Penumbra, Inc. Common Stock (PEN)

Penumbra (PEN) Q3 2025 Earnings Call Transcript

Shares of medical device company Penumbra (NYSE:PEN) jumped 17.2% in the morning session after it reported third-quarter 2025 financial results that surpassed Wall Street's expectations for both revenue and profit. The company's revenue grew 17.8% year on year to $354.7 million, comfortably beating analysts' consensus estimate of $340.4 million. Its profitability also showed significant improvement, with non-GAAP earnings per share (EPS) of $0.97, which was 5.3% ahead of expectations. Penumbra demonstrated increased efficiency as its operating margin expanded to 13.8%, a notable increase from 11.7% in the same quarter of the previous year. This strong all-around performance, which showcased healthy demand and enhanced profitability, prompted a positive investor reaction.

There are plenty of catalysts to like for the remainder or 2025 and into 2026, one analyst said.

Medical device company Penumbra (NYSE:PEN) reported Q3 CY2025 results exceeding the market’s revenue expectations, with sales up 17.8% year on year to $354.7 million. Its non-GAAP profit of $0.97 per share was 5.3% above analysts’ consensus estimates.

Medical device company Penumbra (NYSE:PEN) will be reporting results this Wednesday after the bell. Here’s what investors should know.

Shares of medical device company Penumbra (NYSE:PEN) fell 5.5% in the afternoon session after the company announced results from its landmark STORM-PE randomized controlled trial. The study found that using Penumbra's computer-assisted vacuum thrombectomy (CAVT) system with anticoagulation was superior to using anticoagulation alone for treating patients with acute intermediate high-risk pulmonary embolism (PE), a type of blood clot in the lungs. Specifically, the trial showed a better reduction in right heart strain for patients treated with Penumbra's device. The results were called "resoundingly positive" and demonstrated a more than 50% improvement in treatment effect within two days, without an increase in major adverse events.

Wall Street bounced back Wednesday after Tuesday's sharp selloff in AI-driven stocks, as investors bought the dip amid solid corporate earnings and growing signs that the Federal Reserve may be nearing another interest rate cut.

Penumbra pitted its device, Lightning Flash, with blood thinners vs. blood thinners, alone, in patients with pulmonary embolism.

Shares of medical device company Penumbra (NYSE:PEN) jumped 3.2% in the morning session after Needham upgraded the stock to 'Buy' from 'Hold' and set a price target of $326. 

Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.

A number of stocks fell in the afternoon session after the U.S. Commerce Department initiated a national security investigation into medical equipment and devices, raising concerns about potential tariffs. 

"You get what you pay for" often applies to expensive stocks with best-in-class business models and execution. While their quality can sometimes justify the premium, they typically experience elevated volatility during market downturns when expectations change.

A number of stocks fell in the afternoon session after markets pulled back, reversing early gains, as investor sentiment remained cautious despite a softer-than-expected inflation reading. 

Healthcare companies are pushing the status quo by innovating in areas like drug development and digital health. Despite the rosy long-term prospects, short-term headwinds such as COVID inventory destocking have caused the industry to lag recently - over the past six months, the collective 1.4% gain for healthcare stocks has fallen short of the S&P 500’s 15.5% rise.