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Bioventus (BVS)
NASDAQ:BVS
US Market
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Bioventus (BVS) AI Stock Analysis

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BVS

Bioventus

(NASDAQ:BVS)

Rating:47Neutral
Price Target:
$6.00
▼(-6.25%Downside)
Bioventus's stock score is primarily impacted by its financial struggles, with ongoing profitability issues and high leverage. The technical analysis further indicates bearish sentiment. While the earnings call provided a positive outlook on strategic initiatives, the underlying financial and valuation metrics remain concerning.
Positive Factors
Business Execution
The company is shifting from a recovery story to an execution story, succeeding in improving commercial execution across major business units.
Cash Flow
Bioventus is expected to deliver significant cash flow acceleration by lowering inventory, interest expense, and one-time cash costs.
Negative Factors
Earnings Pressure
Adjusted EBITDA should be weaker due to revenue headwinds and more normalized expense levels expected compared to reduced spending previously.
Revenue Challenges
Q1/H1 organic revenues should be more challenged given two fewer selling days, a pull-forward of HA orders, and continued BGS distributor choppiness.

Bioventus (BVS) vs. SPDR S&P 500 ETF (SPY)

Bioventus Business Overview & Revenue Model

Company DescriptionBioventus Inc. (BVS) is a medical device company that specializes in developing and commercializing clinically effective and cost-efficient solutions for bone healing, bone graft, joint therapies, and biologics. The company primarily operates in the healthcare sector, focusing on orthopedic solutions that enhance patient outcomes and reduce healthcare costs. Bioventus offers a diverse portfolio of products, including minimally invasive therapies for osteoarthritis, bone graft substitutes, and devices that stimulate bone growth.
How the Company Makes MoneyBioventus generates revenue through the sale of its medical devices and biologic products to healthcare providers, including hospitals, clinics, and orthopedic specialists. The company's key revenue streams include product sales in the areas of bone healing, joint pain treatment, and bone graft solutions. Bioventus collaborates with healthcare professionals to ensure the effective integration of their products into treatment regimes, thereby driving sales. Additionally, Bioventus may engage in strategic partnerships and licensing agreements to expand its product offerings and market reach, which can also contribute to its earnings.

Bioventus Earnings Call Summary

Earnings Call Date:May 06, 2025
(Q1-2025)
|
% Change Since: -8.96%|
Next Earnings Date:Aug 12, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted solid growth in certain segments such as Surgical Solutions and the expansion into the PRP market, along with increased EPS and reaffirmation of financial guidance. However, these positives were tempered by a decline in overall revenue, foreign currency losses, and challenges in the international segment.
Q1-2025 Updates
Positive Updates
Strong Revenue Growth in Surgical Solutions
Surgical Solutions revenue grew by 7%, driven by strong double-digit growth in Ultrasonics with capital sales in the U.S. up by more than 50% compared to the prior year.
Successful Expansion in Pain Treatment Portfolio
Bioventus signed an agreement with APEX Biologix to be the exclusive distributor of their XCELL PRP system in the U.S. for orthopedics and sports medicine, marking their entry into the large and fast-growing PRP market.
Increased Earnings Per Share
Adjusted earnings of $0.08 per share increased by 33% compared to the prior year.
Reaffirmation of 2025 Financial Guidance
Bioventus reaffirmed its full-year financial guidance, including organic revenue growth of 6% to 8%, adjusted EBITDA of $112 million to $116 million, and EPS of $0.64 to $0.68.
Negative Updates
Decline in Overall Revenue
First quarter revenue of $124 million represented a decline of 4% compared to the prior year, primarily due to the divestiture of the advanced rehabilitation business.
Impact of Foreign Currency Loss
Adjusted EBITDA was $3 million lower than the prior year, partly due to an unexpected $1.1 million foreign currency loss related to payables designated in Swedish krona.
Challenges in International Segment
Revenue from the International segment declined 12% compared to the prior year, with organic growth being only 1%.
Company Guidance
During the Bioventus First Quarter 2025 Conference Call, the company provided financial guidance for the year, reiterating their expectations for full-year revenue growth between 6% to 8%, adjusted EBITDA ranging from $112 million to $116 million, and adjusted earnings per share (EPS) between $0.64 and $0.68. Despite a 4% revenue decline in Q1 due to divestiture effects, organic growth was 5%. The company reported first-quarter revenue of $124 million and adjusted earnings of $0.08 per share, reflecting a 33% increase. Bioventus maintains a strong outlook for the second half of 2025, anticipating an acceleration in growth driven by strategic initiatives across their business segments, particularly in Surgical Solutions and pain treatments. The company also highlighted plans to enhance profitability with an expected adjusted EBITDA margin expansion of at least 100 basis points for the year and aims to nearly double cash from operations compared to 2024, ultimately reducing net leverage below 2.5x by year-end.

