NeuroPace (NASDAQ:NPCE) Releases Quarterly Earnings Results, Beats Expectations By $0.06 EPS

NeuroPace (NASDAQ:NPCE) announced its quarterly earnings data on Tuesday. The company reported ($0.13) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.19) by $0.06, Zacks reports. The firm had revenue of $22.00 million during the quarter, compared to the consensus estimate of $21.65 million. NeuroPace had a negative return on equity of 101.73% and a negative net margin of 21.67%.

Here are the key takeaways from NeuroPace’s conference call:

• NeuroPace raised full-year 2026 revenue guidance to $99 million-$101 million from $98 million-$100 million, citing stronger visibility in both core RNS demand and modest service revenue. Management said the guide still excludes any contribution from potential IGE expansion.
• Q1 revenue for the core business showed 8% year-over-year growth to $22.0 million excluding DIXI, and the company said active prescribers, accounts, and patient pipeline all hit all-time highs. Management pointed to stronger referrals from both Level 4 centers and community channels as key drivers.
• The FDA mid-cycle review for the NAUTILUS PMA supplement was described as constructive, and NeuroPace said it remains on track for a mid-year determination. The company has already responded to the agency’s follow-up questions and continues to expect approval on the current timeline.
• Clinical evidence remains a major support for the story, with management highlighting 77% median seizure reduction at 18 months in generalized tonic-clonic seizures and an 82% median seizure reduction in the 3-year post-approval focal epilepsy study. They also emphasized favorable safety and meaningful real-world benefits such as fewer injuries and less rescue medication use.
• NeuroPace is investing in future growth through commercial hiring, nurse navigators, and new AI-enabled products, including ECoG Assistant and a multimodal foundational model. Management expects ECoG Assistant approval in Q2 2026 and said the product roadmap remains on track, but these initiatives will also raise expenses in the near term.

NeuroPace Stock Up 1.2%

Shares of NASDAQ NPCE traded up $0.19 during mid-day trading on Thursday, reaching $16.00. 36,359 shares of the company traded hands, compared to its average volume of 214,094. The stock has a market cap of $543.06 million, a PE ratio of -24.57 and a beta of 1.92. The company’s fifty day moving average is $15.04 and its two-hundred day moving average is $15.03. The company has a debt-to-equity ratio of 3.09, a quick ratio of 4.33 and a current ratio of 5.28. NeuroPace has a fifty-two week low of $7.56 and a fifty-two week high of $19.60.

Institutional Trading of NeuroPace

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Legal & General Group Plc lifted its position in shares of NeuroPace by 86.0% in the 2nd quarter. Legal & General Group Plc now owns 2,679 shares of the company’s stock worth $30,000 after acquiring an additional 1,239 shares during the period. Quantbot Technologies LP bought a new position in NeuroPace in the 2nd quarter valued at $35,000. Quarry LP raised its position in shares of NeuroPace by 94.9% during the third quarter. Quarry LP now owns 3,845 shares of the company’s stock worth $40,000 after acquiring an additional 1,872 shares during the last quarter. New York State Common Retirement Fund grew its stake in shares of NeuroPace by 755.6% during the fourth quarter. New York State Common Retirement Fund now owns 7,700 shares of the company’s stock worth $119,000 after purchasing an additional 6,800 shares during the period. Finally, Invesco Ltd. acquired a new stake in shares of NeuroPace during the fourth quarter worth $184,000. Institutional investors and hedge funds own 78.83% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on NPCE. UBS Group reissued a “buy” rating on shares of NeuroPace in a research note on Wednesday, January 14th. Wells Fargo & Company raised NeuroPace to a “strong-buy” rating in a research note on Wednesday, March 18th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of NeuroPace in a research note on Friday, March 27th. Cantor Fitzgerald raised NeuroPace to a “strong-buy” rating in a research note on Wednesday, March 4th. Finally, HC Wainwright raised their price target on NeuroPace from $18.00 to $19.00 and gave the stock a “buy” rating in a research note on Tuesday, January 27th. Two research analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $18.67.

NeuroPace Company Profile

NeuroPace, Inc is a medical device company based in Mountain View, California, that develops innovative neuromodulation systems for the treatment of neurological disorders. Founded in the late 1990s out of research at Stanford University, the company’s mission centers on delivering closed-loop, “smart” therapies that monitor and respond to electrical activity in the brain. In 2020, NeuroPace completed its initial public offering and now trades on the NASDAQ under the ticker NPCE.

The company’s flagship product, the RNS® System, is an implantable device designed for adults with medically refractory focal epilepsy.