Inspire Medical Systems (NYSE:INSP) Shares Up 7.7% - Here's Why

Key Points

• Shares jumped 7.7% to about $57.46 on Thursday, with volume of 288,242 shares—roughly 77% below the average session volume.
• Inspire beat expectations for the quarter, reporting $1.65 EPS vs. $0.69 expected and revenue of $269.1M (up 12.2% year-over-year, vs. $264.0M expected).
• Analyst sentiment is mixed: the consensus is a "Hold" with an average price target of $104.24, even as several firms recently cut targets (e.g., Piper Sandler and Stifel to $85) and ratings range from Strong Buy to Sell.

Inspire Medical Systems, Inc. (NYSE:INSP - Get Free Report)'s share price shot up 7.7% during trading on Thursday . The company traded as high as $55.45 and last traded at $57.4640. 288,242 shares traded hands during mid-day trading, a decline of 77% from the average session volume of 1,231,732 shares. The stock had previously closed at $53.38.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on INSP. Piper Sandler cut their price objective on Inspire Medical Systems from $165.00 to $85.00 and set an "overweight" rating on the stock in a research note on Thursday, February 12th. Stifel Nicolaus cut their price objective on Inspire Medical Systems from $95.00 to $85.00 and set a "buy" rating on the stock in a research note on Thursday, March 5th. Weiss Ratings reaffirmed a "sell (d)" rating on shares of Inspire Medical Systems in a research note on Monday, December 29th. Robert W. Baird set a $74.00 price objective on Inspire Medical Systems and gave the stock a "neutral" rating in a research note on Thursday, February 12th. Finally, Morgan Stanley set a $60.00 price objective on Inspire Medical Systems in a research note on Wednesday, February 18th. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $104.24.

Inspire Medical Systems Stock Up 6.7%

The company has a 50 day simple moving average of $60.25 and a 200-day simple moving average of $82.00. The stock has a market capitalization of $1.64 billion, a price-to-earnings ratio of 11.44, a price-to-earnings-growth ratio of 2.70 and a beta of 0.86.

Inspire Medical Systems (NYSE:INSP - Get Free Report) last issued its quarterly earnings results on Wednesday, February 11th. The company reported $1.65 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.69 by $0.96. Inspire Medical Systems had a return on equity of 10.96% and a net margin of 15.95%.The firm had revenue of $269.08 million for the quarter, compared to analyst estimates of $264.02 million. During the same period in the previous year, the firm earned $1.15 earnings per share. The company's revenue was up 12.2% compared to the same quarter last year. As a group, sell-side analysts anticipate that Inspire Medical Systems, Inc. will post 2.16 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Inspire Medical Systems

Several institutional investors have recently added to or reduced their stakes in INSP. Royal Bank of Canada lifted its stake in Inspire Medical Systems by 16.0% in the first quarter. Royal Bank of Canada now owns 32,769 shares of the company's stock valued at $5,220,000 after buying an additional 4,528 shares during the period. Integrated Wealth Concepts LLC acquired a new position in shares of Inspire Medical Systems during the first quarter worth approximately $524,000. Goldman Sachs Group Inc. raised its position in shares of Inspire Medical Systems by 57.9% during the first quarter. Goldman Sachs Group Inc. now owns 51,422 shares of the company's stock worth $8,190,000 after purchasing an additional 18,857 shares during the period. Hsbc Holdings PLC acquired a new position in shares of Inspire Medical Systems during the second quarter worth approximately $1,033,000. Finally, Marshall Wace LLP raised its position in shares of Inspire Medical Systems by 3.8% during the second quarter. Marshall Wace LLP now owns 15,905 shares of the company's stock worth $2,064,000 after purchasing an additional 577 shares during the period. 94.91% of the stock is owned by institutional investors and hedge funds.

About Inspire Medical Systems

Inspire Medical Systems, Inc is a medical technology company specializing in implantable neurostimulation devices for the treatment of obstructive sleep apnea (OSA). The company's flagship offering, the Inspire® system, delivers targeted stimulation of the hypoglossal nerve to maintain airway patency during sleep, providing an alternative therapy for patients who are intolerant of or inadequately managed by continuous positive airway pressure (CPAP) devices.

The Inspire system comprises an implantable pulse generator, a sensing lead that monitors breathing patterns, and a stimulation lead that activates the hypoglossal nerve.

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.