Assessing Nevro: Insights From 9 Financial Analysts

In the last three months, 9 analysts have published ratings on Nevro NVRO, offering a diverse range of perspectives from bullish to bearish.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $7.69, a high estimate of $10.00, and a low estimate of $5.50. Highlighting a 36.81% decrease, the current average has fallen from the previous average price target of $12.17.

Understanding Analyst Ratings: A Comprehensive Breakdown

The analysis of recent analyst actions sheds light on the perception of Nevro by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Nevro. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Nevro compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Nevro's stock. This comparison reveals trends in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Nevro's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Nevro analyst ratings.

If you are interested in following small-cap stock news and performance you can start by tracking it here.

Unveiling the Story Behind Nevro

Nevro Corp is a medical device company. Its key product is the HFX spinal cord stimulation (SCS) platform, which includes the Senza SCS system, an evidence-based neuromodulation system for the treatment of chronic pain. Senza generates electrical impulses to relieve pain. The system is implanted by physicians and controlled by patients. It consists of leads, a trial stimulator, an implantable pulse generator, surgical tools, a clinician laptop programmer, a patient remote control, and a mobile charger. The company generates the majority of its revenue in the United States.

Nevro: Delving into Financials

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Negative Revenue Trend: Examining Nevro's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -4.27% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Health Care sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Nevro's net margin excels beyond industry benchmarks, reaching -18.79%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of -7.08%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Nevro's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -3.26% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Nevro's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.88.

The Basics of Analyst Ratings

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.