TransMedics Group, Inc. shares are experiencing a significant drop in after-hours trading following the company's announcement of a narrowed revenue forecast for the fiscal year 2024. The company adjusted its revenue expectations to a range of $428 million to $432 million, slightly below the consensus estimate of $432.37 million. This revision has raised concerns among investors about the company's growth prospects and financial performance for the remainder of the year.
Additionally, earlier in the day, Morgan Stanley lowered its price target for TransMedics by $7, which may have further contributed to the negative sentiment surrounding the stock. The combination of a reduced revenue outlook and a lowered price target has likely intensified the selling pressure on TransMedics shares.
TransMedics (TMDX) stock fell 11.91% to $75.00 in after-hours trading, following a 1.81% decline to close at $85.14 on December 2, 2024.