Omnicell Inc (OMCL, Financial), a prominent player in the Healthcare Providers & Services industry, is currently trading at $64.36 with a market capitalization of $2.9 billion. The stock has seen a gain of 4.31% today, despite a loss of 13.52% over the past four weeks. In this article, we will delve into the company's GF Score and its implications for the company's future performance potential.
Omnicell Inc's GF Score Analysis
Omnicell Inc has a GF Score of 87 out of 100, indicating good outperformance potential. The GF Score is a stock performance ranking system developed by GuruFocus, which is closely correlated to the long-term performances of stocks. A higher GF Score generally signifies higher returns. The GF Score takes into account five key aspects: Financial Strength, Profitability Rank, Growth Rank, GF Value Rank, and Momentum Rank. 
Financial Strength Analysis
Omnicell Inc's Financial Strength Rank is 6 out of 10. This rank measures the strength of a company's financial situation, considering factors such as the debt burden, debt to revenue ratio, and Altman Z-Score. Omnicell Inc has a cash-to-debt ratio of 0.57 and a debt to revenue ratio of 0.49. Its Altman Z score is 2.52, indicating that the company has some financial distress yet not in any immediate danger of bankruptcy.
Profitability Rank Analysis
The company's Profitability Rank is 8 out of 10, which is quite impressive. This rank considers factors such as operating margin, Piotroski F-Score, trend of the operating margin, consistency of profitability, and Predictability Rank. Omnicell Inc has an operating margin of -2.40%, a Piotroski F-Score of 4 out of 9, and a consistency of profitability for 10 years as evidenced by its Predictability rank of four stars out of five.
Growth Rank Analysis
Omnicell Inc's Growth Rank is 9 out of 10, indicating a strong growth trajectory. This rank measures the growth of a company in terms of its revenue and profitability. Omnicell Inc has a 5-year revenue growth rate of 8.00%, a 3-year revenue growth rate of 10.60%, and a 5-year EBITDA growth rate of 6.90%.
GF Value Rank Analysis
The company's GF Value Rank is 4 out of 10 given the stock's significant undervaluation. This rank is determined by the price-to-GF-Value ratio, a proprietary metric calculated based on historical multiples and an adjustment factor based on a company's past returns and growth.
Momentum Rank Analysis
Omnicell Inc's Momentum Rank is 7 out of 10, indicating a positive momentum in the company's stock price performance. This rank is determined using the standardized momentum ratio and other momentum indicators.
Competitor Analysis
When compared to its main competitors, Omnicell Inc stands out with a higher GF Score. GoodRx Holdings Inc (GDRX, Financial) has a GF Score of 36, Certara Inc (CERT, Financial) has a GF Score of 24, and Privia Health Group Inc (PRVA, Financial) also has a GF Score of 24. You can find more details about these competitors here.
In conclusion, Omnicell Inc's strong GF Score, coupled with its impressive growth and profitability ranks, suggests that the stock has good outperformance potential. However, investors should also consider the company's financial strength and current valuation before making investment decisions.
