MSP Recovery (MSPR) AI Stock Analysis

• Market Cap: $996.00K
• Dividend Yield: N/A
• Average Volume (3M): 1.26M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.14
• Revenue Growth: -8.57%
• EPS Growth: -52.17%
• Country: US
• Employees: 78
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -132.71
• Shares Outstanding: 1,000,000
• 10 Day Avg. Volume: 629,537
• 30 Day Avg. Volume: 1,256,259
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.16
• Price to Sales (P/S): 0.87
• P/FCF Ratio: -0.96
• Enterprise Value/Market Cap: 469.06
• Enterprise Value/Revenue: 47.60
• Enterprise Value/Gross Profit: 180.80
• Enterprise Value/Ebitda: -0.76
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 38 Underperform
• Price Target: $0.30 ▼(-6.25% Downside)

MSP Recovery's overall stock score is heavily impacted by its dire financial performance and the looming threat of Nasdaq delisting. The technical analysis also indicates weak market momentum, and valuation metrics are unfavorable. These factors collectively contribute to a low overall stock score.

Positive Factors

Business Model Alignment

The contingency fee model ensures MSPR's interests align with clients, incentivizing effective recovery efforts and fostering long-term partnerships.

Technology and Data Analytics

Utilizing advanced technology and data analytics can enhance recovery efficiency and success rates, providing a competitive edge in the healthcare sector.

Strategic Collaborations

Collaborations with tech firms can improve MSPR's data capabilities, leading to higher recovery rates and revenue growth potential.

Negative Factors

Declining Revenue Growth

A declining revenue growth rate indicates challenges in expanding market share or client base, potentially impacting long-term financial stability.

Negative Cash Flows

Negative cash flows suggest liquidity issues, which can hinder operational flexibility and investment in growth opportunities.

Weak Balance Sheet

A weak balance sheet with negative equity and high leverage indicates potential solvency issues, limiting financial resilience.

MSP Recovery Business Overview & Revenue Model

Company Description

MSP Recovery (MSPR) is a healthcare and technology company specializing in the recovery of secondary payments for healthcare providers and insurers. The company focuses on identifying and recovering funds that are owed to healthcare providers under various insurance programs, particularly Medicare and Medicaid. MSPR operates primarily in the healthcare sector, leveraging advanced technology and data analytics to facilitate its recovery processes and improve financial outcomes for its clients.

How the Company Makes Money

MSP Recovery generates revenue through a contingency fee model, whereby it earns a percentage of the recovered funds on behalf of its clients. This means that the company only makes money when it successfully recovers payments, aligning its financial success with that of its clients. Key revenue streams include amounts recovered from Medicare and Medicaid claims, as well as partnerships with healthcare providers and insurers that seek to optimize their revenue recovery processes. Additionally, MSPR may engage in strategic collaborations with technology firms to enhance its data analytics capabilities, which can lead to increased efficiency and higher recovery rates, contributing further to its earnings.

MSP Recovery Financial Statement Overview

Summary

MSP Recovery is facing significant financial difficulties, with declining revenues, substantial losses, and negative cash flows. The balance sheet is weak, with negative equity and high leverage, indicating a precarious financial position.

Income Statement

The income statement reveals significant challenges, with a declining revenue growth rate of -26.12% TTM and negative margins across the board. Gross profit margin has decreased from 47.36% in 2024 to 26.33% TTM, indicating reduced profitability. The net profit margin is deeply negative at -73.28% TTM, reflecting substantial losses. EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.

Balance Sheet

The balance sheet shows a concerning financial structure, with a negative stockholders' equity of -$563.84 million TTM, leading to a negative debt-to-equity ratio. The return on equity is positive at 3.93% TTM, but this is due to the negative equity base. The equity ratio is not calculable due to negative equity, indicating potential solvency issues.

Cash Flow

Cash flow analysis indicates severe liquidity challenges, with negative operating and free cash flows. The free cash flow growth rate is -54.28% TTM, showing a worsening cash position. The operating cash flow to net income ratio is negative, and the free cash flow to net income ratio is slightly above 1, suggesting cash flow issues despite reported net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.81M	18.25M	7.71M	23.42M	14.63M	13.89M
Gross Profit	2.58M	8.64M	5.56M	21.37M	14.09M	13.71M
EBITDA	-617.81M	-652.46M	-545.71M	-280.47M	-5.52M	-3.15M
Net Income	-719.22M	-360.50M	-56.35M	-7.42M	-33.09M	-24.25M
Balance Sheet
Total Assets	1.55B	1.92B	3.16B	3.42B	104.01M	17.84M
Cash, Cash Equivalents and Short-Term Investments	1.82M	12.33M	11.63M	3.66M	1.66M	11.88M
Total Debt	761.48M	794.66M	679.22M	324.25M	213.61M	48.09M
Total Liabilities	2.40B	2.05B	1.74B	1.23B	255.41M	133.69M
Stockholders Equity	-563.84M	100.58M	272.39M	109.69M	-155.76M	-120.18M
Cash Flow
Free Cash Flow	-10.59M	-16.65M	-41.77M	-83.62M	1.62M	-344.00K
Operating Cash Flow	-10.22M	-16.12M	-40.02M	-80.64M	2.25M	-14.00K
Investing Cash Flow	-527.00K	-2.73M	7.56M	-5.68M	-2.01M	986.00K
Financing Cash Flow	-97.89M	19.54M	29.02M	99.73M	-10.46M	9.61M

