Inspire Medical Systems (INSP) Fell Following Reduced Full-Year Guidance

Core Viewpoint - Wasatch Global Investors reported that US small-cap equities experienced a strong rally in Q3 2025, supported by the Federal Reserve's interest rate cut, but the Wasatch Small Cap Growth Strategy fund underperformed, ending down -3.17% compared to a 12.19% gain for the Russell 2000 Growth Index [1]. Company Summary - Inspire Medical Systems, Inc. (NYSE:INSP) is a medical technology company focused on minimally invasive solutions for obstructive sleep apnea, with a one-month return of 53.98% but a 52-week loss of 30.79%, closing at $130.68 per share and a market capitalization of $3.865 billion as of December 12, 2025 [2]. - Inspire Medical Systems reported revenue of $224.5 million in Q3 2025, marking a 10% increase from Q3 2024 [4]. Investment Decisions - The Wasatch Small Cap Growth Strategy decided to sell its position in Inspire Medical Systems during Q3 2025 due to management downgrading full-year guidance and concerns about the execution of the Inspire V system rollout, as well as potential market impacts from GLP-1 drugs [3]. - Inspire Medical Systems is not among the 30 most popular stocks among hedge funds, with 48 hedge fund portfolios holding the stock at the end of Q3 2025, an increase from 34 in the previous quarter [4].