Insider Trading February 26, 2026

iRhythm Officer Sells $1.2M in Stock as Company Posts Strong Q4 and 2026 Outlook

Form 4 shows a February sale by Chad Patterson; iRhythm reports revenue beat, positive GAAP profit and raises guidance for next year

By Priya Menon IRTC
iRhythm Officer Sells $1.2M in Stock as Company Posts Strong Q4 and 2026 Outlook
IRTC

Chad Patterson, Chief Communications & Product Officer at iRhythm Holdings, sold 8,967 shares on February 25, 2026, for roughly $1.2 million, according to a Form 4 filing. After the sale Patterson directly held 51,738 shares. The day before the sale he was credited with 17,318 shares at a value of $0 after the board committee determined performance conditions were met for restricted stock units granted in 2023. Separately, iRhythm reported fourth-quarter revenue of $208.9 million, a 27.1% year-over-year increase that topped consensus by about 4%, and recorded positive GAAP net income and adjusted EBITDA of $34.3 million. Analysts adjusted price targets while maintaining constructive ratings, and the company provided 2026 revenue and margin guidance.

Key Points

  • Chad Patterson sold 8,967 shares on February 25, 2026 at $135.4189, totaling about $1.2 million, and now directly holds 51,738 shares.
  • Patterson was credited with 17,318 shares on February 24, 2026 at a stated value of $0 after performance RSU conditions from February 27, 2023 were deemed met by the board committee.
  • iRhythm reported Q4 revenue of $208.9 million, a 27.1% year-over-year increase, positive GAAP net income, adjusted EBITDA of $34.3 million, and provided 2026 revenue guidance of $870M to $880M with an adjusted EBITDA margin of 11.5% to 12.5%.

Chad Patterson, iRhythm Holdings, Inc.'s Chief Communications & Product Officer, executed a sale of 8,967 shares of common stock on February 25, 2026, at a per-share price of $135.4189, producing a transaction value of approximately $1.2 million.

The disposal was disclosed in a Form 4 filing with the Securities and Exchange Commission and left Patterson with direct ownership of 51,738 shares of iRhythm.

One day earlier, on February 24, 2026, Patterson was recorded as acquiring 17,318 shares of common stock that carried a stated value of $0. Those shares were issued after the Compensation & Human Capital Management Committee of the company's board concluded that the performance conditions tied to performance Restricted Stock Units awarded to Patterson on February 27, 2023, had been satisfied.

Separately from the insider activity, iRhythm Technologies announced fourth-quarter results that showed revenue of $208.9 million, a 27.1% increase compared with the year-ago quarter and roughly 4% above consensus estimates. The company attributed this revenue growth primarily to strong results from its ZioAT product and continued progress with channel partners. For the quarter, iRhythm reported positive GAAP net income and adjusted EBITDA of $34.3 million.

Following the company's results and preliminary disclosures, several sell-side analysts adjusted their models. Truist Securities and Canaccord Genuity each lowered their price targets to $200 and $198, respectively, while retaining a Buy rating on the stock. Morgan Stanley reiterated an Overweight rating and set a price target of $205 after the company's strong preliminary results.

Looking ahead, iRhythm provided guidance for fiscal 2026 that calls for revenue growth in the range of 17% to 18%, translating to projected revenue of $870 million to $880 million. The company also outlined an expected adjusted EBITDA margin between 11.5% and 12.5% for 2026.


Key points

  • Insider transaction - Chad Patterson sold 8,967 shares on February 25, 2026, for about $1.2 million and now directly owns 51,738 shares.
  • RSU vesting - On February 24, 2026, Patterson was issued 17,318 shares at a stated value of $0 after the board committee determined performance conditions for 2023 RSUs had been met.
  • Company performance and outlook - iRhythm reported Q4 revenue of $208.9 million, positive GAAP net income and adjusted EBITDA of $34.3 million, and projected 2026 revenue of $870 million to $880 million with an adjusted EBITDA margin of 11.5% to 12.5%.

Risks and uncertainties

  • Analyst adjustments - Several firms reduced price targets while keeping favorable ratings, indicating differing views on valuation despite operational strength; this may influence investor sentiment in healthcare and medical device sectors.
  • Dependence on product and partner momentum - The company cited ZioAT performance and channel partner progress as key drivers of recent revenue gains; any slowdown here could affect revenue growth projections and impact related supply chain and distribution partners in the medical devices sector.
  • Guidance execution - iRhythm has provided a range for 2026 revenue and adjusted EBITDA margin; achieving those targets is subject to operational execution and market conditions.

This report presents the transaction and company-provided financial results as disclosed in filings and announcements. It does not offer investment advice but records filings, reported results, analyst target changes, and corporate guidance as stated.

Risks

  • Analyst price-target reductions, despite maintained Buy/Overweight ratings, may affect investor sentiment in healthcare and medical device stocks.
  • Revenue growth is tied to ZioAT performance and channel partner progress; any slowdown could impact company results and related supplier and distribution sectors.
  • Delivery on the 2026 guidance range for revenue and adjusted EBITDA margin depends on execution and market conditions.

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