Morgan Stanley Downgrades Nevro (NYSE:NVRO) to Underweight

Nevro (NYSE:NVRO) was downgraded by analysts at Morgan Stanley from an “equal weight” rating to an “underweight” rating in a note issued to investors on Monday, Marketbeat reports. They presently have a $4.00 price target on the medical equipment provider’s stock, down from their previous price target of $9.00. Morgan Stanley’s price target suggests a potential downside of 6.10% from the stock’s current price.

Several other analysts have also recently commented on the company. Robert W. Baird raised their target price on Nevro from $5.00 to $6.00 and gave the stock a “neutral” rating in a research report on Tuesday, November 12th. Piper Sandler decreased their price objective on Nevro from $7.00 to $6.00 and set an “underweight” rating for the company in a research report on Tuesday, November 12th. JMP Securities reiterated a “market perform” rating on shares of Nevro in a report on Tuesday, November 12th. Canaccord Genuity Group decreased their price target on shares of Nevro from $8.00 to $7.00 and set a “hold” rating for the company in a report on Tuesday, November 12th. Finally, Citigroup lowered their price objective on shares of Nevro from $6.89 to $6.00 and set a “neutral” rating on the stock in a research report on Tuesday, October 1st. Three analysts have rated the stock with a sell rating and twelve have given a hold rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $8.55.

Nevro Price Performance

NYSE NVRO opened at $4.26 on Monday. Nevro has a 1 year low of $3.95 and a 1 year high of $22.64. The stock’s 50-day moving average price is $4.91 and its two-hundred day moving average price is $6.77. The company has a market cap of $159.62 million, a PE ratio of -2.25 and a beta of 0.84. The company has a current ratio of 5.02, a quick ratio of 3.76 and a debt-to-equity ratio of 0.67.

Nevro (NYSE:NVRO) last released its quarterly earnings results on Monday, November 11th. The medical equipment provider reported ($0.41) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.81) by $0.40. Nevro had a negative net margin of 16.54% and a negative return on equity of 23.52%. The business had revenue of $96.60 million for the quarter, compared to analyst estimates of $93.09 million. During the same quarter in the previous year, the business earned ($0.65) earnings per share. The firm’s revenue was down 7.0% compared to the same quarter last year. On average, analysts predict that Nevro will post -2.43 EPS for the current year.

Hedge Funds Weigh In On Nevro

Institutional investors have recently bought and sold shares of the stock. Western Standard LLC acquired a new position in shares of Nevro during the 3rd quarter valued at about $5,473,000. Assenagon Asset Management S.A. grew its holdings in Nevro by 490.7% during the second quarter. Assenagon Asset Management S.A. now owns 728,463 shares of the medical equipment provider’s stock valued at $6,134,000 after purchasing an additional 605,134 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in shares of Nevro by 130.7% in the third quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,000,000 shares of the medical equipment provider’s stock valued at $5,590,000 after purchasing an additional 566,462 shares during the period. Engaged Capital LLC lifted its stake in shares of Nevro by 29.5% in the third quarter. Engaged Capital LLC now owns 2,442,956 shares of the medical equipment provider’s stock worth $13,656,000 after buying an additional 557,000 shares during the last quarter. Finally, Jacobs Levy Equity Management Inc. lifted its stake in shares of Nevro by 50.8% in the third quarter. Jacobs Levy Equity Management Inc. now owns 732,717 shares of the medical equipment provider’s stock worth $4,096,000 after buying an additional 246,979 shares during the last quarter. 95.52% of the stock is currently owned by institutional investors.

Nevro Company Profile

Nevro Corp., a medical device company, engages in the provision of products for patients suffering from chronic pain in the United States and internationally. The company provides HFX spinal cord stimulation (SCS) platform, which includes the Senza SCS implantable pulse generator (IPG) system, an evidence-based neuromodulation system for the treatment of chronic back and leg pain through paresthesia-free 10 kHz therapy, as well as offers Senza II and Senza Omnia SCS IPG systems.