Pulmonx (NASDAQ:LUNG) Issues Quarterly Earnings Results

Pulmonx (NASDAQ:LUNG) issued its earnings results on Wednesday. The company reported ($0.25) EPS for the quarter, topping analysts’ consensus estimates of ($0.39) by $0.14, reports. The business had revenue of $22.60 million for the quarter, compared to the consensus estimate of $21.73 million. Pulmonx had a negative net margin of 61.91% and a negative return on equity of 77.58%.

Here are the key takeaways from Pulmonx’s conference call:

• Company attributes the weaker-than-expected 2025 U.S. revenue to internal execution problems — a stretched sales organization, disruptive territory role changes, misaligned incentives and roughly half the sales force turning over across the year, which disrupted account continuity.
• Management has realigned the commercial organization (CEO more involved, U.S. area VPs reporting to him), filled most open U.S. sales roles, and refocused reps on treating physicians and pulmonary service-line administrators; they expect U.S. sales to re-accelerate in the back half of 2026.
• Pulmonx completed a >10% cost restructuring and closed a $60 million, 5‑year credit facility (initial $40M drawn, $20M availability tied to milestones), and expects cash burn to fall from $32M in 2025 to $23M in 2026, which management says materially strengthens the balance sheet and runway.
• The AeriSeal CONVERT II pivotal trial is a priority with accelerating enrollment and an expected completion in 2027; management believes AeriSeal could expand the company’s global TAM by ~20% and drive medium-term growth.
• 2026 guidance calls for $90–$92M revenue (roughly flat to 2025), ~75% gross margin and $113–$115M operating expenses, with management forecasting a return to year‑over‑year growth and operating leverage in the second half of the year.

Pulmonx Stock Up 11.5%

Shares of NASDAQ:LUNG traded up $0.17 on Thursday, reaching $1.61. The company had a trading volume of 1,175,085 shares, compared to its average volume of 382,298. The firm has a market capitalization of $66.21 million, a PE ratio of -1.14 and a beta of 0.07. The company has a current ratio of 4.86, a quick ratio of 4.15 and a debt-to-equity ratio of 0.62. Pulmonx has a 52-week low of $1.31 and a 52-week high of $8.12. The firm’s 50 day simple moving average is $1.77 and its 200-day simple moving average is $1.79.

Insiders Place Their Bets

In other Pulmonx news, CEO Glendon E. French III sold 67,813 shares of Pulmonx stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $1.43, for a total value of $96,972.59. Following the transaction, the chief executive officer owned 1,409,511 shares in the company, valued at $2,015,600.73. The trade was a 4.59% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders sold a total of 98,265 shares of company stock worth $140,519 over the last 90 days. 6.80% of the stock is owned by company insiders.

Institutional Trading of Pulmonx

Several hedge funds have recently modified their holdings of LUNG. Susquehanna Portfolio Strategies LLC purchased a new position in shares of Pulmonx in the 4th quarter worth approximately $133,000. Engineers Gate Manager LP acquired a new stake in Pulmonx in the fourth quarter valued at approximately $106,000. ADAR1 Capital Management LLC boosted its stake in Pulmonx by 65.7% in the fourth quarter. ADAR1 Capital Management LLC now owns 355,410 shares of the company’s stock valued at $785,000 after acquiring an additional 140,913 shares in the last quarter. AQR Capital Management LLC grew its holdings in Pulmonx by 144.6% in the fourth quarter. AQR Capital Management LLC now owns 58,919 shares of the company’s stock worth $130,000 after purchasing an additional 34,828 shares during the last quarter. Finally, Lazard Asset Management LLC acquired a new position in shares of Pulmonx during the fourth quarter worth $31,000. 91.04% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

LUNG has been the topic of several research analyst reports. D. Boral Capital reissued a “buy” rating and issued a $14.00 price objective on shares of Pulmonx in a research note on Thursday. Weiss Ratings reiterated a “sell (e+)” rating on shares of Pulmonx in a report on Thursday, January 22nd. Finally, Wall Street Zen upgraded Pulmonx from a “sell” rating to a “hold” rating in a research note on Sunday, November 16th. Five analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $6.81.

More Pulmonx News

Here are the key news stories impacting Pulmonx this week:

• Positive Sentiment: Closed a up-to-$60 million, five-year credit facility with Perceptive Advisors that includes an initial $40M draw to refinance existing debt, extends maturity to 2031 and provides an undrawn $20M option tied to milestones — improves liquidity runway and capital structure. Credit Facility Announcement
• Positive Sentiment: Q4 results beat expectations: EPS -$0.25 vs. consensus -$0.39 and revenue $22.6M vs. ~$21.7M — loss narrowed vs prior year and adjusted EBITDA improved, which supports the company’s operational progress. Earnings Report
• Positive Sentiment: D. Boral Capital reiterated a “Buy” rating with a $14 price target (large upside vs current levels) — analyst support can attract buyers and improve sentiment. Analyst Reaffirmation
• Neutral Sentiment: Q4 gross margin improved to ~78% and operating expenses fell ~11% year-over-year in the quarter — margin recovery and cost cuts are constructive but need revenue re-acceleration to translate into sustained profitability. Quarterly Results Release
• Negative Sentiment: 2026 revenue guidance of $90M–$92M comes in below consensus (~$94.1M), signaling slower near-term top-line growth and limiting upside despite cost cuts. Guidance Disclosure
• Negative Sentiment: Multiple insiders (including the CEO and general counsel) sold shares on March 2 — notable insider selling can be viewed negatively by the market. SEC filing links show the transactions. CEO Form 4
• Negative Sentiment: The new financing carries a high effective cost (one-month SOFR + 7.0% with a 3.75% floor, and 2% PIK option) and includes milestone-linked access to the additional $20M — helpful for liquidity but raises interest expense and conditionality/dilution concerns. Facility Analysis
• Negative Sentiment: Reports that the company issued warrants as part of recent financing (term loan/warrants) raise potential dilution risk if exercised. Loan & Warrants Report

About Pulmonx

Pulmonx Corporation is a commercial-stage medical device company focused on bronchoscopic lung volume reduction for patients suffering from severe emphysema. The company’s flagship therapy, the Zephyr® Endobronchial Valve System, employs one-way valves delivered via a minimally invasive bronchoscopic procedure to collapse diseased portions of the lung, reducing hyperinflation and improving respiratory function. Complementing this treatment, Pulmonx offers the Chartis® Pulmonary Assessment System, which provides clinicians with quantitative measurements of collateral ventilation to aid in patient selection and optimize clinical outcomes.

The Zephyr Valve received the CE mark in Europe in 2008 and FDA approval in the United States in 2018, and it has since been adopted by leading respiratory and thoracic centers across North America and Europe.