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NEW YORK & NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF continues its investigation into Inspire Medical Systems, Inc. (NYSE: INSP).In August of 2025, contrary to the Company's repeated assurances that it had met all regulatory, technical, and commercial prerequisites for the launch of its Inspire V device, the Company disclosed that the launch faced an "elongate.

Key Takeaways Inspire Medical is positioned for growth as Inspire V drives a major product transition.Inspire V cuts implant time by over 20%, while FDA approvals broaden patient eligibility.Coding uncertainty and WISeR delays may worsen in Q2 before easing in the second half of 2026. Inspire Medical Systems (INSP - Free Report) is well-positioned for solid growth over the next few quarters as it navigates a significant product transition.

Shares of this Zacks Rank #3 (Hold) company have declined 44.1% in the year-to-date period compared with the industry’s 6.8% fall. However, the S&P 500 Index has increased 10% in the same timeframe.

Inspire Medical, a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea, has a market capitalization of $1.46 billion.

The company’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 181.2%.

Image Source: Zacks Investment Research

Positive Factors Driving INSP’s ProspectsStrong Clinical Innovation & Growing Clinical Evidence: Inspire Medical continues to strengthen its leadership in hypoglossal nerve stimulation through product innovation and expanding clinical evidence. The Inspire V system remains a key growth driver, offering a simplified implant procedure by integrating the respiratory sensor within the neurostimulator while reducing implant time by more than 20% versus Inspire IV. Clinical studies have demonstrated superior respiratory sensing, improved sleep apnea outcomes and strong patient adherence.

The recently published PREDICTOR study suggests many patients may be screened without drug-induced sleep endoscopy (DISE), reducing diagnostic burden and time to treatment. Long-term data from the ADHERE registry and independent studies presented at SLEEP 2026 demonstrated sustained improvements in apnea severity, therapy adherence and cardiovascular outcomes, with Inspire patients showing lower risks of stroke, myocardial infarction, atrial fibrillation and hospitalization than CPAP-treated or untreated patients. Having treated more than 135,000 patients globally and supported by more than 385 peer-reviewed publications, Inspire Medical continues to strengthen physician confidence and long-term adoption.

Regulatory Expansion & Commercial Execution: Inspire Medical continues expanding its addressable market through regulatory approvals while strengthening commercial execution. Recent FDA approvals broadened patient eligibility by increasing the upper apnea-hypopnea index threshold, expanding BMI criteria and authorizing Inspire therapy for certain pediatric Down syndrome patients. The launch of Inspire V and new CMS HCPCS Level II C-codes has further supported adoption while improving facility reimbursement clarity. Management is also pursuing a dedicated CPT code expected to take effect in 2028, providing a long-term reimbursement solution. The company has optimized its sales organization by strategically consolidating territories while increasing field clinical representatives to achieve its targeted one-to-one ratio with territory managers. International momentum remains encouraging, with first-quarter 2026 international revenues increasing 16.5% year over year, reflecting growing physician awareness and market penetration despite reimbursement headwinds.

Disciplined Financial Execution & Investment in Growth: Inspire Medical delivered resilient financial performance while maintaining a disciplined investment strategy. Revenues increased 1.6% year over year, while the company improved adjusted operating margin through favorable product mix and higher adoption of Inspire V, generating stronger operating cash flow than the prior-year period. Management remains focused on investments that directly support long-term expansion, including reimbursement education, field reimbursement specialists, digital patient engagement tools, marketing effectiveness, operational efficiencies and next-generation product development. These initiatives will begin contributing more meaningfully during the second half of 2026 and accelerate further in 2027 as reimbursement challenges ease.

Key Challenges for INSP StockCoding & Reimbursement Uncertainty: The biggest near-term challenge remains coding and reimbursement uncertainty for Inspire V procedures. Differences in billing practices across Medicare and commercial insurers have slowed prior authorizations, reduced patient pipeline activity and delayed procedures. Although CMS introduced facility billing codes and management is working toward a dedicated CPT code expected in 2028, reimbursement uncertainty is expected to continue affecting procedure volumes until providers gain confidence in billing practices.

Coding and reimbursement disruption, along with the WISeR program, negatively impacted first-quarter 2026 revenues by approximately $20 million and could reduce full-year 2026 revenues by $120-$150 million. The company expects second-quarter revenue pressure to worsen with an estimated revenue headwind of $40-$50 million due to lower prior authorization activity during the first quarter, before improving gradually during the second half of 2026.

WISeR Program Disrupting Procedure Volumes: The rollout of the WISeR’s prior authorization program across six Medicare pilot states has created additional administrative hurdles for providers. AI-driven authorization requirements and varying state-specific workflows have delayed procedures and reduced Medicare volumes during the first quarter. While management expects providers to adapt over time, the program is likely to remain a short-term headwind before becoming less disruptive later in 2026.

GLP-1 Adoption & Competitive Pressure: Inspire Medical also faces emerging external headwinds. Management acknowledged that increasing use of GLP-1 weight-loss therapies may temporarily delay Inspire procedures as some patients pursue medical treatment first. Although GLP-1 therapies could ultimately expand the eligible patient population by helping patients meet BMI requirements, the near-term impact on procedure volumes remains uncertain. At the same time, competition in the hypoglossal nerve stimulation market is gradually increasing, adding another factor that could weigh on growth until reimbursement challenges subside.

