Education
About Us
Working with TipRanks
Follow Us
Pulmonx (LUNG)
NASDAQ:LUNG
Top Page
Pulmonx
(NASDAQ:LUNG)
51Neutral
Positive Factors
Financial Stability
Over $100M of cash provides a robust runway, with a $30M burn in 2024, indicating strong financial stability.
International Revenue Performance
The company's revenue from outside the US exceeded expectations, showing strong traction and momentum.
Valuation and Market Position
The company is trading at a compelling valuation, reiterating a BUY rating and $16 price target.
Negative Factors
Growth Challenges
The main bear case includes greater than anticipated tariff impact and lack of growth reacceleration, with the exact formula to penetrate the end market still being explored.
Tariff Impact
Tariffs could impact the business through component sourcing cost inflation and other countries' reciprocal tariffs, potentially harming gross margins.
Pulmonx (LUNG) vs. S&P 500 (SPY)
Market Cap
$194.40M
Dividend YieldN/A
Average Volume (3M)338.58K
Price to Earnings (P/E)―
Beta (1Y)1.03
Revenue Growth22.01%
EPS Growth10.02%
CountryUS
Employees291
SectorHealthcare
Sector Strength74
IndustryMedical - Devices
Share Statistics
EPS (TTM)-1.44
Shares Outstanding40,247,480
10 Day Avg. Volume302,803
30 Day Avg. Volume338,585
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap1.15
Enterprise Value/RevenueN/A
Enterprise Value/Gross Profit3.60
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$12.83Price Target Upside165.63% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering7
Pulmonx Business Overview & Revenue Model
Company DescriptionPulmonx Corporation, a medical technology company, provides minimally invasive devices for the treatment of chronic obstructive pulmonary diseases. It offers Zephyr Endobronchial Valve, a solution for the treatment of bronchoscopic in adult patients with hyperinflation associated with severe emphysema; and Chartis Pulmonary Assessment System, a balloon catheter and console system with flow and pressure sensors that are used to assess the presence of collateral ventilation. The company also provides StratX Lung Analysis Platform, a cloud-based quantitative computed tomography analysis service that offers information on emphysema destruction, fissure completeness, and lobar volume to help identify target lobes for the treatment with Zephyr Valves. It serves emphysema patients in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and internationally. The company was formerly known as Pulmonx and changed its name to Pulmonx Corporation in December 2013. Pulmonx Corporation was incorporated in 1995 and is headquartered in Redwood City, California.
How the Company Makes MoneyPulmonx generates revenue primarily through the sale of its Zephyr Endobronchial Valve system to hospitals and healthcare providers. The company's revenue model is based on direct sales and distribution agreements with partners in various regions, including North America, Europe, and Asia Pacific. Additionally, Pulmonx may engage in strategic partnerships and collaborations with healthcare institutions to expand the adoption of its products and enhance market penetration. The company's financial performance is driven by the growing demand for minimally invasive treatments for lung diseases, as well as its efforts in expanding its sales network and increasing awareness among healthcare professionals.
Pulmonx Financial Statement Overview
Summary
Pulmonx is experiencing significant revenue growth, but continues to struggle with profitability. The balance sheet shows moderate strength with manageable leverage, though negative return on equity highlights profitability issues. Cash flow management is a challenge, requiring improvements to enhance liquidity.Income Statement
Pulmonx has demonstrated a consistent revenue growth with a 22% increase from 2023 to 2024. However, the company has been facing persistent losses, with a negative net profit margin of -67% in 2024. Gross profit margin stands strong at 74%, indicating efficient production compared to revenue. Nonetheless, negative EBIT and EBITDA margins highlight ongoing operational challenges.55
Neutral
Balance Sheet
Pulmonx maintains a stable balance sheet with an equity ratio of 53% in 2024, showing a reasonable proportion of assets financed by equity. The debt-to-equity ratio is 0.66, indicating manageable leverage levels. However, the negative return on equity (-66%) reflects the company's struggles to generate profit from its equity base.60
Neutral
Cash Flow
The company has shown a reduction in free cash flow deficit by about 14% year-over-year, indicating slight improvement in cash generation. However, the operating cash flow to net income ratio is negative, underscoring ongoing cash flow challenges. The free cash flow to net income ratio is also negative, indicating insufficient cash flow to cover net losses.50
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 83.79M | 68.67M | 53.66M | 48.42M | 32.73M | Gross Profit |
| 62.00M | 50.75M | 39.87M | 35.63M | 21.20M | EBIT |
| -57.70M | -61.94M | -58.64M | -47.30M | -32.33M | EBITDA |
| -57.70M | -55.09M | -55.99M | -46.62M | -28.44M | Net Income Common Stockholders |
| -56.39M | -60.84M | -58.92M | -48.66M | -32.23M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 101.48M | 117.10M | 141.14M | 180.04M | 231.56M | Total Assets |
| 162.85M | 177.78M | 193.68M | 235.17M | 263.71M | Total Debt |
| 56.47M | 41.42M | 24.40M | 26.46M | 27.22M | Net Debt |
| -14.43M | -42.12M | -77.33M | -122.02M | -204.34M | Total Liabilities |
| 77.04M | 59.47M | 39.67M | 41.93M | 37.57M | Stockholders Equity |
| 85.81M | 118.31M | 154.01M | 193.24M | 226.13M |
| Cash Flow | Free Cash Flow | |||
| -32.98M | -38.42M | -46.40M | -45.06M | -31.54M | Operating Cash Flow |
| -31.54M | -37.61M | -45.08M | -41.39M | -30.63M | Investing Cash Flow |
| 17.48M | -2.01M | -4.22M | -46.26M | 12.69M | Financing Cash Flow |
| 1.36M | 21.40M | 2.47M | 4.46M | 234.83M |
Pulmonx Technical Analysis
Negative
4.83
Price Trends
6.80
Negative
6.60
Negative
6.83
Negative
Market Momentum
-0.49
Negative
33.43
Neutral
73.49
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LUNG, the sentiment is Negative. The current price of 4.83 is below the 20-day moving average (MA) of 5.41, below the 50-day MA of 6.80, and below the 200-day MA of 6.83, indicating a bearish trend. The MACD of -0.49 indicates Negative momentum. The RSI at 33.43 is Neutral, neither overbought nor oversold. The STOCH value of 73.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LUNG.
