Brainsway (NASDAQ:BWAY) Announces Earnings Results, Beats Expectations By $0.07 EPS

Brainsway (NASDAQ:BWAY) announced its earnings results on Wednesday. The company reported $0.12 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.05 by $0.07, Zacks reports. Brainsway had a return on equity of 12.51% and a net margin of 15.68%.The business had revenue of $15.53 million for the quarter, compared to analyst estimates of $14.63 million.

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

• BrainsWay delivered strong Q1 2026 results, with revenue up 35% year over year to $15.5 million, net income more than doubling to $2.3 million, and adjusted EBITDA rising 119% to $2.8 million.
• The company reported its 11th consecutive quarter of profitability, supported by expanding margins, disciplined cost control, and a recurring revenue model that continues to gain traction.
• Demand indicators improved, including 117 Deep TMS systems shipped in the quarter, a total install base of about 1,820 systems, and remaining performance obligations rising to $75 million, with most new contracts being multi-year agreements.
• Management highlighted reimbursement and adoption progress for both Deep TMS and the SWIFT protocol, including expanded payer coverage, growing interest from providers, and expectations for $40 million-$50 million of SWIFT-covered lives by year-end.
• The company remains focused on pipeline and strategic expansion, including an upcoming FDA filing for PTSD symptoms in MDD, ongoing alcohol use disorder trials, and additional minority investments in mental health networks and Neurolief’s ProlivRx platform.

Brainsway Price Performance

NASDAQ BWAY traded down $1.29 during trading on Friday, reaching $15.03. 260,654 shares of the company’s stock were exchanged, compared to its average volume of 191,947. The business has a 50 day moving average price of $14.52 and a 200-day moving average price of $11.62. The stock has a market capitalization of $601.80 million, a P/E ratio of 42.94 and a beta of 1.23. Brainsway has a fifty-two week low of $4.94 and a fifty-two week high of $17.35.

Hedge Funds Weigh In On Brainsway

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Raymond James Financial Inc. acquired a new stake in Brainsway during the second quarter worth approximately $85,000. Bank of America Corp DE acquired a new stake in Brainsway during the third quarter worth approximately $107,000. Royal Bank of Canada lifted its position in Brainsway by 1,145.9% during the fourth quarter. Royal Bank of Canada now owns 8,410 shares of the company’s stock worth $160,000 after acquiring an additional 7,735 shares during the last quarter. Centiva Capital LP acquired a new stake in Brainsway during the third quarter worth approximately $181,000. Finally, NewEdge Advisors LLC lifted its position in Brainsway by 61.5% during the first quarter. NewEdge Advisors LLC now owns 19,828 shares of the company’s stock worth $188,000 after acquiring an additional 7,549 shares during the last quarter. 30.11% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on BWAY shares. Zacks Research downgraded shares of Brainsway from a “strong-buy” rating to a “hold” rating in a research report on Monday. Wall Street Zen raised shares of Brainsway from a “hold” rating to a “buy” rating in a research report on Saturday, March 7th. Weiss Ratings raised shares of Brainsway from a “hold (c)” rating to a “buy (b-)” rating in a research report on Friday, April 24th. HC Wainwright reduced their price target on Brainsway from $30.00 to $15.00 and set a “buy” rating for the company in a research report on Thursday, March 12th. Finally, Northland Securities set a $15.00 price target on Brainsway in a research report on Thursday, January 22nd. Three analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $15.00.

About Brainsway

Brainsway Ltd is a medical device company specializing in non-invasive neuromodulation therapies. Publicly traded on the NASDAQ under the symbol BWAY, the company develops and commercializes deep transcranial magnetic stimulation (Deep TMS) systems designed to treat a range of neuropsychiatric and neurological disorders. Brainsway’s technology aims to offer an alternative or complement to traditional pharmacological therapies by targeting precise brain regions with its patented coil designs.

The company’s flagship Deep TMS platform utilizes proprietary H-coil arrays engineered to reach deeper cortical structures than conventional TMS devices.