Estimate TrendInspire Medical is witnessing a positive estimate revision trend for 2026. In the past 30 days, the Zacks Consensus Estimate for earnings has moved north 1 cent to $1.05 per share.

The Zacks Consensus Estimate for second-quarter 2026 revenues and loss per share is pegged at $194.8 million and 22 cents, respectively.

Stocks to ConsiderSome better-ranked stocks from the broader medical space are West Pharmaceutical (WST - Free Report) , Intuitive Surgical (ISRG - Free Report) and Cardinal Health (CAH - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

West Pharmaceutical reported first-quarter 2026 earnings per share of $2.13, which beat the Zacks Consensus Estimate by 26.8%. Revenues of $844.9 million surpassed the Zacks Consensus Estimate by 8.5%.

West Pharmaceutical has an estimated long-term earnings growth rate of 13.9%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 19.4%.

Intuitive Surgical reported first-quarter 2026 adjusted EPS of $2.50, which beat the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion surpassed the Zacks Consensus Estimate by 6.2%.

Intuitive Surgical has an estimated long-term earnings growth rate of 14.3%. ISRG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.8%.

Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%.

Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in the trailing four quarters, the average surprise being 10.3%.

, /PRNewswire/ -- Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC ("KSF"), announces that KSF continues its investigation into Inspire Medical Systems, Inc. (NYSE: INSP).

In August of 2025, contrary to the Company's repeated assurances that it had met all regulatory, technical, and commercial prerequisites for the launch of its Inspire V device, the Company disclosed that the launch faced an "elongated timeframe" due to previously undisclosed issues, including that "many centers did not complete the training, contracting and onboarding criteria required prior to the purchase and implant of Inspire V," "software updates for claims submissions and processing" not taking effect until early July, and that excess inventory caused poor demand. As a result, the Company slashed its 2025 earnings guidance by more than 80%, from $2.20 to $2.30 per share to $0.40 to $0.50 per share.

Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information in violation of federal securities laws. Recently, the case was transferred from the United States District Court for the Southern District of New York to the District of Minnesota, and remains ongoing.

KSF's investigation is focusing on whether Inspire's officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws. 

If you have information that would assist KSF in its investigation, or have been a long-term holder of Inspire shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-833-938-0905 or email KSF Managing Partner Lewis Kahn ([email protected]), or visit https://www.ksfcounsel.com/cases/nyse-insp/ to learn more.

About Kahn Swick & Foti, LLC

KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. This past year, KSF was ranked by SCAS among the top 10 firms nationally based upon total settlement value. KSF serves a variety of clients, including public and private institutional investors, and retail investors - in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, Delaware, California, Louisiana, Chicago, and a representative office in Luxembourg.

TOP 10 Plaintiff Law Firms - According to ISS Securities Class Action Services

To learn more about KSF, you may visit www.ksfcounsel.com.

Contact:
Kahn Swick & Foti, LLC
Lewis Kahn, Managing Partner
[email protected]
1-877-515-1850
1100 Poydras St., Suite 960
New Orleans, LA 70163

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SOURCE Kahn Swick & Foti, LLC

July 06, 2026 08:00 ET  | Source: Inspire Medical Systems

MINNEAPOLIS, July 06, 2026 (GLOBE NEWSWIRE) -- Inspire Medical Systems, Inc. (NYSE: INSP) (Inspire) will release financial results for the second quarter 2026 after the close of trading on Monday, August 3. Inspire’s management team will host a corresponding conference call beginning at 5:00 p.m. Eastern Time to discuss the financial results and recent business developments.

A webcast of the call will be accessible via the Investor Relations page of the Inspire website or through this link: Inspire's Q2 2026 earnings call webcast. For those not planning to ask a question of management, the Company recommends listening via the webcast.

If you plan to ask a question, please use the following link: Inspire's Q2 2026 earnings call. After registering, an email will be sent, including dial-in details and a unique conference call access code required to join the live call. To ensure you are connected prior to the beginning of the call, the Company suggests registering a minimum of 10 minutes before the start of the call. 

Following the call, a replay will be available on the Company's Investor Relations website approximately two hours after the event and archived on the site for two weeks.

About Inspire Medical Systems
Inspire is a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea. Inspire’s proprietary Inspire therapy is the first FDA, EU MDR, and PDMA-approved neurostimulation technology that provides a safe and effective treatment for moderate to severe obstructive sleep apnea.

For additional information about Inspire, please visit www.inspiresleep.com.

