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Hinge Health Inc. (HNGE) Up 17.2% Since Last Earnings Report: Can It Continue?

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A month has gone by since the last earnings report for Hinge Health Inc. (HNGE - Free Report) . Shares have added about 17.2% in that time frame, outperforming the S&P 500.

But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Hinge Health Inc. due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for Hinge Health Inc. before we dive into how investors and analysts have reacted as of late.

HNGE Q4 Earnings & Sales Beat Estimates

Hinge Health reported earnings per share of 49 cents in fourth-quarter 2025, beating the Zacks Consensus Estimate of 42 cents by 16.7%.

For full-year 2025, GAAP net loss per share was $7.77, significantly wider compared to 86 cents in the year-ago period, primarily reflecting IPO-related and stock-based compensation impacts. Management highlighted that the company expects to be GAAP profitable in 2026, building on fourth-quarter’s profitability.

Revenue Discussion

Fourth-quarter revenue rose 46% year over year to $170.7 million, beating the Zacks Consensus Estimate by 8.5%. The year-over-year growth of 45.6% was driven by strong yield improvement and expanding contracted lives.

For full-year 2025, revenue climbed 51% to $587.9 million compared with $390.4 million in 2024. LTM calculated billings reached $671 million, up 44% year over year.

Hinge Health ended 2025 with approximately 24.6 million contracted lives across more than 2,800 clients, up 24% year over year. LTM average eligible lives were 20.1 million, driving 783,000 members, a 47% increase from 2024. Client retention stood at 97%, while net dollar retention exceeded 110%.

Margin Discussion

Gross margin expanded to 85% in fourth quarter from 82% in the prior-year quarter. Operating margin improved to 28% from 18% a year ago. For full-year 2025, operating margin was 20%, up from negative 7% in 2024.

Financial Position

Free cash flow was $62 million in fourth quarter, representing a 36% margin. Full-year free cash flow reached $180 million versus $45 million in 2024. Cash and equivalents stood at $479 million at year-end.

2026 Outlook

For first-quarter 2026, Hinge Health expects revenue of $171-$173 million and adjusted operating income of $30-$32 million. For full-year 2026, revenue is projected at $732-$742 million, implying 25% growth at midpoint, with operating income of $151-$156 million.

How Have Estimates Been Moving Since Then?

It turns out, estimates review have trended upward during the past month.

The consensus estimate has shifted 118.18% due to these changes.

VGM Scores

Currently, Hinge Health Inc. has a average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of F on the value side, putting it in the lowest quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Hinge Health Inc. has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.

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