Neuronetics Reports Q4 Revenue Growth, Shares Surge 41%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 05 2026
0mins
Should l Buy STIM?
Source: stocktwits
Neuronetics Inc. shares surged 41% after the company reported fourth-quarter 2025 revenue of $41.8 million, an impressive 86% increase year-over-year, and crossed above the 5-day SMA.
The significant revenue growth was driven by strong performance in the NeuroStar system, which generated $18.3 million, and clinic revenue that reached $23.5 million, reflecting the company's strengthening position in the TMS device market. Additionally, Neuronetics achieved positive operating cash flow of $0.9 million, indicating effective revenue conversion into cash flow, which supports future investments and strategic goals.
This strong financial performance is likely to boost market confidence in Neuronetics, despite its previous stock price decline over the past year. Investors are optimistic about the company's potential recovery and growth trajectory in the medical technology sector.
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Analyst Views on STIM
Wall Street analysts forecast STIM stock price to rise
1 Analyst Rating
1 Buy
0 Hold
0 Sell
Moderate Buy
Current: 1.430
Low
7.00
Averages
7.00
High
7.00
Current: 1.430
Low
7.00
Averages
7.00
High
7.00
About STIM
Neuronetics, Inc. a vertically integrated, commercial stage, medical technology and healthcare company. The Company’s NeuroStar Advanced Therapy (NeuroStar Therapy) is a non-drug, noninvasive treatment that can improve the quality of life for people suffering from neurohealth conditions. In addition to selling the NeuroStar Advanced Therapy System (NeuroStar System) and associated treatment sessions to customers, it operates Greenbrook treatment centers across the United States, offering NeuroStar Therapy for the treatment of major depressive disorder (MDD) and other mental health disorders. Spravato is offered to treat adults with treatment-resistant depression and depressive symptoms in adults with MDD with suicidal thoughts or actions. MDD is a recurrent disease and follows a fluctuating course over an individual’s lifetime. The Company provides more than 7.1 million treatments to over 1,95,000 patients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Neuronetics Expands Access to TMS Therapy
- Policy Update: Optum/UHC/UBH has revised its Transcranial Magnetic Stimulation (TMS) clinical policy to allow psychiatric mental health nurse practitioners (PMHNPs) to order, supervise, and administer TMS therapy, previously restricted to psychiatrists, significantly enhancing access to TMS treatment.
- Expanded Coverage: The new policy applies to PMHNPs in 26 states and Washington, D.C., where full practice authority is granted, thereby increasing access to NeuroStar TMS therapy for 34.8 million Optum/UHC/UBH commercial covered lives, addressing the growing demand for mental health services.
- Patient Benefits: According to the NeuroStar Outcomes Database, patients receiving NeuroStar treatment achieved an 83% response rate and a 62% remission rate for major depressive disorder (MDD), indicating the treatment's significant effectiveness in improving patient quality of life.
- Industry Leadership: Neuronetics stands out as the only TMS company with a dedicated health policy team that collaborates with providers and payors to advocate for health policy updates, further solidifying its leadership position in the neurohealth sector.
See More
NEURONETICS INC - BOARD EVALUATES JOREY CHERNETT'S LETTER AND RECOGNIZES SHAREHOLDER INVOLVEMENT
NeuroNetics Overview: NeuroNetics is a company focused on developing advanced neurotechnology solutions aimed at enhancing cognitive functions and mental health.
Board Reviews: The company has undergone recent board reviews to assess its strategic direction and operational effectiveness.
Shareholder Engagement: NeuroNetics emphasizes the importance of engaging with shareholders to align interests and foster transparency in its operations.
Acknowledgments: The company recognizes contributions from various stakeholders, highlighting the collaborative efforts that drive its innovations and success.
See More
Neuronetics CFO Steven Pfanstiel to Depart for New Opportunity
- Executive Departure: Neuronetics' CFO Steven E. Pfanstiel will leave the company, but he will remain until May 1, 2026, to ensure a smooth transition; this decision is not due to any disputes with management or the Board, indicating stability in corporate governance.
- CFO Search Initiated: The company has begun the search for a new CFO to ensure continuity and stability in financial management, with the new executive expected to play a crucial role in future strategic developments.
- Stock Price Reaction: Following the announcement, Neuronetics' stock rose 13.63% in after-hours trading to $2.0, reflecting market optimism about the company's future despite the typical investor unease associated with executive changes.