Investor and Media Contact
Ezgi Yagci
Vice President, Investor Relations
[email protected]
617-549-2443

Inspire Medical Systems, Inc. (INSP) Presents at Wells Fargo 2026 MedTech Innovation Spotlight Transcript

Highlights New Clinical Data, Technology Advancements, and Cardiovascular Outcomes Research June 16, 2026 08:00 ET  | Source: Inspire Medical Systems

MINNEAPOLIS, June 16, 2026 (GLOBE NEWSWIRE) -- Inspire Medical Systems, Inc. (NYSE: INSP), a medical technology company focused on innovative, minimally invasive solutions for patients with obstructive sleep apnea (OSA), today announced its participation in SLEEP 2026, the 40th annual meeting of the Associated Professional Sleep Societies (APSS), taking place June 14–17 in Baltimore, Maryland.

SLEEP is the premier global forum for sleep medicine and research, jointly hosted by the American Academy of Sleep Medicine (AASM) and the Sleep Research Society (SRS).

Advancing Innovation and Clinical Evidence

“We are pleased to return to SLEEP and showcase the continued evolution of the Inspire platform, including the Inspire V system, alongside compelling new clinical data demonstrating real-world effectiveness,” said Tim Herbert, Chairman and Chief Executive Officer. “Our long-standing partnership with SLEEP reflects our commitment to advancing physician education and improving outcomes for patients with OSA worldwide.”

At Booth #525, attendees can explore:

The Inspire V system and recent technology advancementsClinical evidence supporting closed-loop therapy detailing respiratory sensing and inspiratory overlapThe Inspire SleepSync™ remote patient management platformResources for establishing and scaling Inspire programs New Clinical Insights: Hypoxic Burden and Cardiovascular Outcomes

Multiple presentations at SLEEP 2026 will highlight the growing body of evidence supporting Inspire therapy, particularly in improving cardiovascular risk markers. Separately, Inspire will highlight additional research at its exhibit booth, including recent peer-reviewed articles on hypoxic burden and cardiovascular outcomes, which complement these presentations and are not being presented as part of the SLEEP 2026 program.

The first article from Dr. Xu1 is a secondary analysis from the STAR trial that demonstrated:

Significant reductions in hypoxic burden, a key physiologic measure of oxygen desaturation linked to OSA riskImprovements in daytime sleepiness that correlate with hypoxic burden reduction, independent of AHI or arousal index changesMeaningful hypoxic burden improvements in at least 50% of AHI non-responders, supporting its role as a complementary biomarkerHypoxic burden is a measure of the total impact of oxygen desaturation events during sleep, integrating the depth, duration, and frequency of these events to quantify sleep apnea severity These findings reinforce hypoxic burden as an emerging and clinically relevant endpoint and align with a growing number of studies evaluating cardiovascular outcomes in patients treated with Inspire therapy versus Continuous Positive Airway Pressure (CPAP) and untreated populations.

1 – Xu et al, Hypoglossal Nerve Stimulation and Hypoxic Burden in Patients with Obstructive Sleep Apnea - A Secondary Analysis of the STAR Trial; JAMA Otolaryngology Head Neck Surg. doi:10.1001/jamaoto.2026.1049 Published online May 21, 2026

The second article from Dr. Nayak2 compared clinical outcomes between HNS and CPAP in OSA patients using data from the TriNetX database and compared a matched group of 3,525 patients in each group (CPAP and Inspire therapy).

OSA is linked to cardiovascular, metabolic, and neuropsychiatric morbidityThe hypoglossal nerve stimulation cohort had significantly lower odds of stroke, myocardial infarction, atrial fibrillation/flutter, hypertensive crisis, pulmonary embolism, ventricular tachycardia, COPD exacerbation, acute kidney injury, hospitalization, acute heart failure, and othersHypoglossal nerve stimulation may offer systemic benefits and reduce healthcare burden compared to CPAP 2 – Nayak et al, Clinical Outcomes of Hypoglossal Nerve Stimulation Versus Continuous Positive Airway Pressure in Obstructive Sleep Apnea; OTO Open 2026, Vol. 10(2):e70240 April-June 2026

PREDICTOR Study Publication

Inspire also announced the publication of the PREDICTOR study3, which identified body mass index and neck circumference as predictors of complete concentric collapse. These findings suggest that many patients may be screened for Inspire therapy eligibility without requiring drug-induced sleep endoscopy (DISE), potentially reducing diagnostic burden, time to treatment, and healthcare costs.

3 – Weiner et al, Anthropometric Measurements Inform Complete Concentric Collapse Status in Patients with Obstructive Sleep Apnea; OTO Open 2026, Vol. 10(2):e70245 April-June 2026

Key Data Presentations

Sessions of Interest

June 16 | 10:00 – 10:45 AM | Room 341
Target Trial Emulation of Hypoglossal Nerve Stimulation and Cardiovascular OutcomesJune 16 | 11:45 AM – 12:45 PM | Holiday Ballroom 4–5
Long-Term Cardiovascular Outcomes Following HGNS Therapy Highlighted Poster Presentations

