Leerink Partnrs Boosts Earnings Estimates for NeuroPace

Key Points

• Analysts from Leerink Partners have raised their earnings per share (EPS) forecast for NeuroPace, predicting a loss of ($0.80) for FY2025, improved from a previous estimate of ($0.83).
• NeuroPace reported a quarterly loss of ($0.26) per share, which fell short of the analysts' expectations of ($0.24), despite generating revenue of $23.52 million which exceeded forecasts.
• Five analyst firms currently rate NeuroPace as a "buy," with an average target price of $16.60, highlighting a generally positive outlook from the investment community.

NeuroPace, Inc. (NASDAQ:NPCE - Free Report) - Leerink Partnrs raised their FY2025 earnings per share (EPS) estimates for shares of NeuroPace in a research note issued to investors on Tuesday, August 12th. Leerink Partnrs analyst M. Kratky now forecasts that the company will post earnings per share of ($0.80) for the year, up from their previous estimate of ($0.83). The consensus estimate for NeuroPace's current full-year earnings is ($1.00) per share. Leerink Partnrs also issued estimates for NeuroPace's Q4 2025 earnings at ($0.14) EPS, FY2026 earnings at ($0.29) EPS, FY2027 earnings at ($0.02) EPS and FY2028 earnings at $0.28 EPS.

NPCE has been the topic of several other research reports. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $17.00 price target on shares of NeuroPace in a research note on Wednesday, May 14th. Wells Fargo & Company cut their price objective on NeuroPace from $17.00 to $15.00 and set an "overweight" rating for the company in a research report on Wednesday, August 13th. JPMorgan Chase & Co. boosted their target price on NeuroPace from $14.00 to $16.00 and gave the stock an "overweight" rating in a research report on Wednesday, May 14th. HC Wainwright started coverage on NeuroPace in a research note on Wednesday, May 28th. They set a "buy" rating and a $18.00 price objective for the company. Finally, Zacks Research cut NeuroPace from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, August 13th. Five equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $16.60.

NeuroPace Stock Performance

Shares of NASDAQ:NPCE traded up $0.41 during trading on Friday, hitting $8.66. 506,717 shares of the stock were exchanged, compared to its average volume of 276,521. The company's fifty day simple moving average is $9.72 and its 200-day simple moving average is $11.64. The company has a debt-to-equity ratio of 3.02, a quick ratio of 4.51 and a current ratio of 5.47. The company has a market capitalization of $286.48 million, a price-to-earnings ratio of -10.31 and a beta of 1.89. NeuroPace has a 1-year low of $5.45 and a 1-year high of $18.98.

NeuroPace (NASDAQ:NPCE - Get Free Report) last announced its quarterly earnings data on Tuesday, August 12th. The company reported ($0.26) earnings per share for the quarter, missing the consensus estimate of ($0.24) by ($0.02). NeuroPace had a negative return on equity of 168.61% and a negative net margin of 29.29%.The firm had revenue of $23.52 million for the quarter, compared to analyst estimates of $23.08 million. NeuroPace has set its FY 2025 guidance at EPS.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Ameritas Investment Partners Inc. grew its stake in NeuroPace by 83.6% in the second quarter. Ameritas Investment Partners Inc. now owns 2,455 shares of the company's stock valued at $27,000 after acquiring an additional 1,118 shares during the period. BNP Paribas Financial Markets acquired a new position in NeuroPace in the fourth quarter valued at about $29,000. Legal & General Group Plc grew its stake in NeuroPace by 86.0% in the second quarter. Legal & General Group Plc now owns 2,679 shares of the company's stock valued at $30,000 after acquiring an additional 1,239 shares during the period. Quantbot Technologies LP acquired a new position in NeuroPace in the second quarter valued at about $35,000. Finally, GAMMA Investing LLC acquired a new position in NeuroPace in the first quarter valued at about $53,000. 78.83% of the stock is owned by institutional investors and hedge funds.

About NeuroPace

NeuroPace, Inc operates as a medical device company in the United States. The company develops RNS system, a brain-responsive neuromodulation system that delivers personalized, real-time treatment at the seizure source for treating medically refractory focal epilepsy. It also records continuous brain activity data and enables clinicians to monitor patients in person and remotely.