Sofwave (SOFW) AI Stock Analysis

• Market Cap: 874.77M
• Dividend Yield: N/A
• Average Volume (3M): 42.29K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.60
• Revenue Growth: 17.69%
• EPS Growth: 14.51%
• Country: IL
• Employees: 126
• Sector: Healthcare
• Sector Strength: 42
• Industry: Medical - Devices
• EPS (TTM): -11.50
• Shares Outstanding: 35,387,080
• 10 Day Avg. Volume: 31,402
• 30 Day Avg. Volume: 42,288
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• 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

• Rating: 65 Neutral
• Price Target: 2,487.00 ▲(2.05%Upside)

Sofwave scores a 64.9, driven primarily by strong technical indicators despite challenges in financial performance and valuation. The stock is experiencing positive momentum, but profitability and cash flow issues pose significant risks. Improvement in operational efficiency is crucial for future growth.

Sofwave Business Overview & Revenue Model

Company Description

Sofwave (SOFW) is a medical technology company specializing in non-invasive aesthetic treatment solutions. The company operates in the medical aesthetics sector, providing innovative ultrasound technology that addresses facial aging and other skin-related concerns. Sofwave's core product is its proprietary technology designed to improve skin laxity and reduce wrinkles, offering a non-surgical option for skin rejuvenation.

How the Company Makes Money

Sofwave generates revenue primarily through the sale and distribution of its medical devices and related consumables to dermatologists, plastic surgeons, and aesthetic practitioners. The company also offers training and support services to ensure the effective use of its technology, which can contribute to additional revenue streams. Furthermore, Sofwave may engage in partnerships or collaborations with clinics and medical facilities to expand its market reach and increase device adoption. The company's earnings are influenced by the demand for non-invasive aesthetic treatments, technological advancements, and its ability to maintain strong relationships with its distribution network.

Sofwave Financial Statement Overview

Summary

Sofwave demonstrates strong revenue growth and a healthy gross profit margin. However, ongoing losses and negative net profit and cash flow margins indicate significant profitability and operational challenges.

Income Statement

Sofwave has shown strong revenue growth with a TTM revenue of $63.14M, up from $59.65M in the previous year. The gross profit margin remains healthy at approximately 76.3% TTM. However, the net profit margin is negative due to ongoing losses, and the EBIT and EBITDA margins are also negative, reflecting operational challenges.

Balance Sheet

The company maintains a strong equity position with an equity ratio of approximately 57.8%. The debt-to-equity ratio is low at 0.06, indicating minimal leverage and potential for future borrowing. However, the company has been consistently operating at a net loss, which could affect future equity values.

Cash Flow

Sofwave's free cash flow remains negative at -$2.67M TTM, though improved from previous periods. The operating cash flow to net income ratio is negative, highlighting cash flow challenges. Despite these issues, the company has been able to manage capital expenditures effectively.

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

Sofwave Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2437.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:SOFW, the sentiment is Positive. The current price of 2437 is above the 20-day moving average (MA) of 2372.95, above the 50-day MA of 2188.28, and above the 200-day MA of 1819.18, indicating a bullish trend. The MACD of 100.20 indicates Positive momentum. The RSI at 73.44 is Negative, neither overbought nor oversold. The STOCH value of 73.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:SOFW.

Sofwave Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BWAY	69 Neutral	$755.52M	49.80	7.41%	―	25.65%	―
SOFW	65 Neutral	874.77M	―		―	17.69%	14.51%
Sector *	55 Neutral	7.49B	5.90	-28.19%	536.53%	26.41%	6.62%