Kestra Medical Technologies (NASDAQ:KMTS) Stock Price Down 8.7% After Earnings Miss

Kestra Medical Technologies, Ltd. (NASDAQ:KMTS)’s stock price dropped 8.7% during mid-day trading on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $21.03 and last traded at $22.0880. 122,751 shares changed hands during trading, a decline of 64% from the average daily volume of 338,456 shares. The stock had previously closed at $24.18.

The company reported ($0.67) earnings per share for the quarter, missing the consensus estimate of ($0.59) by ($0.08). Kestra Medical Technologies had a negative return on equity of 65.49% and a negative net margin of 171.87%.The company had revenue of $28.64 million for the quarter.

Key Kestra Medical Technologies News

Here are the key news stories impacting Kestra Medical Technologies this week:

• Positive Sentiment: BTIG Research raised its price target on Kestra Medical Technologies (KMTS) from $30 to $32 and reiterated a buy rating, implying roughly 32% upside from the current share price. BTIG raises Kestra Medical price target
• Positive Sentiment: The company announced a $200 million non-dilutive term loan facility, which should strengthen liquidity and reduce near-term financing pressure. Kestra secures $200 million financing
• Positive Sentiment: Management guided FY2027 revenue to $137 million, slightly above Wall Street expectations, and said it is targeting 70%+ gross margins in the coming years. Kestra FY2027 guidance and margin targets
• Neutral Sentiment: Kestra reported Q4 EPS of -$0.67, missing the consensus estimate of -$0.59, but revenue of $28.64 million was a top-line beat. Kestra Q4 earnings recap
• Neutral Sentiment: The company’s earnings call transcript and press release may draw additional attention, but they mainly reinforce the same themes: revenue growth, ongoing losses, and a stronger balance sheet. Kestra quarterly results release
• Negative Sentiment: The quarterly loss and negative margins highlight that KMTS remains unprofitable, which may temper enthusiasm around the results. Kestra earnings call and transcript

Analyst Ratings Changes

Several research analysts have recently commented on KMTS shares. Wolfe Research set a $30.00 price target on Kestra Medical Technologies in a research report on Wednesday. The Goldman Sachs Group cut their price objective on Kestra Medical Technologies from $22.00 to $17.00 and set a “neutral” rating on the stock in a report on Thursday, April 9th. Wall Street Zen upgraded Kestra Medical Technologies from a “sell” rating to a “hold” rating in a report on Saturday, June 27th. Weiss Ratings raised Kestra Medical Technologies from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Tuesday, June 30th. Finally, BTIG Research increased their price target on shares of Kestra Medical Technologies from $30.00 to $32.00 and gave the stock a “buy” rating in a research report on Wednesday. Three investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $27.83.

Insider Activity

In other news, insider Brian Daniel Webster sold 15,000 shares of the stock in a transaction on Monday, June 15th. The stock was sold at an average price of $20.81, for a total value of $312,150.00. Following the sale, the insider directly owned 395,467 shares in the company, valued at approximately $8,229,668.27. This trade represents a 3.65% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 3.60% of the company’s stock.

Institutional Investors Weigh In On Kestra Medical Technologies

Large investors have recently bought and sold shares of the stock. Seven Grand Managers LLC purchased a new position in shares of Kestra Medical Technologies in the 4th quarter valued at about $2,652,000. Eventide Asset Management LLC increased its stake in shares of Kestra Medical Technologies by 5.4% during the fourth quarter. Eventide Asset Management LLC now owns 1,269,651 shares of the company’s stock worth $33,671,000 after buying an additional 65,288 shares during the period. Summit Partners Public Asset Management LLC purchased a new stake in shares of Kestra Medical Technologies during the fourth quarter worth approximately $9,282,000. UBS Group AG raised its holdings in Kestra Medical Technologies by 34.9% in the fourth quarter. UBS Group AG now owns 270,058 shares of the company’s stock valued at $7,162,000 after acquiring an additional 69,908 shares in the last quarter. Finally, Jennison Associates LLC lifted its stake in Kestra Medical Technologies by 15.0% in the fourth quarter. Jennison Associates LLC now owns 219,355 shares of the company’s stock worth $5,817,000 after acquiring an additional 28,573 shares during the last quarter.

Kestra Medical Technologies Stock Down 6.4%

The company has a debt-to-equity ratio of 0.15, a current ratio of 7.32 and a quick ratio of 7.32. The company has a market cap of $1.32 billion, a PE ratio of -5.72 and a beta of 0.47. The business’s 50 day moving average is $22.09 and its 200-day moving average is $22.75.

Kestra Medical Technologies Company Profile

We are a commercial-stage, wearable medical device and digital healthcare company focused on transforming patient outcomes in cardiovascular disease using monitoring and therapeutic intervention technologies that are intuitive, intelligent, and connected. We have developed and are commercializing our Cardiac Recovery System platform, a comprehensive and advanced system that integrates monitoring, therapeutic treatment, digital health, and patient support services into a single, unified solution. The cornerstone of our Cardiac Recovery System platform is the ASSURE WCD, a next generation wearable cardioverter defibrillator (“WCD”) used to protect patients at an elevated risk of sudden cardiac arrest (“SCA”), a major public health problem that accounts for approximately 50% of all cardiovascular deaths in the U.S.