Updates

Sep 20
Inogen, Inc.'s (NASDAQ:INGN) Intrinsic Value Is Potentially 64% Above Its Share Price

Inogen, Inc.'s (NASDAQ:INGN) Intrinsic Value Is Potentially 64% Above Its Share Price

In this article we are going to estimate the intrinsic value of Inogen, Inc. ( NASDAQ:INGN ) by estimating the...

Sep 13

Inogen: Structural, Supply Chain Headwinds Remain

Summary Inogen came in with a mixed set of numbers, however, longer-term structural headwinds remain in situ. The hold rating on INGN remains intact following Q2 earnings, and I've noticed similar themed risks looking ahead. Chief to the downside risk is a further slowdown in its B2B and D2C segments which could accelerate losses further. Balancing the debate is the return INGN generates on its invested capital. Investment summary After carefully digesting the moving parts involved with previous analyses, there remains no change to the thesis on Inogen, Inc. (NASDAQ:INGN). I'm reiterating a hold on INGN after: a). The company's most recent set of numbers and; b). Uncertainties to FY22 guidance from ongoing supply-chain headwinds. I've covered INGN at lengths previously both here and here and noted the following thematic has remained consistent after the second quarter: INGN's direct-to-consumer ("DTC") and business-to-business ("B2B") segments have been adversely impacted by the pandemic - in 2020, a combination of limited salesforce expansion, reduced volume and purchase order cancellations; by Q1 FY2 - lagging growth in the DTC and B2B businesses clamped margin growth. "Pricing dynamics are more extreme in the portable oxygen concentrator ("POC") market relative to others. INGN's product mix is the most expensive option within the segment." The wind-back of COVID-19 protocols combined with this less benign pricing environment are key headwinds set to impact INGN's business model looking ahead. Fluidity in supply of semiconductors and semiconductor inventory are key challenges until POC redesign efforts are realized. With that, trends remain unchanged and supply chain disruptions in particular have blurred management's ability to provide full-year guidance. INGN Q2 earnings walkthrough illustrates challenges INGN came in with a mixed set of second quarter numbers vertically down the P&L. Revenue of $103.4 million ("mm") saw a marginal year-on-year increase, with growth of ~180bps at the top line. The bulk of the upside was underpinned by a 22% YoY gain in rental revenue to $14.08mm, whereas sales revenue tightened ~110bps YoY to ~$89.3mm. Certainly, Medicare and various commercial payors have reduced the bureaucratic overhang for oxygen therapy since the onset of the pandemic. This may inflect positively to revenue on INGN's rental business. At the same time, however, its B2B channels have continued to narrow as COVID-19 continues to play havoc on travel, physician office restrictions, and labor shortage in hospitals. Most notably are the supply chain issues INGN continues to incur as a result of global semiconductor shortages. In Q1 FY22, it had to temporarily suspend operations for ~6 weeks due to this issue. The shortages have limited the company's ability to produce and sell systems and batteries and may potentially hurt FY22 numbers if it happens again. This is coupled by the surging gas price, hurting margins for semiconductor manufacturers and buyers downstream. To offset, management had started to re-engineer some POC components to overcome this hurdle, but this will take time. INGN has, per the 10-Q: "attempted to mitigate the impact of this increased supply shortage, but it has and will likely continue to negatively impact [its] ability to manufacture product, and [it] could be forced to slowdown or temporarily halt production again." However, the impact was still felt at the cost of revenue ("COR") line, with the COR margin in Q2 FY22 spiking 5 percentage points YoY to 55.2% on quarterly COR of $57.1mm ($2.50/share). Important for INGN, is that it saw some upside in its international B2B segment, with a c.71.5% YoY gain in sales to $37.4mm for the quarter. Domestically, however, B2B sales narrowed 59.3% to $11.2mm YoY, but the company gained traction towards the back end of the quarter as it began to fulfil backlog demand within the channel. Moreover, B2B receivables increased 39.2% YoY to $25.6mm, as seen in Exhibit 1. The segment also contains one customer with a receivable balance of $3.8mm as of 30 June, that has received extended payment terms via an offered direct financing plan. Exhibit 1. INGN net accounts receivable - note c.39% YoY gain to ~$25.7mm in B2B receivables Data: INGN Q2 FY22 10-Q; pp.13 - Accounts receivable and allowance for bad debts, returns, and adjustments.