10:00 a.m. to 11:45 a.m. Tuesday, June 16, Exhibit Hall G

Next-Generation Hypoglossal Nerve Stimulation Therapy for the Treatment of Obstructive Sleep Apnea: Final Study Results 44 participants enrolled and successfully implanted with no device revisions or explantsInspire V implant times decreased by 20.4% compared to the Inspire IV systemRespiratory sensing as demonstrated by Inspiratory Phase Overlap demonstrated superiority to the Inspire IV system at 87.1% vs. 79.4%Mean AHI decrease of 25.5 events per hour from median AHI of 34.4 at baseline to 8.4Mean adherence at 5.9 hours of usage per night Evaluation of a Next-Generation Unilateral Hypoglossal Nerve Stimulation with Respiratory Sensing Platform: Data from the Limited Market Release Retrospective review of 41 patients implanted with Inspire V during a limited market releaseMean nightly therapy usage of 6.21 hours per night over the 30 days following in-lab post-titration sleep study97.6% of patients self-reported experiencing benefit from Inspire therapy Comprehensive Assessment of a 5,000 Patient Longitudinal Hypoglossal Nerve Stimulation Registry: Final Results of the ADHERE Registry The ADHERE registry was designed to enroll 5,000 participants implanted with a hypoglossal nerve stimulation device throughout the U.S. and EuropeBaseline information included demographics, medical history, sleep study results, and daytime sleepiness using the Epworth Sleepiness Scale (ESS)Post-titration sleep studies show a 62% median decrease in AHISignificant improvement in daytime sleepiness with ESS score of 6 at post-titration and final follow-up6.4 hours per night mean therapy usage at post-titration and 5.8 hours per night at final visit90% of physicians saw improvement in their patients A Target Trial Emulation of Hypoglossal Nerve Stimulation Therapy for OSA and Cardiovascular Outcomes – Late breaking abstract Independent study using the Definitive Healthcare Atlas database in which 4,388 Inspire therapy patients were matched up with adherent CPAP patients, non-adherent CPAP patients, and those who remained untreated  Compared to untreated patients, Inspire therapy was associated with the reduction of 8 of 9 MACE diagnoses while CPAP therapy was associated with the reduction of 6 of 9 MACE diagnosesInspire therapy is estimated to reduce the risk of MACE diagnoses compared to CPAP therapy and no treatment Real World Comparison of Patient Compliance and Efficacy Using Continuous Positive Airway Pressure versus Hypoglossal Nerve Stimulation Independent retrospective study examined 45 patients from 2016 to 2024 with moderate to severe OSA initially treated with CPAP who later transitioned to Inspire therapyInspire therapy adherence was demonstrated to exceed CPAP adherence at 93% at 30 days as compared to 56% for CPAP and 91.7% at 90 days as compared to 56% for CPAPInspire therapy demonstrated approximately 65% greater median disease alleviation than CPAP, primarily through improved adherence over 90 daysSuperior adherence may improve long-term cardiovascular and quality-of-life outcomes About AASM
The American Academy of Sleep Medicine is the only professional society in the U.S. dedicated exclusively to the medical subspecialty of sleep medicine. The AASM improves sleep health and promotes high quality, patient-focused care through advocacy, education, evidence-based research, and practice standards.

About SRS
The Sleep Research Society is an organization for scientific investigators who educate and research sleep and circadian science. The SRS serves its members and the field of sleep research through training and education, and by providing forums for the collaboration and the exchange of ideas.

About Inspire Medical Systems
Inspire is a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea. Inspire’s proprietary Inspire therapy is the first FDA, EU MDR, and PDMA-approved neurostimulation technology that provides a safe and effective treatment for moderate to severe obstructive sleep apnea.

For additional information about Inspire, please visit www.inspiresleep.com.

Safe Harbor for Forward-Looking Statements and Additional Disclosure Considerations
This press release contains forward-looking statements, including statements regarding potential clinical outcomes, the interpretation of clinical data and the expected adoption and use of Inspire therapy. Forward-looking statements involve inherent risks and uncertainties, and important factors could cause actual results to differ materially from those anticipated, including the factors identified in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, and as such factors may be updated from time to time in our filings with the SEC, which are accessible on the SEC’s website at www.sec.gov and the Investors page of our website at www.inspiresleep.com.

The clinical studies and publications referenced in this press release vary in design, patient populations, endpoints, and methodologies. As a result, outcomes across studies are not directly comparable, and findings from observational or retrospective analyses may not establish causation. Certain statements also involve comparisons to alternative therapies; such comparisons are based on individual study findings and should be interpreted with caution. These data should be considered in the context of the limitations of each study and the broader body of clinical evidence.

Investor and Media Contact
Ezgi Yagci
Vice President, Investor Relations
[email protected]
617-549-2443

Key Takeaways Pre-earnings positioning targets stocks with strong earnings beat potential and growth signals. Consistent EPS surprises and positive Earnings ESP boost chances of future outperformance. INSP, SIMO, GWRE & ALL stand out with strong surprise history and solid growth outlook. It is not surprising that before an earnings season, every investor looks for stocks that can beat market expectations. This is because investors always try to position themselves ahead of time and look to tap high-quality stocks.

In this regard, we ran a screener that yielded stocks like Inspire Medical Systems (INSP - Free Report) , Silicon Motion Technology (SIMO - Free Report) , Guidewire Software (GWRE - Free Report) and Allstate (ALL - Free Report) as the likely winners on their earnings beat potential.

