Nano-X Imaging (NNOX) AI Stock Analysis

• Market Cap: $331.56M
• Dividend Yield: N/A
• Average Volume (3M): 1.08M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.66
• Revenue Growth: 15.32%
• EPS Growth: 15.73%
• Country: US
• Employees: 165
• Sector: Healthcare
• Sector Strength: 37
• Industry: Medical - Devices
• EPS (TTM): N/A
• Shares Outstanding: 63,762,000
• 10 Day Avg. Volume: 1,338,666
• 30 Day Avg. Volume: 1,084,621
• PEG Ratio: N/A
• Price to Book (P/B): 1.80
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.81
• Enterprise Value/Market Cap: 0.84
• Enterprise Value/Revenue: 6.42
• Enterprise Value/Gross Profit: -24.14
• Enterprise Value/Ebitda: -1.63
• 1Y Price Target: $8.33
• Price Target Upside: 60.19% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 46 Neutral
• Price Target: $5.00 ▼(-3.85%Downside)

The overall score reflects significant financial challenges despite some positive growth indicators. Nano-X Imaging's financial performance is hindered by negative profitability and cash flow issues, and while technical analysis shows a neutral trend, the valuation remains unattractive due to ongoing losses. Strategic growth in AI and teleradiology services is promising but not enough to offset current financial weaknesses.

Nano-X Imaging Business Overview & Revenue Model

Company Description

Nano-X Imaging Ltd. develops a commercial-grade tomographic imaging device with a digital X-ray source. The company provides teleradiology services and develops artificial intelligence applications to be used in real-world medical imaging applications. Its X-ray source is based on a digital micro-electro-mechanical systems semiconductor cathode. The company develops a prototype of the Nanox.ARC, a medical imaging system incorporating its digital X-ray source; and Nanox.CLOUD, a companion cloud-based software that would allow for the delivery of medical screening as a service. It also offers Nanox.MARKETPLACE, which connects imaging facilities with radiologists and enables radiologists to provide, as well as customers to obtain remote interpretations of imaging data; artificial intelligence (AI)-based software imaging solutions to hospitals, health maintenance organizations, integrated delivery networks, pharmaceutical companies, and insurers that are designed to identify or predict undiagnosed or underdiagnosed medical conditions through the mining of data included in images of existing computed tomography scans for osteoporosis and cardiovascular disease; Teleradiology Services, which provide imaging interpretation services for radiology practices, hospitals, medical clinics, diagnostic imaging centers, urgent care facilities; and multi-specialty physician groups, contracts, and radiology readings. The company was founded in 2011 and is headquartered in Neve Ilan, Israel.

How the Company Makes Money

Nano-X Imaging makes money primarily through a pay-per-scan business model, wherein healthcare providers pay a fee for each scan conducted using the Nano-X.ARC system. This imaging-as-a-service approach allows medical facilities to access cutting-edge imaging technology without the significant upfront costs typically associated with purchasing traditional imaging equipment. Additionally, Nano-X may generate revenue through strategic partnerships with healthcare providers, insurance companies, and government bodies to expand the reach and implementation of its imaging systems. The company's revenue model is designed to leverage its innovative technology to tap into underserved markets, thereby increasing accessibility to medical imaging and driving revenue growth.

Nano-X Imaging Financial Statement Overview

Summary

Nano-X Imaging is experiencing revenue growth but continues to face profitability challenges. The company has negative margins and is heavily reliant on external financing, which is concerning despite a strong equity position.

Income Statement

Nano-X Imaging has shown an increasing trend in revenue over the years, with a notable increase in TTM (Trailing-Twelve-Months) revenue. However, the company continues to report negative gross profit margins, net profit margins, and EBIT margins, indicating ongoing challenges in achieving profitability. The revenue growth rate is positive, but the persistent negative margins highlight significant operational inefficiencies and cost management issues.

Balance Sheet

The balance sheet reflects a strong equity position with a high equity ratio, suggesting financial stability. However, the debt-to-equity ratio has increased slightly, indicating a rise in leverage, which could pose potential risks if not managed properly. Return on Equity (ROE) remains negative due to the company's losses, but the overall equity strength provides some buffer against financial volatility.

Cash Flow

The company's cash flow statement shows a challenging situation with negative operating and free cash flows. The free cash flow growth rate is negative, reflecting ongoing cash burn. The operating cash flow to net income and free cash flow to net income ratios are also negative, underscoring the company's reliance on external financing to sustain operations. This highlights the need for improved cash management and operational efficiency.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.28M	9.90M	8.58M	1.30M	0.00
Gross Profit	-10.61M	-6.59M	-6.88M	-1.51M	-208.00K
EBITDA	-45.01M	-47.69M	-75.70M	-59.27M	-43.61M
Net Income	-53.52M	-60.78M	-105.24M	-61.80M	-43.50M
Balance Sheet
Total Assets	210.00M	218.65M	253.93M	363.17M	236.15M
Cash, Cash Equivalents and Short-Term Investments	73.21M	82.38M	77.62M	88.71M	213.47M
Total Debt	7.45M	8.40M	4.62M	5.77M	1.44M
Total Liabilities	20.88M	23.13M	29.25M	71.02M	5.40M
Stockholders Equity	189.12M	195.51M	224.68M	292.15M	230.75M
Cash Flow
Free Cash Flow	-39.37M	-48.08M	-50.56M	-61.23M	-35.42M
Operating Cash Flow	-36.60M	-44.78M	-43.38M	-38.07M	-21.49M
Investing Cash Flow	-20.05M	35.43M	14.61M	-116.32M	-13.94M
Financing Cash Flow	39.50M	27.25M	804.00K	7.38M	240.99M

Nano-X Imaging Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.20
• 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 NNOX, the sentiment is Negative. The current price of 5.2 is above the 20-day moving average (MA) of 5.20, below the 50-day MA of 5.25, and below the 200-day MA of 6.05, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 49.96 is Neutral, neither overbought nor oversold. The STOCH value of 62.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NNOX.

Nano-X Imaging Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VMD	77 Outperform	$255.32M	21.66	9.79%	―	19.97%	17.21%
Sector *	65 Neutral	¥355.44B	11.10	-2.99%	2.49%	11.76%	-10.16%
VREX	63 Neutral	$313.33M	―	-7.46%	―	-3.31%	-199.23%
LIVN	61 Neutral	$2.36B	30.62	-19.69%	―	7.97%	-592.40%
SNWV	55 Neutral	$315.01M	―	0.65%	―	61.50%	34.99%
LUNG	52 Neutral	$133.45M	―	-60.68%	―	19.84%	5.77%
NNOX	46 Neutral	$331.56M	―	-30.11%	―	15.32%	15.73%