InMode (INMD) to Post Q2 Earnings: What's in the Cards?
InMode INMD is scheduled to report second-quarter 2023 results on Jul 27, before market open.
In the last reported quarter, the company’s adjusted earnings per share of 52 cents surpassed the Zacks Consensus Estimate by 4%.
Let’s take a look at how things have shaped up prior to this announcement.
Factors to Note
On the first-quarter 2023 earnings call, InMode stated that the first quarter was the slowest one and that the second quarter should be much better.
On Jul 12, the company released its preliminary results for the second quarter. Going by the announcement, the company expects revenues to be in the range of $135.7 million to $135.9 million.
Second-quarter adjusted earnings are expected in the range of 70-71 cents. The company also expects adjusted gross margin for the second quarter in the range of 83% to 85%.
In the second quarter, the company is expected to report strong consumable and service revenues banking on strong performances of seven patented technologies across 10 product families and an installed base of more than 8,400 platforms in the United States and over 18,300 systems globally.
InMode Ltd. Price and EPS Surprise
InMode Ltd. price-eps-surprise | InMode Ltd. Quote
Further, the recent successful entry of Envision platforms (targeted for ophthalmology and optometrist market), in Canada is likely to have also contributed strongly to the quarter’s top line. Further, the Morpheus8 platform is also expected to have gained traction and benefitted from the company’s brand ambassadors, strong market awareness and positive patient results.
However, overall, a strong commercial performance in the second quarter might have been largely dented by a challenging macroeconomic environment and currency headwinds.
Q2 Estimates
The Zacks Consensus Estimate for the company’s second-quarter 2023 revenues is pegged at $135.8 million, a 19.6% projected improvement year over year.
The Zacks Consensus Estimate for the company’s second-quarter 2023 earnings per share is 67 cents, indicating an upside of 13.6% from the year-ago reported figure.
What Our Model Suggests
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) along with a positive Earnings ESP has higher chances of beating estimates. However, this is not the case here, as you can see:
Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3.
Stocks Worth a Look
Here are some medical stocks worth considering as these have the right combination of elements to post an earnings beat this quarter, per our model.
TG Therapeutics TGTX has an Earnings ESP of +12.00% and a Zacks Rank of #2. The company is expected to release second-quarter 2023 results soon. You can see the complete list of today’s Zacks #1 Rank stocks here.
TG Therapeutics has an expected earnings growth rate of 37.7% for 2023. TGTX’s 2023 projected revenues of $87.65 million indicate a massive increase from the year-ago reported figure of $2.8 million.
Dentsply Sirona XRAY has an Earnings ESP of +3.39% and a Zacks Rank of #2. Dentsply Sirona is scheduled to release second-quarter fiscal 2023 results on Aug 3.
XRAY’s earnings surpassed estimates in two of the trailing four quarters and missed the same in the other, the average beat being 10.47%. XRAY’s long-term expected growth rate is estimated to be 9.3%.
SiBone SIBN has an Earnings ESP of +12.20% and a Zacks Rank #1. SiBone is scheduled to release second-quarter 2023 results on Aug 7.
SIBN’s earnings surpassed estimates in three of the trailing four quarters and missed the same once, with the average surprise being 11.11%. The Zacks Consensus Estimate for SIBN’s second-quarter EPS indicates a 22.2% improvement from the year-ago reported figure.
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DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report
TG Therapeutics, Inc. (TGTX) : Free Stock Analysis Report
SiBone (SIBN) : Free Stock Analysis Report
InMode Ltd. (INMD) : Free Stock Analysis Report