Why Is a Positive Earnings Surprise So Important?Historically, stocks of companies with solid quarterly earnings (on a nominal basis) tank if they miss or merely meet market expectations. After all, a 20% earnings rise (though apparently looks good) doesn’t tell you if earnings growth has been exhibiting a decelerating trend.

Also, seasonal fluctuations come into play sometimes. If a company’s first quarter is seasonally weak and the fourth quarter strong, then it is likely to report a sequential earnings decline. In such cases, growth rates are misleading while judging the true health of a company.

On the other hand, after much brainstorming and analysis of companies’ financials and initiatives, Wall Street analysts project the earnings of companies. They, in fact, club their insights and a company’s guidance when deriving an earnings estimate.

Thus, outperforming that estimate is almost equivalent to beating the company’s own expectation as well as the market perception. And if the margin of earnings surprise is big, it typically drives the stock higher right after the release. Thus, more than anything else, an earnings surprise can push a stock higher.

How to Find Stocks That Can Beat?Now, finding stocks that have the potential to beat on the bottom line may be investors’ dream but not an easy job. One way to do this is to look at the earnings surprise history of the company.

An impressive track in this regard generally acts as a catalyst in sending a stock higher. It indicates the company’s ability to surpass estimates. And investors generally believe that the company will apply the same secret sauce to execute yet another earnings beat in its next release.

The Winning StrategyIn order to shortlist stocks that are likely to come up with an earnings surprise, we chose the following as our primary screening parameters.

Last EPS Surprise greater than or equal to 10%: Stocks delivering positive surprise in the last quarter tend to surprise again.

Average EPS Surprise in the last four quarters greater than 20%: We lifted the bar for outperformance slightly higher by setting the average earnings surprise for the last four quarters at 20%.

Average EPS Surprise in the last two quarters greater than 20%: This points to a more consistent surprise history and makes the case for another surprise even stronger.

In addition, we place a few other criteria that push up the chance of a positive surprise.

Zacks Rank less than or equal to 2: Only companies with a Zacks Rank #1 (Strong Buy) or 2 (Buy) rating can get through.

Earnings ESP greater than zero: A stock needs to have both a positive Earnings ESP and a Zacks Rank of #1, 2 or 3 for an earnings beat to happen, as per our proven model.

In order to zero in on those that have long-term growth potential and high trading liquidity we have added the following parameters too:

Next 3–5 Years Estimated EPS Growth (Per Year) greater than 10%: Solid expected earnings growth exhibits the stock’s long-term growth prospects.

Average 20-day Volume greater than 100,000: High trading volume implies that the stocks have adequate liquidity.

A handful of criteria has narrowed down the universe from over 7,700 stocks to only nine.

Here are four stocks out of the nine:

Inspire Medical Systems: This Zacks Rank #1 company is a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea (OSA). You can see the complete list of today’s Zacks #1 Rank stocks here.

INSP delivered an average earnings surprise of 185.12% in the past four quarters.

Silicon Motion Technology: It is a leading developer of microcontroller ICs for NAND flash storage devices. Silicon Motion Technology stock has a Zacks Rank #1.

The average earnings surprise of SIMO for the past four quarters is 23.34%.

Guidewire Software: This Zacks Rank #1 company is a provider of software solutions for property and casualty (P&C) insurers.

The average earnings surprise of GWRE for the past four quarters is 44.68%.

Allstate: It is the third-largest P&C insurer and the largest publicly held personal lines carrier in the United States. Allstate has a Zacks Rank #1.

The average earnings surprise for ALL for the past four quarters was 54.26%. 

Key Takeaways Inspire Medical is poised for growth as Inspire V drives strong clinical outcomes and adoption.INSP saw 12% Q4 revenue growth and 14% full-year gains, supported by demand and margin expansion.Reimbursement cuts and WISeR program disruptions are pressuring near-term volumes and the 2026 outlook. Inspire Medical Systems (INSP - Free Report) is well-positioned for solid growth over the next few quarters as it navigates a significant product transition.

Shares of this Zacks Rank #1 (Strong Buy) company have lost 40.9% in the year-to-date period compared with the industry’s 25.6% decline. The S&P 500 Index has decreased 4% in the same timeframe.

Inspire Medical, a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea, has a market capitalization of $1.56 billion.

The company’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 185.1%.

Image Source: Zacks Investment Research

Positive Factors Driving INSP’s ProspectsStrong Clinical Performance & Innovation in Inspire V: Inspire Medical continues to advance its product innovation strategy, with the Inspire V system emerging as a central growth driver. Management highlighted that Inspire V has demonstrated clear superiority over Inspire IV, including reduced surgical time and improved inspiratory overlap, which is critical for closed-loop therapy effectiveness. Clinical outcomes remain strong, with the Singapore study showing a 79.5% responder rate compared to the 66% responder rate observed in the STAR Phase III trial. In addition, device reliability has improved, with low explant rates of 0.5% and revision rates of 1.5% reported in 2025. The company is making progress on its pipeline and regulatory front. It recently received FDA approval for 3 Tesla MRI compatibility, which enhances patient accessibility and expands usability. Inspire Medical is developing Inspire VI, a next-generation system that will include sleep detection and auto-activation features designed to improve patient adherence by automatically turning the device on and off based on sleep patterns.

