B. Riley Issues Negative Outlook for TCMD Earnings

Key Points

• B. Riley has downgraded its Q3 2025 earnings per share estimate for Tactile Systems Technology (TCMD) from $0.20 to $0.14 and maintains a "Neutral" rating with a price objective of $13.00.
• The company reported earnings of $0.14 for the recent quarter, surpassing the consensus estimate of $0.09 and achieving revenue of $78.91 million, above the expected $73.93 million.
• Shares of TCMD opened at $12.54 on Wednesday, reflecting a market cap of $291.56 million with an average target price of $13.50 from analysts.

Tactile Systems Technology, Inc. (NASDAQ:TCMD - Free Report) - Stock analysts at B. Riley decreased their Q3 2025 earnings per share (EPS) estimates for shares of Tactile Systems Technology in a research note issued on Monday, August 4th. B. Riley analyst A. Schock now anticipates that the company will post earnings per share of $0.14 for the quarter, down from their prior forecast of $0.20. B. Riley currently has a "Neutral" rating and a $13.00 price target on the stock. The consensus estimate for Tactile Systems Technology's current full-year earnings is $0.70 per share. B. Riley also issued estimates for Tactile Systems Technology's Q4 2025 earnings at $0.48 EPS, FY2025 earnings at $0.63 EPS and FY2026 earnings at $0.91 EPS.

TCMD has been the topic of several other reports. Wall Street Zen cut shares of Tactile Systems Technology from a "buy" rating to a "hold" rating in a research note on Wednesday, May 7th. William Blair upgraded shares of Tactile Systems Technology to a "strong-buy" rating in a research report on Tuesday. Finally, Piper Sandler lowered shares of Tactile Systems Technology from an "overweight" rating to a "neutral" rating and cut their price target for the stock from $25.00 to $14.00 in a report on Tuesday, May 6th. Five analysts have rated the stock with a hold rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of $13.50.

Tactile Systems Technology Stock Performance

Shares of Tactile Systems Technology stock traded up $0.42 during trading hours on Wednesday, hitting $12.44. 305,956 shares of the company's stock traded hands, compared to its average volume of 241,694. The company has a fifty day simple moving average of $10.22 and a 200-day simple moving average of $12.60. The company has a debt-to-equity ratio of 0.11, a current ratio of 3.79 and a quick ratio of 3.99. The stock has a market capitalization of $277.29 million, a price-to-earnings ratio of 20.06 and a beta of 0.96. Tactile Systems Technology has a 12-month low of $8.61 and a 12-month high of $21.10.

Tactile Systems Technology (NASDAQ:TCMD - Get Free Report) last released its quarterly earnings results on Monday, August 4th. The company reported $0.14 earnings per share for the quarter, topping the consensus estimate of $0.09 by $0.05. Tactile Systems Technology had a net margin of 5.06% and a return on equity of 7.72%. The business had revenue of $78.91 million for the quarter, compared to analysts' expectations of $73.93 million.

Hedge Funds Weigh In On Tactile Systems Technology

Large investors have recently bought and sold shares of the business. Acadian Asset Management LLC increased its holdings in Tactile Systems Technology by 248.3% during the 2nd quarter. Acadian Asset Management LLC now owns 683,662 shares of the company's stock worth $6,930,000 after purchasing an additional 487,392 shares during the period. Millennium Management LLC bought a new position in shares of Tactile Systems Technology during the 4th quarter worth $2,793,000. Norges Bank purchased a new position in shares of Tactile Systems Technology during the fourth quarter valued at $2,534,000. Renaissance Technologies LLC raised its holdings in shares of Tactile Systems Technology by 44.0% in the fourth quarter. Renaissance Technologies LLC now owns 451,100 shares of the company's stock valued at $7,727,000 after acquiring an additional 137,900 shares in the last quarter. Finally, Victory Capital Management Inc. bought a new position in Tactile Systems Technology during the 1st quarter worth about $1,160,000. Hedge funds and other institutional investors own 83.43% of the company's stock.

Insider Activity at Tactile Systems Technology

In other news, CFO Elaine M. Birkemeyer sold 2,921 shares of the company's stock in a transaction dated Monday, May 12th. The shares were sold at an average price of $9.94, for a total transaction of $29,034.74. Following the sale, the chief financial officer directly owned 99,111 shares in the company, valued at approximately $985,163.34. This represents a 2.86% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 2.50% of the company's stock.

Tactile Systems Technology Company Profile

Tactile Systems Technology, Inc, a medical technology company, develops and provides medical devices to treat underserved chronic diseases in the United States. It offers Flexitouch Plus system, a pneumatic compression device for the treatment of lymphedema in the home setting; and Entre Plus System, a portable pneumatic compression device for the at-home treatment of venous disorders, such as lymphedema and chronic venous insufficiency, including venous leg ulcers.