We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Owens & Minor Stock to Gain From New Collaboration With Google Cloud
Read MoreHide Full Article
Owens & Minor, Inc. (OMI - Free Report) has announced a partnership with Google Cloud, owned by the parent holding company, Alphabet (GOOGL - Free Report) to enhance the existing capabilities of its cloud-based clinical inventory management system, QSight. The collaboration will combine the company’s expertise in optimizing the healthcare supply chain with Google Cloud’s Vertex AI platform, to tackle the modern supply chain management complexities and support the patients more effectively.
The latest development demonstrates the progress Owens & Minor has been making toward its strategic goals for the Products & Healthcare Services segment.
Following the news, shares of OMI edged up 0.2% to $14.42 at Tuesday’s close. By staying at the forefront of technology, including making investments with one of the most renowned innovators in the market, the company consistently delivers value to its customers and improves clinician efficiency. We expect the market sentiment on OMI stock to stay positive around this development.
Significance of OMI’s New Partnership
The implications of inefficient inventory management in healthcare can extend beyond the stockroom and into the operating room. This includes the risks of expired products being used in patient care and loss of inventory if products expire before. There is also an increasing pressure to deliver high-quality care while managing costs and optimizing efficiency — with less support from clinical staff.
However, traditional clinical inventory management systems often lack the real-time visibility and predictive capabilities to oversee the complex healthcare supply chains, leading to increasing costs and higher workloads for clinical staff.
Image Source: Zacks Investment Research
The partnership between Owens & Minor and Google Cloud aims to focus on enhancing QSight’s ability to help hospitals and health systems optimize how they manage the thousands of medical-grade supplies, high-value surgical implants and human tissue products required for patient care. The company will also lay the foundation for future platform and service innovations with the potential to improve the QSight customer experience.
Favorable Industry Prospects for Owens & Minor
A report by Research and Markets valued the healthcare inventory management software market at $331.5 million in 2021 and forecasts it to see a compound annual rate of 8.9% through 2028.
The rising complexity of the healthcare supply chain, such as worldwide sourcing, diversified product portfolios, regulatory constraints, and the demand for real-time monitoring, have increased the need for sophisticated inventory management systems. Healthcare organizations are implementing advanced inventory management solutions that provide greater visibility, automation and analytics.
Other Major Developments Within OMI
In July 2024, Owens & Minor announced a definitive agreement to acquire Rotech Healthcare Holdings, Inc., a home medical equipment provider based in the United States, for $1.36 billion in cash. The acquisition directly aligns with the company’s broader strategy to expand into the fast-growing home-based care space. In addition, it also bolsters its Patient Direct product offerings through expansion across a complementary portfolio including Respiratory, Sleep Apnea, Diabetes and Wound Care.
OMI Stock Price Performance
In the past year, Owens & Minor shares have plunged 10.8% against the industry’s 18.4% growth.
OMI Estimate Trend and EPS Surprise History
In the past 30 days, estimates for Owens & Minor’s 2024 earnings have remained constant at $1.57 per share. The company beat estimates in each of the trailing four quarters, the average surprise being 11.1%.
OMI’s Zacks Rank and Top MedTech Stocks
Owens & Minor currently carries a Zacks Rank #3 (Hold).
Boston Scientific’s shares have risen 55.9% in the past year. Estimates for the company’s earnings per share have remained constant at $2.40 in 2024 and $2.71 in 2025 in the past 30 days. BSX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 7.2%. In the last reported quarter, it posted an earnings surprise of 6.9%.
Estimates for AxoGen’s 2024 loss per share have remained constant at 1 cent in the past 30 days. Shares of the company have surged 141.4% in the past year compared with the industry’s growth of 15.7%. AXGN’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 96.5%. In the last reported quarter, it delivered an earnings surprise of 200%.
See More Zacks Research for These Tickers
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Owens & Minor Stock to Gain From New Collaboration With Google Cloud
Owens & Minor, Inc. (OMI - Free Report) has announced a partnership with Google Cloud, owned by the parent holding company, Alphabet (GOOGL - Free Report) to enhance the existing capabilities of its cloud-based clinical inventory management system, QSight. The collaboration will combine the company’s expertise in optimizing the healthcare supply chain with Google Cloud’s Vertex AI platform, to tackle the modern supply chain management complexities and support the patients more effectively.
The latest development demonstrates the progress Owens & Minor has been making toward its strategic goals for the Products & Healthcare Services segment.
Following the news, shares of OMI edged up 0.2% to $14.42 at Tuesday’s close. By staying at the forefront of technology, including making investments with one of the most renowned innovators in the market, the company consistently delivers value to its customers and improves clinician efficiency. We expect the market sentiment on OMI stock to stay positive around this development.
Significance of OMI’s New Partnership
The implications of inefficient inventory management in healthcare can extend beyond the stockroom and into the operating room. This includes the risks of expired products being used in patient care and loss of inventory if products expire before. There is also an increasing pressure to deliver high-quality care while managing costs and optimizing efficiency — with less support from clinical staff.
However, traditional clinical inventory management systems often lack the real-time visibility and predictive capabilities to oversee the complex healthcare supply chains, leading to increasing costs and higher workloads for clinical staff.
Image Source: Zacks Investment Research
The partnership between Owens & Minor and Google Cloud aims to focus on enhancing QSight’s ability to help hospitals and health systems optimize how they manage the thousands of medical-grade supplies, high-value surgical implants and human tissue products required for patient care. The company will also lay the foundation for future platform and service innovations with the potential to improve the QSight customer experience.
Favorable Industry Prospects for Owens & Minor
A report by Research and Markets valued the healthcare inventory management software market at $331.5 million in 2021 and forecasts it to see a compound annual rate of 8.9% through 2028.
The rising complexity of the healthcare supply chain, such as worldwide sourcing, diversified product portfolios, regulatory constraints, and the demand for real-time monitoring, have increased the need for sophisticated inventory management systems. Healthcare organizations are implementing advanced inventory management solutions that provide greater visibility, automation and analytics.
Other Major Developments Within OMI
In July 2024, Owens & Minor announced a definitive agreement to acquire Rotech Healthcare Holdings, Inc., a home medical equipment provider based in the United States, for $1.36 billion in cash. The acquisition directly aligns with the company’s broader strategy to expand into the fast-growing home-based care space. In addition, it also bolsters its Patient Direct product offerings through expansion across a complementary portfolio including Respiratory, Sleep Apnea, Diabetes and Wound Care.
OMI Stock Price Performance
In the past year, Owens & Minor shares have plunged 10.8% against the industry’s 18.4% growth.
OMI Estimate Trend and EPS Surprise History
In the past 30 days, estimates for Owens & Minor’s 2024 earnings have remained constant at $1.57 per share. The company beat estimates in each of the trailing four quarters, the average surprise being 11.1%.
OMI’s Zacks Rank and Top MedTech Stocks
Owens & Minor currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are Boston Scientific (BSX - Free Report) and AxoGen (AXGN - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Boston Scientific’s shares have risen 55.9% in the past year. Estimates for the company’s earnings per share have remained constant at $2.40 in 2024 and $2.71 in 2025 in the past 30 days. BSX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 7.2%. In the last reported quarter, it posted an earnings surprise of 6.9%.
Estimates for AxoGen’s 2024 loss per share have remained constant at 1 cent in the past 30 days. Shares of the company have surged 141.4% in the past year compared with the industry’s growth of 15.7%. AXGN’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 96.5%. In the last reported quarter, it delivered an earnings surprise of 200%.