RxSight Cuts 2025 Revenue Forecast, Shares Drop Over 30%

RxSight, a California-based ophthalmic medical device company, has significantly lowered its 2025 revenue forecast to between $120 million and $130 million, down from a previous expectation of $160 million to $175 million, reflecting a 7% to 14% decline compared to 2024. The company also anticipates a 4% year-over-year drop in second-quarter revenue to about $33.6 million, missing analysts' estimates and driven largely by a 49% decline in sales of Light Delivery Devices, despite a 13% increase in Light Adjustable Lenses sales. Shares of RxSight plunged between 22% and 33% in after-hours trading following the forecast revision, with the stock down roughly 63% year to date. Nonetheless, RxSight raised its gross margin outlook to 72%-74%, up from 71%-73%, indicating improved cost control, although operating expenses are expected to rise 7% to 14%. Analysts remain cautiously optimistic, maintaining an average “Outperform” rating with a consensus 12-month price target around $21.60, implying substantial upside from current prices, as well as a high GF Value estimate signaling potential long-term growth despite near-term challenges. The mixed outlook underscores investor concerns about worsening sales trends but also highlights potential strategic growth opportunities based on product resilience and margin improvement.