iRhythm Technologies, Inc.
- Open
- 120.65
- Day high
- 124.28
- Day low
- 119.80
- Prev close
- 118.95
- Volume
- 199K
- Mkt cap
- $3.9B
- P/E (TTM)
- —
- EPS (TTM)
- —
- P/B
- 23.9
- P/S
- 4.9
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$692K over the last 3 months (1 open-market buy, 6 sales)
- 🏛Institutions mixed (13F)
iRhythm Technologies, Inc. (IRTC) is a Healthcare company listed on NASDAQ. The stock is down 23% over the past year. Over the trailing 3 months, insiders filed 1 open-market buy and 6 sales (SEC Form 4).
iRhythm Technologies, Inc. (IRTC) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 10 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
IRTC earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 30, 2026 | $-0.56 | $-0.35 | +37.5% | $199M | +2.7% |
| Feb 19, 2026 | $0.02 | $0.29 | +1350.0% | $209M | +8.6% |
| Oct 30, 2025 | $-0.36 | $-0.06 | +83.3% | $193M | -4.4% |
| Jul 31, 2025 | $-0.53 | $-0.32 | +39.6% | $187M | +6.4% |
| May 1, 2025 | $-0.89 | $-0.95 | -6.7% | $159M | +3.4% |
| Feb 20, 2025 | $-0.29 | $0.01 | +103.4% | $164M | +3.8% |
| Aug 1, 2024 | $-0.92 | $-0.61 | +33.7% | $148M | +1.3% |
| May 2, 2024 | $-0.99 | $-1.47 | -48.5% | $132M | +2.7% |
| Feb 22, 2024 | $-0.60 | $-1.26 | -110.0% | $133M | +1.8% |
| Nov 2, 2023 | $-0.65 | $-0.89 | -36.9% | $125M | +1.7% |
| Aug 3, 2023 | $-0.75 | $-0.61 | +18.7% | $124M | +3.1% |
| May 4, 2023 | $-0.80 | $-1.29 | -61.2% | $111M | +4.1% |
IRTC insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 1, 2026 | Freeman Sean Clintonofficer: EVP, Strategy & Corp Devt | Grant | 273 | $96.81 |
| Jun 1, 2026 | Blackford Quentin S.director, officer: President and CEO | Grant | 178 | $96.81 |
| Jun 1, 2026 | Patterson Chadofficer: CHIEF COMM & PRODUCT OFFICER | Grant | 177 | $96.81 |
| Jun 1, 2026 | Turakhia Minangofficer: CHIEF MED/SCI OFCR EVP ADVTECH | Grant | 137 | $96.81 |
| May 29, 2026 | OBOYLE KEVIN Cdirector | Grant | 1,573 | — |
| May 29, 2026 | Ling Karendirector | Grant | 1,573 | — |
| May 29, 2026 | YOOR BRIAN Bdirector | Grant | 1,573 | — |
| May 29, 2026 | MCGINNIS KAREN Kdirector | Grant | 1,573 | — |
| May 29, 2026 | TALWALKAR ABHIJIT Ydirector | Grant | 1,573 | — |
| May 29, 2026 | Bodaken Bruce G.director | Grant | 1,573 | — |
| May 29, 2026 | Bairey Merz Cathleen Noeldirector | Grant | 1,573 | — |
| May 12, 2026 | TALWALKAR ABHIJIT Ydirector | Sell | 642 | $116.98 |
| May 12, 2026 | TALWALKAR ABHIJIT Ydirector | Sell | 290 | $120.53 |
| May 12, 2026 | TALWALKAR ABHIJIT Ydirector | Sell | 940 | $116.05 |
| May 12, 2026 | TALWALKAR ABHIJIT Ydirector | Option | 5,312 | $10.71 |
Source: IRTC SEC Form 4 filings, latest Jun 1, 2026. For informational purposes only — not investment advice.
