Neuronetics, Inc. is a commercial-stage medical technology company focused on designing, developing, and marketing products that improve the quality of life for patients who suffer from psychiatric disorders. Its commercial product, the NeuroStar® Advanced Therapy System, is a non-invasive and non-systemic office-based treatment that uses transcranial magnetic stimulation, or TMS, to create a pulsed, MRI-strength magnetic field that induces electrical currents designed to stimulate specific areas of the brain associated with mood. The system is cleared by the United States Food and Drug Administration, or FDA, for the treatment of major depressive disorder in adult patients who have failed to achieve satisfactory improvement from prior antidepressant medication in the current episode. Visit NeuroStar.com for safety information and indications for use. NeuroStar is also available in other parts of the world, including Japan, where it is listed under Japan's national health insurance.

Company profile
Ticker
STIM
Exchange
Website
CEO
Keith J. Sullivan
Employees
Incorporated
Location
Fiscal year end
Industry (SIC)
3M • Boston Scientific • Baxter International • Stryker • Becton, Dickinson And • Teleflex • Resmed • Hill-Rom • Nuvasive • Integra Lifesciences ...
Former names
NEURONETICS INC
SEC CIK
STIM stock data
News
Neuronetics Highlights New Peer-Reviewed Data On Co's Advanced Therapy
17 May 22
Recap: Neuronetics Q1 Earnings
12 May 22
Neuronetics Q1 GAAP EPS $(0.41) Misses $(0.40) Estimate, Sales $14.18M Beat $13.46M Estimate
12 May 22
Earnings Scheduled For May 12, 2022
12 May 22
99 Biggest Movers From Yesterday
12 May 22
Press releases
Neuronetics to Present at the William Blair 42nd Annual Growth Stock Conference
25 May 22
New Peer-Reviewed Data Continue to Further Best Practices with NeuroStar® Advanced Therapy
17 May 22
Neuronetics Reports First Quarter 2022 Financial and Operating Results
12 May 22
Neuronetics and Transformations Care Network Announce Extended Commercial Partnership
11 May 22
Neuronetics TMS Leadership on Display at Clinical TMS Society Annual Meeting
11 May 22
Investment data
Securities sold
Number of investors
Calendar
12 May 22
2 Jul 22
31 Dec 22
Financial summary
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Annual (USD) | Dec 21 | Dec 20 | Dec 19 | Dec 18 | |
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Cash burn rate (est.) | Burn method: Change in cash | Burn method: Operating income | Burn method: FCF (opex + capex) | Last Q | Avg 4Q | Last Q | Avg 4Q | Last Q | Avg 4Q |
---|---|---|---|---|---|---|
Cash on hand (at last report) | 80.84M | 80.84M | 80.84M | 80.84M | 80.84M | 80.84M |
Cash burn (monthly) | 4.43M | 3.37M | 3.38M | 2.57M | 4.06M | 2.58M |
Cash used (since last report) | 13.59M | 10.33M | 10.35M | 7.86M | 12.44M | 7.92M |
Cash remaining | 67.25M | 70.51M | 70.48M | 72.97M | 68.39M | 72.92M |
Runway (months of cash) | 15.2 | 20.9 | 20.9 | 28.4 | 16.8 | 28.2 |
Recent insider trades
Date | Owner | Security | Transaction | Code | Indirect | 10b5-1 | $Price | #Shares | $Value | #Remaining |
---|---|---|---|---|---|---|---|---|---|---|
17 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 3.37 | 1,130 | 3.81K | 3,463,846 |
16 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 3.09 | 2,576 | 7.96K | 3,462,716 |
15 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 3.57 | 1,364 | 4.87K | 3,460,140 |
14 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 3.57 | 1,347 | 4.81K | 3,458,776 |
13 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 3.52 | 1,347 | 4.74K | 3,457,429 |
10 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 3.46 | 4,350 | 15.05K | 3,456,082 |
1 Jun 22 | Cannell Capital | Neuronetics, Inc. Ordinary Stock | Buy | Acquire P | Yes | No | 2.69 | 10,000 | 26.9K | 3,451,732 |
26 May 22 | Bruce Joseph Shook | Common Stock | Grant | Acquire A | No | No | 0 | 38,910 | 0 | 68,847 |
26 May 22 | Megan Rosengarten | Common Stock | Grant | Acquire A | No | No | 0 | 38,910 | 0 | 49,526 |
Institutional ownership, Q1 2022
77.6% owned by funds/institutions
13F holders | Current |
---|---|
Total holders | 84 |
Opened positions | 14 |
Closed positions | 12 |
Increased positions | 27 |
Reduced positions | 31 |
13F shares | Current |
---|---|
Total value | 70.09M |
Total shares | 20.65M |
Total puts | 0 |
Total calls | 0 |
Total put/call ratio | – |
Largest owners | Shares | Value |
---|---|---|
Cannell Capital | 2.75M | $8.33M |
Schroder Investment Management | 1.81M | $5.55M |
Archon Capital Management | 1.8M | $5.46M |
BLK Blackrock | 1.58M | $4.77M |
Vanguard | 1.07M | $3.23M |
Parian Global Management | 956K | $2.9M |
Flynn James E | 919K | $10.21M |
Nantahala Capital Management | 880.16K | $2.67M |
SAMG Silvercrest Asset Management | 854.45K | $2.59M |
Millennium Management | 750.55K | $2.27M |
Financial report summary
?Risks
- We have incurred losses in the past and may be unable to achieve or sustain profitability in the future.