Strong Patient Demand & Expanding Commercial Execution: Inspire Medical is benefiting from robust patient demand, which strengthened in fourth-quarter 2025, supported by increased investments in marketing through social media channels. The company is working to expand treatment capacity to meet this demand by training advanced practice providers, certifying additional surgeons and increasing adoption of its digital tools such as SleepSync. Adoption of Inspire V has been strong, with more than 90% of centers now implanting the device, reflecting broad physician acceptance. At the same time, Inspire Medical is optimizing its commercial infrastructure by managing territories and increasing the number of field clinical representatives to improve efficiency and better support provider partners. These efforts are aimed at driving high-quality patient flow while increasing the ability of healthcare providers to treat more patients effectively.

Solid Financial Performance & Operational Discipline: Inspire Medical delivered strong financial results in the fourth quarter and full year of 2025, driven by growth at existing centers as well as new center additions. Fourth-quarter revenues increased 12% year over year to $269 million, while full-year revenues grew 14% to $912 million. Operating margins improved due to sales leverage and a higher mix of Inspire V systems, reflecting both scale benefits and a favorable product mix. The company demonstrated strong cash generation, with full-year operating cash flow reaching $117 million and ended the quarter with $405 million in cash and investments. This solid financial position provides flexibility to continue investing in growth initiatives while maintaining disciplined cost management. Management emphasized its focus on operational efficiency and cost control, which contributed to profitability despite investments in expansion.

Key Challenges for INSP StockReimbursement & Coding Uncertainty Impacting Physician Behavior: The most significant headwind facing Inspire Medical is uncertainty surrounding reimbursement for the Inspire V procedure. The company indicated that the procedure is expected to transition to CPT code 64582 with a -52 modifier, which could result in a reduction of physician professional fees ranging from 10% to 50%. Management cautioned that this reduction could influence physicians’ willingness to perform the procedure, especially among private practice providers who rely heavily on procedural income. This uncertainty has led Inspire Medical to widen its 2026 revenue guidance to a range of 4%-10% growth, reflecting variability in how reimbursement changes may impact procedure volumes. The company expects revenues in first-quarter 2026 to be roughly flat compared to the prior year and anticipates a net loss due to lower revenues and higher operating expenses, highlighting the near-term impact of this issue.

Near-Term Procedural Disruptions From WISeR Program: Another challenge highlighted by Inspire Medical is the impact of the WISeR program, a government initiative requiring prior authorization for Medicare procedures in six states. The rollout has created operational challenges, including claim denials due to coding inconsistencies and issues with the AI-driven authorization system. Management indicated that these disruptions are already affecting Medicare procedure volumes in first-quarter 2026 and adding friction to the overall process of delivering care. While management expects these issues to be resolved over time as the system becomes more streamlined, the WISeR program is currently acting as a short-term headwind to growth.

Estimate TrendInspire Medical is witnessing a positive estimate revision trend for 2026. In the past 30 days, the Zacks Consensus Estimate for earnings has moved north 1 cent to $1.91 per share.

The Zacks Consensus Estimate for first-quarter 2026 revenues and loss per share is pegged at $200.2 million and 34 cents, respectively.

Other Stocks to ConsiderSome other top-ranked stocks from the broader medical space are Pacific Biosciences of California (PACB - Free Report) , Phibro Animal Health (PAHC - Free Report) and GE HealthCare Technologies (GEHC - Free Report) .

Pacific Biosciences of California, currently sporting a Zacks Rank #1, reported a fourth-quarter 2025 adjusted loss of 12 cents per share, which surpassed the Zacks Consensus Estimate by 36.8%. Revenues of $44.6 million beat the Zacks Consensus Estimate by 9.4%. You can see the complete list of today’s Zacks #1 Rank stocks here.

PACB’s loss per share estimate for 2026 has moved down 3 cents to 54 cents in the past 60 days. The company beat earnings estimates in the trailing four quarters, the average surprise being 27.7%.

Phibro Animal Health, currently carrying a Zacks Rank #2 (Buy), reported second-quarter fiscal 2026 adjusted earnings per share (EPS) of 87 cents, which surpassed the Zacks Consensus Estimate by 27.1%. Revenues of $373.9 million beat the Zacks Consensus Estimate by 4.7%.

PAHC’s earnings per share estimate for 2026 has moved up 13 cents to $3.03 in the past 60 days. The company’s earnings beat estimates in the trailing four quarters, the average surprise being 20.1%.

GE HealthCare Technologies, currently carrying a Zacks Rank #2, reported fourth-quarter 2025 adjusted EPS of $1.44, which surpassed the Zacks Consensus Estimate by 0.7%. Revenues of $5.7 billion beat the Zacks Consensus Estimate by 1.9%.

GEHC’s earnings per share estimate for 2026 has moved up 1 cent to $5 in the past 60 days. The company beat earnings estimates in the trailing four quarters, the average surprise being 7.5%.

