Shares of Inari Medical, Inc. (NASDAQ: NARI) skyrocketed 19.67% on October 29, 2024, after the medical device company reported impressive third-quarter financial results, raised its full-year revenue guidance, and announced positive results from a pivotal clinical trial for its flagship product.
For the third quarter ended September 30, 2024, Inari Medical posted revenue of $153.4 million, a remarkable 21.4% increase compared to the same period last year. The strong revenue growth was driven by an expansion in sales territories, opening of new accounts, increased adoption of the company's procedures, global commercial expansion, and the introduction of new products. The revenue figure also surpassed analysts' expectations.
Building on the solid performance, Inari Medical raised its full-year 2024 revenue guidance to a range of $601.5 million to $604.5 million, reflecting an increase of $3.5 million at the midpoint from its prior outlook. The company also reaffirmed its expectation to achieve sustained operating profitability in the first half of 2025, indicating an improved profitability outlook.
Arguably the biggest catalyst for Inari's stock surge was the positive results from the PEERLESS Randomized Controlled Trial, which compared the company's FlowTriever device to catheter-directed thrombolytics (CDT) for the treatment of intermediate-risk pulmonary embolism. The study met its primary composite endpoint, with patients receiving treatment with FlowTriever experiencing significantly fewer clinical deteriorations, fewer ICU admissions, shorter hospital stays, and faster recovery compared to those receiving CDT.
"These results are crucial to guiding optimal PE treatment decisions, providing strong evidence that FlowTriever may reduce clinical deterioration and the need for reintervention through more effective early thrombus resolution," said Dr. Wissam Jaber, Co-Global Principal Investigator of the study.
The positive PEERLESS trial results were simultaneously published in the prestigious Circulation journal, further highlighting the clinical significance and potential impact on treatment guidelines.
Analysts on Wall Street reacted favorably to Inari's strong performance and positive trial data. BTIG analyst Marie Thibault reiterated a Buy rating and raised the price target to $86, citing the company's strong financial performance and growth prospects. Meanwhile, Truist raised its price target to $50 from $46, though it maintained a Hold rating on the stock.
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