Bioventus Financial Statement Overview

Summary
Bioventus is facing financial difficulties with negative EBIT and net income margins. High leverage and declining revenues highlight financial risks, despite a stable gross profit margin and positive cash flow.
Income Statement
45
Neutral
Bioventus has faced challenges with profitability, as evidenced by negative EBIT and net income margins in TTM (Trailing-Twelve-Months). Despite a stable gross profit margin around 67%, the company struggles with operating efficiency. The revenue growth rate shows a declining trend, indicating potential sales stagnation.
Balance Sheet
50
Neutral
The debt-to-equity ratio is significantly high at 2.33 in TTM, suggesting high leverage and potential financial risk. However, the equity ratio stands at 21.4%, indicating a moderate proportion of equity financing. The negative return on equity reflects ongoing profitability issues.
Cash Flow
40
Negative
The cash flow statement reveals a positive free cash flow, yet it's decreasing year-over-year, indicating diminishing cash generation capacity. The operating cash flow to net income ratio is positive, showing some efficiency in converting earnings into cash, despite overall negative net income.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue573.28M512.35M512.12M430.90M321.16M
Gross Profit388.23M328.19M331.08M302.71M233.52M
EBITDA-49.55M-23.07M-121.61M45.48M52.06M
Net Income-33.54M-156.23M-158.70M19.38M16.41M
Balance Sheet
Total Assets727.96M810.91M1.37B1.23B494.47M
Cash, Cash Equivalents and Short-Term Investments41.58M36.96M30.19M43.93M86.84M
Total Debt335.63M394.85M418.07M357.68M188.38M
Total Liabilities542.35M589.79M960.43M692.07M350.31M
Stockholders Equity147.94M173.59M325.24M458.92M144.16M
Cash Flow
Free Cash Flow37.79M7.98M-25.06M15.62M51.13M
Operating Cash Flow38.80M15.34M-13.54M22.99M71.80M
Investing Cash Flow22.96M15.81M-116.44M-283.76M-20.50M
Financing Cash Flow-54.58M-26.65M62.08M273.37M-29.57M

Bioventus Technical Analysis

Technical Analysis Sentiment
Negative
Last Price6.40
Price Trends
50DMA
6.66
Negative
100DMA
7.57
Negative
200DMA
9.38
Negative
Market Momentum
MACD
-0.10
Positive
RSI
42.54
Neutral
STOCH
17.79
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BVS, the sentiment is Negative. The current price of 6.4 is below the 20-day moving average (MA) of 6.74, below the 50-day MA of 6.66, and below the 200-day MA of 9.38, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 42.54 is Neutral, neither overbought nor oversold. The STOCH value of 17.79 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BVS.

Bioventus Risk Analysis

Bioventus disclosed 76 risk factors in its most recent earnings report. Bioventus reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Bioventus Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
$563.74M-11.33%31.28%-81.86%
63
Neutral
$601.64M-7.22%18.81%67.41%
61
Neutral
$739.79M-15.96%22.60%41.26%
60
Neutral
HK$17.07B6.10-7.44%2.88%11.55%-28.15%
52
Neutral
$549.38M45.80-36.78%1.34%-530.36%
51
Neutral
$450.58M-27.82%5.85%-8.92%
47
Neutral
$525.72M-19.79%8.60%-42.76%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BVS
Bioventus
6.40
-1.07
-14.32%
OFIX
Orthofix
11.27
-5.24
-31.74%
AXGN
AxoGen
13.37
4.13
44.70%
AVNS
Avanos Medical
12.01
-11.13
-48.10%
KIDS
OrthoPediatrics
22.75
-9.85
-30.21%
SIBN
SI-Bone
17.25
1.09
6.75%

Bioventus Corporate Events

Executive/Board ChangesShareholder Meetings
Bioventus Holds Annual Meeting, Elects Directors
Neutral
Jun 4, 2025

On June 3, 2025, Bioventus, Inc. held its Annual Meeting of Stockholders, where approximately 89.76% of the outstanding shares were represented. During the meeting, stockholders elected Class I directors to the Board and ratified Grant Thornton LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (BVS) stock is a Hold with a $13.00 price target. To see the full list of analyst forecasts on Bioventus stock, see the BVS Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 19, 2025