- We rely on the sale of our NeuroStar Advanced Therapy System and treatment sessions to generate revenues.
- The COVID-19 pandemic has had, and we expect will continue to have, an adverse effect on our business, results of operations, financial condition and cash flows, the nature and extent of which are highly uncertain and unpredictable.
- If coverage is unavailable or reimbursement from third-party payors for treatments using our products significantly declines, psychiatrists may be reluctant to use our products.
- If we are unable to adequately train psychiatrists and other treatment providers on the safe and appropriate use of our products, we may be unable to achieve our expected growth.
- Customers and their patients may be slow to adopt and use TMS therapies.
- Our success depends upon patient satisfaction with the effectiveness of our NeuroStar Advanced Therapy System.
- We operate in a very competitive environment and if we are unable to compete successfully against our existing or potential competitors, our sales and operating results may be negatively affected.
- We may face difficulties encountered by companies in new and evolving markets.
- If we are unable to adequately address our customers’ needs, it could negatively impact sales and market acceptance of our products and we may never generate sufficient revenues to achieve or sustain profitability.
- The loss of any member of our senior management or our inability to attract and retain highly skilled executives, salespeople, product development and other personnel could negatively impact our business.
- Our long-term growth depends on our ability to commercialize our approved products for current and future indications and to develop and commercialize additional products through our research and development efforts. If we fail to do so we may be unable to compete effectively.
- We rely on single-source suppliers for some components used in our NeuroStar Advanced Therapy System and on a single manufacturer for the assembly of our NeuroStar Advanced Therapy System, and we may be unable to find replacements or immediately transition to alternative parties for these components.
- We may be unable to achieve or manage our anticipated growth effectively, which could make it difficult to execute our business strategy.
- We rely and, in the future, expect to rely on a network of third-party distributors to market and distribute our products internationally, and if we are unable to maintain and expand this network, we may be unable to generate anticipated sales.
- We face risks associated with our international business.
- Our employees, consultants, distributors and other commercial partners may engage in misconduct or other improper activities, including non-compliance with regulatory standards and requirements.
- We rely in part on third parties to conduct our clinical trials. If these third parties fail to perform their duties on time or as expected, we may not be able to obtain regulatory approval for additional indications that we may seek for the NeuroStar Advanced Therapy System.
- If product liability lawsuits are brought against us, our business may be harmed, and we may be required to pay damages that exceed our insurance coverage.
- Our insurance policies protect us only from some business risks, which will leave us exposed to significant uninsured liabilities.
- We bear the risk of warranty claims on our products.
- We could be negatively impacted by violations of applicable anti-corruption laws or violations of our internal policies designed to ensure ethical business practices.
- If we experience significant disruptions in our information technology systems, our business may be adversely affected.
- Performance issues, service interruptions or price increases by our shipping carriers could adversely affect our business and harm our reputation and ability to provide our services on a timely basis.
- Security and privacy breaches may expose us to liability and harm our reputation and business.
- Employment litigation and unfavorable publicity could negatively affect our future business.
- The 2017 comprehensive tax reform law could adversely affect our business and financial condition.
- Our effective tax rate may fluctuate, and we may incur obligations in tax jurisdictions in excess of accrued amounts.
- Our operations are vulnerable to interruption or loss due to natural or other disasters, power loss, strikes and other events beyond our control.
