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On Tuesday, Stifel analysts reiterated their Buy rating and $6.00 price target for 908 Devices Inc. (NASDAQ: MASS), following the company’s preliminary financial results for the first quarter of 2025. According to InvestingPro data, the stock has shown remarkable momentum with a 100.91% return year-to-date, though current analysis suggests the stock is slightly overvalued at current levels. The results, which were broadly in line with expectations, showed revenue at approximately $11.5 million, marking a year-over-year increase of about 55%. This figure is close to the consensus revenue estimate of $11.9 million and Stifel’s own projection of $12.0 million. InvestingPro analysis reveals that analysts anticipate a sales decline in the current year, making this quarter’s performance particularly significant.
The analysts highlighted that the reported revenue does not account for an additional $1.1 million that could have been recognized from the desktop portfolio, which 908 Devices divested in March 2025. Details on the performance of individual segments were not disclosed in the preliminary announcement.
908 Devices reported that its cash reserves, including cash equivalents and marketable securities, totaled around $124 million. An extra $4.0 million is held in escrow following the divestiture, not including approximately $2.5 million in transaction expenses incurred in April 2025. InvestingPro data shows the company maintains a strong current ratio of 4.1, though it’s worth noting the company is quickly burning through its cash reserves. Get access to 10+ additional ProTips and comprehensive financial analysis with InvestingPro.
Management at 908 Devices emphasized their commitment to the company’s strategy for advanced chemical detection, aiming to deliver strong growth both domestically and internationally in the first quarter. They also indicated that the company is on track to reach adjusted EBITDA positivity by the fourth quarter of 2025. However, no specific guidance was provided at this time. The company’s last twelve months EBITDA stands at -$43.88 million, highlighting the importance of achieving this milestone.
908 Devices is scheduled to release its full Q1 2025 financial results before the market opens on Tuesday, May 13, 2025. The company plans to elaborate on its financial outcomes and provide an outlook for the rest of 2025 during a conference call set to begin at 8:30 AM Eastern Time on the same day.
In other recent news, 908 Devices Inc. reported a notable 55% increase in revenue for the first quarter of 2025, reaching an estimated $11.5 million, up from $7.4 million in the same period last year. This growth does not account for approximately $1.1 million from a divested desktop portfolio. The company also secured a significant $1.7 million order from the Ukrainian Ministry of Health for its MX908 handheld mass spectrometry devices, which are designed to detect hazardous substances. In terms of strategic moves, 908 Devices completed the sale of its desktop portfolio to Repligen (NASDAQ:RGEN) for $70 million, a transaction expected to enhance the company’s focus on high-growth handheld markets and accelerate its path to profitability. Analysts from Stifel have maintained a Buy rating on the company, highlighting the positive market reception to the divestiture and the improved focus on its core areas. The analysts noted that 908 Devices is on track to achieve adjusted EBITDA positivity by the fourth quarter of 2025. For the full year 2024, the company reported a 19% increase in revenue to $59.6 million, with handheld revenue growing by 22% and recurring revenue by 42%. Looking forward, 908 Devices anticipates 2025 revenue from continuing operations to grow by 11% to 15%, with further acceleration expected in 2026.
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