The market expects Inspire Medical Systems (INSP - Free Report) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended March 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on May 4, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis maker of devices for treating obstructive sleep apnea is expected to post quarterly loss of $0.36 per share in its upcoming report, which represents a year-over-year change of -460%.

Revenues are expected to be $198.74 million, down 1.3% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 18.4% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Inspire?For Inspire, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +47.51%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Inspire will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Inspire would post earnings of $0.69 per share when it actually produced earnings of $1.65, delivering a surprise of +139.13%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Inspire doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

April 29, 2026 08:00 ET  | Source: Inspire Medical Systems

MINNEAPOLIS, April 29, 2026 (GLOBE NEWSWIRE) -- Inspire Medical Systems, Inc. (NYSE: INSP) (Inspire), a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea, announced today that its management team will present at the BofA Securities 2026 Healthcare Conference on Wednesday, May 13, 2026.

Inspire is scheduled to present at 11:00 a.m. Eastern Time. The presentation will be accessible via a live webcast here.

A webcast replay of the presentation will be available for two weeks following the presentation in the Event Archive section of Inspire’s Investor website at https://investors.inspiresleep.com.

About Inspire Medical Systems
Inspire is a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea. Inspire’s proprietary Inspire therapy is the first FDA, EU MDR, and PDMA-approved neurostimulation technology that provides a safe and effective treatment for moderate to severe obstructive sleep apnea.

For additional information about Inspire, please visit www.inspiresleep.com.

Investor and Media Contact
Ezgi Yagci
Vice President, Investor Relations
[email protected]
617-549-2443

Inspire Medical Systems (INSP - Free Report) came out with quarterly earnings of $0.1 per share, beating the Zacks Consensus Estimate of a loss of $0.36 per share. This compares to earnings of $0.1 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +127.62%. A quarter ago, it was expected that this maker of devices for treating obstructive sleep apnea would post earnings of $0.69 per share when it actually produced earnings of $1.65, delivering a surprise of +139.13%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Inspire, which belongs to the Zacks Medical Info Systems industry, posted revenues of $204.58 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 2.94%. This compares to year-ago revenues of $201.32 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Inspire shares have lost about 38.5% since the beginning of the year versus the S&P 500's gain of 5.6%.

What's Next for Inspire?While Inspire has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Inspire was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.20 on $225.16 million in revenues for the coming quarter and $1.82 on $960.88 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical Info Systems is currently in the top 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, KORU Medical Systems, Inc. (KRMD - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on May 6.

This company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of +33.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

KORU Medical Systems, Inc.'s revenues are expected to be $11.36 million, up 17.8% from the year-ago quarter.

Inspire Medical Systems, Inc. (INSP) Q1 2026 Earnings Call Transcript

Inspire Medical Systems, Inc. remains under pressure as Q1 revenue grew just 1.6% and management slashed 2026 guidance by up to 10%. INSP faces intensifying competition from GLP-1s and rival devices, reimbursement headwinds, and coding challenges with its new Inspire 5 system. Territory contraction and a shift to supporting existing accounts signal operational headwinds and a retreat from high-growth expansion.

A month has gone by since the last earnings report for Inspire Medical Systems (INSP - Free Report) . Shares have lost about 15.9% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Inspire due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.

Inspire Medical Q1 Earnings Beat Estimates, 2026 View Cut

Inspire Medical delivered first-quarter 2026 adjusted earnings per share of 10 cents, flat year over year. The figure beat the Zacks Consensus Estimate of a loss of 36 cents by 127.8%.

INSP’s Q1 Revenues in Detail

Inspire Medical registered revenues of $204.6 million in the first quarter, up 1.6% year over year. The figure beat the Zacks Consensus Estimate by 2.9%.

Per management, the revenue growth was primarily driven by increased market penetration, offset by the adverse effects of reimbursement disruption and the Wasteful and Inappropriate Service Reduction (WISeR) program.

As of March 31, 2026, INSP operated 284 U.S. sales territories and employed 288 field clinical representatives compared with 295 territories and 275 representatives at the end of 2025.

INSP’s Margin Analysis

In the first quarter, Inspire Medical’s gross profit increased 3.7% year over year to $176.9 million. The gross margin expanded 180 basis points (bps) to 86.5%.

Selling, general and administrative expenses increased 5.5% year over year to $152.2 million. Research and development expenses decreased 7.1% year over year to $25.8 million. Operating expenses of $178 million increased 3.4% year over year.

Adjusted operating profit totaled $0.3 million, up from an adjusted operating loss of $1.5 million in the prior-year quarter.

Inspire Medical’s Financial Position

Inspire Medical exited first-quarter 2026 with cash and cash equivalents and short-term investments of $283.8 million compared with $308 million at 2025-end.

Cumulative net cash provided by operating activities at the end of first-quarter 2026 was $12.8 million, against net cash used in operating activities of $6.7 million a year ago.

INSP Lowers 2026 Outlook

Inspire Medical has updated its revenue and earnings per share outlook for 2026.

The company has lowered its revenue guidance to $825 million-$875 million (representing a decline of 4-10% from 2025 levels) from the previously projected $950 million-$1 billion. The Zacks Consensus Estimate is pegged at $960.9 million.

