The Fisher & Paykel Healthcare Corp Ltd is now up 30% in 2017

Fisher & Paykel Healthcare Corp Ltd (ASX:FPH) shares have been on a tear.

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The Fisher & Paykel Healthcare Corp Ltd (ASX: FPH) share price is up 30% over the course of 2017, compared to a 0.5% return for the S&P/ASX 200 (Index: ^AJXO) (ASX: XJO).

Below is a summary of the New zealand-based sleep treatment and respiratory disease medical device company's market-crushing performance so far this year.

Powering Fisher & Paykel's growth has been investors' willingness to award it a higher earnings multiple as its growth remains solid due to growing medical awareness globally of sleep apnea as a medical condition. For the 12 months March June 31 2017 FPH posted a profit of NZ$169.2 million on revenues of NZ$894.4 million, which were up 18% and 10% respectively.

The group's gross margins also grew 2.05% over the financial year as both its product sales mix and manufacturing costs headed in the right direction, with many analysts expecting the margin growth trend to remain positive.

It's the potential for margin and top-line growth over the years ahead that is helping to propel the share price higher. Today it closed for $10.63 as the wider healthcare sector fell due to an appreciating Australian dollar. If FPH shares fall around 10% further they could start to look attractive to growth-oriented investors.

Motley Fool contributor Motley Fool Staff has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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