MYO Earnings: Guidance Cut Slams Myomo Stock
Myomo's Earnings Report Impact: Myomo (MYO) stock dropped 32.95% after the company revised its 2025 revenue guidance down to $40-$42 million, missing Wall Street's estimate of $49.21 million, despite reporting a Q2 revenue of $9.65 million that exceeded expectations.
Analyst Ratings and Future Outlook: Despite the stock decline, analysts maintain a consensus rating of Strong Buy for Myomo, with an average price target of $8.67, indicating a potential upside of 392.61%, although these ratings may change following the earnings report.
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Myomo, Inc. Activist Investor Pushes Governance Changes
- Governance Change Signal: Horton Capital Partners recently filed a Schedule 13D for Myomo, Inc., indicating it has crossed the 5% ownership threshold and aims to push for governance changes by eliminating the classified board structure for annual elections, which could enhance management accountability and potentially shift the company's strategic direction.
- Market Potential: Myomo focuses on wearable robotic devices primarily serving patients with neuromuscular disorders like stroke-related paralysis; despite uneven revenue growth, its technology addresses a growing clinical need, and governance changes may attract more investor interest.
- Early Stage Activism: Lakeland Industries has seen an 8.38% stake acquired by Global Value Investment Corporation, signaling intent to engage in governance and strategic discussions, which could drive value enhancement in the protective apparel market.
- Microcap Activism: Chicago Rivet & Machine Co. has 6.45% of its shares acquired by Galloway and others, indicating belief in the company's undervaluation, which may prompt management to reassess strategy and alter the company's future trajectory.
Myomo reaffirms its revenue goal of $40M–$42M for 2025, fueled by growth in the O&P channel and MyoConnect.
Management Performance: Myomo, Inc. reported a strong Q3 2025 with revenues of $10.1 million, driven by record international sales and increased authorizations, while also announcing a strategic shift in advertising focus and the hiring of a new marketing head.
Financial Overview: The company experienced a 10% year-over-year revenue increase, with significant growth in the O&P channel and international markets, although gross margins declined due to rising costs. Operating losses were reported at $3.5 million.
Future Outlook: Myomo reiterated its full-year revenue guidance of $40 million to $42 million for 2025, emphasizing plans to diversify revenue streams and improve operating leverage while managing cash burn in 2026.
Analyst Sentiment: Analysts expressed constructive curiosity regarding operational details and strategic shifts, while management maintained a confident tone, highlighting progress in pipeline growth and ongoing efforts to address challenges in payer authorizations.
Myomo's Earnings Forecast for Q3 2025
Earnings Announcement: Myomo (MYO) is set to release its Q3 earnings results on November 10th, after market close.
EPS and Revenue Estimates: The consensus EPS estimate is -$0.11, reflecting a 266.7% year-over-year decline, while the revenue estimate is $9.44 million, indicating a 2.5% year-over-year increase.
Revisions Overview: Over the past three months, there have been no upward revisions for EPS or revenue estimates, but five downward revisions for each.
Future Growth Target: Myomo has revised its revenue growth target for 2025 to between 23% and 29%, citing improvements in lead quality and pipeline conversion.
Crude Oil Down 1%; Gevo Shares Spike Higher
Stock Market Performance: U.S. stocks saw gains with the S&P 500 up approximately 1%, while the Dow and NASDAQ also rose significantly. Notable movers included 180 Life Sciences Corp, which surged 259% after a private offering, and Gevo, Inc., which increased by 52% following positive Q2 results.
Inflation and Commodities: The U.S. annual inflation rate remained steady at 2.7% in July, slightly below expectations, while core inflation reached a five-month high of 3.1%. In commodities, oil prices fell by 1.2%, while silver and copper experienced slight increases.
Dow Surges 500 Points; US Core Inflation Rises To 3.1%
U.S. Stock Market Performance: U.S. stocks rose, with the Dow Jones increasing by 1.14%, NASDAQ by 1.28%, and S&P 500 by 1.07%. Communication services led gains while real estate stocks saw a slight decline.
Inflation and Commodities Update: The U.S. annual inflation rate remained steady at 2.7% in July, with core inflation rising to 3.1%. In commodities, oil and gold prices fell, while silver and copper experienced slight increases.
