AtriCure (NASDAQ:ATRC) Rating Lowered to "Hold" at Zacks Research

Key Points

• Zacks Research downgraded AtriCure from “strong buy” to “hold.” Despite the downgrade, analysts maintain a consensus “moderate buy” rating with an average price target of $48.62.
• AtriCure shares opened at $48.68, near their 12-month high of $49.88, while trading at a very high price-to-earnings ratio of 231.82.
• The company reported quarterly EPS of $0.18 and revenue of $153.6 million, exceeding analyst expectations; meanwhile, insiders sold roughly $1.69 million of stock over the past 90 days.

AtriCure (NASDAQ:ATRC - Get Free Report) was downgraded by analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Monday,Zacks.com reports.

A number of other analysts also recently weighed in on ATRC. Wall Street Zen downgraded AtriCure from a "strong-buy" rating to a "buy" rating in a report on Saturday, May 2nd. BTIG Research lifted their target price on AtriCure from $45.00 to $55.00 and gave the stock a "buy" rating in a report on Monday. UBS Group reduced their price target on AtriCure from $55.00 to $50.00 and set a "buy" rating on the stock in a research report on Tuesday, July 28th. Weiss Ratings upgraded AtriCure from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Wednesday, August 19th. Finally, Canaccord Genuity Group lifted their price objective on AtriCure from $53.00 to $55.00 and gave the stock a "buy" rating in a research note on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $48.62.

AtriCure Price Performance

Shares of ATRC opened at $48.68 on Monday. The business has a 50-day simple moving average of $36.67 and a two-hundred day simple moving average of $31.97. The stock has a market cap of $2.48 billion, a PE ratio of 231.82 and a beta of 1.20. AtriCure has a 12-month low of $25.36 and a 12-month high of $49.88. The company has a quick ratio of 3.19, a current ratio of 4.22 and a debt-to-equity ratio of 0.14.

AtriCure (NASDAQ:ATRC - Get Free Report) last posted its earnings results on Thursday, July 23rd. The medical device company reported $0.18 EPS for the quarter. AtriCure had a net margin of 1.85% and a return on equity of 2.34%. The business had revenue of $153.60 million for the quarter, compared to the consensus estimate of $151.80 million. During the same period last year, the company earned ($0.13) EPS. AtriCure has set its FY 2026 guidance at 0.240-0.320 EPS. Analysts anticipate that AtriCure will post 0.2 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Justin J. Noznesky sold 6,182 shares of the firm's stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $38.80, for a total transaction of $239,861.60. Following the completion of the sale, the insider owned 100,219 shares of the company's stock, valued at $3,888,497.20. This trade represents a 5.81% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Sven Wehrwein sold 25,000 shares of AtriCure stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $37.84, for a total transaction of $946,000.00. Following the completion of the sale, the director owned 40,518 shares of the company's stock, valued at $1,533,201.12. This represents a 38.16% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 44,246 shares of company stock valued at $1,691,895 in the last 90 days. Company insiders own 4.00% of the company's stock.

Institutional Investors Weigh In On AtriCure

A number of hedge funds have recently added to or reduced their stakes in ATRC. BlackRock Inc. bought a new position in shares of AtriCure in the 2nd quarter worth $125,198,000. California State Teachers Retirement System lifted its stake in shares of AtriCure by 2,627.3% in the second quarter. California State Teachers Retirement System now owns 1,634,927 shares of the medical device company's stock valued at $45,745,000 after buying an additional 1,574,980 shares in the last quarter. Bank of America Corp DE bought a new position in shares of AtriCure in the second quarter valued at $24,465,000. Grandeur Peak Global Advisors LLC acquired a new position in shares of AtriCure during the second quarter valued at about $16,435,000. Finally, Osterweis Capital Management Inc. bought a new stake in shares of AtriCure during the second quarter worth about $14,028,000. Institutional investors and hedge funds own 99.11% of the company's stock.

About AtriCure

AtriCure, Inc is a medical device company focused on the development, manufacture and marketing of innovative therapies to treat atrial fibrillation (AF) and related conditions. Founded in 2000 and headquartered in Mason, Ohio, AtriCure has established itself as a leader in surgical ablation devices designed to interrupt the errant electrical pathways that cause AF. The company's solutions are used by cardiac surgeons and electrophysiologists to reduce the risk of stroke and improve patient outcomes in the treatment of both paroxysmal and persistent AF.

The company's product portfolio centers on its Synergy Surgical Ablation System, which delivers controlled radiofrequency energy in a minimally invasive format, and the cryoICE Cryoablation System, which offers an alternative ablation modality using precise freezing techniques.

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