Myomo (MYO) stock plummeted on Tuesday after the medical robotics company released its Q2 2025 earnings report. The biggest blow to the company’s shares came from its updated guidance. The company cut its 2025 revenue guidance to between $40 million and $42 million from a prior range of $50 million to $53 million. This would see its revenue miss Wall Street’s estimate of $49.21 million for the year, but still increase 23% to 29% compared to 2024.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Myomo also provided revenue guidance for the third quarter of 2025 in its latest earnings report. The company expects revenue for the period to range from $9.5 million to $10 million. Yet again, this would fall short of analysts’ revenue estimate of $12.86 million for the quarter.
Paul Gudonis, Chairman and CEO of Myomo, said “several forward-looking operating metrics were not as strong as we anticipated due to factors affecting lead quality and pipeline conversion.” He noted that the company is “taking decisive action to improve lead quality and pipeline conversion, positioning us for stronger operating performance.”
Myomo Earnings & Stock Movement
Myomo’s guidance cut came despite strong Q2 2025 results. Revenue of $9.65 million was better than Wall Street’s estimate of $9.15 million. It also increased 28% year-over-year from $7.52 million. This came from an increase in the number of revenue units and a higher average selling price.
MYO stock was down 32.95% on Tuesday morning, following a 3.83% dip yesterday. The shares have also fallen 72.67% year-to-date and 54.05% over the past 12 months.
Is Myomo Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Myomo is Strong Buy, based on four Buy ratings over the past three months. With that comes an average MYO stock price target of $8.67, representing a potential 392.61% upside for the shares. These ratings and price targets will likely change as analysts update their coverage after today’s earnings report.