- Revenue Growth Target: Neuronetics has set a revenue growth target of over 9% for 2026 while piloting new TMS models and preparing for the launch of Compass therapy, demonstrating that the company is actively advancing its business strategy during this executive transition.
See More
Neuronetics Shares Surge 16% After Shareholder Calls for Strategic Review
- Shareholder Proposal for Review: Neuronetics' largest independent shareholder, Jorey Chernett, who owns approximately 14% of the company's shares, has urged the board to review strategic alternatives, highlighting the company's limited resources and potentially prompting a reassessment of its business direction.
- Sale of TMS Business Suggested: Chernett recommended that the board consider selling its Transcranial Magnetic Stimulation (TMS) business, a move that could lead to a reevaluation of the company's core assets and impact its future financial performance and market positioning.
- Standalone Clinic Operations Recommended: The shareholder also suggested that the company's clinic business operate independently, a strategy that could enhance the flexibility and profitability of this segment, enabling the company to better navigate market competition.
- Significant Stock Price Reaction: Following the announcement, Neuronetics' shares surged 16% in after-hours trading, reflecting a positive market response to the shareholder's proposal, which may attract more investor interest in the company's future developments.
See More
NASDAQ 100 After Hours Update
- After Hours Overview: The NASDAQ 100 index is down 9.83 points to 24,182.34, indicating cautious market sentiment, with a total after-hours trading volume of 217.79 million shares, reflecting investor concerns about market volatility.
- Active Stock Performance: Energy Transfer L.P. (ET) is up $0.0178 to $18.98 with 6,009,115 shares traded, indicating market recognition of its buy recommendation, which may drive short-term price increases.
- NVIDIA Earnings Outlook: NVIDIA Corporation (NVDA) is down $0.15 to $177.49, despite three upward revisions in earnings forecasts over the last four weeks, suggesting optimistic market sentiment for its fiscal Q1 2027 with a consensus EPS forecast of $2.22.
- Devon Energy Prospects: Devon Energy Corporation (DVN) is down $0.2271 to $49.42, yet it has seen four upward revisions in earnings forecasts in the past month, indicating continued market optimism for its fiscal Q1 2026 with a current EPS forecast of $1.02.
See More
Neuronetics Shareholder Advocates Sale of TMS Business for 5-7x Upside
- Shareholder Proposal: Jorey Chernett, the largest independent shareholder of Neuronetics with approximately 14.12% ownership, has delivered a letter to the Board urging an immediate comprehensive review of strategic alternatives, particularly the potential sale of the TMS business, reflecting his deep concern for the company's future.
- Value Potential: The letter highlights that if the TMS business is successfully sold and the clinic operations are run independently, shareholders could realize a 5-7x return on investment, significantly enhancing shareholder wealth and the overall valuation of the company.
- Importance of Strategic Review: By conducting a thorough review of strategic options, Neuronetics is poised to identify additional growth opportunities and pathways for value creation, thereby strengthening its position in the competitive healthcare market.
- Expected Market Reaction: This proposal may trigger a positive market response towards Neuronetics, as investors could reassess the company's value, driving up the stock price and attracting further investor interest.
See More
Neuronetics Expands Access to TMS Therapy
- Policy Update: Optum/UHC/UBH has revised its Transcranial Magnetic Stimulation (TMS) clinical policy to allow psychiatric mental health nurse practitioners (PMHNPs) to order, supervise, and administer TMS therapy, previously restricted to psychiatrists, significantly enhancing access to TMS treatment.
- Expanded Coverage: The new policy applies to PMHNPs in 26 states and Washington, D.C., where full practice authority is granted, thereby increasing access to NeuroStar TMS therapy for 34.8 million Optum/UHC/UBH commercial covered lives, addressing the growing demand for mental health services.
- Patient Benefits: According to the NeuroStar Outcomes Database, patients receiving NeuroStar treatment achieved an 83% response rate and a 62% remission rate for major depressive disorder (MDD), indicating the treatment's significant effectiveness in improving patient quality of life.
- Industry Leadership: Neuronetics stands out as the only TMS company with a dedicated health policy team that collaborates with providers and payors to advocate for health policy updates, further solidifying its leadership position in the neurohealth sector.
