Accuray (NASDAQ:ARAY) Announces Quarterly Earnings Results, Misses Estimates By $0.04 EPS

by · The Cerbat Gem

Accuray (NASDAQ:ARAY – Get Free Report) issued its quarterly earnings data on Wednesday. The medical equipment provider reported ($0.09) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by ($0.04), FiscalAI reports. Accuray had a negative return on equity of 59.81% and a negative net margin of 8.15%.The firm had revenue of $104.85 million for the quarter, compared to analyst estimates of $111.90 million.

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

  • Withdrew financial guidance due to indefinite shipment delays in the Middle East/North Africa/Pakistan and persistent China/tariff headwinds, making near-term revenue and installations unpredictable.
  • Q3 net revenue was $104.8 million (down 7% YoY, up 3% sequentially); product revenue drove most of the decline, while book-to-bill was 1.0 and reported backlog was roughly $356 million.
  • The Transformation Plan is progressing—~15% workforce reduction and other cost actions target $25 million of annualized operating improvements, with about $10 million realized to date and management on track to exceed the $12 million FY2026 target.
  • Gross margin compressed to 24.1% from 27.9% YoY, primarily driven by a sharp drop in service margins due to higher parts consumption, logistics/duties and tariff impacts that reduced profitability.
  • Management is strengthening differentiation via strategic partnerships and clinical evidence efforts—leveraging its large motion-tracked treatment dataset and a multi-center registry, and adding Paul Miele as Chief Commercial Officer to accelerate commercial execution and service monetization.

Accuray Stock Performance

ARAY traded up $0.02 during trading hours on Wednesday, hitting $0.48. The company’s stock had a trading volume of 1,677,495 shares, compared to its average volume of 1,158,459. Accuray has a fifty-two week low of $0.33 and a fifty-two week high of $2.10. The company has a current ratio of 1.47, a quick ratio of 0.71 and a debt-to-equity ratio of 2.34. The firm has a market capitalization of $56.66 million, a PE ratio of -1.64 and a beta of 1.43. The company has a 50-day simple moving average of $0.44 and a 200 day simple moving average of $0.79.

Institutional Investors Weigh In On Accuray

Several large investors have recently modified their holdings of the stock. Public Employees Retirement System of Ohio bought a new position in Accuray during the third quarter valued at about $35,000. Janney Montgomery Scott LLC acquired a new stake in Accuray during the fourth quarter valued at approximately $41,000. Oxford Asset Management LLP acquired a new stake in Accuray during the fourth quarter valued at approximately $44,000. Tower Research Capital LLC TRC raised its stake in shares of Accuray by 604.2% in the second quarter. Tower Research Capital LLC TRC now owns 35,177 shares of the medical equipment provider’s stock valued at $48,000 after acquiring an additional 30,182 shares during the last quarter. Finally, BNP Paribas Financial Markets raised its stake in shares of Accuray by 32.4% in the third quarter. BNP Paribas Financial Markets now owns 39,369 shares of the medical equipment provider’s stock valued at $66,000 after acquiring an additional 9,633 shares during the last quarter. 64.08% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several equities analysts recently commented on ARAY shares. BTIG Research dropped their target price on Accuray from $4.00 to $2.00 and set a “buy” rating for the company in a research note on Thursday, February 5th. Wall Street Zen downgraded Accuray from a “hold” rating to a “sell” rating in a research report on Saturday, February 7th. One research analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Accuray presently has a consensus rating of “Hold” and an average target price of $2.00.

Read Our Latest Report on ARAY

About Accuray

(Get Free Report)

Accuray Incorporated (NASDAQ: ARAY) is a global medical device company that develops, manufactures and markets innovative radiation therapy solutions for the treatment of cancer. The company’s flagship products include the CyberKnife® System, a robotic radiosurgery platform offering sub-millimeter precision, and the TomoTherapy® System, which combines helical computed tomography (CT) imaging with intensity-modulated radiation therapy (IMRT). More recently, Accuray introduced the Radixact® System, an advanced iteration of its TomoTherapy technology designed to enhance treatment speed and clinical workflow.

Accuray’s suite of products enables clinicians to deliver highly targeted radiation doses while minimizing exposure to surrounding healthy tissue.

Featured Stories