iRhythm Technologies (NASDAQ:IRTC) Lowered to Hold Rating by Wall Street Zen

Wall Street Zen lowered shares of iRhythm Technologies (NASDAQ:IRTC) from a buy rating to a hold rating in a research report report published on Saturday.

Several other equities analysts have also recently weighed in on the company. Citigroup raised their price target on iRhythm Technologies from $155.00 to $157.00 and gave the company a “buy” rating in a report on Monday, May 4th. Bank of America lowered their target price on iRhythm Technologies from $225.00 to $180.00 and set a “buy” rating for the company in a research report on Monday, May 18th. HC Wainwright reissued a “buy” rating on shares of iRhythm Technologies in a report on Monday, June 1st. Wells Fargo & Company cut their target price on shares of iRhythm Technologies from $180.00 to $168.00 and set an “overweight” rating for the company in a report on Friday. Finally, Needham & Company LLC reduced their price target on shares of iRhythm Technologies from $255.00 to $192.00 and set a “buy” rating on the stock in a research report on Friday. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $179.36.

iRhythm Technologies Stock Performance

Shares of NASDAQ IRTC opened at $127.84 on Friday. The company has a debt-to-equity ratio of 4.03, a quick ratio of 4.98 and a current ratio of 5.17. The company has a market cap of $4.20 billion, a P/E ratio of -297.30 and a beta of 1.30. The firm’s fifty day moving average is $115.03 and its two-hundred day moving average is $124.57. iRhythm Technologies has a 52-week low of $100.85 and a 52-week high of $212.00.

iRhythm Technologies (NASDAQ:IRTC) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.58 EPS for the quarter, beating the consensus estimate of ($0.04) by $0.62. The business had revenue of $224.17 million during the quarter, compared to the consensus estimate of $219.30 million. iRhythm Technologies had a negative net margin of 1.69% and a positive return on equity of 10.81%. The business’s revenue was up 20.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($0.32) EPS. As a group, analysts anticipate that iRhythm Technologies will post 0.13 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Abhijit Y. Talwalkar acquired 5,312 shares of iRhythm Technologies stock in a transaction that occurred on Monday, May 11th. The shares were bought at an average cost of $10.71 per share, with a total value of $56,891.52. Following the transaction, the director directly owned 25,611 shares of the company’s stock, valued at $274,293.81. This trade represents a 26.17% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.98% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Citizens Financial Group Inc. RI purchased a new stake in shares of iRhythm Technologies in the second quarter worth approximately $9,289,000. Handelsbanken Fonder AB boosted its holdings in iRhythm Technologies by 17.2% during the 2nd quarter. Handelsbanken Fonder AB now owns 12,239 shares of the company’s stock valued at $1,456,000 after acquiring an additional 1,800 shares during the period. Harbor Investment Advisory LLC purchased a new position in iRhythm Technologies during the 2nd quarter valued at $50,000. Amundi grew its position in iRhythm Technologies by 48.4% in the 1st quarter. Amundi now owns 49,575 shares of the company’s stock valued at $5,851,000 after acquiring an additional 16,165 shares during the last quarter. Finally, California State Teachers Retirement System increased its stake in iRhythm Technologies by 22.1% in the first quarter. California State Teachers Retirement System now owns 37,324 shares of the company’s stock worth $4,405,000 after purchasing an additional 6,763 shares during the period.

Key Stories Impacting iRhythm Technologies

Here are the key news stories impacting iRhythm Technologies this week:

• Positive Sentiment: Strong Q2 results: iRhythm reported adjusted earnings of $0.58 per share, versus the consensus estimate of a $0.04 loss, while revenue rose 20.1% year over year to $224.17 million, exceeding the $219.30 million estimate. iRhythm Holdings Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: VitalConnect acquisition expands addressable market: The company agreed to acquire privately held VitalConnect for $287.5 million. The deal would add wearable biosensors and broaden iRhythm’s cardiac-monitoring platform across ambulatory, inpatient and hospital-to-home settings, with closing expected by year-end. iRhythm to Buy VitalConnect for $287.5 Million
• Positive Sentiment: Raised financial ambitions: iRhythm projected 2026 revenue of $880 million to $890 million and is targeting a 13% to 14% adjusted EBITDA margin, signaling confidence in continued growth and operating leverage. iRhythm Outlines 2026 Revenue Outlook
• Neutral Sentiment: Legal overhang may be reduced: A federal court approved a proposed class-action settlement involving purchasers of iRhythm common stock. The settlement could reduce litigation uncertainty, although the articles do not specify its financial impact. Proposed iRhythm Class-Action Settlement
• Negative Sentiment: Lower valuation support from Wells Fargo: Wells Fargo reduced its price target from $180 to $168, though it maintained an “overweight” rating and still implied substantial upside. The cut may have contributed to near-term caution.

About iRhythm Technologies

iRhythm Technologies, Inc is a medical technology company that develops and commercializes wearable cardiac monitoring devices and associated data analytics services. Founded in 2006 and headquartered in San Francisco, California, the company’s flagship product is the Zio® patch, a discreet, single-use, continuous ECG recorder designed to monitor heart rhythms for up to 14 days. iRhythm’s digital diagnostics platform combines biosensor technology with proprietary algorithms to detect arrhythmias and streamline data interpretation for physicians.

The Zio service is prescribed by cardiologists and other healthcare providers to aid in the diagnosis of atrial fibrillation, bradycardia, tachycardia and other rhythm disorders.