Hinge Health (NYSE:HNGE) Downgraded to Buy Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Hinge Health from strong-buy to buy, while broader analyst sentiment remains positive with a consensus rating of Moderate Buy and an average price target of $67.53.
• Hinge Health’s latest earnings beat expectations, reporting $0.45 EPS versus $0.12 expected, and revenue rose 47.2% year over year to $182.31 million.
• Recent insider selling has been notable, including large sales by the CEO and president, with insiders selling 554,600 shares worth about $29.9 million over the last quarter.

Hinge Health (NYSE:HNGE - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued on Saturday.

HNGE has been the subject of a number of other research reports. Truist Financial set a $79.00 target price on shares of Hinge Health in a research report on Wednesday, May 6th. Citigroup reissued an "outperform" rating on shares of Hinge Health in a research report on Wednesday, May 6th. Wells Fargo & Company increased their target price on shares of Hinge Health from $68.00 to $80.00 and gave the company an "overweight" rating in a research report on Wednesday, May 6th. Zacks Research raised shares of Hinge Health from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, May 13th. Finally, Weiss Ratings raised shares of Hinge Health from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Wednesday, May 6th. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $67.53.

Hinge Health Stock Performance

NYSE HNGE opened at $63.48 on Friday. Hinge Health has a 52-week low of $30.08 and a 52-week high of $66.55. The firm's 50 day moving average price is $47.93 and its 200-day moving average price is $45.31. The company has a market cap of $4.91 billion and a PE ratio of -5.14.

Hinge Health (NYSE:HNGE - Get Free Report) last posted its earnings results on Tuesday, May 5th. The company reported $0.45 EPS for the quarter, beating analysts' consensus estimates of $0.12 by $0.33. Hinge Health had a negative net margin of 78.95% and a negative return on equity of 310.62%. The company had revenue of $182.31 million during the quarter. During the same period in the previous year, the company earned $1.30 EPS. The company's revenue was up 47.2% on a year-over-year basis. On average, analysts forecast that Hinge Health will post 1.21 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Hinge Health news, CEO Daniel Antonio Perez sold 104,544 shares of the firm's stock in a transaction on Wednesday, May 6th. The shares were sold at an average price of $55.09, for a total value of $5,759,328.96. Following the completion of the transaction, the chief executive officer owned 35,470 shares of the company's stock, valued at approximately $1,954,042.30. This trade represents a 74.67% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, President James Pursley sold 16,000 shares of the firm's stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $53.79, for a total transaction of $860,640.00. Following the completion of the transaction, the president directly owned 780,223 shares of the company's stock, valued at approximately $41,968,195.17. This represents a 2.01% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 554,600 shares of company stock valued at $29,859,068. Insiders own 18.92% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in HNGE. BIT Capital GmbH raised its holdings in shares of Hinge Health by 79.3% in the fourth quarter. BIT Capital GmbH now owns 3,316,101 shares of the company's stock worth $154,033,000 after buying an additional 1,466,577 shares during the last quarter. Vanguard Group Inc. raised its holdings in shares of Hinge Health by 110.5% in the fourth quarter. Vanguard Group Inc. now owns 2,605,532 shares of the company's stock worth $121,027,000 after buying an additional 1,367,693 shares during the last quarter. Tiger Global Management LLC raised its holdings in shares of Hinge Health by 227.1% in the fourth quarter. Tiger Global Management LLC now owns 1,805,751 shares of the company's stock worth $83,877,000 after buying an additional 1,253,743 shares during the last quarter. Marshall Wace LLP purchased a new position in shares of Hinge Health in the fourth quarter worth $54,469,000. Finally, Millennium Management LLC raised its holdings in shares of Hinge Health by 225.0% in the fourth quarter. Millennium Management LLC now owns 1,479,642 shares of the company's stock worth $68,729,000 after buying an additional 1,024,317 shares during the last quarter.

Key Headlines Impacting Hinge Health

Here are the key news stories impacting Hinge Health this week:

• Positive Sentiment: Canaccord Genuity raised its price target on Hinge Health to $65 from $63 and reiterated a buy rating, reinforcing a constructive analyst view on the stock. Article Title
• Positive Sentiment: Other recent commentary also stayed upbeat, including technical coverage pointing to a “golden cross,” which can attract momentum investors. Article Title
• Positive Sentiment: Hinge Health’s last earnings report beat estimates, with revenue up 47.2% year over year, supporting the view that the business is still growing rapidly. Article Title
• Neutral Sentiment: One article highlighted Hinge Health as a promising mid-cap healthcare name, but it did not include a new catalyst beyond a generally favorable long-term investment case. Article Title
• Negative Sentiment: Chairman Gabriel M.I. Mecklenburg disclosed another large insider sale of 50,000 shares at $65.54, adding to a series of recent sales and potentially creating some overhang for sentiment. Article Title

About Hinge Health

Hinge Health NYSE: HNGE is a digital musculoskeletal (MSK) clinic that provides end-to-end solutions for the prevention and management of musculoskeletal conditions. The company's platform combines wearable motion sensors, personalized exercise therapy guided by licensed physical therapists, and behavioral health coaching to deliver tailored treatment plans. By integrating technology with evidence-based clinical protocols, Hinge Health aims to reduce pain, improve mobility and decrease reliance on more invasive interventions such as surgery or opioid prescriptions.

Founded in 2015 and headquartered in San Francisco, Hinge Health partners with employers, health plans and other payers to offer its self-directed, app-based programs.

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