Electrocore (ECOR) AI Stock Analysis

• Market Cap: $37.69M
• Dividend Yield: N/A
• Average Volume (3M): 121.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.56
• Revenue Growth: 30.16%
• EPS Growth: 22.51%
• Country: US
• Employees: 73
• Sector: Healthcare
• Sector Strength: 52
• Industry: Medical - Devices
• EPS (TTM): -0.44
• Shares Outstanding: 7,583,445
• 10 Day Avg. Volume: 191,678
• 30 Day Avg. Volume: 121,727
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 1.47
• Enterprise Value/Gross Profit: 1.72
• Enterprise Value/Ebitda: -3.32
• 1Y Price Target: $20.13
• Price Target Upside: 286.37% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 51 Neutral
• Price Target: $5.00 ▼(-4.03% Downside)

Electrocore's strong revenue growth is overshadowed by persistent profitability challenges and a weak technical outlook. The company's strategic focus on growth may delay profitability, and the stock's valuation is unattractive due to negative earnings. These factors contribute to a below-average overall stock score.

Positive Factors

Market Opportunities

A premium is justified due to ECOR's substantial growth opportunities across its prescription and over-the-counter business segments, as well as on the potential for the company to expand indications for its flagship gammaCore device.

Product Launch

The company reported its first sales from Quell, tracking ahead of initial expectations, indicating a positive signal for the product.

Revenue Growth

ElectroCore reported a 20% YoY increase in total revenue for 2Q25, signaling a return to growth in the VA segment.

Negative Factors

Profitability

The stock is down mainly due to the delayed company-wide profitability.

Revenue Guidance

Lower-than-expected 2025 revenue guidance introduced, with the company expecting $30M, representing 19.1% y/y growth, below prior consensus and estimates.

Sales Variability

Analyst is lowering estimates and the 12-month price target to $12 from $25 due to quarterly TAC-STIM sales variability and updated outlook on Quell's commercial pathway.

Electrocore Business Overview & Revenue Model

Company Description

Electrocore, Inc. (ECOR) is a medical technology company focused on the development and commercialization of non-invasive electroceutical therapies for the treatment of neurological and other disorders. The company specializes in its proprietary transcutaneous vagus nerve stimulation (tVNS) technology, which aims to provide patients with effective treatment options for conditions such as cluster headaches, migraines, and other chronic pain disorders. Electrocore operates primarily in the healthcare sector, leveraging its innovative technology to enhance patient care and outcomes.

How the Company Makes Money

Electrocore generates revenue primarily through the sales of its gammaCore devices, which are FDA-cleared for the acute and preventive treatment of cluster headaches and migraines. The company operates a direct sales model, selling its products to healthcare providers and patients, and also explores partnerships with health insurance providers to facilitate patient access and reimbursement for its therapies. Additionally, Electrocore may benefit from strategic collaborations and research agreements that enhance its product offerings and market reach, contributing to its overall earnings.

Electrocore Financial Statement Overview

Summary

Electrocore has shown strong revenue growth, but significant challenges remain in achieving profitability and maintaining a healthy balance sheet. The reliance on external financing and high operating losses highlight the need for strategic improvements in cost management and operational efficiencies.

Income Statement

Electrocore has shown a consistent growth in revenue over the years, with a notable increase from $2.39 million in 2019 to $25.18 million in 2024. However, the company is still facing significant profitability challenges, as evidenced by negative net income and EBIT margins across the years. Despite the revenue growth, the company has not yet achieved positive net profit margins or EBIT margins, indicating that cost control and operational efficiency are areas for improvement.

Balance Sheet

The company's balance sheet reflects a relatively high level of liabilities compared to its equity, with a debt-to-equity ratio of 0.55 in 2024. Stockholders' equity has remained relatively stable from 2023 to 2024, but the equity ratio has decreased due to a rise in total liabilities. The company maintains a reasonable cash position, which provides some liquidity cushion. However, the consistent negative net income impacts the overall return on equity.

Cash Flow

Electrocore's cash flow situation shows significant negative operating cash flows, indicating that the company has not yet reached a sustainable cash-generating position from its core operations. Free cash flow has improved slightly but remains negative, suggesting that the company is still reliant on external financing to support its operations and growth. The operating cash flow to net income ratio is poor due to persistent negative earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.70M	25.18M	16.03M	8.59M	5.45M	3.50M
Gross Profit	23.69M	21.40M	13.23M	6.98M	4.07M	1.76M
EBITDA	-12.28M	-10.90M	-17.76M	-22.33M	-19.66M	-24.18M
Net Income	-13.25M	-11.89M	-18.83M	-22.16M	-17.22M	-23.51M
Balance Sheet
Total Assets	14.56M	20.47M	16.10M	24.76M	42.83M	31.52M
Cash, Cash Equivalents and Short-Term Investments	7.39M	11.97M	10.33M	17.71M	34.69M	22.63M
Total Debt	4.23M	4.14M	626.00K	699.00K	760.87K	2.99M
Total Liabilities	13.45M	12.93M	8.66M	7.67M	6.18M	7.87M
Stockholders Equity	1.11M	7.54M	7.44M	17.09M	36.65M	23.64M
Cash Flow
Free Cash Flow	-7.60M	-6.95M	-14.87M	-16.64M	-13.63M	-20.10M
Operating Cash Flow	-7.60M	-6.95M	-14.67M	-16.64M	-13.63M	-20.10M
Investing Cash Flow	94.00K	-8.52M	-206.00K	0.00	18.22M	-7.96M
Financing Cash Flow	502.00K	8.44M	7.49M	0.00	25.68M	18.95M

Electrocore Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ECOR, the sentiment is Negative. The current price of 5.21 is below the 20-day moving average (MA) of 6.03, below the 50-day MA of 6.10, and below the 200-day MA of 9.95, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 42.30 is Neutral, neither overbought nor oversold. The STOCH value of 52.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ECOR.

Electrocore Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVNO	58 Neutral	$96.14M	―	-64.55%	―	―	15.60%
Sector *	51 Neutral	$7.77B	-0.12	-39.07%	2.21%	22.68%	-1.42%
ECOR	51 Neutral	$37.69M	―	-210.58%	―	30.16%	22.51%
TELA	48 Neutral	$68.93M	―	-676.41%	―	16.34%	34.86%
APYX	44 Neutral	$74.50M	―	-156.90%	―	-5.14%	44.86%

Electrocore Corporate Events

Electrocore Completes Merger with NeuroMetrix

On May 2, 2025, electroCore, Inc. announced the completion of its merger with NeuroMetrix, Inc., which positions electroCore as a diversified leader in non-invasive health and wellness solutions. The acquisition of NeuroMetrix’s Quell Fibromyalgia Solution expands electroCore’s portfolio of non-invasive bioelectronic therapies, enhances its commercial reach, particularly within the VA Hospital System, and is expected to significantly increase its addressable market for chronic pain and wellness conditions. As a result of the merger, NeuroMetrix became an indirect wholly-owned subsidiary of electroCore, and its shares will be de-listed from the Nasdaq Capital Market.