RxSight (RXST) AI Stock Analysis

• Market Cap: $400.06M
• Dividend Yield: N/A
• Average Volume (3M): 720.84K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.49
• Revenue Growth: 10.75%
• EPS Growth: -7.15%
• Country: US
• Employees: 498
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): -0.24
• Shares Outstanding: 41,116,640
• 10 Day Avg. Volume: 953,976
• 30 Day Avg. Volume: 720,838
• PEG Ratio: 0.98
• Price to Book (P/B): 4.75
• Price to Sales (P/S): 9.55
• P/FCF Ratio: -59.69
• Enterprise Value/Market Cap: 0.38
• Enterprise Value/Revenue: 1.07
• Enterprise Value/Gross Profit: 1.43
• Enterprise Value/Ebitda: -4.66
• 1Y Price Target: $9.60
• Price Target Upside: -1.34% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 7
• EPS Forecast (FY): -1.21
• Revenue Forecast (FY): $125.49M

• Rating: 55 Neutral
• Price Target: $10.50 ▲(7.91% Upside)

RxSight's overall stock score reflects significant financial challenges, particularly in profitability and revenue growth, which are partially offset by positive technical indicators suggesting short-term bullish momentum. Valuation concerns due to a negative P/E ratio and lack of dividend yield further weigh on the score.

Positive Factors

Gross Margin Improvement

The significant improvement in gross margin indicates better cost management and product mix, enhancing long-term profitability and competitive positioning.

Strategic Global Expansion

Expanding into new markets diversifies revenue streams and strengthens RxSight's global market presence, supporting sustainable growth.

Positive Market Reception

The positive reception of the Light Adjustable Lens suggests strong demand potential, which could drive future revenue growth and market share gains.

Negative Factors

Overall Revenue Decline

The decline in revenue indicates potential market challenges or operational inefficiencies, which could impact long-term financial stability if not addressed.

Significant Decrease in LDD Sales

The sharp decline in LDD sales suggests weakening demand or competitive pressures, which could hinder overall revenue growth and profitability.

Increased Net Loss

Rising net losses highlight ongoing financial challenges, potentially limiting investment in growth initiatives and affecting long-term viability.

RxSight Business Overview & Revenue Model

Company Description

RxSight, Inc., a medical technology company, engages in the research and development, manufacture, and sale of light adjustable intraocular lenses (LAL) used in cataract surgery in the United States and internationally. It offers RxSight system that enables doctors to customize and enhance the visual acuity for patients after cataract surgery. The company's RxSight system includes RxSight light delivery device, an office-based light treatment device that delivers UV light in a programmed pattern to modify the LAL based on the visual correction needed to achieve desired vision after cataract surgery. It primarily serves cataract doctors. The company was formerly known as Calhoun Vision, Inc. and changed its name to RxSight, Inc. in February 2017. RxSight, Inc. was incorporated in 1997 and is headquartered in Aliso Viejo, California.

How the Company Makes Money

RxSight generates revenue primarily through the sale of its proprietary light-adjustable lenses and the associated delivery system used by ophthalmic surgeons. The company earns income from both direct sales of lenses and from the leasing or selling of the equipment used to adjust the lenses after implantation. Additionally, RxSight may receive revenue from service agreements related to the maintenance of its technology and training programs for healthcare professionals. Strategic partnerships with hospitals and surgical centers also bolster its market reach and revenue potential, as they facilitate wider adoption of its innovative products in the ophthalmology market.

RxSight Financial Statement Overview

Summary

RxSight faces significant financial challenges, particularly in terms of profitability and revenue growth. The income statement shows declining revenue and negative profit margins, while the balance sheet reflects a stable structure with low leverage risk. Cash flow analysis indicates some improvement in free cash flow growth, but operating cash flow remains negative.

Income Statement

RxSight's income statement reveals a challenging financial position with declining revenue growth and negative profit margins. The TTM data shows a revenue decline of 9.59%, and the company has consistently reported negative net profit margins, indicating ongoing profitability challenges. Despite a relatively strong gross profit margin of 68.42% in the TTM, the negative EBIT and EBITDA margins highlight operational inefficiencies.

Balance Sheet

The balance sheet reflects a stable financial structure with a low debt-to-equity ratio of 0.042 in the TTM, suggesting limited leverage risk. However, the return on equity remains negative, indicating that the company is not generating positive returns for shareholders. The equity ratio is reasonable, suggesting a solid capital base, but the negative ROE points to profitability issues.

