Core Viewpoint - NeuroPace, Inc. (NPCE) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for NeuroPace suggest an improvement in the company's underlying business, likely leading to increased stock prices as investors respond positively [5][8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7][9]. - NeuroPace's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10][11]. Earnings Estimate Revisions - For the fiscal year ending December 2024, NeuroPace is expected to earn -$1 per share, reflecting a year-over-year change of 21.3% [8]. - Over the past three months, the Zacks Consensus Estimate for NeuroPace has increased by 7.6%, indicating a positive trend in earnings expectations [8].

Core Viewpoint - NeuroPace, Inc. (NPCE) shares have increased by 38.8% in the past four weeks, closing at $8.98, with a mean price target of $13.86 indicating a potential upside of 54.3% according to Wall Street analysts [1] Price Targets and Analyst Estimates - The mean estimate consists of seven short-term price targets with a standard deviation of $4.14, where the lowest estimate suggests a 10.9% decline to $8, while the highest estimate predicts a 100.5% increase to $18 [2] - A low standard deviation indicates a high degree of agreement among analysts regarding the stock's price movement, which can serve as a starting point for further research [7] Earnings Estimates and Analyst Sentiment - There is growing optimism among analysts about NPCE's earnings prospects, as evidenced by a positive trend in earnings estimate revisions, which historically correlates with stock price movements [9] - Over the last 30 days, the Zacks Consensus Estimate for the current year has risen by 7.6%, with four estimates moving higher and no negative revisions [10] Zacks Rank and Investment Potential - NPCE holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors, suggesting a strong potential upside in the near term [11] - While consensus price targets may not be reliable for predicting the extent of gains, they can provide a useful guide for the direction of price movement [12]

Financial Data and Key Metrics Changes - For Q3 2024, NeuroPace reported total revenue of $21.1 million, an increase of 28% compared to $16.4 million in Q3 2023 [10][22] - Gross margin for Q3 2024 was 73.2%, down from 74.5% in Q3 2023, remaining within the target range of 72% to 74% [22] - Net loss for Q3 2024 was $5.5 million, an improvement from a net loss of $7.3 million in Q3 2023 [25] Business Line Data and Key Metrics Changes - Revenue growth was primarily driven by increased sales of the RNS System, which grew by 36% year-over-year when excluding contributions from the NAUTILUS study cases [22] - DIXI Medical products also contributed to revenue growth, although the specific percentage was not disclosed [10] Market Data and Key Metrics Changes - The number of active prescribers of RNS therapy reached record levels, indicating increased market penetration [11] - The Project CARE pilot program has begun to show meaningful increases in the number of implants and referrals from participating centers [11] Company Strategy and Development Direction - The company is focused on a multi-phase growth strategy that includes increasing adoption and utilization of RNS Systems, expanding service sites beyond Level 4 centers, and expanding approved indications for the RNS System [19][36] - Recent leadership hires aim to strengthen the organization and support growth initiatives, particularly in marketing and research and development [15][17][18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's fundamentals and the trajectory of growth opportunities, expecting total revenue for 2024 to be in the range of $78 million to $80 million, representing a 19% to 22% increase over 2023 [28] - The company anticipates continued strong growth driven by RNS System sales and ongoing contributions from DIXI Medical products [28] Other Important Information - The company raised $2.9 million in net proceeds under its ATM facility during Q3 2024, increasing its cash balance to $56.8 million [27] - An Investor Day is planned for the first quarter of 2025 to provide updates on market and product development [32] Q&A Session Summary Question: What is the primary source of growth in RNS sales? - Management indicated that growth is coming from increased adoption and utilization within Level 4 centers, as well as contributions from the Project CARE initiative [35] Question: How is the Project CARE program impacting growth? - The program has begun to show meaningful contributions from both implants and referrals, with a focus on uncovering patients needing further testing [43][44] Question: What are the expectations for operating expenses moving forward? - Management noted that while R&D expenses are increasing due to investments in growth, G&A expenses are being managed effectively, leading to overall operating leverage [56] Question: How should the market expect the impact of Project CARE in 2025? - The company expects to expand the CARE initiative further in 2025, which will contribute to growth alongside ongoing efforts to increase adoption and utilization of RNS therapy [64]

