| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 26 | — | 17.8x | Bottom tier | |
Growth | 83 | 22.7% | 7.1% | Top tier | |
Quality | 34 | -25.9% | 4.5% | Bottom tier | |
Safety | 33 | — | 2.6x | Bottom tier | |
Capital Return | 68 | — | 2.12% | Top tier | |
Momentum | 10 | -49.0% | 2.9% | Bottom tier | |
Sentiment | 82 | 9 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
PROCEPT BioRobotics Corporation develops the HYDROS robotic system and markets Aquablation therapy for the treatment of benign prostatic hyperplasia, while older AQUABEAM systems remain within the installed base. Its revenue model relies on selling systems to hospitals, followed by sales of AMP handpieces and procedure-related consumables; the company also operates outside the United States, with the United Kingdom being its largest international market according to the August 4, 2026 call. In fiscal Q2 2026, HYDROS accounted for the majority of procedure volume for the first time, while AMP sales represented approximately 98% of procedures.
In fiscal Q2 2026, revenue reached $94.5 million, up 19% year over year, while U.S. revenue reached $83.4 million, up 20%, compared with international revenue of $11.1 million, up 15%. Within the U.S. market, single-use handpieces and other consumables generated $48.4 million, up 12%, while systems generated $29.1 million, up 32%; the company placed 65 HYDROS systems, including 50 systems at new sites, 14 replacement systems, and one system under an operating lease.
Gross margin was 66% in fiscal Q2 2026, compared with 65% in the comparable period, but it benefited from a $2.9 million tariff refund. Operating expenses increased to $89.8 million from $73.9 million, and the net loss widened to $26.9 million from $19.6 million, while adjusted EBITDA loss was $11.3 million. Cash, cash equivalents, and restricted cash totaled $231 million as of June 30, 2026.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $22.13, within a relatively wide range of $19 to $29, with a consensus Buy rating; the average equals only approximately 52% of the 52-week range high of $42.43, while the highest target equals approximately 68% of that high. No positive price-to-earnings multiple is available because of the trailing twelve-month loss of $102.5 million and earnings per share of approximately negative $1.81, so valuation depends more heavily on continued revenue growth and achievement of the targeted profitability path, balanced against the reduction in procedure guidance, the lawsuit, and the widening quarterly loss.
Figures in the text are as of 2026-09-02; the live price is shown at the top of the page.
PROCEPT sells HYDROS robotic systems to hospitals and then generates recurring revenue from AMP handpieces and consumables associated with Aquablation procedures. In fiscal Q2 2026, U.S. systems revenue was $29.1 million, while U.S. handpiece and consumables revenue was $48.4 million. The company also generated $11.1 million from international markets, with the United Kingdom being its largest international market according to the August 4, 2026 call.
The company performed more than 13,100 U.S. procedures in fiscal Q2 2026, representing year-over-year growth of approximately 21%, but the result fell short of its expectations. Management attributed the shortfall primarily to recent weakness in older AQUABEAM accounts, while HYDROS accounts continued to perform in line with expectations and at a higher utilization rate. Accordingly, fiscal 2026 guidance became between 54 thousand and 56 thousand procedures, representing growth of between 25% and 29%.
The installed base was split approximately evenly between AQUABEAM and HYDROS as of August 4, 2026, providing a meaningful number of upgrade opportunities. The company sold 14 replacement systems in fiscal Q2 2026 and expects approximately 40 replacements during the year at the midpoint of revenue guidance. Management believes HYDROS provides improved imaging, workflow, and clinical capabilities, and that its accounts achieve higher utilization than older AQUABEAM accounts, with the possibility of temporary disruption as each account transitions between the two platforms.
The company remained unprofitable in fiscal Q2 2026, with a net loss of $26.9 million and an adjusted EBITDA loss of $11.3 million. Management expects an adjusted EBITDA loss of between $30 million and $35 million for fiscal 2026, but it maintained its target of achieving positive adjusted EBITDA in fiscal Q4 2026. Cash, cash equivalents, and restricted cash totaled $231 million as of June 30, 2026, while management expects improved cash utilization and operating leverage during the second half of fiscal 2026.
In May 2026, the American Urological Association strengthened its recommendation for Aquablation therapy within its benign prostatic hyperplasia treatment guidelines, following a strong European recommendation cited by management in the August 4, 2026 call. The technology was supported by approximately 250 peer-reviewed publications as of that date. PROCEPT also completed enrollment of 280 patients in the WATER IV trial comparing it with radical prostatectomy and is targeting presentation of the primary endpoint results at the AUA meeting in spring 2027.
The principal operating risk is weakness in procedures at older AQUABEAM accounts, which prompted the company to lower its fiscal 2026 procedure guidance to 54–56 thousand. Financial risks include the widening quarterly net loss to $26.9 million and the increase in operating expenses to $89.8 million, in addition to the margin benefiting from a $2.9 million tariff refund. There is also a class-action lawsuit referenced on August 4, 2026 that includes allegations of inflated results through discounts and large orders; these are allegations that have not been judicially proven within the provided information.
