Insider Trading March 5, 2026

NeuroPace CMO Reduces Stake as Company Posts Earnings Beat and Mixed Share Performance

Martha Morrell sold $399,250 of NeuroPace stock under a pre-arranged plan; company posted stronger-than-expected Q4 2025 results amid recent share-price volatility

By Nina Shah NPCE
NeuroPace CMO Reduces Stake as Company Posts Earnings Beat and Mixed Share Performance
NPCE

NeuroPace Inc.'s Chief Medical Officer, Martha Morrell, executed a pre-arranged sale of 25,000 shares on December 15, 2025, realizing $399,250. Subsequent withholding of 1,340 vested restricted shares occurred on March 3, 2026 to cover tax obligations. The company reported fourth-quarter 2025 results that beat analyst forecasts on both EPS and revenue, even as the stock trades below the December sale price.

Key Points

  • NeuroPace CMO Martha Morrell sold 25,000 shares on December 15, 2025, for $399,250 at an average price of $15.97; the sale was executed under a pre-arranged Rule 10b5-1 trading plan.
  • On March 3, 2026, 1,340 vested restricted shares were withheld to cover tax obligations, valued at $13.83 each for a total of $18,532; after these moves Morrell directly owns 48,624 shares.
  • NeuroPace reported Q4 2025 EPS of -0.08 versus an expected -0.18 and revenue of $26.6 million against an expected $24.39 million, while the company reports 25% revenue growth over the past twelve months and a current ratio of 5.28.

NeuroPace Inc (NASDAQ: NPCE) disclosed that its Chief Medical Officer, Martha Morrell, sold 25,000 shares of common stock on December 15, 2025. The shares were sold at an average price of $15.97 for an aggregate proceeds amounting to $399,250. Reported execution prices for the transaction ranged between $15.83 and $16.26. The filing notes that the December sale was carried out under a pre-arranged Rule 10b5-1 trading plan.

Since that sale, NeuroPace shares have retreated from the December trading range. The stock is currently quoted at $13.95, below the levels at which Morrell sold, though the shares have still delivered a 43% gain over the past six months.

In a separate compensation-related transaction, NeuroPace withheld 1,340 shares from Morrell on March 3, 2026, to satisfy tax withholding tied to the vesting of restricted stock units. Those withheld shares were valued at $13.83 apiece, producing a total withholding value of $18,532.

Following the December sale and the March withholding, Morrell is recorded as the direct owner of 48,624 NeuroPace shares.


On the operational and financial front, NeuroPace - a medical device company with a reported valuation of $470 million - posted 25% revenue growth over the last twelve months. The company also reported a strong liquidity position, with a current ratio of 5.28.

The company reported fourth-quarter 2025 results that exceeded analyst expectations. NeuroPace posted an earnings per share figure of -0.08, ahead of the consensus estimate of -0.18, representing a 55.56% surprise. Revenue for the quarter reached $26.6 million, compared with the expected $24.39 million.

Despite the outperformance on both EPS and revenue versus analyst projections, the stock experienced downward pressure following the earnings release. The filing and subsequent market moves point to a company that is delivering higher-than-expected near-term financial results while trading below the prices at which an insider liquidated a substantial block of shares late last year.

Market valuation perspectives included in available analysis indicate that NeuroPace may appear overvalued at current prices based on Fair Value calculations from InvestingPro, with a recommendation for investors to consult the full Pro Research Report for more detailed financial and valuation context.


The transactions reported here - an insider sale under a Rule 10b5-1 plan and routine tax withholding on vested RSUs - are common elements of executive compensation and portfolio management. They add to the public record as investors weigh the companys recent operating results, reported liquidity metrics, and prevailing share price.

Risks

  • The stock trades below the price at which an insider sold in December 2025, indicating potential short-term downside or volatility in the equity - relevant to investors in the medical device and broader equity markets.
  • Analysis cited in available research suggests the stock may be overvalued at current levels based on Fair Value calculations, presenting valuation risk for prospective buyers in healthcare and small-cap equities.
  • Despite an earnings and revenue beat, the share price declined after the results, reflecting market sensitivity to broader trends or investor caution that affects healthcare device companies and market sentiment.

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