Inogen (INGN) Stock Forecast & Price Target

Inogen Inc. demonstrated significant improvement in its financial performance, with an adjusted EBITDA margin increasing by 1,850 basis points year-over-year to (4.4%) and an operating margin rising by 2,400 basis points to (14.2%), surpassing consensus expectations. The company's business-to-business (B2B) sales experienced robust growth of 28.1% year-over-year, reaching $50.7 million, driven by new customer acquisitions and increased orders from existing clients, which indicates a strengthening market position. Additionally, the gross margin showed a positive movement, climbing 820 basis points year-over-year to 45.3%, further emphasizing Inogen's improving profitability metrics and operational efficiency.

Inogen Inc faces significant risks, including slower-than-expected revenue growth, deteriorating margins, and ongoing supply chain challenges, which contribute to an overall negative outlook. In the most recent period, direct-to-consumer (DTC) sales experienced a notable decline of 21.3%, negatively impacting revenue and resulting in lowered adjusted EBITDA estimates for 2025 and 2026. Additionally, the company's bear case scenario suggests potential stagnation or modest decline in revenue over the next few years, further exacerbating concerns regarding financial performance and market competitiveness.