• Neuronetics reported a Q3 2025 EPS of -$0.13, missing estimates by 18.18%.
• The company's revenue was $37.3 million, slightly below expectations but showing significant year-over-year growth.
• Despite negative earnings, Neuronetics has a strong liquidity position with a current ratio of 2.02.

Neuronetics, Inc. (NASDAQ: STIM) operates in the medical instruments industry, focusing on innovative solutions for mental health. The company recently reported its third-quarter earnings for 2025, revealing an earnings per share (EPS) of -$0.13, slightly missing the estimated EPS of -$0.12. This marks a negative surprise of 18.18%, as highlighted by Zacks.

Despite the earnings miss, Neuronetics showed improvement from the previous year's loss of $0.29 per share. The company has struggled to meet EPS estimates over the past four quarters, consistently falling short. In the previous quarter, STIM reported a loss of $0.15 per share, significantly missing the expected loss of $0.08, resulting in an 87.5% negative surprise.

Neuronetics reported revenue of $37.3 million for the quarter, slightly below the estimated $37.8 million, missing the Zacks Consensus Estimate by 2.21%. However, this represents a substantial increase from the $18.53 million reported in the same quarter last year. The company's Greenbrook clinic contributed $21.8 million, reflecting a 25% increase from Q3 2024.

Financially, Neuronetics has a price-to-earnings (P/E) ratio of -3.81, indicating negative earnings. The price-to-sales ratio is 1.65, suggesting investors pay $1.65 for every dollar of sales. The enterprise value to sales ratio is 2.28, reflecting the company's valuation relative to sales. Despite negative earnings, the current ratio of 2.02 indicates good liquidity.