Analysts at Wall Street Zen have downgraded the stock rating of Brainsway Ltd. (NASDAQ:BWAY) from “buy” to “hold,” according to a note issued to investors on Monday. This change follows a series of recent assessments from other financial institutions regarding the company’s performance and future outlook.
Several brokerages have provided their perspectives on Brainsway in recent weeks. On November 13, HC Wainwright raised its target price for Brainsway shares from $17.00 to $18.00, maintaining a “buy” rating. Meanwhile, Weiss Ratings reaffirmed a “hold (c)” rating on November 24. Additionally, Northland Securities increased its price target from $19.00 to $23.00 while also assigning an “outperform” rating on November 12. Currently, two analysts have issued a “buy” rating, with one maintaining a “hold” rating, leaving Brainsway with an average consensus rating of “Moderate Buy” and a target price of $20.50, as reported by MarketBeat.
Recent Earnings Report Highlights Challenges
In a recent earnings announcement on November 11, Brainsway reported earnings per share of $0.08 for the quarter, falling short of the consensus estimate of $0.11 by $0.03. Despite this miss, the company’s revenue reached $13.51 million, surpassing analyst estimates of $13.04 million. The company’s return on equity stood at 9.46% , with a net margin of 12.73%. Analysts project Brainsway will post $0.08 earnings per share for the current year.
Institutional Investors Adjust Their Holdings
Institutional investors have recently modified their stakes in Brainsway, reflecting a mix of confidence and caution. NewEdge Advisors LLC increased its holdings by 7.4% during the third quarter, owning 28,629 shares valued at approximately $431,000 after acquiring an additional 1,964 shares. Zuckerman Investment Group LLC also raised its stake by 5.3%, now holding 40,000 shares worth around $603,000 after purchasing an extra 2,000 shares.
Additionally, Huntleigh Advisors Inc. increased its position by 5.7% during the second quarter, with a total of 77,416 shares valued at $1,018,000. New investments have also been made by Raymond James Financial Inc. and Bank of America Corp DE, with each firm acquiring new positions worth approximately $85,000 and $107,000, respectively. As a result, institutional investors now control 30.11% of Brainsway’s stock.
Brainsway Ltd. specializes in developing and marketing noninvasive neurostimulation therapies aimed at treating various mental health disorders. The company’s proprietary Deep Transcranial Magnetic Stimulation platform is used for conditions such as major depressive disorders, anxiety, obsessive-compulsive disorders, and more. As the landscape of mental health treatment continues to evolve, Brainsway’s innovations remain a focal point of interest among investors and analysts alike.
