Trupanion (NASDAQ:TRUP) Sets New 1-Year Low After Earnings Miss

Trupanion, Inc. (NASDAQ:TRUP)’s share price reached a new 52-week low during mid-day trading on Friday after the company announced weaker than expected quarterly earnings. The company traded as low as $28.83 and last traded at $28.5760, with a volume of 150174 shares. The stock had previously closed at $32.14.

The financial services provider reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.14 by ($0.01). Trupanion had a return on equity of 4.48% and a net margin of 1.10%.The business had revenue of $376.85 million during the quarter, compared to analyst estimates of $375.89 million. During the same period in the prior year, the business posted $0.04 EPS. Trupanion’s revenue was up 11.7% compared to the same quarter last year.

Key Stories Impacting Trupanion

Here are the key news stories impacting Trupanion this week:

• Positive Sentiment: Company set a 14% subscription revenue growth target for 2026 and highlighted record policyholder retention and margin gains, supporting medium‑term revenue and profitability expectations. Trupanion outlines 14% subscription revenue growth target for 2026
• Positive Sentiment: Q4 revenue grew ~11.7% year‑over‑year and came in essentially in line with Street expectations (~$376.8M vs. ~$375.9M), indicating continued top‑line momentum. TRUP Posts Q4 CY2025 Sales In Line With Estimates
• Positive Sentiment: Management reiterated long‑term profit progress — noting more than $500M in discretionary profit since 2021 and strong CAGR in discretionary earnings — which supports confidence in margin convertibility of growth. Trupanion Reports Fourth Quarter & Full Year 2025 Results
• Neutral Sentiment: Earnings call slides and full transcript are available for investors who want detail on unit economics, claims trends and retention dynamics. Q4 Results – Earnings Call Presentation
• Negative Sentiment: Q4 EPS missed consensus by $0.01 ($0.13 vs. $0.14), which — combined with a modest margin profile — disappointed some short‑term earnings‑focused traders. Trupanion Q4 Earnings Miss Estimates
• Negative Sentiment: Company issued Q1 and FY2026 revenue ranges that are roughly in line with expectations but did not provide clear EPS targets in its update, increasing near‑term earnings visibility concerns for some investors. MarketBeat Q4 Coverage and Guidance Details
• Negative Sentiment: Pre‑earnings selloff and analyst/investor caution left the stock vulnerable to further downside after a small miss and guidance ambiguity; coverage pieces noted investors were bracing for the report following a steep prior slide. Investors brace for Trupanion earnings after stock’s steep slide

Analysts Set New Price Targets

TRUP has been the topic of a number of recent analyst reports. Cantor Fitzgerald cut their price target on shares of Trupanion from $50.00 to $42.00 and set a “neutral” rating on the stock in a research note on Wednesday, January 14th. Piper Sandler lowered their price objective on shares of Trupanion from $60.00 to $45.00 and set an “overweight” rating for the company in a research note on Friday. Weiss Ratings reissued a “sell (d+)” rating on shares of Trupanion in a research report on Monday, December 29th. Stifel Nicolaus set a $35.00 target price on Trupanion in a research note on Friday. Finally, Wall Street Zen cut Trupanion from a “buy” rating to a “hold” rating in a research report on Saturday, December 6th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $45.50.

Insider Activity

In other news, CFO Fawwad Qureshi sold 6,202 shares of the stock in a transaction on Wednesday, November 26th. The shares were sold at an average price of $35.45, for a total value of $219,860.90. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, COO John R. Gallagher sold 6,383 shares of the business’s stock in a transaction on Friday, November 28th. The shares were sold at an average price of $34.82, for a total transaction of $222,256.06. Following the transaction, the chief operating officer owned 32,721 shares of the company’s stock, valued at $1,139,345.22. This represents a 16.32% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 32,853 shares of company stock valued at $1,181,863 in the last ninety days. Insiders own 5.42% of the company’s stock.

Institutional Trading of Trupanion

A number of hedge funds have recently modified their holdings of the stock. Royal Bank of Canada raised its position in Trupanion by 60.6% during the first quarter. Royal Bank of Canada now owns 29,763 shares of the financial services provider’s stock valued at $1,109,000 after acquiring an additional 11,233 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in shares of Trupanion by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 19,603 shares of the financial services provider’s stock worth $731,000 after purchasing an additional 858 shares during the period. Millennium Management LLC grew its stake in shares of Trupanion by 73.5% during the 1st quarter. Millennium Management LLC now owns 267,976 shares of the financial services provider’s stock worth $9,987,000 after purchasing an additional 113,490 shares during the period. Yousif Capital Management LLC increased its holdings in shares of Trupanion by 1.8% during the 2nd quarter. Yousif Capital Management LLC now owns 12,580 shares of the financial services provider’s stock valued at $696,000 after purchasing an additional 226 shares in the last quarter. Finally, Mutual of America Capital Management LLC acquired a new position in shares of Trupanion in the 2nd quarter valued at $240,000.

Trupanion Price Performance

The stock’s fifty day moving average is $35.04 and its 200-day moving average is $40.25. The stock has a market capitalization of $1.25 billion, a PE ratio of 80.43 and a beta of 1.58. The company has a debt-to-equity ratio of 0.31, a current ratio of 1.71 and a quick ratio of 1.71.

About Trupanion

Trupanion, Inc is a pet medical insurance company that provides comprehensive insurance coverage for cats and dogs. The company’s core offering is a single, customizable medical policy designed to cover veterinary diagnostic tests, surgeries, hospital stays and congenital or hereditary conditions. Trupanion seeks to streamline the claims process by offering direct payment options to participating veterinarians, reducing the need for upfront payments by pet owners.

Founded in 1999 by Darryl Rawlings and headquartered in Seattle, Washington, Trupanion began operations in the early 2000s and has grown its presence through both digital channels and partnerships with veterinary hospitals.