See the full IRTC insider & 13F page →iRhythm Technologies, Inc. company profile
Overview
iRhythm Technologies, Inc. (NASDAQ:IRTC) is a digital healthcare company founded in 2006 and headquartered in San Francisco, California. The company went public in October 2016 and has established itself as a leader in ambulatory cardiac monitoring solutions. iRhythm specializes in providing wire-free, patch-based cardiac monitoring devices combined with cloud-based analytics to help physicians diagnose heart rhythm disorders, particularly arrhythmias. The company has served over 10 million patients cumulatively and continues to expand its market presence both domestically and internationally.
Business
iRhythm operates in the ambulatory cardiac monitoring sector of the medical device industry, which focuses on detecting and diagnosing heart rhythm abnormalities outside of traditional hospital settings. The company's core offering is the Zio service, a comprehensive cardiac monitoring solution that combines hardware and software components. The Zio service consists of several key products. The Zio XT is a single-use, wire-free patch that patients wear for up to 14 days to continuously record their heart's electrical activity (electrocardiogram or ECG data). The Zio AT is a more advanced version that provides real-time monitoring capabilities, allowing for immediate detection of serious arrhythmias. The company also offers the Zio Monitor, which represents their next-generation biosensor technology. To understand the significance of these products, it's important to know that arrhythmias are irregular heartbeats that can range from harmless to life-threatening. Traditional cardiac monitoring methods often require patients to visit hospitals or wear cumbersome equipment with wires and electrodes. iRhythm's patch-based approach allows patients to maintain their normal daily activities while continuously monitoring their heart rhythm, significantly improving the likelihood of capturing intermittent arrhythmic events. The company's cloud-based data analytics platform processes the collected ECG data using artificial intelligence and machine learning algorithms, with trained cardiac technicians reviewing the results before providing comprehensive reports to physicians. This combination of convenient hardware and sophisticated software analysis has made iRhythm a preferred solution for cardiologists and primary care physicians. Currently, Zio AT represents approximately 14% of overall revenue, with the traditional Zio XT making up the majority of the business. The company is also developing Zio MCT (Mobile Cardiac Telemetry), which will provide continuous real-time monitoring capabilities for higher-risk patients.
Revenue model
iRhythm generates revenue primarily through service fees charged to healthcare providers and insurance companies for each cardiac monitoring episode. When a physician prescribes a Zio device for a patient, iRhythm bills the payer (typically Medicare, Medicaid, or private insurance) for the complete service, which includes the device, data analysis, and comprehensive reporting. The company's paying customers are primarily healthcare providers including cardiologists, primary care physicians, and integrated delivery networks (IDNs). However, the ultimate payers are insurance companies and government healthcare programs. Reimbursement rates vary by payer type, with Medicare typically reimbursing around $300-400 per episode, while some private payers may reimburse higher amounts. Several factors influence iRhythm's margins and profitability. Positive margin drivers include successful payer negotiations that increase reimbursement rates, operational efficiency improvements in manufacturing and data processing, and the shift toward higher-value products like Zio AT which command premium pricing. The company has also benefited from expanding into the primary care market, which represents a much larger addressable market than traditional cardiology practices. Negative margin pressures include regulatory compliance costs, particularly the ongoing FDA remediation efforts that are expected to cost approximately $15 million annually. Competition from other cardiac monitoring companies could pressure pricing, while changes in reimbursement policies by major payers like Medicare could significantly impact revenue per episode. The company also faces operational challenges such as device return rates and the need for continuous investment in R&D to maintain technological leadership. International expansion presents both opportunities and challenges, as the company must navigate different regulatory environments and reimbursement systems. For example, initial reimbursement rates in Japan have been disappointing, requiring the company to generate local clinical evidence to support future rate increases.