Shareholder Returns

INGNUS Medical EquipmentUS Market
7D5.9%-1.8%-2.5%
1Y-44.8%-31.2%-23.2%

Return vs Industry: INGN underperformed the US Medical Equipment industry which returned -29.9% over the past year.

Return vs Market: INGN underperformed the US Market which returned -21.5% over the past year.

Price Volatility

Is INGN's price volatile compared to industry and market?
INGN volatility
INGN Average Weekly Movement6.4%
Medical Equipment Industry Average Movement8.5%
Market Average Movement6.9%
10% most volatile stocks in US Market15.6%
10% least volatile stocks in US Market2.8%

Stable Share Price: INGN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: INGN's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20011,021Nabil Shabshabhttps://www.inogen.com

Inogen, Inc., a medical technology company, develops, manufactures, and markets portable oxygen concentrators to patients, physicians and other clinicians, and third-party payors in the United States and internationally. Its oxygen concentrators are used to deliver supplemental long-term oxygen therapy to patients suffering from chronic respiratory conditions. The company offers Inogen One, a portable device that concentrate the air around the patient to provide a single source of supplemental oxygen; Inogen At Home stationary oxygen concentrators; Inogen Tidal Assist Ventilators, as well as related accessories.

Inogen Fundamentals Summary

How do Inogen's earnings and revenue compare to its market cap?
INGN fundamental statistics
Market CapUS$555.20m
Earnings (TTM)-US$28.36m
Revenue (TTM)US$353.27m

1.6x

P/S Ratio

-19.6x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
INGN income statement (TTM)
RevenueUS$353.27m
Cost of RevenueUS$185.73m
Gross ProfitUS$167.54m
Other ExpensesUS$195.90m
Earnings-US$28.36m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-1.24
Gross Margin47.43%
Net Profit Margin-8.03%
Debt/Equity Ratio0%

How did INGN perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is INGN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for INGN?

Other financial metrics that can be useful for relative valuation.

INGN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1x
Enterprise Value/EBITDA377.1x
PEG Ration/a

Price to Sales Ratio vs Peers

How does INGN's PS Ratio compare to its peers?

INGN PS Ratio vs Peers
The above table shows the PS ratio for INGN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average2.3x
CSII Cardiovascular Systems
2.5x9.8%US$580.8m
AORT Artivion
1.8x10.3%US$558.0m
HLTH Cue Health
0.7x8.8%US$445.9m
SRDX Surmodics
4.3x13.8%US$425.8m
INGN Inogen
1.6x8.2%US$555.2m

Price-To-Sales vs Peers: INGN is good value based on its Price-To-Sales Ratio (1.6x) compared to the peer average (2.3x).


Price to Earnings Ratio vs Industry

How does INGN's PE Ratio compare vs other companies in the US Medical Equipment Industry?

Price-To-Sales vs Industry: INGN is good value based on its Price-To-Sales Ratio (1.6x) compared to the US Medical Equipment industry average (3.8x)


Price to Sales Ratio vs Fair Ratio

What is INGN's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

INGN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.6x
Fair PS Ratio1.9x

Price-To-Sales vs Fair Ratio: INGN is good value based on its Price-To-Sales Ratio (1.6x) compared to the estimated Fair Price-To-Sales Ratio (1.9x).


Share Price vs Fair Value

What is the Fair Price of INGN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: INGN ($24.28) is trading below our estimate of fair value ($41.95)

Significantly Below Fair Value: INGN is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Inogen forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


38.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: INGN is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: INGN is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: INGN is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: INGN's revenue (8.2% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: INGN's revenue (8.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: INGN is forecast to be unprofitable in 3 years.


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Past Performance

How has Inogen performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-50.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: INGN is currently unprofitable.

Growing Profit Margin: INGN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: INGN is unprofitable, and losses have increased over the past 5 years at a rate of 50.8% per year.

Accelerating Growth: Unable to compare INGN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: INGN is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (0.6%).


Return on Equity

High ROE: INGN has a negative Return on Equity (-7.95%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Inogen's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: INGN's short term assets ($315.4M) exceed its short term liabilities ($59.3M).

Long Term Liabilities: INGN's short term assets ($315.4M) exceed its long term liabilities ($54.2M).


Debt to Equity History and Analysis

Debt Level: INGN is debt free.

Reducing Debt: INGN had no debt 5 years ago.