- Epidemic diseases could negatively affect various aspects of our business, make it more difficult to meet our obligations to our customers, and could result in reduced demand from our customers. These could have a material adverse effect on our business, financial condition, results of operations, or cash flows.
- We may seek to grow our business through acquisitions or investments in new or complementary businesses, products or technologies, through the licensing of products or technologies from third parties. The failure to manage acquisitions, investments, licenses or other strategic alliances, or the failure to integrate them with our existing business, could harm our business.
- Our reported financial results may be adversely affected by changes in accounting principles generally accepted in the United States.
- Our sales volumes and our results of operations may fluctuate over the course of the year.
- If we are not able to obtain and enforce patent protection for our technologies, products, or product candidates, development and commercialization of our products and product candidates may be adversely affected.
- Our inability to effectively protect our proprietary technologies could harm our competitive position.
- The lives of our patents may not be sufficient to effectively protect our products and business.
- Litigation or other proceedings or third-party claims of intellectual property infringement could require us to spend significant time and money and could prevent us from selling our products.
- If we are unable to protect the confidentiality of our trade secrets, our business and competitive position could be harmed.
- We may be unable to enforce our intellectual property rights throughout the world.
- Third parties may assert ownership or commercial rights to inventions we develop.
- Third parties may assert that our employees or consultants have wrongfully used or disclosed confidential information or misappropriated trade secrets.
- Changes in U.S. patent law could diminish the value of patents in general, thereby impairing our ability to protect our products.
- Obtaining and maintaining patent protection depends on compliance with various procedural, document submission, fee payment and other requirements imposed by governmental patent agencies, and our patent protection could be reduced or eliminated for non-compliance with these requirements.
- If we fail to comply with our obligations under license or technology agreements with third parties, we may be required to pay damages and we could lose license rights that are critical to our business.
- Any collaboration arrangements that we may enter into in the future may not be successful, which could adversely affect our ability to develop and commercialize our products.
- If our trademarks and trade names are not adequately protected, then we may not be able to build name recognition in our markets of interest and our business may be adversely affected.
- Our products and operations are subject to extensive government regulation and oversight both in the United States and abroad, and our failure to comply with applicable requirements could harm our business.
- We may not receive the necessary regulatory clearances or approvals to market our future products or other proposed indications for our products in the future, and failure to timely obtain necessary clearances or approvals for such future products or indications would adversely affect our ability to grow our business.
- Our products must be manufactured in accordance with federal and state regulations, and we could be forced to recall our installed systems or terminate production if we fail to comply with these regulations.
- If treatment guidelines for the clinical conditions we are targeting change or the standard of care evolves, we may need to redesign and seek new marketing authorization from the FDA for one or more of our products.
- The misuse or off-label use of our products may harm our reputation in the marketplace, result in injuries that lead to product liability suits or result in costly investigations, fines or sanctions by regulatory bodies, particularly if we are deemed to have engaged in the promotion of these uses, any of which could be costly to our business.
- Our products may cause or contribute to adverse medical events that we are required to report to the FDA, and if we fail to do so, we would be subject to sanctions that could harm our reputation, business, financial condition and results of operations. The discovery of serious safety issues with our products, or a recall of our products either voluntarily or at the direction of the FDA or another governmental authority, could have a negative impact on us.
- If we or our distributors do not obtain and maintain international regulatory registrations or approvals for our products, we will be unable to market and sell our products outside of the United States.
- We are subject to certain federal, state and foreign fraud and abuse laws, health information privacy and security laws and transparency laws, which, if violated, could subject us to substantial penalties. Additionally, any challenge to or investigation into our practices under these laws could cause adverse publicity and be costly to respond to, and thus could harm our business.
- Healthcare policy changes, including recently enacted legislation reforming the U.S. healthcare system, could harm our cash flows, financial condition and results of operations.
- We may need to raise additional capital to fund our existing commercial operations, develop and commercialize new products and expand our operations.
- Our ability to use net operating losses to offset future taxable income may be subject to limitations.
- The terms of our credit facility place restrictions on our operating and financial flexibility. If we raise additional capital through debt financing, the terms of any new debt could further restrict our ability to operate our business.
- The price of our common stock may be volatile.
- Future sales of our common stock or securities convertible or exchangeable for our common stock may cause our stock price to decline.
- Our principal stockholders and management own a significant percentage of our stock and are able to exert control over matters subject to stockholder approval.
