iRhythm Technologies IRTC will release its quarterly earnings report on Wednesday, 2024-10-30. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate iRhythm Technologies to report an earnings per share (EPS) of $-0.58.
The market awaits iRhythm Technologies's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
Historical Earnings Performance
Last quarter the company beat EPS by $0.28, which was followed by a 12.28% drop in the share price the next day.
Here's a look at iRhythm Technologies's past performance and the resulting price change:
| Quarter | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 |
|---|---|---|---|---|
| EPS Estimate | -0.89 | -0.98 | -0.60 | -0.66 |
| EPS Actual | -0.61 | -1.23 | -0.84 | -0.79 |
| Price Change % | -12.0% | -7.000000000000001% | -9.0% | 5.0% |
Performance of iRhythm Technologies Shares
Shares of iRhythm Technologies were trading at $76.3 as of October 28. Over the last 52-week period, shares are down 1.27%. Given that these returns are generally negative, long-term shareholders are likely upset going into this earnings release.
Analyst Views on iRhythm Technologies
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding iRhythm Technologies.
The consensus rating for iRhythm Technologies is Buy, derived from 10 analyst ratings. An average one-year price target of $109.1 implies a potential 42.99% upside.
Comparing Ratings with Peers
The analysis below examines the analyst ratings and average 1-year price targets of Inari Medical, Enovis and QuidelOrtho, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.
- Inari Medical is maintaining an Neutral status according to analysts, with an average 1-year price target of $59.0, indicating a potential 22.67% downside.
- The consensus outlook from analysts is an Outperform trajectory for Enovis, with an average 1-year price target of $58.75, indicating a potential 23.0% downside.
- The consensus outlook from analysts is an Outperform trajectory for QuidelOrtho, with an average 1-year price target of $57.25, indicating a potential 24.97% downside.
Comprehensive Peer Analysis Summary
Within the peer analysis summary, vital metrics for Inari Medical, Enovis and QuidelOrtho are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| iRhythm Technologies | Buy | 19.27% | $103.47M | -21.22% |
| Inari Medical | Neutral | 22.53% | $125.83M | -7.20% |
| Enovis | Outperform | 22.56% | $288.88M | -0.57% |
| QuidelOrtho | Outperform | -4.22% | $276M | -4.56% |
Key Takeaway:
iRhythm Technologies ranks first in revenue growth among its peers. It has the lowest gross profit margin. The company has the lowest return on equity.
Delving into iRhythm Technologies's Background
iRhythm Technologies Inc is a commercial-stage digital healthcare company redefining the way cardiac arrhythmias are clinically diagnosed by combining wearable biosensing technology with cloud-based data analytics and machine-learning capabilities. The company's portfolio includes ambulatory cardiac monitoring services on a platform, called the Zio service, which combines an easy-to-wear and unobtrusive biosensor that can be worn for several days with powerful proprietary algorithms that distill data from millions of heartbeats into clinically actionable information. The company derived its revenue from the United States.
A Deep Dive into iRhythm Technologies's Financials
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Revenue Growth: iRhythm Technologies's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 19.27%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Health Care sector.
Net Margin: iRhythm Technologies's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -13.58% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): iRhythm Technologies's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -21.22%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): iRhythm Technologies's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -2.2%, the company may face hurdles in achieving optimal financial returns.
Debt Management: With a high debt-to-equity ratio of 7.43, iRhythm Technologies faces challenges in effectively managing its debt levels, indicating potential financial strain.
To track all earnings releases for iRhythm Technologies visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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