Inspire Medical Systems (INSP) Hit by Execution Difficulties in Q3

Group 1 - TimesSquare Capital Management's "U.S. Small Cap Growth Strategy" reported a gross return of 2.26% and a net return of 2.01% for Q3 2025, significantly underperforming the Russell 2000 Growth Index, which returned 12.19% [1] - All asset classes except fixed income outside the U.S. posted positive returns during the quarter [1] - Inspire Medical Systems, Inc. (NYSE:INSP) experienced a one-month return of -32.57% and a 52-week loss of 56.01%, closing at $94.76 per share with a market capitalization of $2.802 billion on January 5, 2026 [2] Group 2 - Merus, a biopharma company, saw a 79% increase in shares due to positive clinical trial results, while Inspire Medical Systems faced a -38% loss in the same period, leading to an exit from the position by TimesSquare Capital [3] - Inspire Medical Systems reported revenue of $224.5 million for Q3 2025, reflecting a 10% increase from Q3 2024, but is not among the 30 most popular stocks among hedge funds, with 48 hedge fund portfolios holding its shares at the end of Q3 2025 [4] - The company is viewed as having potential, but certain AI stocks are considered to offer greater upside potential and less downside risk [4]