Kestra Medical Technologies, a wearable cardiac device company, is set to go public on March 6, 2025, offering 10 million shares at a price range of $14 to $16 under the ticker “KMTS” on Nasdaq. Founded in 2014, Kestra specializes in wearable cardioverter defibrillators (WCDs), with its flagship ASSURE WCD launched in 2022 and prescribed by over 550 U.S. hospitals. The company reported $45.8 million in revenue and an $84.8 million net loss for the 12 months ending October 31, 2024. The IPO, led by BofA Securities and Goldman Sachs, aims to raise up to $150 million, with backing from Bain Capital and T. Rowe Price.
Medical device companies, much like biotech firms, tend to follow highly binary paths—either achieving significant commercial success or struggling with product adoption. At the time of an IPO, however, the ultimate trajectory remains unknown, leaving the market to price the probabilities of success. This inherent uncertainty often leads to heightened volatility in these offerings. Given this, it’s useful to examine historical comparables to establish potential trading ranges.
At IPO Prophet, we apply a structured framework to assess initial demand, starting with offering price information. If an IPO prices at the high end of its range or above, we take this as a positive indicator. From there, we monitor the opening auction process, where our Bull Signal is generated—identifying offerings with strong early momentum.
For Kestra, we are still awaiting key pricing and trading data, but historical comparisons to similar medical device IPOs where we previously generated Bull Signals provide a useful reference. Among this peer group, three out of five offerings posted first-day gains of at least 5%, with OM and PRCT surging over 15%. On the downside, IRTC and SIBN both declined post-IPO, but these were accompanied by early Bear Signals in trading.
The following table and charts illustrate the offering details, one-day performance, and multi-day trends for these comparable IPOs—providing insight into how Kestra’s debut may unfold.