LivaNova (NASDAQ:LIVN) Releases Quarterly Earnings Results, Beats Estimates By $0.17 EPS

Key Points

• LivaNova beat quarterly expectations: EPS rose to $1.26 from $1.05, exceeding the $1.09 consensus, while revenue increased 10.8% year over year to $390.6 million.
• 2026 guidance was raised: The company now expects adjusted EPS of $4.30–$4.40 and revenue growth of 8%–9%, supported by continued momentum in its Cardiopulmonary and Epilepsy businesses.
• Shares fell despite the strong results: LivaNova stock dropped about 8.4%, as higher capital spending reduced free-cash-flow guidance to $140 million–$160 million and investors weighed the company’s roughly 40-times earnings valuation.

LivaNova (NASDAQ:LIVN - Get Free Report) announced its quarterly earnings results on Wednesday. The company reported $1.26 earnings per share for the quarter, beating the consensus estimate of $1.09 by $0.17, FiscalAI reports. The firm had revenue of $390.59 million during the quarter, compared to analyst estimates of $380.50 million. LivaNova had a return on equity of 16.48% and a net margin of 7.48%.LivaNova's revenue for the quarter was up 10.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.05 EPS. LivaNova updated its FY 2026 guidance to 4.300-4.400 EPS.

Here are the key takeaways from LivaNova's conference call:

• Q2 revenue rose 9.8% on a constant-currency basis to a record $391 million, while adjusted EPS increased to $1.26 from $1.05, supported by growth in Cardiopulmonary and Epilepsy.
• LivaNova raised its 2026 revenue-growth outlook to 8%–9% and adjusted EPS guidance to $4.30–$4.40; Cardiopulmonary and Epilepsy growth expectations were also increased.
• The company is expanding oxygenator capacity through a new production line expected to go live in the second half of 2026 and a long-term Thermo Fisher agreement for a critical component, supporting potential market-share gains.
• Epilepsy momentum benefited from improved reimbursement, clinical evidence, higher realized pricing and a stronger patient funnel; management said new-patient implants are growing in existing accounts and through new account activations.
• Adjusted free-cash-flow guidance was reduced to $140 million–$160 million from $160 million–$180 million as capital spending rises to $135 million, while the OSA PMA supplement submission was pushed to between the second half of 2026 and the first half of 2027.

LivaNova Trading Down 8.4%

LIVN traded down $7.18 during mid-day trading on Wednesday, hitting $78.14. 1,862,507 shares of the stock were exchanged, compared to its average volume of 605,780. The firm's fifty day moving average is $79.54 and its two-hundred day moving average is $70.61. LivaNova has a 1-year low of $45.64 and a 1-year high of $85.76. The company has a current ratio of 1.33, a quick ratio of 1.11 and a debt-to-equity ratio of 0.24. The company has a market cap of $4.29 billion, a PE ratio of 40.07 and a beta of 0.86.

LivaNova News Roundup

Here are the key news stories impacting LivaNova this week:

• Positive Sentiment: Quarterly results exceeded expectations: LivaNova reported second-quarter earnings of $1.26 per share, versus the $1.08–$1.09 analyst consensus, while revenue rose 10.8% year over year to $390.6 million, above the approximately $380.5 million estimate. LivaNova Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: 2026 earnings guidance was raised: The company now expects full-year adjusted EPS of $4.30 to $4.40, above the $4.15 consensus estimate. Revenue guidance was approximately $1.5 billion, broadly in line with expectations. LivaNova exceeds second-quarter forecasts and increases 2026 outlook
• Positive Sentiment: Analyst became more bullish: Needham raised its price target from $81 to $93 and assigned a Buy rating, implying meaningful potential upside from the referenced trading level. Benzinga
• Neutral Sentiment: Momentum has been strong: LivaNova recently reached a fresh 52-week high, but commentary noted that investors must weigh the company’s improving fundamentals against the possibility that additional gains are already reflected in the valuation. LivaNova Hits Fresh High
• Negative Sentiment: Shares pulled back despite the beats: The decline following the earnings release may reflect profit-taking after the recent rally, or investor concern that the roughly 40 times earnings valuation leaves limited room for further upside unless growth accelerates.

Analyst Upgrades and Downgrades

Several analysts recently commented on the company. KeyCorp boosted their price target on LivaNova from $83.00 to $92.00 and gave the stock an "overweight" rating in a research report on Monday, June 22nd. Needham & Company LLC upped their target price on shares of LivaNova from $81.00 to $93.00 and gave the stock a "buy" rating in a report on Wednesday. Stifel Nicolaus set a $85.00 price target on shares of LivaNova in a research note on Wednesday. Mizuho upped their price objective on shares of LivaNova from $90.00 to $95.00 and gave the company an "outperform" rating in a research note on Wednesday, July 15th. Finally, Zacks Research upgraded shares of LivaNova from a "hold" rating to a "strong-buy" rating in a report on Tuesday, July 21st. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $83.50.

Insiders Place Their Bets

In other news, Director Francesco Bianchi sold 1,800 shares of the stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $75.75, for a total value of $136,350.00. Following the sale, the director directly owned 7,228 shares in the company, valued at approximately $547,521. This trade represents a 19.94% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.35% of the stock is currently owned by insiders.

Hedge Funds Weigh In On LivaNova

Several large investors have recently bought and sold shares of LIVN. UMB Bank n.a. raised its holdings in LivaNova by 22.6% during the fourth quarter. UMB Bank n.a. now owns 971 shares of the company's stock worth $60,000 after purchasing an additional 179 shares in the last quarter. Parallel Advisors LLC boosted its holdings in shares of LivaNova by 28.8% in the 4th quarter. Parallel Advisors LLC now owns 1,266 shares of the company's stock valued at $78,000 after buying an additional 283 shares in the last quarter. California State Teachers Retirement System boosted its holdings in shares of LivaNova by 0.9% in the 2nd quarter. California State Teachers Retirement System now owns 50,202 shares of the company's stock valued at $2,260,000 after buying an additional 458 shares in the last quarter. EverSource Wealth Advisors LLC grew its position in shares of LivaNova by 998.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 703 shares of the company's stock valued at $32,000 after buying an additional 639 shares during the last quarter. Finally, State of Wyoming purchased a new position in shares of LivaNova in the 2nd quarter valued at $31,000. Hedge funds and other institutional investors own 97.64% of the company's stock.

LivaNova Company Profile

LivaNova plc is a global medical technology company that develops and manufactures products and therapies for the cardiac surgery and neuromodulation markets. Headquartered in London, United Kingdom, and Houston, Texas, LivaNova serves hospitals, clinics and healthcare providers in more than 100 countries. The company's primary focus lies in advancing patient care through innovations in heart–lung bypass, cardiac preservation, circulatory support and neurostimulation therapies.

The Cardiac Surgery business unit offers a comprehensive portfolio of products used in cardiopulmonary bypass procedures, including oxygenators, heart–lung machines, arterial filters, cannulae and sutureless heart valves.

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