Inspire Medical Systems (NYSE:INSP) Stock Price Down 4.5% - Here's What Happened

Key Points

• Inspire Medical Systems' stock price dropped 4.5% during mid-day trading, reaching a low of $78.60, significantly below its previous close of $81.47.
• Analysts have issued mixed ratings for the stock, with targets ranging from $101.00 to $230.00, and an average rating of "Moderate Buy" with a target price of $164.50.
• The company reported improved quarterly earnings, with an EPS of $0.45, exceeding expectations and showing a 10.8% increase in revenue compared to the previous year.

Inspire Medical Systems, Inc. (NYSE:INSP - Get Free Report)'s stock price was down 4.5% during mid-day trading on Wednesday . The company traded as low as $78.60 and last traded at $77.77. Approximately 124,384 shares changed hands during mid-day trading, a decline of 82% from the average daily volume of 701,670 shares. The stock had previously closed at $81.47.

Analyst Ratings Changes

A number of analysts have issued reports on INSP shares. Stifel Nicolaus set a $140.00 price objective on Inspire Medical Systems and gave the stock a "hold" rating in a research note on Tuesday, August 5th. KeyCorp downgraded Inspire Medical Systems from an "overweight" rating to a "sector weight" rating in a research report on Tuesday, August 5th. Truist Financial reissued a "hold" rating and set a $125.00 target price (down previously from $190.00) on shares of Inspire Medical Systems in a research report on Tuesday, August 5th. Wells Fargo & Company cut their target price on Inspire Medical Systems from $174.00 to $101.00 and set an "equal weight" rating on the stock in a research report on Tuesday, August 5th. Finally, UBS Group set a $230.00 target price on Inspire Medical Systems and gave the company a "buy" rating in a research report on Tuesday, August 5th. Eight analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $164.50.

Inspire Medical Systems Stock Performance

The stock has a fifty day moving average of $107.77 and a 200-day moving average of $136.76. The company has a market cap of $2.33 billion, a PE ratio of 45.63, a PEG ratio of 2.61 and a beta of 1.15.

Inspire Medical Systems (NYSE:INSP - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The company reported $0.45 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.22 by $0.23. Inspire Medical Systems had a return on equity of 10.38% and a net margin of 6.17%.The company had revenue of $217.09 million during the quarter, compared to analysts' expectations of $214.50 million. During the same quarter in the previous year, the business earned $0.32 EPS. Inspire Medical Systems's revenue was up 10.8% compared to the same quarter last year. Inspire Medical Systems has set its FY 2025 guidance at 0.400-0.500 EPS. As a group, equities analysts anticipate that Inspire Medical Systems, Inc. will post 2.16 EPS for the current fiscal year.

Inspire Medical Systems announced that its Board of Directors has authorized a stock buyback program on Monday, August 11th that permits the company to repurchase $200.00 million in shares. This repurchase authorization permits the company to purchase up to 8.6% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company's management believes its shares are undervalued.

Insider Buying and Selling at Inspire Medical Systems

In other Inspire Medical Systems news, CFO Richard Buchholz sold 11,000 shares of the company's stock in a transaction on Friday, August 29th. The stock was sold at an average price of $93.39, for a total value of $1,027,290.00. Following the completion of the sale, the chief financial officer directly owned 44,867 shares in the company, valued at approximately $4,190,129.13. This represents a 19.69% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On Inspire Medical Systems

Several hedge funds have recently made changes to their positions in the company. Marex Group plc purchased a new stake in shares of Inspire Medical Systems in the 2nd quarter worth $541,000. Public Sector Pension Investment Board lifted its holdings in shares of Inspire Medical Systems by 6.9% in the 2nd quarter. Public Sector Pension Investment Board now owns 100,505 shares of the company's stock worth $13,043,000 after buying an additional 6,445 shares during the period. FORA Capital LLC purchased a new stake in shares of Inspire Medical Systems in the 2nd quarter worth $220,000. State of Tennessee Department of Treasury lifted its holdings in shares of Inspire Medical Systems by 11.3% in the 2nd quarter. State of Tennessee Department of Treasury now owns 16,445 shares of the company's stock worth $2,134,000 after buying an additional 1,666 shares during the period. Finally, Soleus Capital Management L.P. lifted its holdings in shares of Inspire Medical Systems by 179.5% in the 2nd quarter. Soleus Capital Management L.P. now owns 109,000 shares of the company's stock worth $14,145,000 after buying an additional 70,000 shares during the period. 94.91% of the stock is currently owned by hedge funds and other institutional investors.

Inspire Medical Systems Company Profile

Inspire Medical Systems, Inc, a medical technology company, focuses on the development and commercialization of minimally invasive solutions for patients with obstructive sleep apnea (OSA) in the United States and internationally. The company offers Inspire system, a neurostimulation technology that provides a safe and effective treatment for moderate to severe OSA.

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