Neuronetics Inc logo

Neuronetics Inc(STIM)

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EXPLORE ADVISORIES AND THEIR HISTORY
QUALITY SIGNAL
1-STAR RATING
PASS
LAST CLOSE
$2.11
10/23/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
  • ALL
  • 1Y
  • 1M
  • 1W
  • BUY Advisory
  • SELL Advisory (Profit)
  • SELL Advisory (Loss)
  • Profit
  • Loss
  • PASS (Skip)
Upturn Stock price based on last close iconStock price based on last close
Simulated performance—not actual client returns. Excludes advisory subscription fees, trading commissions, and taxes, which would reduce returns. Results depend on calculation assumptions and do not guarantee future outcomes. See Disclosures for full methodology, assumptions, and limitations.

Advisory Performance History (Simulated)Advisory Performance History info

Simulated performance—not actual client returns. Excludes advisory subscription fees, trading commissions, and taxes, which would reduce returns. Results depend on calculation assumptions and do not guarantee future outcomes. See Disclosures for full methodology, assumptions, and limitations.

Upturn Advisory & Investor View for STIM

10/23/2026: STIM (1-star) is currently NOT-A-BUY. Pass it for now.

Neuronetics Inc is a medical device company focused on treating psychiatric conditions through its NeuroStar TMS therapy system. The company maintains a leading position in the Transcranial Magnetic Stimulation market with an extensive installed base. Its growth strategy relies on increasing therapy utilization and exploring new clinical indications, now complemented by a move into medical robotics. Key risks include intense competition from other neurostimulation firms, the constant threat of pharmaceutical alternatives, and a history of operating losses. The stock may best suit growth-oriented investors who can tolerate high volatility while monitoring progress toward profitability and successful product diversification.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorMixed fitThe company is in a growth phase, but historical execution and profitability remain inconsistent.
Momentum investorWeak fitThe stock has often lacked the sustained positive price momentum required for this style.
Value investorWeak fitThe company currently lacks consistent earnings and free cash flow to support traditional value metrics.
Dividend investorWeak fitNeuronetics does not pay a dividend and reinvests all capital into operations.
Low-risk investorWeak fitHigh volatility and operational risks make this stock unsuitable for low-risk portfolios.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityHighThe stock is subject to significant swings based on clinical updates and quarterly results.
Valuation riskMedium / highValuations are often disconnected from earnings due to the company's early-stage profitability status.
Competition risk (Brainsway/Pharma)HighIntense pressure from alternative therapies threatens market share.
Business qualityMediumThe reliance on a single product type limits the franchise quality.
Dividend incomeLow / noneThere is no income component to the investment.
Execution riskHighManagement must successfully scale revenue while controlling cash burn.

Price Behavior

Rolling Over
PRICE PATH

Rolling Over

The price momentum is slowing down and beginning to turn downward.

Extreme Price Shocks
PRICE STABILITY

Extreme Price Shocks

The stock has experienced exceptionally large and disruptive price movements during the period.

Analysis of Past Performance

Type Stock
Historic Profit 237.53%
Avg. Invested days 29
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 5.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 10/23/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
STIM receives a 3-star rating, supported by solid company fundamentals, and solid analyst coverage. The rating is constrained by weak unit economics, and weak price momentum.

Company Fundamentals

★★★★★
STIM has solid overall fundamentals (4 stars), with soft financial health, solid growth momentum, and solid ownership. In FY2025 versus FY2024, solid earnings growth (+10.8%) and strong revenue growth (+99.2%) are partially offset by weak cash generation (FCF margin -14.2%), weak profitability (net margin -26.1%).

Financial Health Rating

★★★★★
STIM's financial health is soft, with the relatively strongest area being moderate liquidity, including working-capital and asset support (WC/assets 21.9%). Profitability is soft (2 stars), which helps explain the 2-star overall score.

Growth Momentum Score

★★★★★
Revenue growth is STIM's strongest growth driver at +99.2% FY2025 versus FY2024 (strong, 5 stars). Earnings growth (+10.8%, solid) and free-cash-flow growth (+34.8%, solid) are also constructive, though not equally high across every growth measure.

Ownership

★★★★★
Institutional ownership is 54.0% and approximately 48.8% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 32.85% supports management-shareholder alignment.

Top 5 Institutional Investors

Madryn Asset Management, LP 24.33%
UBS Group AG 2.99%
Wexford Capital LP 2.63%
FourWorld Capital Management LLC 2.29%
Lane Generational LLC 2.14%

Unit Economics (Per $1K Revenue)

★★★★★
STIM generates approximately $485 of gross profit, $-211 of operating income, and $-142 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Operating losses and cash burn explain the 1-star rating, with weak cash conversion and weak capital efficiency.

Economic Dimensions

★★★★★
Effective Tax Rate: 0.00%

Quantitative Style Profile

★★★★★
STIM has a Value-Oriented profile. Weak momentum is the primary drawback.

Style Classification

Quality Focused

Value-OrientedSmall / Mid Cap RiskShort Squeeze Risk

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 160.78M USD
Price to earnings Ratio -
1Y Target Price 5.75
Price to earnings Ratio -
1Y Target Price 5.75
Volume (30-day avg) 1.0M shares
Beta 1.2
52 Weeks Range 0.80 - 3.44
Updated Date 10/25/2026
52 Weeks Range 0.80 - 3.44
Updated Date 10/25/2026
Dividends yield (FY) -
Basic EPS (TTM) -0.43

How Company Makes Money

Business areaWhat it includesRetail investor read
Capital EquipmentSale of NeuroStar TMS systems.Revenue comes from selling the actual therapy machines to clinics.
ConsumablesTreatment session cards and accessories.Recurring revenue is earned every time a patient is treated.
ServicesMaintenance and service contracts.Clinics pay for ongoing support of the installed machines.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

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Valuation

Trailing PE -
Forward PE -
Enterprise Value 246.07M
Price to Sales(TTM) 1.04
Enterprise Value 246.07M
Price to Sales(TTM) 1.04
Enterprise Value to Revenue 2.21
Enterprise Value to EBITDA -2.02
Shares Outstanding 76.20M
Shares Floating 37.15M
Shares Outstanding 76.20M
Shares Floating 37.15M
Percent Insiders 32.85
Percent Institutions 54.02

Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

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