Cash Flow

Cash flow analysis shows some improvement in free cash flow growth, with a 6.30% increase in the TTM. However, the operating cash flow remains negative, and the operating cash flow to net income ratio is below 1, indicating cash flow challenges. The free cash flow to net income ratio is above 1, suggesting that the company is managing to convert net income into free cash flow effectively.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	142.09M	139.93M	89.08M	49.01M	22.59M	14.68M
Gross Profit	106.53M	98.94M	53.77M	21.33M	4.52M	1.71M
EBITDA	-32.69M	-23.76M	-41.04M	-57.78M	-41.01M	32.15M
Net Income	-35.73M	-27.45M	-48.61M	-66.76M	-48.69M	27.57M
Balance Sheet
Total Assets	308.53M	318.56M	182.55M	150.16M	192.72M	100.68M
Cash, Cash Equivalents and Short-Term Investments	227.52M	237.22M	127.18M	105.80M	159.33M	68.97M
Total Debt	11.56M	12.30M	3.01M	44.99M	44.93M	30.75M
Total Liabilities	32.56M	37.33M	22.19M	60.26M	54.48M	398.21M
Stockholders Equity	275.97M	281.24M	160.36M	89.90M	138.24M	-297.53M
Cash Flow
Free Cash Flow	-22.20M	-22.39M	-46.41M	-61.24M	-46.65M	-37.74M
Operating Cash Flow	-18.66M	-16.95M	-41.59M	-58.85M	-44.71M	-35.20M
Investing Cash Flow	27.82M	-99.31M	-22.13M	39.95M	-81.91M	15.59M
Financing Cash Flow	3.78M	123.32M	61.52M	6.33M	137.34M	25.24M

RxSight Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.73
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RXST, the sentiment is Positive. The current price of 9.73 is above the 20-day moving average (MA) of 8.99, above the 50-day MA of 8.90, and below the 200-day MA of 14.72, indicating a neutral trend. The MACD of 0.33 indicates Negative momentum. The RSI at 58.90 is Neutral, neither overbought nor oversold. The STOCH value of 64.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RXST.

RxSight Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NPCE	61 Neutral	$431.00M	―	-169.27%	―	24.08%	24.08%
DCTH	58 Neutral	$315.35M	1,038.37	1.94%	―	251.54%	―
BFLY	57 Neutral	$661.82M	-7.83	-41.42%	―	16.04%	28.91%
RXST	55 Neutral	$400.06M	―	-12.92%	―	10.75%	-7.15%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CBLL	51 Neutral	$478.53M	―	-59.78%	―	―	―
SENS	45 Neutral	$255.77M	―	-129.29%	―	31.94%	36.59%

RxSight Corporate Events

RxSight Earnings Call: Mixed Signals Amid Growth and Challenges

RxSight, Inc. recently held its earnings call, revealing a mixed sentiment among investors and analysts. While the company has achieved notable improvements in its gross margin and seen growth in Light Adjustable Lens (LAL) revenue, it faces challenges with an overall revenue decline and a significant drop in Light Delivery Device (LDD) sales. The global expansion efforts and positive market reception of the LAL are encouraging, yet the increased net loss and revenue challenges remain concerning.

RxSight, Inc. Reports Q3 2025 Financial Results

RxSight, Inc. is an ophthalmic medical device company specializing in post-cataract surgery vision solutions, known for its innovative Light Adjustable Lens technology. In its third quarter of 2025 financial report, RxSight revealed a 14% decline in revenue compared to the previous year, with total revenue reaching $30.3 million. Despite the revenue drop, the company saw a 6% increase in Light Adjustable Lens procedure volume and a notable improvement in gross margin to 80%, up from 71% in the same quarter of 2024. The company also reported a net loss of $9.8 million, an increase from the $6.3 million loss in the third quarter of 2024, attributed to ongoing investments in sales and R&D. Strategically, RxSight has realigned its U.S. commercial operations and launched new engagement programs to boost procedure growth and deepen customer relationships. Looking forward, RxSight has narrowed its full-year revenue guidance and raised its gross margin expectations, indicating a cautious yet optimistic outlook for the remainder of 2025.

RxSight’s Earnings Call: Mixed Results Amid Growth and Challenges

The recent earnings call for RxSight, Inc. presented a mixed sentiment, with notable achievements in LAL revenue growth and gross margin improvements. However, these positive developments were tempered by a decline in total revenue, significant reductions in LDD sales, increased expenses, a widened net loss, and a lowered revenue outlook for the year.