Inspire Medical weakness related to MACs pulling CPT code, says Stifel

Stifel says Inspire Medical’s (INSP) reimbursement CPT code “merry-go-round took a turn for the worse this morning” as two Medicare Administrative Contractors – CGS and Noridian – pulled CPT code 64568 for HGNS and are “seemingly redirecting” Inspire surgery back to the former code 64582, though “details are still (somewhat) scant.” For now, the stock is under significant pressure as the recent reimbursement driven rally is essentially erased and the firm sees it returning to a “show me” execution narrative, though Stifel reiterates a Buy rating on Inspire, calling it “a business fully funded in the midst of a product cycle.” In morning trading, Inspire shares are down $24.80, or 21%, to $93.47.