Owens & Minor (OMI) AI Stock Analysis

• Market Cap: $239.77M
• Dividend Yield: N/A
• Average Volume (3M): 1.86M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: -37.09%
• EPS Growth: -2639.44%
• Country: US
• Employees: 23,200
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Distribution
• EPS (TTM): 0.25
• Shares Outstanding: 77,346,596
• 10 Day Avg. Volume: 1,925,780
• 30 Day Avg. Volume: 1,858,528
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.77
• Price to Sales (P/S): 0.09
• P/FCF Ratio: -15.04
• Enterprise Value/Market Cap: 10.76
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 1.47
• Enterprise Value/Ebitda: -52.91
• 1Y Price Target: $4.90
• Price Target Upside: 57.56% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 3
• EPS Forecast (FY): 1.02
• Revenue Forecast (FY): $2.77B

• Rating: 42 Neutral
• Price Target: $2.50 ▼(-19.61% Downside)

Owens & Minor's overall stock score is primarily impacted by its poor financial performance, with significant challenges in revenue, profitability, and cash flow. The technical analysis indicates a bearish trend, and the valuation is unattractive due to negative earnings and no dividend yield. The earnings call provided some positive strategic shifts, but these are overshadowed by ongoing operational issues and financial instability.

Positive Factors

Strategic Shift to Home-Based Care

The focus on home-based care positions Owens & Minor to capitalize on growing demand for in-home medical services, potentially enhancing long-term revenue and profitability by concentrating on a high-growth segment.

Improved Free Cash Flow

Improved free cash flow indicates better cash management and operational efficiency, providing the company with more flexibility to invest in growth opportunities and reduce debt.

Growth in Key Categories

Growth in specialized medical categories suggests Owens & Minor's ability to capture market share in niche areas, supporting long-term revenue stability and competitive positioning.

Negative Factors

Declining Revenue and Profitability

Continued revenue decline and negative profitability highlight operational challenges and could hinder the company's ability to invest in future growth, impacting long-term sustainability.

High Leverage and Negative Equity

High leverage and negative equity increase financial risk, limiting financial flexibility and potentially affecting the company's ability to weather economic downturns or invest in strategic initiatives.

Large Customer Loss

Losing a major customer can disrupt revenue streams and indicates potential issues in customer retention, which could affect long-term growth and market confidence.

Owens & Minor Business Overview & Revenue Model

Company Description

Owens & Minor, Inc., together with its subsidiaries, operates as a healthcare solutions company in the United States and internationally. It operates through two segments, Global Solutions and Global Products. The Global Solutions segment offers a portfolio of products and services to healthcare providers and manufacturers. Its portfolio of medical and surgical supplies includes branded products and its proprietary products. This segment also offers services to healthcare providers, which include supplier management, analytics, inventory management, and clinical supply management; and various programs to provide logistics and marketing solutions to its suppliers. The Global Products segment manufactures and sources medical surgical products for the prevention of healthcare-associated infections across the acute and alternate site channels. This segments products portfolio includes sterilization wraps, surgical drapes and gowns, facial protection products, protective apparel, medical exam gloves, custom and minor procedure kits, and other medical products. It provides its products and services to multi-facility networks of healthcare providers, independent hospitals, surgery centers, physicians' practices, and networks of hospitals directly, as well as indirectly through third-party distributors. The company was founded in 1882 and is headquartered in Richmond, Virginia.

How the Company Makes Money

Owens & Minor generates revenue through multiple key streams. Primarily, the company earns income from the distribution of medical and surgical supplies to healthcare providers, which includes both wholesale sales and direct sales to hospitals and clinics. Additionally, OMI provides supply chain management services, which involve optimizing inventory management and logistics for healthcare facilities, thus charging fees for these value-added services. Significant partnerships with major manufacturers in the healthcare industry allow OMI to offer a comprehensive product portfolio, enhancing its competitive edge. Furthermore, the company may also benefit from long-term contracts with healthcare systems, which provide stable revenue streams.

Owens & Minor Financial Statement Overview

Summary

Owens & Minor is facing significant financial challenges. The income statement shows declining revenues and negative profitability, while the balance sheet reflects high leverage and negative equity. Cash flow issues further exacerbate the situation, with negative operating cash flow in the TTM period. The company needs to address these financial difficulties to stabilize and improve its financial health.

Income Statement

Owens & Minor's income statement reveals significant challenges. The TTM data shows a sharp decline in revenue by 23.18%, and the company is experiencing negative margins across the board, with a net profit margin of -19.98% and an EBIT margin of -4.52%. This indicates substantial operational difficulties. Historically, the company had positive revenue growth and margins, but recent performance has deteriorated significantly.

Balance Sheet

The balance sheet is concerning, with a negative stockholders' equity in the TTM period, leading to an undefined debt-to-equity ratio. Historically, the debt-to-equity ratio was high, indicating significant leverage. The return on equity has turned negative, reflecting poor profitability and financial instability.

