ENGLEWOOD, CO – Zynex Inc (NASDAQ:ZYXI), a company specializing in electromedical equipment, has reported a recent stock purchase by director Joshua R. Disbrow. According to a new filing, Disbrow acquired additional shares of the company's common stock, signaling a bolstering of his investment in the firm.
On July 29, 2024, Disbrow purchased 7,000 shares of Zynex Inc's common stock at a price of $8.319 per share. The transaction resulted in a total investment of $58,233, increasing his direct ownership to 72,000 shares. This move demonstrates a clear vote of confidence by Disbrow in the company's future prospects.
For investors tracking insider activity, such transactions are often seen as a sign of an insider's bullish view on the stock's potential performance. Zynex, incorporated in Nevada and headquartered in Englewood, Colorado, operates within the healthcare sector, providing innovative medical devices designed to improve patient outcomes.
The purchase by Disbrow was made in the open market, as detailed in the footnotes of the SEC filing, reflecting a straightforward increase in his stake in the company.
Shareholders and potential investors in Zynex may consider this insider transaction as an informative data point in their evaluation of the company. Insider purchases can sometimes precede positive developments within a company, although they do not guarantee future stock performance.
Zynex Inc, under the leadership of a committed board and management team, continues to strive toward advancing its position in the medical device industry, with a focus on products that benefit both patients and healthcare providers.
In other recent news, Zynex Inc., a medical technology firm, has reported its second quarter financial results for 2024. The company announced a total revenue of $49.9 million, marking an 11% growth year-over-year, but falling short of analysts' expectations. Net income also came in lower than anticipated at $1.2 million. Despite this, Zynex's management highlighted a 20% year-over-year increase in orders during the second quarter.
In line with these developments, H.C. Wainwright revised its 12-month price target for Zynex downward to $16.00 from the previous $21.00, while maintaining a Buy rating on the stock. Looking ahead, Zynex's management has set a minimum revenue target of $50.0 million for the third quarter of 2024 and anticipates diluted earnings per share (EPS) to be at least $0.05. The full-year revenue guidance for 2024 has been revised to a minimum of $200 million, down from the previous forecast of $227 million, with diluted EPS expected to be at least $0.20 per share. These are the recent developments impacting the company's financial outlook.
InvestingPro Insights
Zynex Inc (NASDAQ:ZYXI) has been showing some intriguing movements and metrics that investors may want to consider. The company's management has demonstrated confidence in Zynex's trajectory through aggressive share buybacks, as evidenced by the recent insider purchase by director Joshua R. Disbrow. This aligns with an InvestingPro Tip highlighting that the company has a high shareholder yield, which could signal a potential upside for investors.
On the financial side, Zynex's market capitalization currently stands at 260.61 million USD. However, the stock has experienced significant volatility, with a one-week price total return of -19.57%. Despite this, the company's revenue growth over the last twelve months as of Q2 2024 is 9.11%, indicating a solid increase in its financial performance. Additionally, Zynex's gross profit margin is notably high at 80.0%, which may suggest efficient operations and strong pricing power.
It's important to note that the stock is trading at a high earnings multiple, with a P/E ratio of 45.36. This could imply that investors are expecting higher earnings growth in the future. For those interested in further insights, there are additional InvestingPro Tips available at https://www.investing.com/pro/ZYXI, including analysis on the company's profitability and valuation multiples. Readers can use coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, unlocking access to a total of 11 InvestingPro Tips for Zynex Inc.
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