Neuronetics, Inc. (NASDAQ:STIM) Stock Now Rated "Moderate Buy" by Sell-Side Brokerages

Key Points

• Neuronetics has a consensus “Moderate Buy” rating from five covering brokerages, with four buys and one sell; the average 12-month price target is $4.67 versus a recent price of $2.20.
• A major shareholder purchased 14,000 shares at $3.16 each, while insiders own 8.4% and institutional investors hold 53.59% of the company.
• The company exceeded quarterly expectations, reporting a loss of $0.05 per share versus the $0.12 consensus loss and revenue of $41.57 million versus the $40.17 million estimate, though profitability remains negative.

Shares of Neuronetics, Inc. (NASDAQ:STIM - Get Free Report) have received a consensus recommendation of "Moderate Buy" from the five brokerages that are covering the stock, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation and four have issued a buy recommendation on the company. The average 12-month target price among brokerages that have covered the stock in the last year is $4.67.

A number of analysts recently issued reports on the company. Weiss Ratings restated a "sell (e+)" rating on shares of Neuronetics in a research report on Monday, September 14th. B. Riley Financial began coverage on Neuronetics in a report on Friday, September 11th. They issued a "buy" rating for the company. BTIG Research reissued a "buy" rating and issued a $6.00 price objective on shares of Neuronetics in a research note on Thursday, September 17th. Wall Street Zen upgraded shares of Neuronetics from a "sell" rating to a "hold" rating in a report on Sunday, July 12th. Finally, Citigroup reiterated a "market outperform" rating on shares of Neuronetics in a research note on Tuesday, July 21st.

Insiders Place Their Bets

In other news, major shareholder Jorey Chernett acquired 14,000 shares of Neuronetics stock in a transaction dated Friday, August 14th. The stock was purchased at an average cost of $3.16 per share, for a total transaction of $44,240.00. Following the completion of the purchase, the insider directly owned 10,602,988 shares in the company, valued at $33,505,442.08. This trade represents a 0.13% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 8.40% of the company's stock.

Institutional Investors Weigh In On Neuronetics

A number of large investors have recently bought and sold shares of STIM. Fielder Capital Group LLC purchased a new stake in shares of Neuronetics in the 2nd quarter valued at $30,000. State of Wyoming purchased a new stake in Neuronetics in the second quarter valued at $31,000. IMC Chicago LLC acquired a new stake in Neuronetics during the 1st quarter worth about $40,000. David J Yvars Group grew its position in Neuronetics by 35.7% during the 2nd quarter. David J Yvars Group now owns 27,550 shares of the company's stock worth $36,000 after purchasing an additional 7,250 shares during the period. Finally, Hsbc Holdings PLC purchased a new position in shares of Neuronetics during the 2nd quarter valued at about $50,000. Hedge funds and other institutional investors own 53.59% of the company's stock.

Neuronetics Trading Up 1.9%

Shares of STIM opened at $2.20 on Tuesday. The firm has a market cap of $167.63 million, a P/E ratio of -5.00 and a beta of 1.19. Neuronetics has a 1 year low of $0.80 and a 1 year high of $3.44. The company has a debt-to-equity ratio of 2.84, a current ratio of 1.88 and a quick ratio of 1.69. The company has a 50 day simple moving average of $2.71 and a two-hundred day simple moving average of $1.92.

Neuronetics (NASDAQ:STIM - Get Free Report) last issued its earnings results on Tuesday, August 11th. The company reported ($0.05) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.12) by $0.07. The firm had revenue of $41.57 million for the quarter, compared to analysts' expectations of $40.17 million. Neuronetics had a negative return on equity of 125.11% and a negative net margin of 19.62%. On average, equities analysts expect that Neuronetics will post -0.33 earnings per share for the current fiscal year.

Neuronetics Company Profile

Neuronetics, Inc is a medical technology company focused on developing and commercializing noninvasive treatments for mental health conditions. The company's primary product is the NeuroStar Advanced Therapy system, which uses transcranial magnetic stimulation (TMS) to deliver targeted magnetic pulses to areas of the brain associated with mood and related symptoms.

NeuroStar TMS Therapy is cleared by the U.S. Food and Drug Administration for the treatment of major depressive disorder in adults and adolescents, obsessive-compulsive disorder in adults, and certain associated indications.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.