Debt Coverage: INGN has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: INGN has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Inogen current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Inogen Dividend Yield vs Market
How does Inogen dividend yield compare to the market?
SegmentDividend Yield
Company (Inogen)n/a
Market Bottom 25% (US)1.7%
Market Top 25% (US)4.7%
Industry Average (Medical Equipment)1.9%
Analyst forecast in 3 Years (Inogen)n/a

Notable Dividend: Unable to evaluate INGN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate INGN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if INGN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if INGN's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as INGN has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.2yrs

Average management tenure


CEO

Nabil Shabshab (57 yo)

1.5yrs

Tenure

US$7,036,373

Compensation

Mr. Nabil Shabshab is President, Chief Executive Officer and Director at Inogen, Inc. since joining on February 8, 2021. He served as Worldwide President of Diabetes Care and Digital Health at Becton, Dick...


CEO Compensation Analysis

Nabil Shabshab's Compensation vs Inogen Earnings
How has Nabil Shabshab's remuneration changed compared to Inogen's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

-US$28m

Mar 31 2022n/an/a

-US$20m

Dec 31 2021US$7mUS$588k

-US$6m

Compensation vs Market: Nabil's total compensation ($USD7.04M) is above average for companies of similar size in the US market ($USD2.91M).

Compensation vs Earnings: Insufficient data to compare Nabil's compensation with company performance.


Leadership Team

Experienced Management: INGN's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Members

Experienced Board: INGN's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

NasdaqGS:INGN Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
03 Mar 22SellUS$156,619Benjamin Anderson-RayIndividual4,516US$34.68

Ownership Breakdown

What is the ownership structure of INGN?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders324,3851.4%
Institutions22,775,76698.6%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 87.15% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
16.03%
BlackRock, Inc.
3,665,623$89.0m9.35%no data
14.66%
Brown Capital Management, LLC
3,351,172$81.4m-16.26%0.84%
11.49%
The Vanguard Group, Inc.
2,627,686$63.8m2.44%no data
4.18%
Baron Capital Group, Inc.
956,644$23.2m7.47%0.06%
3.74%
State Street Global Advisors, Inc.
855,276$20.8m-2.88%no data
3.61%
Camber Capital Management LP
825,000$20.0m10%0.84%
2.95%
Dimensional Fund Advisors LP
674,701$16.4m34.69%no data
2.65%
Invenomic Capital Management, LP
606,522$14.7m54.82%2.23%
2.62%
Federated Hermes, Inc.
599,813$14.6m155.78%0.04%
2.32%
Fred Alger Management, LLC
530,618$12.9m4.19%0.06%
2.3%
Sio Capital Management, LLC
525,438$12.8m31.33%4.42%
2.27%
Rockefeller & Co. LLC
519,638$12.6m-0.18%0.06%
2.25%
New York State Common Retirement Fund
514,900$12.5m-0.01%0.02%
2.02%
Novo Holdings A/S
462,949$11.2m-56.84%0.01%
1.75%
Columbia Management Investment Advisers, LLC
400,652$9.7m6.04%no data
1.71%
Geode Capital Management, LLC
391,861$9.5m12.37%no data
1.45%
FMR LLC
332,536$8.1m1.24%no data
1.44%
Arboretum Ventures LLC
330,000$8.0m0%6.5%
1.38%
Renaissance Technologies LLC
314,500$7.6m-6.51%0.01%
1.28%
Jacobs Levy Equity Management Inc
293,215$7.1m4.65%0.05%
1.26%
Norges Bank Investment Management
287,596$7.0m0%no data
1.12%
Tocqueville Asset Management LP
255,200$6.2m0%0.11%
1%
Northern Trust Global Investments
228,097$5.5m7.13%no data
0.84%
BNY Mellon Asset Management
191,309$4.6m5.62%no data
0.82%
Meros Investment Management, LP
186,811$4.5m8.91%4.3%

Company Information

Inogen, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Inogen, Inc.
  • Ticker: INGN
  • Exchange: NasdaqGS
  • Founded: 2001
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Implied Market Cap: US$555.198m
  • Shares outstanding: 22.87m
  • Website: https://www.inogen.com

Number of Employees


Location

  • Inogen, Inc.
  • 301 Coromar Drive
  • Goleta
  • California
  • 93117
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
INGNNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 2014
6IODB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2014

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/30 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.