MASI:NASDAQMasimo Corporation Analysis
Data as of 2026-04-16 - not real-time
$178.39
Latest Price
4/10Risk
Risk Level: Medium
Executive Summary
Masimo’s stock is trading just above its short‑term moving averages, signaling a bullish price bias, while the RSI is edging toward overbought territory and the MACD histogram has turned negative, hinting at short‑term weakness.
Fundamentally, the company posts solid revenue growth and healthy gross margins, yet its trailing profit margin remains negative and the current PE ratio sits well above the medical‑device industry average, making the valuation appear stretched. The forward PE suggests some improvement, but the pending cash‑out acquisition by Danaher at roughly the current price introduces both a premium upside and legal‑risk uncertainty, as investor‑rights investigations have surfaced. Combined with a recent downgrade to Market Perform, the stock presents a mixed technical and fundamental picture.
Fundamentally, the company posts solid revenue growth and healthy gross margins, yet its trailing profit margin remains negative and the current PE ratio sits well above the medical‑device industry average, making the valuation appear stretched. The forward PE suggests some improvement, but the pending cash‑out acquisition by Danaher at roughly the current price introduces both a premium upside and legal‑risk uncertainty, as investor‑rights investigations have surfaced. Combined with a recent downgrade to Market Perform, the stock presents a mixed technical and fundamental picture.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 6/10
Key Factors
- Price above 20‑day and 50‑day moving averages but RSI near overbought levels
- Negative MACD histogram indicating potential short‑term pullback
- Acquisition uncertainty and ongoing legal scrutiny
Medium Term
1–3 yearsPositive
Model confidence: 7/10
Key Factors
- Potential $180 per share acquisition premium from Danaher
- Forward PE compression and improving earnings outlook
- Strong operating cash flow and free cash flow generation
Long Term
> 3 yearsNeutral
Model confidence: 5/10
Key Factors
- Sustained revenue growth and high gross margins in a defensible medical‑device niche
- Elevated valuation multiples relative to peers
- Exposure to regulatory and competitive dynamics in the healthcare sector
Key Metrics & Analysis
Financial Health
Revenue Growth12.00%
Profit Margin-9.92%
P/E Ratio46.5
ROE23.43%
ROA8.86%
Debt/Equity77.55
P/B Ratio12.9
Op. Cash Flow$217.8M
Free Cash Flow$316.4M
Industry P/E26.0
Technical Analysis
TrendBullish
RSI69.9
Support$175.81
Resistance$179.00
MA 20$178.07
MA 50$169.23
MA 200$151.90
MACDBearish
VolumeDecreasing
Fear & Greed Index88.98
Valuation
Fair Value$128.49
Target Price$180.00
Upside/Downside0.90%
GradeOvervalued
TypeBlend
Risk Assessment
Beta0.69
Volatility5.28%
Sector RiskLow
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.