CluenexInspire Medical Systems INSP
Inspire Medical Systems scores good on business quality (6.7 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Inspire Medical Systems does
Inspire Medical Systems sells an implantable device that treats obstructive sleep apnea by stimulating the hypoglossal nerve during sleep, selling primarily to otolaryngologists and specialized medical centers. The company is driving adoption through newly approved AMA CPT codes that streamline reimbursement for its surgical procedures.
- What it does best
Inspire dominates proprietary neurostimulation for sleep apnea, posting a gross margin of 86.1% that sits in the top decile of its sector. This elite margin reflects heavy patent protection and specialized surgical training requirements that keep generic rivals locked out.
- The main risk
Medical device coding and reimbursement changes dictate hospital adoption. If the newly approved AMA CPT codes face friction from private insurers during implementation, surgical volumes and revenue growth will stall.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin sits at 6.0% with a net margin of 15.0%, showing that bottom-line profitability lags the elite 86.1% gross margin due to high commercial spending. Scaling volume should gradually expand operating leverage.
The moat relies on specialized surgical training and physician relationships that lock in medical centers. Its gross margin ranks in the top decile of its sector at 86%, proving strong pricing power despite limited switching costs for patients.
Revenue grew 13.6% over the latest period, continuing a multi-year expansion from $115 million in 2020. This rate shows steady scaling as more patients adopt the therapy.
Zero total debt and $308 million in cash eliminate balance-sheet risk. Free cash flow hit $117 million on $899 million in revenue, putting the financial foundation in an elite spot.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
1 sold $57K outside pre-planned sales.
Our sealed record on INSP
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Inspire Medical Systems scores good on the Cluenex quality check (6.7 of 10), measured against its own industry. Profitability is weak, moat fair, growth fast and financial health strong.
In the last 90 days of SEC Form 4 filings: 1 sold $57K outside pre-planned sales.
Nov 2, 2026, after the close.
See INSP today
- Today's verdict on INSP, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Inspire Medical Systems (INSP)”, https://cluenex.com/stocks/insp/, data as of Oct 10, 2026.