- Provisions of our amended and restated charter documents or Delaware law could delay or prevent an acquisition of the company, even if the acquisition would be beneficial to our stockholders, which could make it more difficult for you to change management.
- Our amended and restated certificate of incorporation provides that the Court of Chancery of the State of Delaware and the federal district courts of the United States of America will be the exclusive forums for substantially all disputes between us and our stockholders, which could limit our stockholders’ ability to obtain a favorable judicial forum for disputes with us or our directors, officers or employees.
- We do not anticipate paying any cash dividends on our common stock in the foreseeable future; therefore, capital appreciation, if any, of our common stock will be your sole source of gain for the foreseeable future.
- We may be subject to securities litigation, which is expensive and could divert our management’s attention.
- We are an “emerging growth company” and the reduced disclosure requirements applicable to emerging growth companies could make our common stock less attractive to investors.
- We are obligated to develop and maintain proper and effective internal controls over financial reporting and any failure to maintain the adequacy of these internal controls may adversely affect investor confidence in our company and the value of our common stock.
- If securities or industry analysts do not publish research or reports about our business, or publish inaccurate or unfavorable research or reports about our business, our stock price and trading volume could decline.
Management Discussion
- Total revenue for the three months ended March 31, 2022 was $14.2 million, an increase of 15% compared to the three months ended March 31, 2021 revenue of $12.3 million. During the quarter, total U.S. revenue increased by 15% and international revenue increased by 37% over the prior year quarter. The U.S. and international revenue growth were each driven by an increase in NeuroStar Advanced Therapy System sales.
- U.S. NeuroStar Advanced Therapy System revenue for the three months ended March 31, 2022 was $3.6 million, an increase of 108% compared to the three months ended March 31, 2021 revenue of $1.8 million. For the three months ended March 31, 2022 and 2021, the Company shipped 48 and 23 systems, respectively. Of the 48 systems shipped in the first quarter of 2022, 45 units were recognized as NeuroStar capital revenue, 1 unit was recognized as an operating lease contributing to operating lease revenue and 2 units we expect to recognize as NeuroStar capital revenue in the second quarter of 2022. For the period ended March 31, 2021, the Company recognized the 23 units shipped as NeuroStar capital revenue.
- U.S. Treatment Session revenue for the three months ended March 31, 2022 was $9.5 million, a decrease of 2% compared to the three months ended March 31, 2021 revenue of $9.6 million. The revenue decline was primarily driven by a decrease in Treatment Session volume over the prior year quarter due to the impact of the spike in COVID-19 Omicron variant infections and related business and government responses in January and February 2022.
Content analysis
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New words:
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Removed:
absolute, accelerated, Aid, attestation, auditor, billion, bipolar, blended, combined, concurrent, contractually, deemed, deferring, depression, eligibility, entry, established, extinguished, extinguishment, facilitating, featured, filer, label, large, leasehold, lender, LIBOR, modification, narrow, nonconvertible, Paycheck, PPP, president, Program, purpose, referred, refinance, rely, repaid, requiring, reset, rotation, similarly, situated, strategic, structured, supplement, terminated, unamortized, unconsolidated, vice, VP
Financial reports
Current reports
8-K
Submission of Matters to a Vote of Security Holders
27 May 22
8-K
Neuronetics Reports First Quarter 2022 Financial and Operating Results
12 May 22
8-K
Regulation FD Disclosure
12 May 22
8-K
Entry into a Material Definitive Agreement
4 May 22
8-K
Neuronetics Reports Fourth Quarter and Full Year 2021 Financial and Operating Results
8 Mar 22
8-K
Regulation FD Disclosure
8 Mar 22
8-K
