Charles Rhyee, an analyst from TD Cowen, maintained the Hold rating on DarioHealth. The associated price target is $11.00.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Charles Rhyee has given his Hold rating due to a combination of factors impacting DarioHealth’s current financial performance and future prospects. The company experienced a revenue shortfall in the third quarter, reporting $5 million compared to the expected $5.7 million. This decline was primarily due to the loss of a significant national health plan earlier in the year, which has continued to affect their revenue stream. Despite this setback, DarioHealth has shown resilience by expanding its client base, having signed 45 new clients year-to-date, surpassing its target of 40.
Looking ahead, DarioHealth’s strong pipeline is a positive indicator, with expectations of $12.4 million in new business set to launch in the first quarter of 2026. The company is also making strategic partnerships, such as with UNH and Aetna, which could bolster its market presence. However, the transition from one-time to recurring revenue in its pharma services business and the need to achieve cash flow breakeven by late 2026 or early 2027 present challenges. These mixed signals contribute to the Hold rating, as the company balances current financial difficulties with promising future opportunities.
In another report released today, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $11.50 price target.
Based on the recent corporate insider activity of 13 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of DRIO in relation to earlier this year.