Cash Flow

Cash flow analysis shows a negative operating cash flow in the TTM period, indicating cash flow challenges. The free cash flow to net income ratio is relatively high at 90.92%, suggesting that despite losses, the company manages to generate some free cash flow. However, the overall cash flow situation is weak, with declining free cash flow growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.71B	10.70B	10.33B	9.96B	9.79B	8.48B
Gross Profit	1.75B	2.22B	2.13B	1.83B	1.51B	1.28B
EBITDA	-48.78M	515.18M	390.57M	368.45M	415.46M	323.41M
Net Income	-1.34B	-362.69M	-41.30M	22.39M	221.59M	29.87M
Balance Sheet
Total Assets	4.04B	4.66B	5.09B	5.39B	3.54B	3.34B
Cash, Cash Equivalents and Short-Term Investments	32.84M	49.38M	243.04M	69.47M	55.71M	118.18M
Total Debt	2.20B	2.14B	2.41B	2.79B	1.15B	1.14B
Total Liabilities	4.47B	4.09B	4.17B	4.44B	2.60B	2.62B
Stockholders Equity	-429.51M	565.23M	924.17M	945.60M	938.50M	712.05M
Cash Flow
Free Cash Flow	-352.19M	-66.67M	532.82M	158.42M	74.49M	280.03M
Operating Cash Flow	-98.97M	161.50M	740.71M	325.01M	124.18M	339.22M
Investing Cash Flow	-192.88M	-116.53M	-137.25M	-1.80B	-53.63M	80.07M
Financing Cash Flow	262.48M	-267.60M	-417.33M	1.50B	-129.48M	-379.39M

Owens & Minor Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.11
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OMI, the sentiment is Negative. The current price of 3.11 is above the 20-day moving average (MA) of 2.75, below the 50-day MA of 3.59, and below the 200-day MA of 6.23, indicating a neutral trend. The MACD of -0.13 indicates Negative momentum. The RSI at 53.17 is Neutral, neither overbought nor oversold. The STOCH value of 86.66 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OMI.

Owens & Minor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSIC	74 Outperform	$9.07B	24.21	11.39%	―	3.51%	29.65%
COR	70 Neutral	$66.29B	42.92	144.31%	0.66%	9.31%	5.92%
CAH	66 Neutral	$47.02B	29.87	―	1.02%	4.37%	28.48%
MCK	62 Neutral	$99.97B	25.22	―	0.38%	17.23%	66.17%
GRDN	54 Neutral	$1.94B	48.04	25.85%	―	18.68%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
OMI	42 Neutral	$239.77M	―	-184.47%	―	-37.09%	-2639.44%

Owens & Minor Corporate Events

Owens & Minor Announces Executive Restructuring Plan

Owens & Minor announced that effective December 31, 2025, Jennifer Stone, Executive Vice President and Chief Human Resources Officer, will leave the company. Following her departure, the CHRO position will be eliminated, and Heath Galloway, Executive Vice President, General Counsel & Corporate Secretary, will assume oversight of the human resources function, indicating a strategic restructuring of the company’s executive roles.

Owens & Minor to Attend Key Investor Conferences

On December 2, 2025, Owens & Minor announced that its management team will participate in two upcoming investor conferences, including the Citi 2025 Global Healthcare Conference in Miami and the Bank of America Leveraged Finance Conference in Boca Raton. This participation reflects the company’s ongoing efforts to engage with investors and stakeholders, potentially impacting its market positioning and investor relations.

Owens & Minor Sells Segment, Focuses on Home Care

On October 30, 2025, Owens & Minor announced its third-quarter financial results and a significant strategic shift by signing a definitive agreement to sell its Products & Healthcare Services segment. This move positions the company as a pure-play home-based care business, focusing on its Patient Direct platform. The company reported a revenue increase to $697.3 million for the third quarter, with a net loss from continuing operations of $5.6 million. The sale is expected to streamline operations and enhance focus on serving patients with chronic conditions at home, aiming for long-term growth and value creation.

Owens & Minor Sells Segment to Platinum Equity

On October 7, 2025, Owens & Minor announced a definitive agreement to sell its Products & Healthcare Services segment to Platinum Equity for $375 million in cash and a retained equity stake. This strategic move is part of Owens & Minor’s transformation into a pure-play leader in the home-based care market, allowing the company to focus on its core business and enhance value for stakeholders. The transaction, expected to close by the end of the year, is subject to customary closing conditions and regulatory approvals. The sale will enable Owens & Minor to concentrate on its more profitable segments, leveraging its leading brands and long-standing commitment to patient care to drive consistent revenue and profit growth.

Owens & Minor Announces CIO Resignation

On September 15, 2025, Owens & Minor announced the resignation of Snehashish Sarkar, their Executive Vice President and Chief Information Officer, effective September 26, 2025. Sarkar, who joined the company in October 2022, has been credited with building a strong global team that is well-equipped to support the company’s strategic goals, indicating a smooth transition despite his departure.