Medical equipment maker Penumbra beats Q4 revenue expectations

Overview

• Thrombectomy company's Q4 revenue rose 22%, beating analyst expectations

• Net income for Q4 increased to $47.3 mln

Outlook

• Company will not provide financial guidance for full year 2026 due to the pending acquisition by Boston Scientific

Result Drivers

• EMBOLIZATION AND ACCESS PRODUCTS - Revenue from global embolization and access products grew 37% in Q4, driven by U.S. sales which increased 42.7%

• INTERNATIONAL REVENUE GROWTH - Revenue from international regions increased 27.7% in Q4, contributing to overall revenue growth

• IMPROVED GROSS MARGINS - Gross profit increased due to favorable product mix, improved productivity, and leveraging fixed costs on higher sales volumes

Company press release: ID:nPn4TbdPKa

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 14 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy."

• Wall Street's median 12-month price target for Penumbra Inc is $374.00, about 10.1% above its February 24 closing price of $339.59

• The stock recently traded at 67 times the next 12-month earnings vs. a P/E of 47 three months ago

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