See More
NEURONETICS INC - BOARD EVALUATES JOREY CHERNETT'S LETTER AND RECOGNIZES SHAREHOLDER INVOLVEMENT
NeuroNetics Overview: NeuroNetics is a company focused on developing advanced neurotechnology solutions aimed at enhancing cognitive functions and mental health.
Board Reviews: The company has undergone recent board reviews to assess its strategic direction and operational effectiveness.
Shareholder Engagement: NeuroNetics emphasizes the importance of engaging with shareholders to align interests and foster transparency in its operations.
Acknowledgments: The company recognizes contributions from various stakeholders, highlighting the collaborative efforts that drive its innovations and success.
See More
Neuronetics CFO Steven Pfanstiel to Depart for New Opportunity
- Executive Departure: Neuronetics' CFO Steven E. Pfanstiel will leave the company, but he will remain until May 1, 2026, to ensure a smooth transition; this decision is not due to any disputes with management or the Board, indicating stability in corporate governance.
- CFO Search Initiated: The company has begun the search for a new CFO to ensure continuity and stability in financial management, with the new executive expected to play a crucial role in future strategic developments.
- Stock Price Reaction: Following the announcement, Neuronetics' stock rose 13.63% in after-hours trading to $2.0, reflecting market optimism about the company's future despite the typical investor unease associated with executive changes.
- Revenue Growth Target: Neuronetics has set a revenue growth target of over 9% for 2026 while piloting new TMS models and preparing for the launch of Compass therapy, demonstrating that the company is actively advancing its business strategy during this executive transition.
See More
Neuronetics Shares Surge 16% After Shareholder Calls for Strategic Review
- Shareholder Proposal for Review: Neuronetics' largest independent shareholder, Jorey Chernett, who owns approximately 14% of the company's shares, has urged the board to review strategic alternatives, highlighting the company's limited resources and potentially prompting a reassessment of its business direction.
- Sale of TMS Business Suggested: Chernett recommended that the board consider selling its Transcranial Magnetic Stimulation (TMS) business, a move that could lead to a reevaluation of the company's core assets and impact its future financial performance and market positioning.
- Standalone Clinic Operations Recommended: The shareholder also suggested that the company's clinic business operate independently, a strategy that could enhance the flexibility and profitability of this segment, enabling the company to better navigate market competition.
- Significant Stock Price Reaction: Following the announcement, Neuronetics' shares surged 16% in after-hours trading, reflecting a positive market response to the shareholder's proposal, which may attract more investor interest in the company's future developments.
See More
NASDAQ 100 After Hours Update
- After Hours Overview: The NASDAQ 100 index is down 9.83 points to 24,182.34, indicating cautious market sentiment, with a total after-hours trading volume of 217.79 million shares, reflecting investor concerns about market volatility.
- Active Stock Performance: Energy Transfer L.P. (ET) is up $0.0178 to $18.98 with 6,009,115 shares traded, indicating market recognition of its buy recommendation, which may drive short-term price increases.
- NVIDIA Earnings Outlook: NVIDIA Corporation (NVDA) is down $0.15 to $177.49, despite three upward revisions in earnings forecasts over the last four weeks, suggesting optimistic market sentiment for its fiscal Q1 2027 with a consensus EPS forecast of $2.22.
- Devon Energy Prospects: Devon Energy Corporation (DVN) is down $0.2271 to $49.42, yet it has seen four upward revisions in earnings forecasts in the past month, indicating continued market optimism for its fiscal Q1 2026 with a current EPS forecast of $1.02.
See More
Neuronetics Shareholder Advocates Sale of TMS Business for 5-7x Upside
- Shareholder Proposal: Jorey Chernett, the largest independent shareholder of Neuronetics with approximately 14.12% ownership, has delivered a letter to the Board urging an immediate comprehensive review of strategic alternatives, particularly the potential sale of the TMS business, reflecting his deep concern for the company's future.
- Value Potential: The letter highlights that if the TMS business is successfully sold and the clinic operations are run independently, shareholders could realize a 5-7x return on investment, significantly enhancing shareholder wealth and the overall valuation of the company.
- Importance of Strategic Review: By conducting a thorough review of strategic options, Neuronetics is poised to identify additional growth opportunities and pathways for value creation, thereby strengthening its position in the competitive healthcare market.
- Expected Market Reaction: This proposal may trigger a positive market response towards Neuronetics, as investors could reassess the company's value, driving up the stock price and attracting further investor interest.
See More
