Butterfly Network (NYSE:BFLY) Issues Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Butterfly Network (NYSE:BFLY) posted its quarterly earnings data on Thursday. The company reported ($0.02) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.04) by $0.02, FiscalAI reports. The business had revenue of $31.51 million for the quarter, compared to analyst estimates of $26.25 million. Butterfly Network had a negative return on equity of 32.05% and a negative net margin of 78.95%.

Here are the key takeaways from Butterfly Network’s conference call:

• Q4 revenue was a record $31.5M (+41% YoY) and the company reported its first quarter of positive operating cash flow, driven largely by upfront payments from the Midjourney agreement.
• Butterfly says Embedded is accelerating — it executed a $74M Midjourney contract (contributed $6.8M in Q4), reports ~8–9 embedded partners and a large pipeline, and expects potential future chip sales and revenue?share as partners commercialize.
• Profitability and liquidity improved (Q4 adjusted EBITDA loss narrowed to -$3.2M, FY cash use fell to $19.4M, year?end cash $154.5M) and 2026 revenue guidance is $117–121M (+20–24%), though the company still expects a full?year adjusted EBITDA loss of $21–25M.
• International revenue declined (Q4 down 6% YoY) and sales mix showed a 79% drop in iQ+ units, highlighting U.S. concentration and exposure to timing, tariff and commercialization risks tied to large Embedded partners.

Butterfly Network Trading Down 19.0%

NYSE:BFLY opened at $3.78 on Friday. The company’s 50-day moving average is $3.82 and its two-hundred day moving average is $2.78. The firm has a market cap of $955.59 million, a price-to-earnings ratio of -12.20 and a beta of 2.27. Butterfly Network has a 12-month low of $1.32 and a 12-month high of $5.03.

Insiders Place Their Bets

In other Butterfly Network news, Director Jonathan M. Rothberg sold 769,327 shares of the stock in a transaction on Monday, December 8th. The stock was sold at an average price of $3.27, for a total transaction of $2,515,699.29. The sale was disclosed in a document filed with the SEC, which is available at this link. In the last three months, insiders sold 4,725,727 shares of company stock valued at $16,172,849. Insiders own 25.18% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Ameriprise Financial Inc. acquired a new position in Butterfly Network during the third quarter worth approximately $25,000. BNP Paribas Financial Markets increased its stake in Butterfly Network by 707.2% during the 2nd quarter. BNP Paribas Financial Markets now owns 16,258 shares of the company’s stock worth $33,000 after buying an additional 14,244 shares during the period. ExodusPoint Capital Management LP acquired a new position in shares of Butterfly Network in the fourth quarter worth about $38,000. CIBC Bancorp USA Inc. acquired a new position in shares of Butterfly Network in the 3rd quarter valued at approximately $40,000. Finally, Prudential Financial Inc. bought a new position in Butterfly Network during the 2nd quarter valued at $40,000. Institutional investors and hedge funds own 37.85% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the stock. Wall Street Zen upgraded shares of Butterfly Network from a “sell” rating to a “hold” rating in a research note on Sunday, November 23rd. TD Cowen boosted their target price on Butterfly Network from $4.50 to $6.00 and gave the company a “buy” rating in a report on Friday. Craig Hallum reiterated a “buy” rating and issued a $5.25 price target on shares of Butterfly Network in a research report on Wednesday, January 21st. Loop Capital set a $5.00 price objective on Butterfly Network in a research report on Wednesday, December 31st. Finally, Zacks Research lowered shares of Butterfly Network from a “hold” rating to a “strong sell” rating in a research note on Thursday. Four investment analysts have rated the stock with a Buy rating, one has given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Butterfly Network presently has an average rating of “Hold” and a consensus target price of $5.44.

More Butterfly Network News

Here are the key news stories impacting Butterfly Network this week:

• Positive Sentiment: TD Cowen raised its price target to $6.00 and reiterated a “buy” rating, signaling material upside vs. the current level and providing broker support for the stock. TD Cowen Raises PT to $6
• Positive Sentiment: Q4 results beat expectations: revenue of $31.5M topped consensus and EPS loss was smaller than forecast, while commentary and press materials highlighted record revenue growth. These results underpin the revenue-outperformance narrative. Q4 Highlights
• Positive Sentiment: Management issued FY2026 revenue guidance ($117M–$121M) above Street consensus (~$108.5M), which is a key near-term growth guidepost for investors watching topline momentum.
• Positive Sentiment: Unusually large options activity—over 10,000 call contracts bought—indicates speculative or institutional bullish positioning that could amplify upside on positive follow-through.
• Positive Sentiment: Industry/strategy write-ups emphasize Butterfly’s semiconductor-based ultrasound plus AI (Compass) as a long-term competitive differentiator if execution scales, supporting a multi-quarter growth thesis. Seeking Alpha: Ultrasound-On-Chip
• Neutral Sentiment: The full Q4 earnings call transcript and BusinessWire release provide more color on margin dynamics and product adoption; useful for confirming management cadence but not immediately market-moving on their own. Earnings Call Transcript Press Release
• Negative Sentiment: Zacks added BFLY to its Rank #5 (Strong Sell) list today, a clear near-term negative that can trigger selling pressure from algorithmic and momentum-driven funds. Zacks Rank #5
• Negative Sentiment: Company remains unprofitable (large negative net margin and negative ROE), which keeps multiples constrained and makes the stock sensitive to any miss in profitability or guidance cadence. Q4 Loss / Margin Detail

About Butterfly Network

Butterfly Network, Inc is a medical technology company focused on democratizing access to diagnostic imaging through its proprietary ultrasound-on-chip platform. The company’s flagship device, the Butterfly iQ, leverages semiconductor technology to deliver whole-body ultrasound imaging in a handheld form factor. This portable system connects to a compatible smart device, enabling point-of-care scanning across a variety of clinical settings.

Beyond its hardware offering, Butterfly Network provides a cloud-based software suite that supports image storage, analysis and remote collaboration.