MSP Recovery Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MSPR, the sentiment is Negative. The current price of 0.32 is below the 20-day moving average (MA) of 0.40, below the 50-day MA of 0.69, and below the 200-day MA of 6.77, indicating a bearish trend. The MACD of -0.13 indicates Negative momentum. The RSI at 37.88 is Neutral, neither overbought nor oversold. The STOCH value of 33.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MSPR.

MSP Recovery Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
VSEE	44 Neutral	$17.72M	-0.72	―	―	187.24%	82.90%
MSPR	38 Underperform	$996.00K	―	―	―	-8.57%	-52.17%
FOXO	22 Underperform	$46.00K	―	-728.82%	―	1049.89%	66.27%

MSP Recovery Corporate Events

MSP Recovery Faces Nasdaq Delisting Threat

On October 22, 2025, MSP Recovery received a Staff Delisting Determination from Nasdaq due to non-compliance with the minimum stockholders’ equity requirement and other financial standards. The company has requested a review and submitted necessary documentation to a Hearings Panel, with a hearing scheduled for December 11, 2025. Additionally, on November 28, 2025, the company was notified of non-compliance with the minimum bid price requirement, further threatening its Nasdaq listing. If delisted, MSP Recovery expects its stock to trade on the OTCQB Venture Market.

MSP Recovery Faces Nasdaq Delisting Notification

On October 28, 2025, MSP Recovery, Inc. and Yorkville reached an agreement to reduce the Floor Price under their Standby Equity Purchase Agreement from $1.00 to $0.50. Additionally, MSP Recovery amended its promissory note with Nomura to reflect a principal amount of $35.4 million and secured a waiver for $3.0 million to fund operations. Despite these financial maneuvers, MSP Recovery received a delisting notification from Nasdaq on October 22, 2025, due to non-compliance with stockholder equity requirements. The company intends to appeal the decision, with the possibility of its stock trading on the OTCQB Venture Market if delisted from Nasdaq.

MSP Recovery Secures Additional Funding in Equity Agreement

MSP Recovery entered into a Standby Equity Purchase Agreement with Yorkville, allowing the company to sell up to $250 million of its common stock. As part of this agreement, Yorkville advanced funds through convertible promissory notes, with a recent second supplemental agreement on October 10, 2025, providing additional funding of up to $3 million. The conversion terms were adjusted, including a change in the floor price from $1.20 to $1.00 per share. Additionally, on October 7, 2025, Alexandra Plasencia, the General Counsel, announced her resignation effective October 17, 2025, but will assist in the transition until November 30, 2025.

MSP Recovery Adjusts Yorkville SEPA Floor Price

On September 29, 2025, MSP Recovery and Yorkville agreed to lower the Floor Price under the Yorkville SEPA from $1.60 to $1.20. This adjustment in the agreement could potentially impact the financial terms and conditions between the parties, influencing MSP Recovery’s financial strategy and market positioning.

MSP Recovery Reaches $2.9 Million Settlement Agreements

MSP Recovery, Inc. has reached confidential settlement agreements totaling $2.9 million in cash, involving a property and casualty insurer and a pharmaceutical defendant. The settlements include agreements to provide historical data and resolve Medicare claims, as well as addressing overpayments in a prescription drug scheme, potentially impacting the company’s operations and financial positioning.

MSP Recovery Adjusts Floor Price in Yorkville SEPA

On September 15, 2025, MSP Recovery and Yorkville agreed to lower the Floor Price under the Yorkville SEPA from $2.00 to $1.60. This adjustment may impact MSP Recovery’s financial strategies and stakeholder interests by potentially altering the company’s capital structure and market positioning.

MSP Recovery Settles Litigation with Cano Health

On September 8, 2025, MSP Recovery, LLC, a subsidiary of MSP Recovery, Inc., reached a settlement with Cano Health, LLC, resolving litigation that began on August 10, 2023. The settlement, which involved dismissing all claims with prejudice, eliminates previously disclosed risks associated with the litigation and is not expected to materially impact MSP Recovery’s financial condition or operations.