AxoGen (NASDAQ:AXGN) Shares Gap Down on Disappointing Earnings

AxoGen, Inc. (NASDAQ:AXGN)’s stock price gapped down prior to trading on Tuesday following a weaker than expected earnings announcement. The stock had previously closed at $35.38, but opened at $29.62. AxoGen shares last traded at $32.6480, with a volume of 485,420 shares trading hands.

The medical equipment provider reported ($0.28) EPS for the quarter, missing the consensus estimate of $0.08 by ($0.36). The company had revenue of $59.90 million for the quarter, compared to analyst estimates of $59.90 million. AxoGen had a negative net margin of 0.98% and a negative return on equity of 1.90%.

Key Stories Impacting AxoGen

Here are the key news stories impacting AxoGen this week:

• Positive Sentiment: Company raised FY‑2026 revenue guidance to about $265.7M versus Street revenue near $258.5M, signaling stronger top‑line growth ahead; management also outlined strategy on the earnings call. MarketBeat Earnings Report
• Positive Sentiment: Analyst upgrade/target change: Citizens JMP raised its price target from $34 to $42 and kept a “market outperform” view, which could support upside if sentiment improves. Benzinga Note
• Positive Sentiment: Earnings‑call commentary and press materials emphasized continued revenue growth and strategic initiatives (commercial execution, product adoption), which underpins the raised guidance. Yahoo Finance Highlights
• Neutral Sentiment: Full earnings‑call transcripts and slide deck are available for investors to parse details on margin drivers and cadence; these materials may clarify timing of margin improvement. Seeking Alpha Transcript
• Negative Sentiment: Reported EPS of $0.07 missed some consensus figures (MarketBeat/Street ~$0.08; Zacks noted a larger gap vs its $0.14 estimate), which disappointed some investors and can pressure near‑term sentiment. Zacks Earnings Miss
• Negative Sentiment: Profitability remains weak: reported negative net margin (~‑0.98%) and negative ROE (~‑1.9%), keeping the stock’s valuation and path to sustained profitability under scrutiny. MarketBeat Metrics

Analyst Upgrades and Downgrades

AXGN has been the subject of several recent research reports. Citizens Jmp upped their price target on AxoGen from $34.00 to $42.00 and gave the company a “market outperform” rating in a report on Tuesday. Lake Street Capital boosted their price objective on AxoGen from $30.00 to $40.00 and gave the company a “buy” rating in a research report on Thursday, December 4th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of AxoGen in a research report on Monday, December 29th. Wells Fargo & Company assumed coverage on shares of AxoGen in a research note on Thursday, February 19th. They set an “overweight” rating and a $40.00 price target on the stock. Finally, HC Wainwright increased their price objective on shares of AxoGen from $26.00 to $39.00 and gave the company a “buy” rating in a research note on Friday, December 5th. Ten equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, AxoGen has an average rating of “Moderate Buy” and a consensus price target of $37.67.

Insiders Place Their Bets

In other news, EVP Marc A. Began sold 9,278 shares of the business’s stock in a transaction on Tuesday, December 9th. The stock was sold at an average price of $31.21, for a total transaction of $289,566.38. Following the completion of the sale, the executive vice president owned 31,507 shares in the company, valued at $983,333.47. The trade was a 22.75% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Amy Mcbride Wendell sold 43,684 shares of the company’s stock in a transaction on Tuesday, December 16th. The shares were sold at an average price of $29.31, for a total value of $1,280,378.04. Following the transaction, the director directly owned 93,826 shares in the company, valued at $2,750,040.06. This trade represents a 31.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 301,680 shares of company stock valued at $9,174,052 over the last quarter. Company insiders own 2.78% of the company’s stock.

Institutional Trading of AxoGen

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. MCF Advisors LLC acquired a new position in AxoGen in the fourth quarter valued at approximately $30,000. Arax Advisory Partners raised its position in shares of AxoGen by 362.4% during the fourth quarter. Arax Advisory Partners now owns 1,045 shares of the medical equipment provider’s stock worth $34,000 after purchasing an additional 819 shares during the period. Caitong International Asset Management Co. Ltd acquired a new stake in AxoGen during the 4th quarter worth approximately $36,000. Kestra Advisory Services LLC bought a new stake in AxoGen in the 4th quarter valued at $39,000. Finally, Future Financial Wealth Managment LLC bought a new stake in shares of AxoGen in the third quarter valued at about $27,000. 80.29% of the stock is owned by institutional investors.

AxoGen Stock Down 8.1%

The company has a debt-to-equity ratio of 0.54, a current ratio of 4.09 and a quick ratio of 2.64. The company has a market capitalization of $1.50 billion, a price-to-earnings ratio of -650.00 and a beta of 1.00. The firm has a 50-day moving average price of $33.09 and a two-hundred day moving average price of $24.85.

About AxoGen

AxoGen, Inc is a Florida-based medical technology company that develops and commercializes surgical solutions for peripheral nerve damage. Founded in 2002 and headquartered in Alachua, Florida, the company focuses on restoring nerve function and improving patient outcomes through innovative biologic and engineered products. AxoGen’s offerings address a range of traumatic and iatrogenic injuries, offering alternatives to traditional nerve autografts.

The company’s core product portfolio includes the Avance® Nerve Graft, a decellularized human nerve allograft designed to bridge nerve gaps without the need for a secondary harvest site, and the Axoguard® Nerve Connector and Protector devices, which facilitate nerve coaptation and protect repaired sites from surrounding scar tissue.