Leerink Partners Raises Price Target on Insulet (PODD) Following 2Q15 Results

Leerink Partners reiterated an Outperform rating on Insulet Corporation (NASDAQ: PODD), and raised the price target to $44.00 (from $40.00), following the company's 2Q15 earnings report. PODD reported 2Q15 sales of $75.6M, in line with the July 29th preannouncement, and coming in ~$4M ahead of the Street.

Analyst Danielle Antalffy commented, "Last night, PODD reported 2Q15 sales of $75.6M (+5%y/ y) -- in line with the July 29th preannouncement -- coming in ~$7M ahead of us and ~$4M above the Street. Upside was driven by: (1) Strongerthan-expected drug delivery sales as the collaboration with AMGN (MP) does appear to be tracking better than expected, beating us by ~$5M and consensus by ~$3M; and (2) An acceleration in U.S. OmniPod new patient adds -- up ~20% this quarter vs. what we estimate to be a low double-digit increase in 1Q15 -- that drove a ~$1M beat relative to us and the Street. We are particularly encouraged by the U.S. OmniPodd new patient adds in the quarter -- now the 2nd consecutive quarter of sequentially higher new patient adds and the 3rd highest new patient add quarter in the company's history -- as we view this as a leading indicator of longer-term growth trends. Despite the strong new patient add growth, U.S. OmniPod sales came in at just 1%, in large part due to a tough y/ y comparable tied to 2Q14 inventory stocking. In the back half of the year, management expects U.S. OmniPod sales to low-teens growth y/ y as comparables ease. PODD also announced that the independent accounting review the company recently initiated tied to 2014 revenue recognition found no material errors."

For an analyst ratings summary and ratings history on Insulet Corporation click here. For more ratings news on Insulet Corporation click here.

Shares of Insulet Corporation closed at $34.07 yesterday.

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