iRhythm Technologies (NASDAQ:IRTC) Hits New 52-Week High on Better-Than-Expected Earnings

Key Points

• iRhythm Technologies reached a new 52-week high of $165.00 after posting better-than-expected earnings, with a last trade at $161.70.
• The company reported $186.69 million in revenue for the quarter, exceeding analysts' expectations of $173.94 million, and earnings per share of ($0.32), topping consensus estimates of ($0.53).
• Analyst ratings have improved, with multiple firms raising their price targets, including Needham & Company, which increased it to $180.00, reflecting a growing confidence in the stock's potential.

iRhythm Technologies (NASDAQ:IRTC - Get Free Report)'s stock price hit a new 52-week high on Friday after the company announced better than expected quarterly earnings. The company traded as high as $165.00 and last traded at $161.70, with a volume of 264925 shares. The stock had previously closed at $140.18.

The company reported ($0.32) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.53) by $0.21. iRhythm Technologies had a negative return on equity of 90.03% and a negative net margin of 14.06%. The company had revenue of $186.69 million for the quarter, compared to the consensus estimate of $173.94 million. During the same quarter last year, the business posted ($0.61) earnings per share. The firm's revenue was up 26.1% compared to the same quarter last year.

Analyst Upgrades and Downgrades

IRTC has been the topic of a number of research reports. Canaccord Genuity Group raised their price target on iRhythm Technologies from $139.00 to $170.00 and gave the company a "buy" rating in a research report on Friday. Robert W. Baird lifted their price objective on iRhythm Technologies from $133.00 to $150.00 and gave the stock an "outperform" rating in a report on Friday, May 2nd. William Blair upgraded iRhythm Technologies to a "strong-buy" rating in a report on Friday. Morgan Stanley decreased their price objective on iRhythm Technologies from $160.00 to $147.00 and set an "overweight" rating on the stock in a report on Tuesday, July 15th. Finally, Wall Street Zen downgraded iRhythm Technologies from a "hold" rating to a "sell" rating in a report on Monday, May 5th. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating, nine have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat, iRhythm Technologies presently has a consensus rating of "Moderate Buy" and a consensus target price of $157.30.

Insider Buying and Selling at iRhythm Technologies

In other iRhythm Technologies news, insider Chad Patterson sold 936 shares of iRhythm Technologies stock in a transaction that occurred on Monday, June 23rd. The stock was sold at an average price of $150.00, for a total transaction of $140,400.00. Following the sale, the insider directly owned 48,929 shares of the company's stock, valued at approximately $7,339,350. The trade was a 1.88% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Daniel G. Wilson sold 3,000 shares of iRhythm Technologies stock in a transaction that occurred on Monday, June 23rd. The shares were sold at an average price of $150.00, for a total transaction of $450,000.00. Following the transaction, the chief financial officer owned 40,307 shares of the company's stock, valued at $6,046,050. The trade was a 6.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 5,356 shares of company stock valued at $796,882. 0.68% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On iRhythm Technologies

Hedge funds have recently added to or reduced their stakes in the company. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in iRhythm Technologies by 169.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 903,084 shares of the company's stock valued at $94,535,000 after buying an additional 568,261 shares during the last quarter. Fuller & Thaler Asset Management Inc. bought a new position in shares of iRhythm Technologies during the 1st quarter valued at about $54,249,000. First Light Asset Management LLC bought a new position in shares of iRhythm Technologies in the 4th quarter valued at about $38,818,000. Millennium Management LLC lifted its holdings in shares of iRhythm Technologies by 563.8% in the 1st quarter. Millennium Management LLC now owns 399,746 shares of the company's stock valued at $41,845,000 after acquiring an additional 339,529 shares during the last quarter. Finally, Bessemer Group Inc. lifted its stake in iRhythm Technologies by 111.7% in the fourth quarter. Bessemer Group Inc. now owns 568,007 shares of the company's stock worth $51,217,000 after purchasing an additional 299,726 shares during the last quarter.

iRhythm Technologies Trading Down 2.9%

The stock's 50-day moving average price is $143.12 and its 200 day moving average price is $123.07. The firm has a market capitalization of $5.15 billion, a PE ratio of -54.69 and a beta of 1.41. The company has a debt-to-equity ratio of 6.25, a current ratio of 5.02 and a quick ratio of 4.88.

iRhythm Technologies Company Profile

iRhythm Technologies, Inc, a digital healthcare company, engages in the design, development, and commercialization of device-based technology to provide ambulatory cardiac monitoring services to diagnose arrhythmias in the United States. It offers Zio services, an ambulatory monitoring solution, including long-term and short-term continuous monitoring and mobile cardiac telemetry monitoring services.