Heartflow (NASDAQ:HTFL) Announces Earnings Results

Heartflow (NASDAQ:HTFL) issued its quarterly earnings data on Thursday. The company reported ($0.07) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.22) by $0.15, FiscalAI reports. Heartflow had a negative net margin of 55.82% and a negative return on equity of 23.50%. The company had revenue of $64.08 million during the quarter. The firm’s revenue for the quarter was up 47.7% compared to the same quarter last year.

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

• Q2 revenue rose 48% year over year to $64.1 million, with U.S. revenue up 51%, supported by durable FFRCT utilization, accelerating Plaque adoption, new account additions, and continued CCTA market growth.
• HeartFlow raised its 2026 outlook to $246 million–$250 million in revenue, 40%–42% growth, while increasing Plaque revenue guidance to $29 million–$31 million and projected Plaque-enabled accounts to approximately 1,250.
• Profitability metrics improved materially, with non-GAAP gross margin reaching 83.3% versus 75.6% a year ago and non-GAAP net loss shrinking to $5.8 million; management maintained its targets of roughly 85% gross margin and cash-flow profitability by mid-2028.
• The company highlighted multiple growth catalysts, including Plaque Staging, PCI Navigator, Plaque Tracker planned for 2027, autonomous processing, and three clinical trials targeting high-risk asymptomatic patients that could expand the U.S. addressable market by approximately $6 billion.
• HeartFlow said its patent litigation and government civil investigative demand remain multi-year matters, with no material updates provided; management stated it is cooperating and does not view either issue as disrupting operations.

Heartflow Price Performance

HTFL traded up $11.07 during trading on Friday, hitting $42.08. The company had a trading volume of 9,908,709 shares, compared to its average volume of 989,068. Heartflow has a 1-year low of $20.13 and a 1-year high of $43.00. The company has a market cap of $3.63 billion and a PE ratio of -22.99. The business has a 50-day moving average of $29.08 and a 200-day moving average of $27.80.

Key Stories Impacting Heartflow

Here are the key news stories impacting Heartflow this week:

• Positive Sentiment: Heartflow reported second-quarter revenue of $64.1 million, up 47.7% year over year, while its adjusted loss of $0.07 per share beat the consensus estimate of a $0.22 loss. The results also showed improving profitability, with adjusted EBITDA losses narrowing to $6.7 million from $10.1 million a year earlier. Heartflow Reports Second Quarter 2026 Financial Results and Raises Full Year 2026 Guidance
• Positive Sentiment: Management raised full-year 2026 revenue guidance to $246 million-$250 million from $228 million-$232 million, above the roughly $230 million analyst consensus, and projected non-GAAP gross margin of about 82%. HeartFlow Shares Soar Following Strong Q2 Results and Upgraded Guidance
• Positive Sentiment: Growth was supported by stronger U.S. FFRCT volume and increasing adoption of the Plaque product, suggesting Heartflow’s AI-based coronary disease platform is broadening beyond its core business.
• Positive Sentiment: Analysts raised their targets following the report: JPMorgan increased its target to $45 and Stifel raised its target to $45, with both firms maintaining bullish ratings. Wells Fargo also raised its target to $39 and retained an “overweight” rating. Analyst Price Target Updates
• Neutral Sentiment: The strong move pushed the stock near its 52-week high, potentially increasing volatility and making valuation a greater consideration for investors despite improving operating trends.
• Negative Sentiment: Insiders have reported repeated open-market sales, including a 22,562-share sale by CEO John C.M. Farquhar. The transaction was made under a pre-arranged Rule 10b5-1 plan, which reduces its significance as a discretionary bearish signal, but continued insider selling may still weigh on sentiment. Heartflow CEO Sells Shares

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on the stock. Piper Sandler restated an “overweight” rating and issued a $45.00 target price (up from $38.00) on shares of Heartflow in a research note on Friday. Weiss Ratings upgraded shares of Heartflow from a “sell (e+)” rating to a “sell (d-)” rating in a report on Friday, August 7th. William Blair started coverage on shares of Heartflow in a research report on Monday, May 4th. They issued an “outperform” rating for the company. Robert W. Baird set a $45.00 target price on Heartflow in a research note on Friday. Finally, Morgan Stanley lifted their target price on Heartflow from $35.00 to $40.00 and gave the stock an “equal weight” rating in a research report on Friday. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Heartflow has a consensus rating of “Moderate Buy” and an average target price of $43.43.

Insider Buying and Selling at Heartflow

In other news, CEO John C.M. Farquhar sold 38,900 shares of the stock in a transaction dated Wednesday, June 24th. The shares were sold at an average price of $35.00, for a total transaction of $1,361,500.00. Following the transaction, the chief executive officer owned 457,935 shares of the company’s stock, valued at approximately $16,027,725. This trade represents a 7.83% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Campbell Rogers sold 9,219 shares of Heartflow stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $28.34, for a total value of $261,266.46. Following the completion of the transaction, the insider owned 78,731 shares of the company’s stock, valued at $2,231,236.54. This trade represents a 10.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 115,805 shares of company stock valued at $3,530,609. 7.70% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in HTFL. Sei Investments Co. raised its holdings in shares of Heartflow by 342.5% during the first quarter. Sei Investments Co. now owns 67,048 shares of the company’s stock worth $1,631,000 after purchasing an additional 51,895 shares during the period. Quantinno Capital Management LP acquired a new position in shares of Heartflow in the 1st quarter valued at about $1,734,000. Janus Henderson Group PLC grew its position in shares of Heartflow by 152.0% during the 1st quarter. Janus Henderson Group PLC now owns 2,180,976 shares of the company’s stock valued at $53,063,000 after buying an additional 1,315,416 shares during the last quarter. Rock Springs Capital Management LP raised its stake in Heartflow by 106.2% during the first quarter. Rock Springs Capital Management LP now owns 572,500 shares of the company’s stock worth $13,929,000 after acquiring an additional 294,800 shares during the period. Finally, XXEC Inc. lifted its holdings in Heartflow by 564.8% in the first quarter. XXEC Inc. now owns 278,681 shares of the company’s stock worth $6,780,000 after acquiring an additional 236,761 shares during the last quarter.

About Heartflow

HeartFlow, Inc (NASDAQ: HTFL) is a medical technology company that develops non-invasive diagnostic solutions for coronary artery disease. The company’s core offering translates coronary CT angiography (CTA) data into a patient-specific, three-dimensional physiological model of the coronary arteries. Using advanced image processing and computational modeling, HeartFlow’s analysis estimates fractional flow reserve (FFR) values throughout the coronary tree to identify ischemia-producing lesions without the need for invasive pressure-wire measurements.

HeartFlow’s cloud-based service integrates with clinical workflows: clinicians submit coronary CTA images and receive a detailed, color-coded 3D map and report that highlights lesion-specific FFR values and physiological impact.