Kestra Medical Technologies (NASDAQ:KMTS) Stock Price Down 8.7% Following Weak Earnings

Kestra Medical Technologies, Ltd. (NASDAQ:KMTS) was down 8.7% on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $19.17 and last traded at $19.3040. Approximately 280,326 shares changed hands during trading, a decline of 5% from the average daily volume of 295,539 shares. The stock had previously closed at $21.14.

The company reported ($0.61) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.60) by ($0.01). Kestra Medical Technologies had a negative return on equity of 74.66% and a negative net margin of 171.87%.The business had revenue of $24.55 million for the quarter. Kestra Medical Technologies’s revenue was up 62.7% compared to the same quarter last year.

Trending Headlines about Kestra Medical Technologies

Here are the key news stories impacting Kestra Medical Technologies this week:

• Positive Sentiment: Revenue growth and raised guidance: Q3 revenue was $24.55M, up 62.7% year‑over‑year, and management raised FY2026 revenue guidance to $93M — evidence of accelerating sales and market expansion. GlobeNewswire Release
• Positive Sentiment: Analyst support: BTIG reaffirmed a “buy” and set a $32 price target (~60%+ upside from current levels), which can provide investor confidence and buying interest. Benzinga
• Positive Sentiment: Management commentary highlights expansion and margin progress on the earnings call, which supports the upbeat guidance and growth narrative. Seeking Alpha Transcript
• Neutral Sentiment: Full call/transcript and press materials are available for deeper due diligence — useful for investors who want to parse cadence, customer wins and margin drivers. Yahoo Finance Transcript
• Negative Sentiment: EPS miss and continued unprofitability: Reported EPS of ($0.61) missed the consensus ($0.60) by $0.01; the company still shows negative net margin (~‑171.9%) and negative ROE, underscoring that growth is not yet translating into profitability. MarketBeat Earnings Summary
• Negative Sentiment: Market reaction/technicals: Shares are trading below both the 50‑ and 200‑day moving averages and volume is well above average, indicating sellers dominated today as investors digested the mixed report. (Balance sheet liquidity is solid, but profitability concerns and the EPS miss likely drove the sell‑off.)

Analysts Set New Price Targets

Several research firms recently commented on KMTS. Weiss Ratings reissued a “sell (d-)” rating on shares of Kestra Medical Technologies in a research report on Wednesday, December 24th. The Goldman Sachs Group set a $24.00 price objective on shares of Kestra Medical Technologies in a research note on Friday, January 16th. Wells Fargo & Company upped their target price on shares of Kestra Medical Technologies from $27.00 to $28.00 and gave the company an “overweight” rating in a research note on Friday, December 12th. Stifel Nicolaus set a $30.00 price target on shares of Kestra Medical Technologies in a research note on Friday, December 12th. Finally, Piper Sandler upped their price objective on shares of Kestra Medical Technologies from $27.00 to $30.00 and gave the company an “overweight” rating in a research report on Friday, December 12th. Six investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Kestra Medical Technologies presently has an average rating of “Moderate Buy” and an average target price of $29.00.

Insiders Place Their Bets

In other news, insider Traci S. Umberger sold 10,500 shares of the company’s stock in a transaction dated Monday, December 29th. The shares were sold at an average price of $26.69, for a total value of $280,245.00. Following the sale, the insider owned 136,633 shares in the company, valued at approximately $3,646,734.77. This represents a 7.14% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Brian Daniel Webster sold 15,000 shares of the business’s stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $25.60, for a total value of $384,000.00. Following the completion of the sale, the insider directly owned 379,786 shares of the company’s stock, valued at approximately $9,722,521.60. This represents a 3.80% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 55,500 shares of company stock worth $1,405,095 over the last quarter. 3.60% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in KMTS. Price T Rowe Associates Inc. MD lifted its stake in Kestra Medical Technologies by 137.5% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,369,429 shares of the company’s stock worth $115,878,000 after purchasing an additional 2,529,851 shares during the last quarter. Brown Advisory Inc. increased its stake in Kestra Medical Technologies by 34.1% during the fourth quarter. Brown Advisory Inc. now owns 1,688,356 shares of the company’s stock valued at $44,775,000 after purchasing an additional 428,996 shares during the last quarter. Alliancebernstein L.P. raised its holdings in shares of Kestra Medical Technologies by 13.7% during the third quarter. Alliancebernstein L.P. now owns 1,491,970 shares of the company’s stock worth $35,449,000 after purchasing an additional 179,885 shares during the period. Eventide Asset Management LLC raised its holdings in shares of Kestra Medical Technologies by 5.4% during the fourth quarter. Eventide Asset Management LLC now owns 1,269,651 shares of the company’s stock worth $33,671,000 after purchasing an additional 65,288 shares during the period. Finally, Franklin Resources Inc. lifted its position in shares of Kestra Medical Technologies by 180.8% in the 4th quarter. Franklin Resources Inc. now owns 951,008 shares of the company’s stock worth $25,221,000 after buying an additional 612,343 shares during the last quarter.

Kestra Medical Technologies Price Performance

The company has a debt-to-equity ratio of 0.26, a quick ratio of 5.47 and a current ratio of 5.47. The company’s fifty day moving average price is $24.19 and its 200 day moving average price is $24.53. The firm has a market capitalization of $1.14 billion and a price-to-earnings ratio of -4.94.

About Kestra Medical Technologies

We are a commercial-stage, wearable medical device and digital healthcare company focused on transforming patient outcomes in cardiovascular disease using monitoring and therapeutic intervention technologies that are intuitive, intelligent, and connected. We have developed and are commercializing our Cardiac Recovery System platform, a comprehensive and advanced system that integrates monitoring, therapeutic treatment, digital health, and patient support services into a single, unified solution. The cornerstone of our Cardiac Recovery System platform is the ASSURE WCD, a next generation wearable cardioverter defibrillator (“WCD”) used to protect patients at an elevated risk of sudden cardiac arrest (“SCA”), a major public health problem that accounts for approximately 50% of all cardiovascular deaths in the U.S.