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Inspire Medical Systems: Balancing Strong Performance with Operational Challenges and Regulatory Risks

Inspire Medical Systems: Balancing Strong Performance with Operational Challenges and Regulatory Risks

Larry Biegelsen, an analyst from Wells Fargo, maintained the Hold rating on Inspire Medical Systems (INSPResearch Report). The associated price target was lowered to $195.00.

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Larry Biegelsen has given his Hold rating due to a combination of factors related to Inspire Medical Systems. The company’s recent financial performance showed some positive signs, such as Q4 profitability exceeding expectations and a strong 2025 EPS guidance. However, there are concerns that may hinder the stock’s immediate upward potential. One of the primary concerns is the delay in the full launch of the Inspire V device due to inventory build challenges, which could limit revenue growth in the near term.
Additionally, while the company has plans to scale up production through new manufacturing lines, the process is taking longer than anticipated. This creates uncertainty around the timing of increased Inspire V availability. Furthermore, the potential impact of a CID investigation adds another layer of risk. As a result, while Inspire Medical Systems has demonstrated strong performance metrics, these challenges led Biegelsen to maintain a cautious outlook, warranting a Hold rating.

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