Biomerica (BMRA) AI Stock Analysis

• Market Cap: $7.05M
• Dividend Yield: N/A
• Average Volume (3M): 190.48K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.13
• Revenue Growth: -11.31%
• EPS Growth: 47.64%
• Country: US
• Employees: 64
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): <0.01
• Shares Outstanding: 2,947,966
• 10 Day Avg. Volume: 453,881
• 30 Day Avg. Volume: 190,481
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.71
• Price to Sales (P/S): 1.32
• P/FCF Ratio: -1.81
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 1.14
• Enterprise Value/Gross Profit: 8.77
• Enterprise Value/Ebitda: -1.61
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 38 Underperform
• Price Target: $2.00 ▼(-13.42% Downside)

Biomerica's overall stock score is heavily impacted by its poor financial performance and valuation. The technical analysis further supports a bearish outlook, with the stock showing signs of being oversold. The absence of earnings call data and corporate events leaves these areas unaddressed, reinforcing the need for strategic improvements.

Positive Factors

Low Debt Levels

Biomerica's low debt levels provide financial flexibility and reduce risk, allowing the company to potentially invest in growth opportunities without the burden of high interest obligations.

Product Diversification

The company's diverse product portfolio across multiple health areas can mitigate risks associated with reliance on a single product line, supporting long-term revenue stability.

Partnerships and Licensing

Strategic partnerships and licensing agreements enhance Biomerica's market reach and credibility, potentially driving revenue growth and innovation through collaborative efforts.

Negative Factors

Declining Revenue

Continuous revenue decline indicates challenges in market demand or competitive positioning, which can impact long-term financial health and necessitate strategic adjustments.

Negative Profitability

Sustained negative profitability reflects operational inefficiencies and cost structure issues, posing a threat to financial sustainability and requiring urgent management intervention.

Cash Flow Challenges

Negative cash flows highlight liquidity challenges, limiting Biomerica's ability to fund operations and growth initiatives, necessitating improved cash management strategies.

Biomerica Business Overview & Revenue Model

Company Description

Biomerica, Inc., a biomedical technology company, develops, patents, manufactures, and markets diagnostic and therapeutic products for the detection and/or treatment of medical conditions and diseases worldwide. The company's diagnostic test kits are used to analyze blood, urine, or fecal specimens from patients in the diagnosis of various diseases and other medical complications; or to measure the level of specific bacteria, hormones, antibodies, antigens, or other substances, which exist in the patient's body and stools or blood in extremely small concentrations. It primarily sells its products for gastrointestinal diseases, food intolerances, diabetes, and various esoteric tests at the physicians' offices and over-the-counter drugstores, and hospital/clinical laboratories. The company is also developing InFoods, an irritable bowel syndrome therapy technology and diagnostic-guided therapy; Helicobacter pylori products, as well as develops, tests, validates, and sells diagnostic products for COVID-19 infection. Biomerica, Inc. was incorporated in 1971 and is headquartered in Irvine, California.

How the Company Makes Money

Biomerica generates revenue primarily through the sale of its diagnostic products to healthcare providers, laboratories, and directly to consumers. The company operates on a business model that includes the distribution of its proprietary tests, which are sold under various brands. Key revenue streams include direct product sales, partnerships with healthcare organizations and distributors, and licensing agreements for its testing technologies. Additionally, Biomerica may benefit from collaborations with research institutions and participation in clinical studies that further validate its products, enhancing market reach and credibility.

Biomerica Financial Statement Overview

Summary

Biomerica is facing significant financial challenges, with declining revenues, negative profitability, and cash flow issues. The low debt-to-equity ratio is a positive aspect, but the overall financial health is concerning, necessitating strategic initiatives to improve revenue, optimize costs, and enhance cash flow.

Income Statement

Biomerica's income statement reveals significant challenges with profitability. The company has experienced declining revenue growth, with a notable decrease of 6.46% in the most recent year. Gross profit margins are low at 9.38%, and net profit margins are deeply negative at -93.64%, indicating substantial losses. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies. The company needs to address its cost structure and revenue generation to improve financial health.

Balance Sheet

The balance sheet shows a relatively low debt-to-equity ratio of 0.11, suggesting conservative leverage. However, the company's return on equity is negative, indicating that it is not generating returns for shareholders. The equity ratio is not provided, but the overall financial position suggests a need for improved asset utilization and profitability to enhance shareholder value.

Cash Flow

Cash flow analysis indicates negative operating and free cash flows, with a slight improvement in free cash flow growth. The operating cash flow to net income ratio is negative, highlighting cash flow challenges. The free cash flow to net income ratio is slightly above 1, suggesting that cash flow aligns with reported losses. The company must focus on improving cash generation to support operations and growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.88M	5.31M	5.42M	5.34M	18.87M	7.20M
Gross Profit	636.00K	498.00K	611.00K	446.00K	2.98M	366.29K
EBITDA	-3.46M	-4.74M	-5.99M	-6.87M	-3.94M	-7.06M
Net Income	-3.65M	-4.97M	-5.98M	-7.14M	-4.53M	-7.45M
Balance Sheet
Total Assets	6.85M	5.95M	9.25M	14.45M	11.37M	11.82M
Cash, Cash Equivalents and Short-Term Investments	3.05M	2.40M	4.17M	9.72M	5.92M	4.20M
Total Debt	373.00K	458.00K	785.00K	1.08M	1.38M	1.62M
Total Liabilities	1.70M	1.84M	2.66M	2.73M	3.05M	2.59M
Stockholders Equity	5.16M	4.11M	6.59M	11.72M	8.32M	9.23M
Cash Flow
Free Cash Flow	-2.77M	-3.88M	-5.48M	-5.55M	-650.87K	-5.55M
Operating Cash Flow	-2.77M	-3.84M	-5.36M	-5.47M	-480.53K	-5.25M
Investing Cash Flow	-70.00K	-37.00K	-115.00K	-78.00K	-170.34K	-295.58K
Financing Cash Flow	3.03M	2.11M	-81.00K	9.39M	2.39M	1.11M

Biomerica Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.31
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BMRA, the sentiment is Negative. The current price of 2.31 is below the 20-day moving average (MA) of 2.39, below the 50-day MA of 2.57, and below the 200-day MA of 3.29, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 41.55 is Neutral, neither overbought nor oversold. The STOCH value of 13.66 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BMRA.

Biomerica Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
PAVM	48 Neutral	$8.99M	-0.49	20.03%	―	-99.28%	-46.16%
SSKN	43 Neutral	$7.65M	-0.47	-207.19%	―	-5.19%	-0.81%
HSCS	40 Underperform	$7.02M	-0.32	-220.42%	―	-41.03%	35.71%
AMIX	40 Underperform	$4.17M	-0.12	-352.39%	―	―	63.87%
BMRA	38 Underperform	$7.05M	-1.53	-69.61%	―	-11.31%	47.64%

Biomerica Corporate Events

Biomerica Appoints Gary Huff to Board of Directors

On October 7, 2025, Biomerica, Inc. announced the appointment of Gary Huff to its Board of Directors, increasing the board size from five to six members. Huff, a seasoned leader in the healthcare industry with over 35 years of experience, will also serve on several key committees. His extensive background in laboratory management and strategic advisory services is expected to contribute significantly to Biomerica’s growth and market expansion. Additionally, Dr. Jane Emerson, a long-serving board member, will not stand for re-election at the 2025 Annual Meeting, leading to a reduction in the board size back to five members.