Morning News Wrap-Up: Tuesday’s Biggest Stock Market Stories!
Stock Market Updates: TipRanks provides a comprehensive roundup of the latest stock market news and important headlines for investors to stay informed.
Resource for Traders: The platform is highlighted as a valuable resource for traders seeking insights into significant market stories on Tuesday.
Myomo, Inc. Activist Investor Pushes Governance Changes
- Governance Change Signal: Horton Capital Partners recently filed a Schedule 13D for Myomo, Inc., indicating it has crossed the 5% ownership threshold and aims to push for governance changes by eliminating the classified board structure for annual elections, which could enhance management accountability and potentially shift the company's strategic direction.
- Market Potential: Myomo focuses on wearable robotic devices primarily serving patients with neuromuscular disorders like stroke-related paralysis; despite uneven revenue growth, its technology addresses a growing clinical need, and governance changes may attract more investor interest.
- Early Stage Activism: Lakeland Industries has seen an 8.38% stake acquired by Global Value Investment Corporation, signaling intent to engage in governance and strategic discussions, which could drive value enhancement in the protective apparel market.
- Microcap Activism: Chicago Rivet & Machine Co. has 6.45% of its shares acquired by Galloway and others, indicating belief in the company's undervaluation, which may prompt management to reassess strategy and alter the company's future trajectory.
Myomo reaffirms its revenue goal of $40M–$42M for 2025, fueled by growth in the O&P channel and MyoConnect.
Management Performance: Myomo, Inc. reported a strong Q3 2025 with revenues of $10.1 million, driven by record international sales and increased authorizations, while also announcing a strategic shift in advertising focus and the hiring of a new marketing head.
Financial Overview: The company experienced a 10% year-over-year revenue increase, with significant growth in the O&P channel and international markets, although gross margins declined due to rising costs. Operating losses were reported at $3.5 million.
Future Outlook: Myomo reiterated its full-year revenue guidance of $40 million to $42 million for 2025, emphasizing plans to diversify revenue streams and improve operating leverage while managing cash burn in 2026.
Analyst Sentiment: Analysts expressed constructive curiosity regarding operational details and strategic shifts, while management maintained a confident tone, highlighting progress in pipeline growth and ongoing efforts to address challenges in payer authorizations.
Myomo's Earnings Forecast for Q3 2025
Earnings Announcement: Myomo (MYO) is set to release its Q3 earnings results on November 10th, after market close.
EPS and Revenue Estimates: The consensus EPS estimate is -$0.11, reflecting a 266.7% year-over-year decline, while the revenue estimate is $9.44 million, indicating a 2.5% year-over-year increase.
Revisions Overview: Over the past three months, there have been no upward revisions for EPS or revenue estimates, but five downward revisions for each.
Future Growth Target: Myomo has revised its revenue growth target for 2025 to between 23% and 29%, citing improvements in lead quality and pipeline conversion.
Crude Oil Down 1%; Gevo Shares Spike Higher
Stock Market Performance: U.S. stocks saw gains with the S&P 500 up approximately 1%, while the Dow and NASDAQ also rose significantly. Notable movers included 180 Life Sciences Corp, which surged 259% after a private offering, and Gevo, Inc., which increased by 52% following positive Q2 results.
Inflation and Commodities: The U.S. annual inflation rate remained steady at 2.7% in July, slightly below expectations, while core inflation reached a five-month high of 3.1%. In commodities, oil prices fell by 1.2%, while silver and copper experienced slight increases.
Dow Surges 500 Points; US Core Inflation Rises To 3.1%
U.S. Stock Market Performance: U.S. stocks rose, with the Dow Jones increasing by 1.14%, NASDAQ by 1.28%, and S&P 500 by 1.07%. Communication services led gains while real estate stocks saw a slight decline.
Inflation and Commodities Update: The U.S. annual inflation rate remained steady at 2.7% in July, with core inflation rising to 3.1%. In commodities, oil and gold prices fell, while silver and copper experienced slight increases.
Morning News Wrap-Up: Tuesday’s Biggest Stock Market Stories!
Stock Market Updates: TipRanks provides a comprehensive roundup of the latest stock market news and important headlines for investors to stay informed.
Resource for Traders: The platform is highlighted as a valuable resource for traders seeking insights into significant market stories on Tuesday.
