iRhythm Technologies (NASDAQ:IRTC) Releases Quarterly Earnings Results, Beats Expectations By $0.27 EPS

iRhythm Technologies (NASDAQ:IRTC) released its quarterly earnings results on Thursday. The company reported $0.29 EPS for the quarter, topping the consensus estimate of $0.02 by $0.27, FiscalAI reports. iRhythm Technologies had a negative return on equity of 41.86% and a negative net margin of 7.32%.The firm had revenue of $208.89 million for the quarter, compared to analyst estimates of $202.61 million. During the same period in the previous year, the company posted ($0.04) EPS. iRhythm Technologies’s revenue for the quarter was up 27.1% on a year-over-year basis.

Here are the key takeaways from iRhythm Technologies’ conference call:

• iRhythm posted strong results—Q4 revenue of $208.9M (+27% YoY), FY revenue $747.1M, the company’s first positive quarterly net income and positive free cash flow, $583.8M in cash, and guidance of $870–$880M revenue with an adjusted EBITDA margin target of 11.5%–12.5% for 2026.
• Growth is volume‑led and broadening beyond cardiology: >1/3 of volume now originates in primary care, iRhythm serves ~40,000 primary care physicians, and >50% of volume flows through EHR integrations (75 of top 100 customers), which management says increases stickiness and prescribing consistency.
• Management highlighted a data/AI advantage—nearly 3 billion hours of curated ECG data and Lucem Health pilots showing >85% accuracy in pre‑identifying arrhythmias—positioning the company to move from detection toward predictive workflows for high‑risk populations.
• The next‑gen MCT device (21‑day wear, improved form factor, mobile gateway, enhanced algorithms) is under FDA review with an expected launch in H1 2027; the mobile gateway and cybersecurity work delayed timing but aim to improve long‑term economics and usability.
• International (U.K., select EU, Japan) and adjacent markets (sleep apnea pilots) are cited as meaningful long‑term opportunities—UK posted a record quarter and Japan is building reimbursement evidence—but these markets are early stage and not fully baked into 2026 guidance.

iRhythm Technologies Price Performance

Shares of NASDAQ:IRTC traded down $9.08 during trading on Friday, reaching $149.80. The company had a trading volume of 431,967 shares, compared to its average volume of 685,114. The firm’s fifty day moving average is $165.01 and its 200 day moving average is $171.39. The company has a debt-to-equity ratio of 5.32, a quick ratio of 4.50 and a current ratio of 4.63. The firm has a market capitalization of $4.83 billion, a PE ratio of -93.70 and a beta of 1.06. iRhythm Technologies has a twelve month low of $92.52 and a twelve month high of $212.00.

Insider Transactions at iRhythm Technologies

In other iRhythm Technologies news, insider Patrick Michael Murphy sold 2,478 shares of the business’s stock in a transaction dated Tuesday, December 2nd. The shares were sold at an average price of $184.83, for a total value of $458,008.74. Following the sale, the insider directly owned 53,281 shares in the company, valued at approximately $9,847,927.23. The trade was a 4.44% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Chad Patterson sold 280 shares of the firm’s stock in a transaction that occurred on Tuesday, December 2nd. The stock was sold at an average price of $184.83, for a total transaction of $51,752.40. Following the sale, the insider owned 43,387 shares of the company’s stock, valued at $8,019,219.21. The trade was a 0.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 1.10% of the stock is owned by insiders.

Institutional Investors Weigh In On iRhythm Technologies

Hedge funds have recently bought and sold shares of the business. Measured Wealth Private Client Group LLC acquired a new position in shares of iRhythm Technologies in the 3rd quarter valued at about $30,000. Employees Retirement System of Texas acquired a new position in iRhythm Technologies in the 3rd quarter valued at approximately $36,000. Smartleaf Asset Management LLC increased its stake in iRhythm Technologies by 63.1% in the 4th quarter. Smartleaf Asset Management LLC now owns 323 shares of the company’s stock valued at $58,000 after buying an additional 125 shares during the period. Kestra Advisory Services LLC purchased a new stake in iRhythm Technologies in the 4th quarter worth approximately $71,000. Finally, Harvest Fund Management Co. Ltd acquired a new stake in shares of iRhythm Technologies during the 3rd quarter valued at $69,000.

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on IRTC. BTIG Research upped their target price on shares of iRhythm Technologies from $195.00 to $215.00 and gave the company a “buy” rating in a research note on Friday, October 31st. Evercore raised shares of iRhythm Technologies from an “in-line” rating to an “outperform” rating and raised their price objective for the stock from $194.00 to $210.00 in a report on Monday, January 5th. JPMorgan Chase & Co. increased their price target on shares of iRhythm Technologies from $190.00 to $240.00 and gave the stock an “overweight” rating in a research report on Friday, October 31st. Truist Financial lowered their price objective on iRhythm Technologies from $230.00 to $215.00 and set a “buy” rating for the company in a report on Thursday, December 18th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of iRhythm Technologies in a report on Thursday, January 22nd. Two research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $219.23.

iRhythm Technologies Company Profile

iRhythm Technologies, Inc is a medical technology company that develops and commercializes wearable cardiac monitoring devices and associated data analytics services. Founded in 2006 and headquartered in San Francisco, California, the company’s flagship product is the Zio® patch, a discreet, single-use, continuous ECG recorder designed to monitor heart rhythms for up to 14 days. iRhythm’s digital diagnostics platform combines biosensor technology with proprietary algorithms to detect arrhythmias and streamline data interpretation for physicians.

The Zio service is prescribed by cardiologists and other healthcare providers to aid in the diagnosis of atrial fibrillation, bradycardia, tachycardia and other rhythm disorders.