NEW YORK, June 2, 2026, 14:08 EDT
- Neuronetics shares dropped roughly 5.7% in early afternoon, trading close to their session low.
- The company said new data on NeuroStar will be presented this week at the Clinical TMS Society meeting.
- Investors are still dealing with the cash and covenant overhang the company flagged in its most recent quarterly filing.
Neuronetics Inc. dropped 5.7% to $1.575 Tuesday. This comes after the company announced that new NeuroStar data will be presented this week at a big transcranial magnetic stimulation conference. NEUR opened at $1.67, hit $1.76 before slipping to around $1.57, with volume near 785,000 shares.
Timing is key here. Neuronetics wants to prove its NeuroStar system has stronger evidence behind it, even as the company deals with a balance-sheet crunch. Transcranial magnetic stimulation, or TMS, is a non-invasive therapy that uses magnetic pulses on specific brain regions, usually for patients whose depression hasn’t responded to medication.
Neuronetics said it will present real-world data from its TrakStar database at the 2026 Clinical TMS Society annual meeting. The company plans to share research covering major depressive disorder, outcomes for adolescents on antidepressants, and maintenance therapy. The term “real-world evidence” refers to results gathered from regular clinical use instead of limited trial settings. Neuronetics Inc
Neuronetics chief technology officer Cory Anderson said more data is “critical to advancing our understanding of TMS” and where it fits in clinical work. The company said it plans to join the PULSES training course to show navigation features linked to its deal with ANT Neuro. Neuronetics Inc
Research news didn’t lift the pressure on trading. The SPDR S&P Biotech ETF dropped roughly 4.0%. Shares of BrainsWay Ltd., a TMS device competitor on Nasdaq, slid about 6.0%.
The competition angle is big here. BrainsWay sells Deep TMS for depression and some other indications. This year BrainsWay has promoted quick results in depression care using its system, stressing speed, data, and reimbursement in neuromodulation.
Neuronetics said Q1 revenue hit $34.5 million, rising 8% year over year, with U.S. clinic revenue up 15% to $21.5 million following its Greenbrook deal. But the company reported a net loss of $10.8 million, or 16 cents per share.
Chief Executive Dan Reuvers said at the time he was encouraged by “revenue growth, operational efficiency, and cash management.” He said the clinic business had double-digit growth. Neuronetics projected 2026 revenue between $160 million and $166 million, with operating cash flow between negative $13 million and negative $17 million. Neuronetics Inc
But the risk isn’t small. Neuronetics in its last quarterly report said it had $13.2 million in cash and cash equivalents as of March 31, and $65.0 million in outstanding borrowings. The company flagged “substantial doubt” about its ability to keep operating as a going concern — the standard warning when a company faces real questions about meeting future obligations. SEC
Neuronetics said in the same filing it expects trailing 12-month revenue for the period through March 31, 2027, to miss a minimum revenue covenant under its credit facility. The company said if the lender called the loan, it would not have the liquidity to repay it.
The stock isn’t acting like a typical research play right now, but more like a smaller medtech company with something to prove. Investors are watching whether it can get past its cash burn with stronger data, more clinics and payers. Nasdaq’s normal U.S. market session was running Tuesday, with standard hours from 9:30 a.m. to 4:00 p.m. Eastern.
