Inspire Medical Systems (NYSE:INSP) Shares Down 3.9% – Here’s Why

Inspire Medical Systems, Inc. (NYSE:INSP)’s share price dropped 3.9% on Tuesday . The stock traded as low as $95.12 and last traded at $94.0950. Approximately 38,444 shares were traded during mid-day trading, a decline of 96% from the average daily volume of 931,827 shares. The stock had previously closed at $97.93.

Key Stores Impacting Inspire Medical Systems

Here are the key news stories impacting Inspire Medical Systems this week:

• Positive Sentiment: Zacks argues investors should retain INSP, citing strong Inspire V clinical data, improving reimbursement visibility and cost control that support longer‑term fundamentals. Read More.
• Positive Sentiment: An MSN/MarketWatch item reports a 12.65% increase in INSP’s consensus price target to $144.32, a potentially supportive signal for medium‑term valuation expectations. Read More.
• Neutral Sentiment: A comparative piece contrasts Inspire with EUDA Health (EUDA) — useful for investors sizing relative opportunities but not directly moving INSP shares. Read More.
• Negative Sentiment: Bernstein Litowitz filed a securities‑class action in SDNY alleging misleading statements by Inspire and certain executives; the suit follows a major share drop tied to reported product delays. Litigation increases legal exposure and investor uncertainty. Read More.
• Negative Sentiment: Multiple law firms (Faruqi & Faruqi, Levi & Korsinsky, Bleichmar Fonti & Auld, Rosen Law, Glancy Prongay, Hagens Berman, Schall, Gross, Bronstein, etc.) have issued investor alerts or filed suits and are soliciting lead plaintiffs ahead of a Jan 5, 2026 deadline — a coordinated legal response that amplifies short‑term downside risk. Read More.
• Negative Sentiment: Investor alerts tie the litigation to alleged concealed Medicare‑billing software failures and an Inspire V inventory glut — these operational issues are the proximate cause of the stock’s sharp sell‑off and ongoing volatility. Read More.

Analyst Upgrades and Downgrades

A number of research analysts have commented on INSP shares. Wells Fargo & Company raised Inspire Medical Systems from an “equal weight” rating to an “overweight” rating and decreased their price objective for the company from $101.00 to $90.00 in a report on Tuesday, November 4th. Jefferies Financial Group reiterated a “hold” rating and issued a $85.00 price target (down from $160.00) on shares of Inspire Medical Systems in a research report on Friday, October 24th. Piper Sandler increased their price target on Inspire Medical Systems from $135.00 to $165.00 and gave the stock an “overweight” rating in a research report on Monday, December 8th. JPMorgan Chase & Co. lifted their price objective on Inspire Medical Systems from $82.00 to $118.00 and gave the company a “neutral” rating in a report on Tuesday, December 16th. Finally, Evercore ISI reduced their target price on Inspire Medical Systems from $150.00 to $125.00 and set an “outperform” rating on the stock in a report on Tuesday, October 7th. Eleven research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Inspire Medical Systems presently has a consensus rating of “Moderate Buy” and an average target price of $139.00.

Inspire Medical Systems Trading Down 3.3%

The firm has a 50-day moving average of $99.98 and a two-hundred day moving average of $102.96. The firm has a market capitalization of $2.75 billion, a P/E ratio of 64.40, a P/E/G ratio of 11.12 and a beta of 0.69.

Inspire Medical Systems (NYSE:INSP) last posted its quarterly earnings results on Monday, November 3rd. The company reported $0.38 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.15) by $0.53. The company had revenue of $224.50 million for the quarter, compared to the consensus estimate of $220.39 million. Inspire Medical Systems had a net margin of 5.05% and a return on equity of 9.41%. The firm’s quarterly revenue was up 10.5% compared to the same quarter last year. During the same period last year, the company posted $0.60 EPS. On average, sell-side analysts anticipate that Inspire Medical Systems, Inc. will post 2.16 EPS for the current fiscal year.

Insiders Place Their Bets

In other Inspire Medical Systems news, Director Shawn Mccormick sold 2,000 shares of the company’s stock in a transaction dated Friday, November 28th. The stock was sold at an average price of $127.48, for a total value of $254,960.00. Following the completion of the transaction, the director owned 26,046 shares of the company’s stock, valued at $3,320,344.08. This represents a 7.13% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 2.30% of the stock is owned by corporate insiders.

Institutional Trading of Inspire Medical Systems

Several hedge funds and other institutional investors have recently made changes to their positions in INSP. Deutsche Bank AG raised its holdings in Inspire Medical Systems by 8.5% in the 1st quarter. Deutsche Bank AG now owns 6,821 shares of the company’s stock valued at $1,086,000 after buying an additional 537 shares during the last quarter. HighTower Advisors LLC raised its stake in shares of Inspire Medical Systems by 35.3% during the first quarter. HighTower Advisors LLC now owns 2,910 shares of the company’s stock valued at $464,000 after acquiring an additional 760 shares during the last quarter. American Century Companies Inc. lifted its holdings in shares of Inspire Medical Systems by 64.4% during the first quarter. American Century Companies Inc. now owns 18,432 shares of the company’s stock worth $2,936,000 after purchasing an additional 7,218 shares during the period. Northern Trust Corp grew its stake in shares of Inspire Medical Systems by 6.6% in the first quarter. Northern Trust Corp now owns 260,407 shares of the company’s stock worth $41,478,000 after purchasing an additional 16,158 shares during the last quarter. Finally, AlphaQuest LLC raised its position in Inspire Medical Systems by 248.5% during the 1st quarter. AlphaQuest LLC now owns 1,028 shares of the company’s stock worth $164,000 after purchasing an additional 733 shares during the last quarter. 94.91% of the stock is currently owned by institutional investors.

Inspire Medical Systems Company Profile

Inspire Medical Systems, Inc is a medical technology company specializing in implantable neurostimulation devices for the treatment of obstructive sleep apnea (OSA). The company’s flagship offering, the Inspire® system, delivers targeted stimulation of the hypoglossal nerve to maintain airway patency during sleep, providing an alternative therapy for patients who are intolerant of or inadequately managed by continuous positive airway pressure (CPAP) devices.

The Inspire system comprises an implantable pulse generator, a sensing lead that monitors breathing patterns, and a stimulation lead that activates the hypoglossal nerve.