Neuronetics (STIM) Reports Q1 Loss, Tops Revenue Estimates

Company Performance - Neuronetics reported a quarterly loss of $0.21 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.13, representing an earnings surprise of -61.54% [1] - The company posted revenues of $31.98 million for the quarter ended March 2025, exceeding the Zacks Consensus Estimate by 9.37%, and showing significant growth from $17.42 million a year ago [2] - Over the last four quarters, Neuronetics has not surpassed consensus EPS estimates, but it has topped revenue estimates twice [2] Stock Movement and Outlook - Neuronetics shares have increased by approximately 179.5% since the beginning of the year, contrasting with a -3.9% decline in the S&P 500 [3] - The company's future stock performance will largely depend on management's commentary during the earnings call and the earnings outlook [4][6] - The current consensus EPS estimate for the upcoming quarter is -$0.08 on revenues of $36.68 million, and for the current fiscal year, it is -$0.34 on revenues of $149.65 million [7] Industry Context - The Medical - Instruments industry, to which Neuronetics belongs, is currently ranked in the top 25% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Neuronetics' stock performance [5]