Summary
Omnicell management insisted that a weak Q1 was an anomaly due to the launch of the new XT Series cabinet - and was proven right by a strong Q2.
Valuation is a bit stretched here, particularly on FY17 numbers - but there's room for a big ramp in 2018.
Investors have to pay for quality here, but there's still a case for a run to $60 over the next 12-18 months.
I argued back in April that Omnicell (NASDAQ:OMCL) had a strong bull case if management was right. And I wish I'd believed them:
Source: Finviz
OMCL did dip briefly after Q1's headline
