Butterfly Network, Inc.

Butterfly Network Inc is a digital health business transforming care with handheld, whole-body ultrasound. Powered by its proprietary Ultrasound-on-Chip technology, its solution enables the acquisition of imaging information from an affordable, powerful device that fits in a healthcare professional's pocket with a combination of cloud-connected software and hardware technology that is easily accessed through a mobile application. The company enables the practical application of ultrasound information in the clinical workflow. Butterfly iQ+ is an ultrasound device that can perform whole-body imaging in a single handheld probe using semiconductor technology. With its small, handheld size, low cost, and simple user interface.

Consensus

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Average target

$2.00

Implied upside

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Analysts

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Why Is BFLY Down Today?

Butterfly Network shares fell 7.09% today despite announcing a partnership agreement with Merge Labs to provide access to its Poseidon ultrasound-on-chip technology. The market's negative reaction suggests investors may be disappointed by the terms of the deal or remain focused on broader headwinds facing the company.

Bottom line: While Butterfly Network's Merge Labs partnership validates its technology platform, the market's negative reaction suggests investors remain unconvinced about near-term commercial traction. Investors should monitor the financial impact of this and future partnerships, as well as management's ability to convert technology agreements into meaningful revenue growth.