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In a stark reflection of the challenges facing Nevro Corp (NYSE:NVRO), the medical device company's stock has tumbled to a 52-week low, touching a price level of just $3.51. According to InvestingPro data, the company maintains a current ratio of 5.02, indicating strong short-term liquidity despite market concerns. This significant downturn in the company's market performance marks a precipitous decline of -82.87% over the past year, underscoring the intense pressures and headwinds the firm has faced. Investors have watched with concern as Nevro's stock value has eroded, questioning the company's strategy and future in a competitive and rapidly evolving sector. InvestingPro analysis suggests the stock is currently undervalued, though five analysts have recently revised their earnings expectations downward. For deeper insights into Nevro's financial health and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro.
In other recent news, Nevro Corp has seen a slew of adjustments to its stock targets from various analyst firms, following its Q3 earnings report. The company's third-quarter earnings surpassed expectations with revenues of $96.9 million and an adjusted EBITDA loss of $1.8 million, notably better than anticipated. Despite a decrease in worldwide revenue and U.S. spinal cord stimulation trial procedures, Nevro maintained its full-year 2024 revenue guidance at $400 million to $405 million.
Mizuho (NYSE:MFG) Securities lowered its price target for Nevro from $8.00 to $6.00, while still holding a neutral stance. This adjustment follows observations of Nevro's potential in the painful diabetic neuropathy (PDN) market, with the company expected to publish sensory studies related to its PDN system at the American Diabetes Association (ADA) 2025 event.
Morgan Stanley (NYSE:MS) downgraded Nevro's stock from Equalweight to Underweight and reduced its price target to $4.00, citing challenges within its Spinal Cord Stimulation (SCS) business. Piper Sandler, on the other hand, reduced its price target for Nevro to $6 while maintaining an Underweight rating, expressing concerns about the company's growth prospects.
Baird increased Nevro's price target to $6, maintaining a neutral rating due to potential margin improvements in 2025. Canaccord Genuity reduced Nevro's price target to $7 from $8, maintaining a hold rating, following the company's Q3 earnings report and ongoing market challenges. These recent developments highlight the evolving market perception of Nevro Corp.
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