Departure of Directors or Certain Officers
27 Feb 22
8-K
Entry into a Material Definitive Agreement
22 Feb 22
8-K
Neuronetics Reports Preliminary Fourth Quarter and Fiscal Year 2021 Financial Results
10 Jan 22
8-K
Neuronetics Reports Third Quarter 2021 Financial and Operating Results
9 Nov 21
Registration and prospectus
8-A12B/A
Registration of securities on exchange (amended)
9 Apr 21
424B5
Prospectus supplement for primary offering
1 Feb 21
424B5
Prospectus supplement for primary offering
28 Jan 21
S-8
Registration of securities for employees
19 Jan 21
8-A12B
Registration of securities on exchange
8 Apr 20
S-3
Shelf registration
6 Aug 19
S-8
Registration of securities for employees
25 Jul 18
424B4
Prospectus supplement with pricing info
29 Jun 18
S-1MEF
Registration of additional securities for an S-1
27 Jun 18
S-1/A
IPO registration (amended)
26 Jun 18
Proxies
DEFA14A
Additional proxy soliciting materials
14 Apr 22
DEFA14A
Additional proxy soliciting materials
14 Apr 21
DEFA14A
Additional proxy soliciting materials
12 May 20
DEFA14A
Additional proxy soliciting materials
13 Apr 20
DEFA14A
Additional proxy soliciting materials
12 Apr 19
DEF 14A
Definitive proxy
12 Apr 19
PRE 14A
Preliminary proxy
2 Apr 19
Other
EFFECT
Notice of effectiveness
16 Aug 19
CORRESP
Correspondence with SEC
12 Aug 19
UPLOAD
Letter from SEC
11 Aug 19
CT ORDER
Confidential treatment order
9 Jul 18
EFFECT
Notice of effectiveness
28 Jun 18
CORRESP
Correspondence with SEC
24 Jun 18
CORRESP
Correspondence with SEC
24 Jun 18
CERT
Certification of approval for exchange listing
20 Jun 18
CORRESP
Correspondence with SEC
5 Jun 18
UPLOAD
Letter from SEC
12 Apr 18
Ownership
SC 13D
Neuronetics / CANNELL CAPITAL ownership change
22 Jun 22
4
Change in insider ownership
21 Jun 22
4
Change in insider ownership
14 Jun 22
4
Change in insider ownership
3 Jun 22
4
Change in insider ownership
31 May 22
4
Neuronetics / ROBERT CASCELLA ownership change
31 May 22
4
Neuronetics / JOHN K BAKEWELL ownership change
31 May 22
4
Neuronetics / SHERYL L CONLEY ownership change
31 May 22
4
Neuronetics / GLENN P MUIR ownership change
31 May 22
4
Neuronetics / WILFRED E JAEGER ownership change
31 May 22
Patents
Utility
Magnetic Stimulation Coils and Ferromagnetic Components for Reduced Surface Stimulation and Improved Treatment Depth
9 Jun 22
A TMS device may include treatment coils and ferromagnetic components that are configured to be disposed proximate to corresponding ones of the treatment coils.
Utility
Ferrofluidic Cooling and Acoutical Noise Reduction In Magnetic Stimulators
3 Feb 22
A ferrofluid chamber has a housing that is adapted to be coupled to a component that generates a magnetic field.
Utility
Ferrofluidic cooling and acoustical noise reduction in magnetic stimulators
30 Nov 21
A ferrofluid chamber has a housing that is adapted to be coupled to a component that generates a magnetic field.
Utility
Magnetic Stimulation Coils and Ferromagnetic Components for Treatment and Diagnostic Procedures
29 Jul 21
An example system may include an electromagnet, a drive circuit electrically coupled to the electromagnet, and a controller configured to control the drive circuit to provide current to the electromagnet to generate a pulsing magnetic field.
Utility
Monitoring and Detecting Magnetic Stimulation
8 Jul 21
A method, system, and apparatus for monitoring a magnetic field related to magnetic stimulation may be provided.
Transcripts
2022 Q1
Earnings call transcript
12 May 22
2021 Q4
Earnings call transcript
8 Mar 22
2021 Q3
Earnings call transcript
9 Nov 21
2021 Q2
Earnings call transcript
8 Aug 21
2021 Q1
Earnings call transcript
6 May 21
2020 Q4
Earnings call transcript
2 Mar 21
2020 Q3
Earnings call transcript
3 Nov 20
2020 Q3
Earnings call transcript
3 Nov 20
2020 Q3
Earnings call transcript
3 Nov 20
2020 Q2
Earnings call transcript
7 Aug 20
Reddit threads
Daily Discussion Thread - May 12th, 2022
12 May 22
Daily Discussion Thread - May 11th, 2022
11 May 22
Daily Discussion Thread - March 8th, 2022
8 Mar 22
Daily Discussion Thread - March 7th, 2022
7 Mar 22
Daily Discussion Thread - November 9th, 2021
9 Nov 21
Daily Discussion Thread - November 8th, 2021
8 Nov 21
Options Stock Ranker for Oct-13-2021
13 Oct 21
Options Stock Ranker for Aug-03-2021
3 Aug 21
Daily Discussion Thread - August 3rd, 2021
3 Aug 21
Daily Discussion Thread - August 2nd, 2021
2 Aug 21