Pulmonx Risk Analysis
Pulmonx disclosed 83 risk factors in its most recent earnings report. Pulmonx 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
Pulmonx Peers Comparison
Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $279.04M | 25.70 | 9.19% | ― | 22.54% | 8.55% | |
52 Neutral | $179.83M | ― | -170.97% | ― | -12.80% | 28.80% | |
52 Neutral | $5.28B | 3.75 | -42.72% | 2.86% | 17.70% | 2.03% | |
51 Neutral | $194.40M | ― | -55.25% | ― | 22.01% | 10.02% | |
50 Neutral | $165.56M | ― | 271.41% | ― | 169.66% | 28.89% | |
49 Neutral | $191.71M | ― | -18.95% | ― | 6.35% | 65.58% | |
49 Neutral | $599.55M | ― | -20.86% | ― | 11.89% | 79.18% |
* Healthcare Sector Average
Performance Comparison
LUNG
Pulmonx
3.77
-5.61
-59.81%
INGN
Inogen
7.06
0.03
0.43%
VMD
Viemed Healthcare
7.06
-1.13
-13.80%
OM
Outset Medical
11.17
-33.83
-75.18%
TLSI
TriSalus Life Sciences
5.09
-4.25
-45.50%
BVS
Bioventus
7.26
3.30
83.33%
Pulmonx Earnings Call Summary
Earnings Call Date:Apr 30, 2025
(Q1-2025)
| % Change Since: 0.00%|
Next Earnings Date:Aug 05, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted strong international growth and successful product initiatives but was balanced by moderated U.S. growth, increased operating expenses, and a slight decline in gross margin. The DOJ investigation closure is a positive note, but the financial challenges, including net loss, present concerns.Q1-2025 Updates
Positive Updates
Strong Revenue Growth
Pulmonx reported worldwide sales of $22.5 million in Q1 2025, representing 20% growth over the same period last year and 21% on a constant currency basis.
International Revenue Surge
International revenue increased by 39% from $6 million last year to $8.3 million in Q1 2025, with a 43% increase on a constant currency basis, driven by strong demand in China.
Commercial and Product Initiatives
Introduction of LungTraX Detect is seeing positive momentum, with dozens of accounts in various contracting phases. Successful peer-to-peer education and community physician engagement efforts are underway.
DOJ Investigation Closure
The DOJ formally declined to intervene in the case filed under the False Claims Act and the Anti-Kickback Statute, allowing the company to focus on delivering value to stakeholders.
Negative Updates
U.S. Revenue Growth Moderation
U.S. revenue saw an 11% increase from $12.9 million to $14.2 million, which was generally as expected but indicates a moderation compared to international growth.
Gross Margin Decline
Gross margin for Q1 2025 was 73%, a decrease from 75% in the prior year period, attributed to a shift in geographic revenue mix.
Increased Operating Expenses
Total operating expenses rose by 8% to $30.9 million compared to the previous year, with R&D expenses increasing due to higher clinical trial costs.
Net Loss
Net loss for Q1 2025 was $14.4 million, or $0.36 per share, similar to the net loss of $13.7 million in the prior year.
Company Guidance
During the Pulmonx First Quarter 2025 Earnings Conference Call, guidance emphasized maintaining the previously communicated revenue target of $96 million to $98 million for the full year 2025, reflecting anticipated growth of 16% to 18% on a constant currency basis. The company reported $22.5 million in sales for Q1, representing a 20% increase year-over-year. The guidance also highlighted a gross margin expectation of approximately 74% for the year and projected operating expenses in the range of $133 million to $135 million, including $22 million in non-cash stock-based compensation. Pulmonx expects U.S. growth to accelerate in the second half of the year, driven by various initiatives such as the LungTraX Detect system and expanded physician and patient education efforts. Internationally, Pulmonx anticipates continued robust growth, particularly in China, which contributed significantly to the 39% year-over-year increase in international revenue during the first quarter.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.