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    CVRx, Inc.'s (NASDAQ:CVRX) Popularity With Investors Under Threat As Stock Sinks 26%

    Simply Wall St·12/30/2025 10:04:10
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    CVRx, Inc. (NASDAQ:CVRX) shareholders won't be pleased to see that the share price has had a very rough month, dropping 26% and undoing the prior period's positive performance. The drop over the last 30 days has capped off a tough year for shareholders, with the share price down 43% in that time.

    Although its price has dipped substantially, it's still not a stretch to say that CVRx's price-to-sales (or "P/S") ratio of 3.4x right now seems quite "middle-of-the-road" compared to the Medical Equipment industry in the United States, where the median P/S ratio is around 3x. Although, it's not wise to simply ignore the P/S without explanation as investors may be disregarding a distinct opportunity or a costly mistake.

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    View our latest analysis for CVRx

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    NasdaqGS:CVRX Price to Sales Ratio vs Industry December 30th 2025

    How Has CVRx Performed Recently?

    CVRx certainly has been doing a good job lately as it's been growing revenue more than most other companies. It might be that many expect the strong revenue performance to wane, which has kept the P/S ratio from rising. If you like the company, you'd be hoping this isn't the case so that you could potentially pick up some stock while it's not quite in favour.

    Want the full picture on analyst estimates for the company? Then our free report on CVRx will help you uncover what's on the horizon.

    Is There Some Revenue Growth Forecasted For CVRx?

    There's an inherent assumption that a company should be matching the industry for P/S ratios like CVRx's to be considered reasonable.

    Retrospectively, the last year delivered an exceptional 18% gain to the company's top line. The strong recent performance means it was also able to grow revenue by 195% in total over the last three years. Therefore, it's fair to say the revenue growth recently has been superb for the company.

    Turning to the outlook, the next three years should generate growth of 20% per annum as estimated by the seven analysts watching the company. Meanwhile, the rest of the industry is forecast to expand by 114% per year, which is noticeably more attractive.

    With this in mind, we find it intriguing that CVRx's P/S is closely matching its industry peers. Apparently many investors in the company are less bearish than analysts indicate and aren't willing to let go of their stock right now. Maintaining these prices will be difficult to achieve as this level of revenue growth is likely to weigh down the shares eventually.

    The Final Word

    CVRx's plummeting stock price has brought its P/S back to a similar region as the rest of the industry. While the price-to-sales ratio shouldn't be the defining factor in whether you buy a stock or not, it's quite a capable barometer of revenue expectations.

    Given that CVRx's revenue growth projections are relatively subdued in comparison to the wider industry, it comes as a surprise to see it trading at its current P/S ratio. At present, we aren't confident in the P/S as the predicted future revenues aren't likely to support a more positive sentiment for long. A positive change is needed in order to justify the current price-to-sales ratio.

    And what about other risks? Every company has them, and we've spotted 1 warning sign for CVRx you should know about.

    If strong companies turning a profit tickle your fancy, then you'll want to check out this free list of interesting companies that trade on a low P/E (but have proven they can grow earnings).