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Investing.com - BTIG has raised its price target on iRhythm Technologies (NASDAQ:IRTC) to $215.00 from $195.00 while maintaining a Buy rating following the company’s quarterly earnings report. This target falls within the analyst range of $175-$220, according to InvestingPro data, which also shows IRTC trading near its 52-week high of $190.86.
iRhythm Technologies reported revenue of $192.9 million, representing 30.7% year-over-year growth and exceeding consensus estimates by approximately $8 million. This performance continues the company’s strong revenue trajectory, with InvestingPro data showing 22.37% revenue growth over the last twelve months to $657.23 million. The company achieved record quarters for both its Zio Monitor and Zio AT products, driven by expansion in the PCP channel, increased proactive monitoring penetration, and continued integration of Zio into electronic health records.
The cardiac monitoring company has updated its 2025 guidance to $735 million-$740 million, up from the previous $720 million-$730 million, representing 24.6% year-over-year growth at the midpoint. Adjusted EBITDA guidance was also increased to 8.25%-8.75% from the previous 8.0%-8.5%. Despite this positive outlook, InvestingPro Tips indicate analysts do not anticipate the company will be profitable this year, with EPS forecast at -$1.55 for FY2025.
Management expects to achieve positive free cash flow on an annual basis this year and expressed comfort with Street estimates of 17% year-over-year growth for 2026. The company plans to guide around 16-18% growth for next year, not including potential contribution from Zio MCT, which was filed with the FDA in September.
BTIG’s new price target is based on 7.5 times its 12-24 month revenue estimate, with the firm citing sustainable momentum in the core business and potential upside opportunities as the company expands asymptomatic monitoring with new partners and introduces its MCT product, potentially in the second half of 2026.
In other recent news, iRhythm Technologies reported strong third-quarter 2025 financial results, with revenue reaching $192.9 million. This figure represents a significant 31% year-over-year growth and exceeded both Canaccord’s estimate of $184.2 million and the consensus expectations of $184.8 million. The company also posted an adjusted EBITDA of $21.6 million, surpassing projections from Canaccord and consensus estimates, which were $17.5 million and $17.3 million, respectively. Additionally, iRhythm’s adjusted earnings per share were $0.06, which was a substantial improvement over the analyst estimate of -$0.32. Following these results, Canaccord Genuity raised its price target for iRhythm Technologies to $212 from $193, maintaining a Buy rating. These developments highlight iRhythm’s positive performance in recent months.
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