Financial Performance - NeuroPace, Inc. reported a quarterly loss of $0.19 per share, better than the Zacks Consensus Estimate of a loss of $0.26, and an improvement from a loss of $0.28 per share a year ago, representing an earnings surprise of 26.92% [1] - The company posted revenues of $21.06 million for the quarter ended September 2024, exceeding the Zacks Consensus Estimate by 8.95%, and up from $16.43 million in the same quarter last year [2] - Over the last four quarters, NeuroPace has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Stock Performance - NeuroPace shares have declined approximately 29.4% since the beginning of the year, contrasting with the S&P 500's gain of 25.8% [3] - The current Zacks Rank for NeuroPace is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.25 on revenues of $20.54 million, and for the current fiscal year, it is -$1.08 on revenues of $77.25 million [7] - The estimate revisions trend for NeuroPace is mixed, and future changes in estimates will be closely monitored following the recent earnings report [6][7] Industry Context - NeuroPace operates within the Medical - Instruments industry, which is currently ranked in the top 27% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - The performance of NeuroPace's stock may be influenced by the overall outlook for the industry [8]

NeuroPace, Inc. (NPCE) shares rallied 5.1% in the last trading session to close at $6.35. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 10.1% loss over the past four weeks. NeuroPace recorded a strong price rise on investors' optimism surrounding its impending third-quarter 2024 financial results, which is slated to be released on Nov. 12, 2024, post the closing bell. The Zacks Consensus Estimate for the th ...

MOUNTAIN VIEW, Calif., Oct. 22, 2024 (GLOBE NEWSWIRE) -- NeuroPace, Inc. (Nasdaq: NPCE), a medical device company focused on transforming the lives of people living with epilepsy, today announced it will report financial results for the third quarter of 2024 after market close on Tuesday, November 12, 2024. The company’s management will webcast a corresponding conference call beginning at 1:30 p.m. Pacific Time / 4:30 p.m. Eastern Time. Investors interested in listening to the conference call may do so by a ...

Appointed former key developer of RNS System as new Vice President of Research and Development Appointed former head of commercial marketing for Boston Scientific's DBS franchise as the new Vice President of Marketing MOUNTAIN VIEW, Calif., Sept. 04, 2024 (GLOBE NEWSWIRE) -- NeuroPace, Inc. (Nasdaq: NPCE), a medical device company focused on transforming the lives of people living with epilepsy, today announced the appointments of Brett Wingeier as the new Vice President of Research and Development and Kati ...

Company Participation in Conferences - NeuroPace, Inc. will participate in two healthcare investor conferences in September 2024 [1][2] - The first conference is the Lake Street Big8 Best Ideas Growth Conference on September 12th in New York, where management will host one-on-one meetings with investors [2] - The second conference is the Cantor Global Healthcare Conference from September 17th-19th in New York, featuring a fireside chat with CEO Joel Becker and CFO Rebecca Kuhn on September 18th at 11:30am ET [2] Company Overview - NeuroPace is a medical device company based in Mountain View, California, focused on transforming the lives of people living with epilepsy by reducing or eliminating seizures [3] - The company’s RNS System is the first and only commercially available brain-responsive platform that delivers personalized, real-time treatment at the seizure source [3] - This platform aims to improve the standard of care for patients with drug-resistant epilepsy and has potential applications for other brain disorders [3]

MOUNTAIN VIEW, Calif., Aug. 22, 2024 (GLOBE NEWSWIRE) -- NeuroPace, Inc. (Nasdaq: NPCE), a medical device company focused on transforming the lives of people living with epilepsy, today announced it will participate in two healthcare conferences in September. NeuroPace management will host one-on-one meetings with investors at the Wells Fargo 2024 Healthcare Conference, on Wednesday, September 4 in Boston, MA. NeuroPace will also present at the Morgan Stanley 22nd Annual Global Healthcare Conference, which ...

NeuroPace, Inc. (NPCE) reported a second-quarter 2024 loss of 26 cents per share compared with the year-ago quarter's reported loss of 36 cents. The figure was also narrower than the Zacks Consensus Estimate of a loss of 29 cents per share. Q2 Revenues Revenues totaled $19.3 million, up 16.9% year over year. The figure topped the Zacks Consensus Estimate by 2.9%. The revenue growth was driven by increased sales of the RNS System. Margins The gross profit in the reported quarter was $14.1 million, up 18.1% y ...