Surgical Innovations (SUN) AI Stock Analysis

• Market Cap: £4.20M
• Dividend Yield: N/A
• Average Volume (3M): 179.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.06
• Revenue Growth: -4.98%
• EPS Growth: -114.29%
• Country: UK
• Employees: 80
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.00
• Shares Outstanding: 932,816,160
• 10 Day Avg. Volume: 43,249
• 30 Day Avg. Volume: 179,777
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.60
• Price to Sales (P/S): 0.43
• P/FCF Ratio: -12.54
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: 0.43p ▼(-3.56% Downside)

The overall stock score of 43 reflects significant financial challenges, including declining revenue and negative profitability, which are the most impactful factors. Technical analysis indicates a bearish trend, further weighing on the score. Valuation is also a concern due to the negative P/E ratio and lack of dividend yield.

Positive Factors

Business Model Strength

The company's multi-faceted revenue model, including direct sales and strategic partnerships, supports long-term growth and market expansion.

Market Position

Strategic partnerships with distributors facilitate entry into new geographic regions, strengthening market position and competitive advantage.

Leverage Management

Improved leverage management enhances financial stability, providing the company with flexibility to invest in growth opportunities.

Negative Factors

Revenue Decline

Declining revenue suggests difficulties in sustaining market demand, potentially impacting long-term financial performance.

Profitability Issues

Worsening profitability margins highlight operational inefficiencies, posing a risk to sustainable financial health and investor confidence.

Cash Flow Challenges

Negative cash flows limit the company's ability to fund operations and growth initiatives, affecting long-term viability and resilience.

Surgical Innovations Business Overview & Revenue Model

Company Description

Surgical Innovations (SUN) specializes in the development and manufacturing of advanced surgical instruments and devices, primarily focusing on minimally invasive surgical technologies. The company operates in the healthcare sector, providing innovative solutions that enhance surgical procedures across various medical disciplines, including bariatric, urology, and gynecology. SUN offers a range of products, including advanced laparoscopic instruments, access devices, and energy-based systems that improve surgical outcomes and patient recovery.

How the Company Makes Money

Surgical Innovations generates revenue through the sale of its surgical instruments and devices to hospitals, surgical centers, and medical professionals. The company employs a multi-faceted revenue model that includes direct sales, distribution agreements, and partnerships with healthcare providers. Key revenue streams are derived from product sales, recurring revenue from instrument servicing and maintenance, and royalties from licensing agreements related to proprietary technologies. Additionally, SUN benefits from strategic partnerships with medical device distributors that enhance market reach and facilitate entry into new geographic regions, thus contributing to overall earnings.

Surgical Innovations Financial Statement Overview

Summary

Surgical Innovations is facing financial challenges with declining revenue, negative profitability, and cash flow issues. While leverage is under control, operational inefficiencies and lack of profitability are concerning. The company needs to focus on improving its operational performance and cash generation capabilities to enhance its financial health.

Income Statement

The company's income statement shows declining revenue and profitability over the past year. Gross Profit Margin remained stable at around 28.8%, but Net Profit Margin deteriorated from -4.2% to -16.3%. Revenue decreased by 0.6%, indicating challenges in maintaining growth. EBIT and EBITDA margins are negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet is relatively stable but shows some weaknesses. The Debt-to-Equity Ratio improved to 0.15, indicating manageable leverage levels. However, the Equity Ratio decreased slightly to 69.8%. Return on Equity (ROE) is negative due to net losses, highlighting profitability issues.

Cash Flow

Cash flow analysis reveals challenges in cash generation. Operating Cash Flow turned negative, and Free Cash Flow decreased further into negative territory. The Operating Cash Flow to Net Income Ratio is weak due to negative earnings, and Free Cash Flow to Net Income is negative, indicating cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.91M	11.95M	12.01M	11.34M	9.13M	6.33M
Gross Profit	3.32M	3.44M	3.45M	3.92M	3.13M	1.27M
EBITDA	-771.00K	-99.00K	161.00K	628.00K	247.00K	-2.20M
Net Income	-1.44M	-1.94M	-509.00K	264.00K	-456.00K	-3.28M
Balance Sheet
Total Assets	11.50M	12.24M	14.32M	15.60M	15.72M	16.34M
Cash, Cash Equivalents and Short-Term Investments	-461.00K	195.00K	1.21M	2.20M	3.64M	5.28M
Total Debt	938.00K	1.24M	1.66M	2.16M	2.79M	3.27M
Total Liabilities	2.94M	3.70M	3.84M	4.63M	5.05M	5.25M
Stockholders Equity	8.56M	8.54M	10.48M	10.96M	10.66M	11.09M
Cash Flow
Free Cash Flow	159.00K	-409.00K	-288.00K	-592.00K	-1.09M	887.00K
Operating Cash Flow	214.00K	-74.00K	400.00K	486.00K	-433.00K	1.04M
Investing Cash Flow	-259.00K	-335.00K	-688.00K	-1.08M	-657.00K	-155.00K
Financing Cash Flow	-650.00K	-626.00K	-672.00K	-935.00K	-532.00K	3.15M

Surgical Innovations Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SUN, the sentiment is Negative. The current price of 0.45 is below the 20-day moving average (MA) of 0.48, below the 50-day MA of 0.54, and below the 200-day MA of 0.62, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at <0.01 is Positive, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:SUN.

Surgical Innovations Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SN	70 Outperform	£10.68B	28.97	9.30%	2.35%	2.51%	56.56%
AMS	69 Neutral	£478.01M	52.00	3.66%	1.25%	68.03%	-18.27%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CREO	49 Neutral	£45.37M	―	―	―	―	―
TRX	49 Neutral	£5.16M	-4.90	-5.41%	―	-20.31%	-19.35%
SUN	43 Neutral	£4.20M	-3.00	-15.46%	―	-4.98%	-114.29%

Surgical Innovations Corporate Events

Surgical Innovations Announces Trading Update Amid Market Challenges

Surgical Innovations reported softer-than-expected sales in Q4 2025 due to external factors such as reduced elective surgeries from a global flu epidemic and NHS industrial action. Manufacturing challenges from a one-off quality issue further impacted December sales but have since been resolved, with normal operations anticipated to resume early 2026. Despite these challenges, the company remains optimistic about the adoption of its sustainable Reposable™ technology, aligning with broader global trends toward environmental sustainability. Revenues are now projected at approximately £11.5m, with impacts on profitability and increased inventory provisions for slow-moving stock. The company’s net debt remains manageable, and leadership expresses confidence in future growth and innovation within the minimally invasive surgery market.

The most recent analyst rating on (GB:SUN) stock is a Hold with a £0.57 price target. To see the full list of analyst forecasts on Surgical Innovations stock, see the GB:SUN Stock Forecast page.

Surgical Innovations Launches New Long Term Incentive Plan

Surgical Innovations Group plc has introduced a new Long Term Incentive Plan (2025 LTIP) to align the interests of executive directors and employees with shareholders. The plan grants nil cost share options, contingent on performance criteria such as revenue and EBIT growth, and shareholder returns, to be achieved over three years. This initiative reflects the company’s commitment to incentivizing key personnel and enhancing shareholder value.

The most recent analyst rating on (GB:SUN) stock is a Hold with a £0.50 price target. To see the full list of analyst forecasts on Surgical Innovations stock, see the GB:SUN Stock Forecast page.