Leerink Partnrs Has Bearish Outlook for INSP FY2026 Earnings

Key Points

• Leerink Partnrs has downgraded its FY2026 EPS estimate for Inspire Medical Systems from $1.88 to $1.61, which is significantly lower than the consensus estimate of $2.16.
• Despite the revised earnings forecast, Inspire Medical Systems reported a revenue increase of 10.8% year-over-year, with an EPS of $0.45 exceeding analysts' expectations.
• Inspire Medical Systems has initiated a $200 million stock repurchase plan, indicating management's belief that the stock is undervalued.

Inspire Medical Systems, Inc. (NYSE:INSP - Free Report) - Research analysts at Leerink Partnrs cut their FY2026 earnings per share (EPS) estimates for shares of Inspire Medical Systems in a report released on Tuesday, October 14th. Leerink Partnrs analyst M. Kratky now forecasts that the company will earn $1.61 per share for the year, down from their previous estimate of $1.88. The consensus estimate for Inspire Medical Systems' current full-year earnings is $2.16 per share. Leerink Partnrs also issued estimates for Inspire Medical Systems' FY2029 earnings at $5.07 EPS.

Inspire Medical Systems (NYSE:INSP - Get Free Report) last released its quarterly earnings data on Monday, August 4th. The company reported $0.45 earnings per share for the quarter, topping the consensus estimate of $0.22 by $0.23. The business had revenue of $217.09 million during the quarter, compared to analysts' expectations of $214.50 million. Inspire Medical Systems had a return on equity of 10.38% and a net margin of 6.17%.The business's revenue was up 10.8% on a year-over-year basis. During the same quarter last year, the business posted $0.32 EPS. Inspire Medical Systems has set its FY 2025 guidance at 0.400-0.500 EPS.

Other analysts have also issued research reports about the company. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a $150.00 price objective on shares of Inspire Medical Systems in a report on Friday. Wells Fargo & Company lowered their price objective 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. UBS Group set a $89.00 price objective on Inspire Medical Systems and gave the company a "neutral" rating in a research report on Monday, September 22nd. Truist Financial restated a "hold" rating and issued a $125.00 price objective (down from $190.00) on shares of Inspire Medical Systems in a research report on Tuesday, August 5th. Finally, Lake Street Capital set a $150.00 price objective on Inspire Medical Systems and gave the company a "buy" rating in a research report on Tuesday, August 5th. Seven equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $150.50.

Inspire Medical Systems Trading Up 1.4%

Shares of NYSE:INSP opened at $78.77 on Wednesday. The stock has a fifty day simple moving average of $82.86 and a two-hundred day simple moving average of $120.40. The stock has a market capitalization of $2.33 billion, a price-to-earnings ratio of 45.53, a PEG ratio of 2.42 and a beta of 1.16. Inspire Medical Systems has a 12-month low of $70.77 and a 12-month high of $216.01.

Inspire Medical Systems announced that its Board of Directors has approved a stock repurchase plan on Monday, August 11th that allows the company to buyback $200.00 million in shares. This buyback authorization allows the company to buy up to 8.6% of its stock through open market purchases. Stock buyback plans are generally an indication that the company's management believes its stock is undervalued.

Insider Activity at Inspire Medical Systems

In other Inspire Medical Systems news, CFO Richard Buchholz sold 11,000 shares of the business's stock in a transaction that occurred on Friday, August 29th. The stock was sold at an average price of $93.39, for a total transaction of $1,027,290.00. Following the sale, the chief financial officer directly owned 44,867 shares of the company's stock, valued at $4,190,129.13. The trade was a 19.69% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Corporate insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On Inspire Medical Systems

Several large investors have recently added to or reduced their stakes in INSP. GAMMA Investing LLC increased its stake in Inspire Medical Systems by 253.7% during the first quarter. GAMMA Investing LLC now owns 573 shares of the company's stock worth $91,000 after acquiring an additional 411 shares during the last quarter. SG Americas Securities LLC grew its stake in Inspire Medical Systems by 14.7% in the first quarter. SG Americas Securities LLC now owns 4,055 shares of the company's stock worth $646,000 after purchasing an additional 521 shares in the last quarter. Fifth Third Bancorp lifted its holdings in Inspire Medical Systems by 66.2% during the first quarter. Fifth Third Bancorp now owns 2,698 shares of the company's stock worth $430,000 after buying an additional 1,075 shares during the period. Exchange Traded Concepts LLC lifted its holdings in Inspire Medical Systems by 2,028.4% during the first quarter. Exchange Traded Concepts LLC now owns 10,706 shares of the company's stock worth $1,705,000 after buying an additional 10,203 shares during the period. Finally, Oppenheimer Asset Management Inc. lifted its holdings in Inspire Medical Systems by 16.7% during the first quarter. Oppenheimer Asset Management Inc. now owns 15,206 shares of the company's stock worth $2,422,000 after buying an additional 2,179 shares during the period. 94.91% of the stock is owned by institutional investors.

About Inspire Medical Systems

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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