Impinj (PI) Sees $155 Target as Channel Reset Pressures Near-Term Outlook

Sajjl Nooranne

Wed, February 25, 2026 at 11:29 AM GMT+9 2 min read

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We recently published an article titled 13 Best Internet of Things (IoT) Stocks to Buy Now.

On February 6, UBS lowered its price target on Impinj, Inc. (NASDAQ:PI) to $155 from $190 while maintaining a Neutral rating. The firm cited first-quarter guidance that fell materially below consensus expectations, driven by extended channel inventory digestion and product obsolescence dynamics, particularly affecting large customers such as UPS. UBS noted that while estimates have reset lower, more durable catalysts may depend on broader adoption within the food vertical and a clearer recovery in retail demand.

One day earlier, Impinj, Inc. (NASDAQ:PI) reported fourth-quarter and full-year 2025 results. Fiscal 2025 adjusted EBITDA reached a record $69.6 million, up from $65.9 million in 2024, with a record adjusted EBITDA margin of 19.3%, consistent with the long-term financial model. Fourth-quarter adjusted EBITDA totaled $16.4 million, reflecting a 17.7% margin. Management highlighted a 9% year-over-year increase in endpoint IC unit volumes during 2025, with the M800 platform emerging as the primary volume driver and contributing to a more favorable product mix. For the first quarter of 2026, Impinj guided revenue to $71–$74 million, compared to $74.3 million in the prior-year period, implying an approximate 2% year-over-year decline at the midpoint. The outlook reflects an anticipated high-teens sequential decline in endpoint IC revenue from $75.2 million in Q4, primarily due to supply-chain inventory normalization, retail softness, and modest annual price reductions, alongside seasonally weaker systems revenue. Adjusted EBITDA is projected at $1.2–$2.7 million, with non-GAAP net income of $2.5–$4.0 million, or $0.08–$0.13 per diluted share. Despite near-term headwinds, record profitability metrics and expanding endpoint volumes demonstrate operating leverage and underlying demand durability, suggesting that once inventory pressures abate, earnings power could reaccelerate meaningfully.

Impinj, Inc. (NASDAQ:PI) is a leading participant in the Internet of Things ecosystem, focused on RAIN RFID technology that connects physical items to cloud-based data systems. Founded in 2000 and headquartered in Seattle, Washington, the company delivers a vertically integrated platform encompassing endpoint chips, readers, and software solutions that enable real-time item identification, tracking, and authentication.

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