iRhythm Technologies (NASDAQ:IRTC) Shares Gap Down Following Weak Earnings

iRhythm Technologies, Inc. (NASDAQ:IRTC) gapped down before the market opened on Thursday following a dissappointing earnings announcement. The stock had previously closed at $75.77, but opened at $68.00. iRhythm Technologies shares last traded at $72.51, with a volume of 78,844 shares traded.

The company reported ($1.26) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.55) by ($0.71). The firm had revenue of $147.54 million for the quarter, compared to analyst estimates of $146.69 million. iRhythm Technologies had a negative net margin of 24.50% and a negative return on equity of 84.14%. The business’s revenue for the quarter was up 18.4% compared to the same quarter last year. During the same period in the prior year, the company posted ($0.89) EPS.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on IRTC shares. Needham & Company LLC dropped their target price on shares of iRhythm Technologies from $119.00 to $96.00 and set a “buy” rating on the stock in a report on Thursday. StockNews.com downgraded iRhythm Technologies from a “hold” rating to a “sell” rating in a research note on Friday, September 27th. Robert W. Baird decreased their target price on iRhythm Technologies from $120.00 to $110.00 and set an “outperform” rating for the company in a research note on Friday, August 2nd. The Goldman Sachs Group began coverage on iRhythm Technologies in a research note on Friday, October 4th. They issued a “neutral” rating and a $78.00 price target on the stock. Finally, Citigroup reduced their price objective on shares of iRhythm Technologies from $135.00 to $110.00 and set a “buy” rating for the company in a research report on Thursday, August 22nd. One analyst has rated the stock with a sell rating, one has assigned a hold rating and nine have given a buy rating to the company’s stock. Based on data from MarketBeat, iRhythm Technologies currently has a consensus rating of “Moderate Buy” and a consensus price target of $111.60.

Insider Transactions at iRhythm Technologies

In other news, CFO Brice Bobzien sold 1,372 shares of iRhythm Technologies stock in a transaction dated Friday, August 9th. The shares were sold at an average price of $70.34, for a total transaction of $96,506.48. Following the completion of the transaction, the chief financial officer now directly owns 24,428 shares in the company, valued at $1,718,265.52. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.68% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Headlands Technologies LLC lifted its stake in iRhythm Technologies by 10,650.0% during the 1st quarter. Headlands Technologies LLC now owns 430 shares of the company’s stock valued at $50,000 after acquiring an additional 426 shares in the last quarter. Nisa Investment Advisors LLC boosted its holdings in iRhythm Technologies by 79.6% during the second quarter. Nisa Investment Advisors LLC now owns 625 shares of the company’s stock worth $67,000 after purchasing an additional 277 shares during the last quarter. SG Americas Securities LLC purchased a new position in iRhythm Technologies during the first quarter worth about $126,000. Russell Investments Group Ltd. grew its position in iRhythm Technologies by 79,700.0% in the 1st quarter. Russell Investments Group Ltd. now owns 1,596 shares of the company’s stock worth $185,000 after purchasing an additional 1,594 shares in the last quarter. Finally, nVerses Capital LLC increased its stake in iRhythm Technologies by 400.0% in the 3rd quarter. nVerses Capital LLC now owns 2,000 shares of the company’s stock valued at $148,000 after buying an additional 1,600 shares during the last quarter.

iRhythm Technologies Stock Performance

The company’s 50-day simple moving average is $69.14 and its 200 day simple moving average is $85.45. The stock has a market cap of $2.25 billion, a P/E ratio of -17.13 and a beta of 1.22. The company has a current ratio of 6.92, a quick ratio of 6.76 and a debt-to-equity ratio of 6.50.

About iRhythm Technologies

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.