BTIG Research Issues Pessimistic Forecast for iRhythm Technologies (NASDAQ:IRTC) Stock Price

Key Points

• BTIG Research cut its iRhythm price target to $170 from $185 but maintained a Buy rating, implying about 29.7% upside from the share price cited.
• Analyst views remain broadly positive, with a MarketBeat consensus rating of Moderate Buy and an average price target of $172.86, despite several recent target cuts and rating downgrades.
• iRhythm’s latest quarterly adjusted EPS of $0.82 far exceeded the $0.02 estimate, while revenue rose 14.9% year over year to $221.6 million, slightly below expectations; shares reportedly fell after the results.

iRhythm Technologies (NASDAQ:IRTC - Get Free Report) had its price target reduced by investment analysts at BTIG Research from $185.00 to $170.00 in a research note issued to investors on Friday, Benzinga reports. The brokerage currently has a "buy" rating on the stock. BTIG Research's price target points to a potential upside of 29.74% from the company's current price.

Several other equities research analysts have also issued reports on the stock. Piper Sandler began coverage on shares of iRhythm Technologies in a research report on Friday, October 16th. They issued an "overweight" rating and a $160.00 price objective for the company. Needham & Company LLC decreased their price target on shares of iRhythm Technologies from $194.00 to $165.00 and set a "buy" rating for the company in a research report on Friday. Wall Street Zen downgraded iRhythm Technologies from a "buy" rating to a "hold" rating in a report on Saturday, October 10th. Citigroup downgraded iRhythm Technologies from a "buy" rating to a "neutral" rating and set a $124.00 price target for the company. in a report on Friday. Finally, Truist Financial raised their price objective on iRhythm Technologies from $160.00 to $168.00 and gave the company a "buy" rating in a research report on Monday, August 10th. Two analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $172.86.

iRhythm Technologies Price Performance

Shares of NASDAQ:IRTC opened at $131.03 on Friday. The company has a market cap of $4.32 billion, a P/E ratio of -304.72 and a beta of 1.39. The company has a quick ratio of 3.74, a current ratio of 3.86 and a debt-to-equity ratio of 3.50. iRhythm Technologies has a 52 week low of $100.70 and a 52 week high of $192.47. The business has a fifty day simple moving average of $115.47 and a 200-day simple moving average of $122.07.

iRhythm Technologies (NASDAQ:IRTC - Get Free Report) last issued its quarterly earnings results on Thursday, November 5th. The company reported $0.82 EPS for the quarter, topping the consensus estimate of $0.02 by $0.80. The firm had revenue of $221.59 million during the quarter, compared to analyst estimates of $222.23 million. iRhythm Technologies had a negative net margin of 1.69% and a positive return on equity of 10.11%. iRhythm Technologies's revenue for the quarter was up 14.9% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.06) earnings per share. Equities research analysts forecast that iRhythm Technologies will post 0.54 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. The Manufacturers Life Insurance Company boosted its stake in shares of iRhythm Technologies by 99.2% in the first quarter. The Manufacturers Life Insurance Company now owns 390,577 shares of the company's stock valued at $46,096,000 after purchasing an additional 194,502 shares during the period. M&G PLC acquired a new stake in iRhythm Technologies during the 3rd quarter valued at $13,905,000. Granahan Investment Management LLC increased its stake in iRhythm Technologies by 567.9% during the 1st quarter. Granahan Investment Management LLC now owns 96,022 shares of the company's stock worth $11,333,000 after buying an additional 81,645 shares during the period. Squarepoint Ops LLC increased its stake in iRhythm Technologies by 1,065.8% during the 2nd quarter. Squarepoint Ops LLC now owns 71,862 shares of the company's stock worth $8,548,000 after buying an additional 65,698 shares during the period. Finally, Allspring Global Investments Holdings LLC lifted its holdings in iRhythm Technologies by 14.7% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 467,113 shares of the company's stock worth $55,222,000 after buying an additional 59,704 shares in the last quarter.

More iRhythm Technologies News

Here are the key news stories impacting iRhythm Technologies this week:

• Positive Sentiment: Third-quarter adjusted EPS was $0.82, well above the $0.02 consensus estimate and the year-ago loss of $0.06. iRhythm Q3 Earnings Surpass Estimates
• Neutral Sentiment: Revenue increased 14.9% year over year to $221.6 million, but was just below the $222.2 million analyst estimate, making sales performance broadly in line with expectations. Q3 Revenue Report
• Negative Sentiment: Despite the earnings beat, a report said IRTC shares declined following the results, suggesting investors were disappointed by something beyond the headline EPS figure. Needham cut its price target to $165 from $194, while keeping its Buy rating. Q3 Results and Share Reaction Needham Price Target Update

About iRhythm Technologies

iRhythm Technologies, Inc is a digital health company focused on the diagnosis and management of cardiac arrhythmias. The company provides ambulatory cardiac monitoring services that enable physicians to evaluate patients for conditions such as atrial fibrillation and other irregular heart rhythms.

Its principal offering is the Zio platform, which combines wearable electrocardiogram (ECG) monitoring devices with cloud-based data analysis and physician reports. Products in the platform include the Zio XT, an extended-wear monitor, and the Zio AT, which provides near-real-time monitoring capabilities.

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