Kestra Medical Technologies Ltd. (KMTS) AI Stock Analysis

• Market Cap: $1.38B
• Dividend Yield: N/A
• Average Volume (3M): 310.69K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.17
• Revenue Growth: 83.78%
• EPS Growth: -25.37%
• Country: US
• Employees: 300
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): -0.50
• Shares Outstanding: 57,449,055
• 10 Day Avg. Volume: 502,173
• 30 Day Avg. Volume: 310,694
• PEG Ratio: -0.69
• Price to Book (P/B): -5.17
• Price to Sales (P/S): 38.89
• P/FCF Ratio: -12.76
• Enterprise Value/Market Cap: 0.50
• Enterprise Value/Revenue: 13.35
• Enterprise Value/Gross Profit: 29.96
• Enterprise Value/Ebitda: -7.31
• 1Y Price Target: $30.00
• Price Target Upside: 11.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): -2.28
• Revenue Forecast (FY): $88.10M

• Rating: 52 Neutral
• Price Target: $24.50 ▼(-8.75% Downside)

Kestra Medical Technologies Ltd. demonstrates strong revenue growth and strategic achievements, but significant profitability challenges and technical indicators suggest caution. The recent corporate events provide a positive outlook, but the stock's valuation remains a concern.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market penetration and product adoption, supporting long-term business expansion.

Gross Margin Expansion

Consistent gross margin improvement reflects better cost management and operational efficiency, enhancing profitability prospects.

ASSURE Study Success

Positive study results enhance product credibility and marketability, potentially boosting sales and competitive positioning.

Negative Factors

Ongoing Net Loss

Continued net losses highlight challenges in achieving profitability, which could impact long-term financial sustainability.

High Operating Expenses

Rising operating expenses due to growth investments may pressure margins and delay profitability, affecting cash flow.

Negative Profit Margins

Persistent negative margins indicate operational inefficiencies, posing risks to long-term financial health and investor confidence.

Kestra Medical Technologies Ltd. Business Overview & Revenue Model

Company Description

Kestra Medical Technologies Ltd. (KMTS) is a pioneering company in the medical technology sector, specializing in the development and commercialization of innovative healthcare solutions. The company focuses on creating advanced medical devices and diagnostic tools aimed at enhancing patient care and improving clinical outcomes. KMTS's core products include wearable health monitoring devices and telehealth platforms that leverage cutting-edge technology to provide real-time data and analytics for healthcare professionals.

How the Company Makes Money

KMTS generates revenue primarily through the sale of its medical devices and diagnostic tools to healthcare providers, hospitals, and clinics. The company has multiple key revenue streams, including direct product sales, subscription-based services for its telehealth platform, and partnerships with pharmaceutical companies for integrated health solutions. Additionally, KMTS may engage in research collaborations and licensing agreements, further contributing to its earnings by allowing other companies to utilize its technology and innovations. Strategic partnerships with healthcare organizations enhance its market reach and foster growth through joint ventures, ultimately leading to increased sales and market penetration.

Kestra Medical Technologies Ltd. Financial Statement Overview

Summary

Kestra Medical Technologies Ltd. is experiencing strong revenue growth, but profitability remains a significant challenge. The balance sheet is relatively stable with moderate leverage, but the company is not yet profitable. Cash flow improvements are promising, but operational efficiency needs enhancement to achieve sustainable profitability.

Income Statement

Kestra Medical Technologies Ltd. has shown significant revenue growth of 137.89% in the latest year, which is a positive indicator of market expansion. However, the company is struggling with profitability, as evidenced by negative net profit margins (-190.28%) and EBIT margins (-177.12%). The gross profit margin has improved to 40.47%, indicating better cost management, but the overall negative margins highlight ongoing operational challenges.

Balance Sheet

The balance sheet shows a manageable debt-to-equity ratio of 0.22, suggesting moderate leverage. However, the company has a negative return on equity (-55.41%), indicating that it is not generating profit from shareholders' equity. The equity ratio stands at 69.45%, reflecting a strong equity base relative to total assets, which is a positive aspect.

Cash Flow

Kestra Medical Technologies Ltd. has experienced a substantial increase in free cash flow growth (143.29%), which is a positive sign. However, the operating cash flow to net income ratio is negative (-2.04), indicating cash flow challenges relative to net income. The free cash flow to net income ratio is positive (1.30), suggesting that the company is generating free cash flow despite net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2020	Dec 2019
Income Statement
Total Revenue	51.69M	59.81M	27.81M	7.63M	0.00	0.00
Gross Profit	23.03M	24.21M	362.00K	-10.65M	0.00	0.00
EBITDA	-94.36M	-97.98M	-76.31M	-73.74M	-32.33M	-28.84M
Net Income	-99.39M	-113.81M	-94.12M	-84.24M	-34.10M	-29.47M
Balance Sheet
Total Assets	266.30M	295.74M	45.95M	38.66M	30.52M	7.87M
Cash, Cash Equivalents and Short-Term Investments	201.21M	237.59M	8.25M	14.81M	24.34M	5.76M
Total Debt	3.10M	44.31M	45.17M	39.13M	22.85M	452.00K
Total Liabilities	82.14M	90.34M	255.33M	156.23M	28.76M	4.02M
Stockholders Equity	184.16M	205.41M	-209.38M	-117.58M	1.77M	3.86M
Cash Flow
Free Cash Flow	-88.63M	-101.20M	-84.75M	-85.10M	-30.23M	-30.52M
Operating Cash Flow	-68.36M	-77.61M	-72.23M	-69.64M	-29.89M	-30.29M
Investing Cash Flow	-20.06M	-23.31M	-12.23M	-15.46M	-334.00K	-232.00K
Financing Cash Flow	212.71M	330.26M	77.72M	96.11M	48.81M	30.24M

Kestra Medical Technologies Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANGO	61 Neutral	$492.34M	―	-17.10%	―	2.73%	87.03%
BLFS	56 Neutral	$1.23B	―	-5.20%	―	-18.82%	92.56%
KMTS	52 Neutral	$1.38B	―	―	―	83.78%	-25.37%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
OSUR	48 Neutral	$178.62M	-3.07	-15.30%	―	-43.95%	-620.21%
STAA	47 Neutral	$1.26B	―	-24.65%	―	-32.42%	-540.37%
PLSE	44 Neutral	$899.28M	―	-86.99%	―	―	-40.63%

Kestra Medical Technologies Ltd. Corporate Events

Kestra Medical Raises $148.4 Million in Public Offering

On December 4, 2025, Kestra Medical Technologies, Ltd. successfully closed an underwritten public offering of 6,900,000 common shares, raising approximately $148.4 million. The proceeds are intended to support sales, marketing, commercialization, research and development, clinical studies, and general corporate purposes.

Kestra Medical Unveils Positive ASSURE Study Results

On November 10, 2025, Kestra Medical Technologies announced the results of the ASSURE WCD Clinical Evaluation Post-Approval Study (ACE-PAS) at the American Heart Association Scientific Sessions in New Orleans. The study, which is the largest real-world examination of wearable defibrillators to date, confirmed the strong safety and effectiveness of Kestra’s ASSURE device in clinical practice. Key findings included a 100% success rate in converting ventricular tachycardia and fibrillation events, a low inappropriate-shock rate, and high patient compliance. These results underscore the critical role of wearable defibrillators in protecting patients at risk of sudden cardiac death, potentially informing future clinical practices.