Pulmonx (LUNG) Stock Forecast & Price Target

Pulmonx Corp has demonstrated a solid financial performance in Q3, reporting revenue of $21.5 million, which marks a 5% year-over-year increase, driven by the ongoing adoption of its Zephyr Valve. The company has successfully strengthened its balance sheet through refinancing, securing up to $60 million in committed capital via a five-year interest-only credit facility, extending debt maturity to 2031. Additionally, Pulmonx's gross margin remained robust at 75%, reflecting improvements in cost restructuring and operational efficiency, which are expected to support the company's path toward sustainable profitability.

Pulmonx Corp reported a modest annual revenue growth of 8% for the full year 2025, reaching $90.5 million, but experienced a decline in fourth-quarter revenue to $22.6 million, attributed primarily to weaker performance in the U.S. market. The company's cash reserves decreased significantly, totaling $69.8 million at year-end 2025, down approximately $32 million compared to the previous year, with expectations of a further decline of about $23 million in 2026 without additional funding. Coupled with operating expenses reaching $120.8 million and a net loss of $54 million for the year, these financial metrics suggest a challenging outlook for Pulmonx’s operational and financial stability.