Neuronetics (STIM) Reports Q2 Loss, Lags Revenue Estimates

Company Performance - Neuronetics reported a quarterly loss of $0.33 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.27, and compared to a loss of $0.17 per share a year ago, indicating a significant decline in performance [1] - The company posted revenues of $16.45 million for the quarter ended June 2024, missing the Zacks Consensus Estimate by 12.29% and down from $17.61 million in the same quarter last year [2] - Neuronetics has surpassed consensus EPS estimates two times over the last four quarters and topped consensus revenue estimates three times during the same period [2] Stock Performance - Neuronetics shares have declined approximately 38.6% since the beginning of the year, contrasting with the S&P 500's gain of 12% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.24 on revenues of $20.04 million, and for the current fiscal year, it is -$0.91 on revenues of $78.99 million [7] Industry Outlook - The Medical - Instruments industry, to which Neuronetics belongs, is currently ranked in the top 36% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]