Impinj (PI) shares plummeted 27.19% in pre-market trading, as the market reacted sharply to the company's disappointing financial guidance.
The plunge was primarily triggered by Impinj's outlook for the first quarter of 2026. Despite reporting fourth-quarter results that met or slightly exceeded analyst expectations, the company forecasted a significant sequential drop in Q1 revenue to a range of $71 million to $74 million, down from $92.8 million in Q4. The projected adjusted earnings per share of $0.08 to $0.13 also fell well below market expectations.
In response to the guidance, several analysts moved to lower their price targets on the stock, amplifying negative sentiment. Piper Sandler cut its target to $180 from $230, Jefferies reduced its target to $175 from $265, and Roth Capital lowered its target to $220 from $235, citing concerns over the company's near-term growth trajectory.