INSPInspire Medical Systems, Inc.

$61.85

Is the business good?

How good a business is INSP?

Inspire Medical Systems, Inc. earns 8.0% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.

8.0%

Return on invested capital · cost of capital 9.0% · 1.0 points below what the capital costs: growth destroys value

Operating margin
5.6%

Operating margin · Medical Devices median 11% · 12 months to Q1 2026

Cash conversion
0.74×

Cash conversion · 1.19× a year ago · some of the reported profit has not turned into cash yet

Share count, year on year
−5.3%

Share count, year on year · bought back, each share owns more of the company

Operating margin by fiscal year
YearOperating margin
FY2020−49%
FY2021−17%
FY2022−12%
FY2023−6.5%
FY20244.5%
FY20255.6%
Details
Gross margin12 months to Q1 2026
86%
Operating margin12 months to Q1 2026
5.6%
Net margin12 months to Q1 2026
14%
Free cash flow margin
11%
R&D as % of revenue
11%
Revenue, trailing twelve months
$915M
Free cash flow, trailing twelve months
$97M
Net income, trailing twelve months
$131M
Return on invested capitaloperating profit after tax ÷ debt + equity − cash
8.0%

Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.