Competitive moat
iRhythm's competitive moat is moderately strong but faces several challenges. The company's primary advantages include its extensive clinical database of over 10 million patient reports, which provides valuable insights for improving diagnostic algorithms and developing new products. The company has also built strong relationships with healthcare providers, with over 50% of large integrated delivery networks now having primary care physicians prescribing Zio devices. The company's technological moat stems from its proprietary AI-driven analytics platform and the clinical validation of its products through studies like CAMELOT, which demonstrated superior diagnostic capabilities compared to traditional monitoring methods. iRhythm's integration with electronic health record systems, particularly its partnership with Epic's Aura platform, creates switching costs for healthcare providers and improves workflow efficiency. However, the moat faces significant challenges. The regulatory environment presents ongoing risks, as evidenced by the FDA warning letter and 483 observations that have required substantial remediation efforts. These regulatory issues not only increase costs but also create uncertainty around new product launches, such as the voluntary delay of the Zio MCT submission. Competitive threats are emerging from both established medical device companies and new entrants in the digital health space. The cardiac monitoring market is attracting increased attention, and competitors may develop similar patch-based solutions or alternative monitoring technologies. Additionally, the company's dependence on reimbursement from government and private payers creates vulnerability to policy changes that could significantly impact profitability. The company's international expansion efforts, while promising, are still in early stages and face challenges including lower initial reimbursement rates and the need to establish clinical evidence in new markets. Overall, while iRhythm has built a solid market position, the moat is not insurmountable and requires continuous innovation and execution to maintain competitive advantages.
Risks & safety
The margin of safety appears moderate to weak based on current financial metrics and operational challenges. • Liquidity position: Strong with $375 million in cash and short-term investments as of Q1 2025, providing substantial runway • Debt levels: High debt-to-equity ratio of 8.5x, though much of this appears to be operating liabilities rather than traditional debt • Cash flow: Negative free cash flow of -$17 million in Q1 2025, with company expecting to be slightly cash flow negative for full year 2025 • Profitability: Negative EBITDA of -$33 million in Q1 2025, though company targets 7.5-8.5% EBITDA margin for full year • Valuation concerns: Price-to-book ratio of 38x appears extremely high, suggesting significant premium valuation • Operational risks: Ongoing FDA remediation costs of ~$15 million annually, regulatory uncertainty around new product approvals • Market risks: Heavy dependence on reimbursement policies, competitive pressures in cardiac monitoring market • Growth trajectory: Strong revenue growth of 20%+ but path to sustained profitability remains uncertain • International expansion: Early stage with disappointing initial reimbursement rates in key markets like Japan
Recent development
Over the past few years, iRhythm has pursued several key strategic initiatives to expand its market presence and product portfolio. The company has significantly expanded beyond its traditional cardiology customer base into the primary care market, which now represents over one-third of prescription volume. This expansion addresses a much larger addressable market, potentially growing from 6.5 million to 27 million patients according to management estimates. The company has made substantial investments in regulatory compliance and quality systems following FDA observations. The regulatory team has expanded from 20 to 100 people, and the company has committed to rebuilding its entire quality management system with approximately $15 million in annual remediation costs. While challenging, these investments are expected to strengthen the company's regulatory foundation for future product launches. International expansion has become a major strategic focus, with commercial launches in multiple Western European countries and regulatory approval received in Japan. The company has also established a Global Business Services Center in Manila to support international operations and improve cost efficiency. Product development efforts have focused on expanding the Zio platform with new capabilities. The company received FDA clearance for the Zio AT system and is preparing to submit the Zio MCT product for regulatory approval in Q3 2025. Additionally, iRhythm has entered into licensing agreements with companies like BioIntelliSense to explore multi-sensor capabilities and is evaluating adjacent markets such as sleep apnea monitoring. The company has also invested heavily in technology integration, becoming the first medical device company on Epic's Aura platform and achieving over 2 million registrations through EHR-integrated accounts. These integrations are designed to improve physician workflow and create competitive advantages through switching costs.
IRTC company profile · for informational purposes only — not investment advice.
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