Masimo (NASDAQ:MASI) Shares Gap Up – Still a Buy?

Masimo Corporation (NASDAQ:MASI)’s share price gapped up prior to trading on Tuesday . The stock had previously closed at $130.15, but opened at $175.00. Masimo shares last traded at $174.5170, with a volume of 5,060,852 shares traded.

Key Stories Impacting Masimo

Here are the key news stories impacting Masimo this week:

• Positive Sentiment: Masimo’s board has backed Danaher’s $9.9 billion all‑cash acquisition proposal at $180 per share — the primary catalyst that pushed shares sharply higher and sets a near‑term floor for value. Masimo’s Board Backs Danaher’s $9.9B Cash Acquisition Proposal
• Positive Sentiment: Institutional interest: Naya Capital reportedly added Masimo shares, signaling investor confidence in the deal thesis or opportunity to trade around the takeover premium. Naya Capital Adds Masimo Shares
• Positive Sentiment: Deal size and market reaction: Multiple outlets note the $180 offer represents a sizable premium and positions Masimo to join Danaher’s Diagnostics segment — analysts see potential upside within the transaction framework. Danaher’s $9.9B Masimo Deal Marks One of 2026’s Largest Medtech Buyouts
• Neutral Sentiment: Upcoming catalyst: Masimo is scheduled to report quarterly earnings on Thursday — the report could add volatility but is secondary to the takeover developments. Masimo (MASI) to Release Quarterly Earnings on Thursday
• Neutral Sentiment: Market commentary is questioning whether the post‑deal rally has further upside and how the narrative around Masimo is shifting as the $180 cash offer becomes the focal point. Why The Narrative Around Masimo (MASI) Is Shifting As The US$180 Cash Offer Takes Hold
• Negative Sentiment: Shareholder scrutiny / potential litigation: Kahn Swick & Foti announced an investigation into whether the $180 price and sale process were adequate — such probes can delay closing or lead to litigation that affects timing and deal certainty. Masimo Investor Alert: Kahn Swick & Foti, LLC Investigates Adequacy of Price and Process in Proposed Sale of Masimo Corporation – MASI
• Negative Sentiment: Analyst action: Wells Fargo downgraded Masimo from overweight to equal weight and set a $180 target — the downgrade reduces buy-side enthusiasm and could limit further upside despite the deal price alignment with the target.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on MASI. Wells Fargo & Company lowered Masimo from an “overweight” rating to an “equal weight” rating and cut their price target for the company from $190.00 to $180.00 in a research note on Wednesday. Weiss Ratings reiterated a “sell (d)” rating on shares of Masimo in a research report on Thursday, January 22nd. BTIG Research cut Masimo from a “buy” rating to a “neutral” rating in a research report on Wednesday. Stifel Nicolaus set a $180.00 target price on Masimo in a research note on Tuesday. Finally, Bank of America initiated coverage on Masimo in a research report on Monday, November 17th. They set a “neutral” rating and a $162.00 target price on the stock. One equities research analyst has rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $181.17.

Masimo Stock Performance

The firm has a market cap of $9.42 billion, a PE ratio of -16.63, a P/E/G ratio of 1.77 and a beta of 1.26. The firm has a 50-day moving average price of $137.72 and a two-hundred day moving average price of $142.84. The company has a quick ratio of 1.92, a current ratio of 2.84 and a debt-to-equity ratio of 0.69.

Institutional Investors Weigh In On Masimo

A number of large investors have recently modified their holdings of MASI. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in Masimo by 0.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 11,371 shares of the medical equipment provider’s stock worth $1,894,000 after acquiring an additional 66 shares during the period. Assetmark Inc. lifted its stake in shares of Masimo by 5.0% in the 2nd quarter. Assetmark Inc. now owns 1,539 shares of the medical equipment provider’s stock valued at $259,000 after purchasing an additional 73 shares during the last quarter. Clearstead Advisors LLC grew its holdings in shares of Masimo by 18.4% during the 3rd quarter. Clearstead Advisors LLC now owns 470 shares of the medical equipment provider’s stock worth $69,000 after purchasing an additional 73 shares during the period. Hantz Financial Services Inc. increased its position in shares of Masimo by 12.9% during the 4th quarter. Hantz Financial Services Inc. now owns 655 shares of the medical equipment provider’s stock worth $85,000 after purchasing an additional 75 shares during the last quarter. Finally, ProShare Advisors LLC raised its holdings in Masimo by 5.3% in the 2nd quarter. ProShare Advisors LLC now owns 1,995 shares of the medical equipment provider’s stock valued at $336,000 after buying an additional 101 shares during the period. Hedge funds and other institutional investors own 85.96% of the company’s stock.

Masimo Company Profile

Masimo (NASDAQ: MASI) is a global medical technology company specializing in noninvasive monitoring solutions. The company’s flagship technology, Masimo SET® (Signal Extraction Technology), enhances the accuracy of pulse oximetry in challenging clinical conditions. Beyond pulse oximetry, Masimo’s portfolio extends to brain function monitoring, regional oximetry, and acoustic respiration rate monitoring, serving critical, acute, and ambulatory care settings.

In addition to its core monitoring technologies, Masimo offers a range of patient cables, sensors, and connectivity platforms designed to integrate with hospital information systems and remote monitoring applications.