INSP expects its adjusted earnings per share for 2026 to be in the band of $0.75-$1.25, down from prior guidance of $1.85-$2.35. The Zacks Consensus Estimate is pegged at $1.82.

How Have Estimates Been Moving Since Then?It turns out, estimates revision have trended downward during the past month.

The consensus estimate has shifted -209.07% due to these changes.

VGM ScoresCurrently, Inspire has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of C on the value side, putting it in the middle 20% for value investors.

Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Inspire has a Zacks Rank #5 (Strong Sell). We expect a below average return from the stock in the next few months.

Deciding between high-growth healthcare players often involves choosing between specialized surgical tools and innovative patient therapies. Both Alphatec (ATEC +1.48%) and Inspire Medical Systems (INSP +2.21%) offer compelling opportunities for investors seeking medical device exposure.

Alphatec specializes in a full-stack approach to spine surgery, integrating imaging and surgical technology to improve clinical outcomes. Inspire focuses on neurostimulation for obstructive sleep apnea, offering an alternative to traditional breathing machines. While both operate in the medical technology field, their financial profiles and market maturity levels provide different entry points for retail investors.

The case for AlphatecAlphatec operates as a spine-focused technology provider, developing advanced hardware and software solutions for complex surgical procedures. It differentiates itself through an integrated ecosystem, utilizing subsidiaries like EOS imaging and SafeOp Surgical to support surgeons through the entire clinical workflow. The company primarily serves the U.S. hospital market but is actively expanding its international footprint in Europe and Japan to reach a broader patient base.

In FY 2025, revenue reached nearly $764.2 million, representing a significant 25.0% increase over the prior year as adoption of its spine solutions grew. Despite this top-line momentum, the company reported a net loss of approximately $143.4 million for the period. The net margin, which measures the percentage of revenue remaining after all expenses, improved to negative 18.8% from negative 26.5% during the previous fiscal year.

As of its December 2025 balance sheet, the debt-to-equity ratio is roughly 17.2x, meaning total debt is much higher than shareholder equity. The current ratio, which measures the ability to pay short-term debts with short-term assets, is approximately 2.1x. Note that stock-based compensation represented roughly 163.0% of operating cash flow, meaning reported cash generation is heavily inflated by this non-cash add-back.

Inspire Medical Systems provides a unique neurostimulation therapy for patients with obstructive sleep apnea who cannot tolerate standard continuous positive airway pressure treatments. The company focuses on its proprietary Inspire system, targeting sleep specialists and ear, nose, and throat surgeons across global markets. By addressing an underserved population, the company has established a leading position among medical device stocks specializing in advanced respiratory care.

For FY 2025, revenue reached close to $912.0 million, marking a 13.6% increase compared to the prior fiscal year. The company achieved a net income of roughly $145.4 million, showcasing its successful transition to sustained profitability over the last two years. This resulted in a net margin, which is the profit left from each dollar of sales, of approximately 15.9%, up from about 6.7%.

As of its December 2025 balance sheet, the debt-to-equity ratio is 0.0x, signifying the company carries no debt and maintains a clean capital structure. The current ratio, which measures how easily a company can pay short-term bills with liquid assets, is approximately 6.1x. Free cash flow, which is cash from operations minus capital expenditures, was nearly $78.5 million for FY 2025.

Risk profile comparisonAlphatec faces intense competition from established giants such as Medtronic, Johnson & Johnson, Zimmer Biomet, and Globus Medical. Regulatory hurdles are high, as products require strict FDA oversight and timely clearances to avoid sales restrictions. The company also relies on a limited number of third-party suppliers and faces pricing pressure from hospital consolidation.

Inspire depends almost entirely on its single Inspire system for revenue, making it vulnerable if market demand shifts. It competes with traditional therapy manufacturers like ResMed and Philips, alongside emerging competitors like Nyxoah and LivaNova. Legal risks include a Department of Justice investigation and potential changes in insurance reimbursement that could impact adoption.

Valuation comparisonInspire Medical Systems carries a higher Forward P/E based on future earnings estimates, while Alphatec shows a higher P/S ratio measuring price to sales.

MetricAlphatecInspire Medical SystemsSector BenchmarkForward P/E25.8x47.0x24.9xP/S ratio1.7x1.3xSector benchmark uses the SPDR XLV sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Which stock would I buy in 2026?I'd go with Alphatec. Both companies are doing interesting things in medical devices, but the risk profiles right now are pretty different, and that matters a lot when deciding where to put your money.

Alphatec is gaining real traction in spine surgery. More surgeons are adopting its approach, case volumes are growing strongly, and the company is becoming more profitable as it scales. There's a hiccup with one part of the business, but the core surgical engine is healthy and moving in the right direction.

Inspire Medical Systems has a valuable product for sleep apnea patients with a long-term opportunity. But right now, the company is dealing with a major reimbursement and coding uncertainty tied to Medicare policy changes. That kind of regulatory overhang is hard to predict, and it's not the kind of uncertainty most investors want to sign up for.

Alphatec's growth story is cleaner and the momentum is more visible. I'll take that over a waiting game with Medicare.