Pulmonx (NASDAQ:LUNG) Releases Quarterly Earnings Results, Beats Estimates By $0.07 EPS

Pulmonx (NASDAQ:LUNG) issued its quarterly earnings data on Tuesday. The company reported ($0.19) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.26) by $0.07, FiscalAI reports. The business had revenue of $22.84 million for the quarter, compared to the consensus estimate of $21.93 million.

Here are the key takeaways from Pulmonx’s conference call:

• Pulmonx returned to revenue growth in Q3 2026, with worldwide revenue up 6% year over year to $22.8 million; U.S. revenue rose 7% and international revenue increased 5%.
• Management reiterated full-year 2026 revenue guidance of $90 million to $92 million and expects growth to continue in Q4, supported by a rebuilt U.S. sales force and a refocused commercial strategy.
• Cost controls produced substantial operating leverage: adjusted EBITDA loss narrowed nearly 60% to $3.5 million, operating expenses fell 18%, and full-year cash burn is now expected to decline 30% to approximately $22 million.
• Gross margin improved to 76% in Q3, with full-year guidance raised to approximately 77%; management expects margins above 75% to support further leverage as revenue grows.
• China commercial activity is expected to resume by late 2026 or early 2027 following renewal of its registration certificate, but management emphasized that China represents only about 2% of expected business and may be lumpy; AeriSeal enrollment remains on track, with meaningful European revenue anticipated primarily from 2028.

Pulmonx Trading Up 1.5%

LUNG opened at $1.98 on Wednesday. Pulmonx has a 1-year low of $1.13 and a 1-year high of $2.89. The company has a 50 day simple moving average of $2.02 and a two-hundred day simple moving average of $1.65.

Key Stories Impacting Pulmonx

Here are the key news stories impacting Pulmonx this week:

• Positive Sentiment: Q3 results exceeded expectations: Pulmonx reported an adjusted loss of $0.19 per share, narrower than the $0.26 consensus loss and improved from a $0.34 loss a year earlier. Revenue reached $22.84 million, above the $21.93 million analyst estimate. Pulmonx Corporation Reports Q3 Loss, Tops Revenue Estimates
• Positive Sentiment: Revenue growth and cost control improved: Third-quarter revenue increased 6% year over year to $22.8 million, with U.S. sales up 7% and international sales up 5%. Gross margin was 76%, while operating expenses declined 18% to $24.9 million, helping narrow the net loss to $8.4 million from $14.0 million. Pulmonx Revenue Rises 6% to $22.8 Million in Third Quarter 2026
• Positive Sentiment: Analyst remains bullish: Canaccord reiterated its Buy rating on LUNG, providing additional investor confidence following the earnings release. Canaccord Reiterates Buy Rating on Pulmonx
• Neutral Sentiment: 2026 outlook was maintained: Management kept its full-year revenue forecast at $90 million to $92 million and operating-expense guidance at $108 million to $109 million. Cash and equivalents totaled $52.7 million at quarter-end, but the company remains unprofitable. Pulmonx Reports Third Quarter 2026 Financial Results
• Negative Sentiment: Insider and institutional selling could weigh on sentiment: Recent data showed 26 insider sales and no insider purchases over six months, while several large institutions reduced their positions. These transactions may raise concerns about near-term conviction despite the earnings beat.

Analysts Set New Price Targets

Several research firms have issued reports on LUNG. Weiss Ratings raised Pulmonx from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday, August 25th. Canaccord Genuity Group set a $5.00 price target on Pulmonx in a research report on Wednesday. Two research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $9.50.

Insider Transactions at Pulmonx

In other Pulmonx news, insider Srikanth Radhakrishnan sold 14,245 shares of the firm’s stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $2.26, for a total transaction of $32,193.70. Following the sale, the insider directly owned 316,994 shares of the company’s stock, valued at $716,406.44. This trade represents a 4.30% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Glendon E. French III sold 41,882 shares of the business’s stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $2.26, for a total value of $94,653.32. Following the completion of the transaction, the chief executive officer owned 1,137,936 shares in the company, valued at $2,571,735.36. The trade was a 3.55% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 78,340 shares of company stock valued at $177,048 over the last three months. Corporate insiders own 7.50% of the company’s stock.

Pulmonx Company Profile

Pulmonx Corporation is a medical device company focused on developing minimally invasive treatments for patients with severe emphysema, a form of chronic obstructive pulmonary disease (COPD). The company’s technologies are designed to reduce hyperinflation in damaged portions of the lung and help improve breathing, exercise capacity and quality of life.

Pulmonx’s primary product is the Zephyr Endobronchial Valve, a bronchoscopically implanted, one-way valve intended for certain patients with severe emphysema.