Masimo: One healthy IPO

It's been tough for healthcare IPOs. But in the case of the debut of Masimo (NASDAQ: MASI) (ticker info unavailable at posting), things are certainly more upbeat. The stock is up about 19% in today's heavy trading.

Masimo develops non-invasive patient monitoring products to improve patient care. The systems involve circuit boards and reusable sensors as well as sophisticated software.

Because of the effectiveness of the technology, Masimo has had lots of traction with customers. For example, the company's worldwide installed base is about 399,000 units. Masimo also has major OEM agreements with companies like GE Medical Systems, a division of General Electric Company (NYSE: GE), Philips Medical Systems and Mindray Medical International (NYSE: MR).

Last year, Masimo posted revenues of $155.1 million. In fact, the compound annual growth rate (CAGR) has been 41.6% over the past four years. The company is also profitable

Lead underwriters of the deal included Piper Jaffray, Deutsche Bank Securities, and Citi.

The prospectus is located at the SEC website. Also, if you want to see more recent IPO pricings, click here.

Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.