Semler Scientific (SMLR) AI Stock Analysis

• Market Cap: $316.10M
• Dividend Yield: N/A
• Average Volume (3M): 407.87K
• Price to Earnings (P/E): 7.4
• Beta (1Y): 1.84
• Revenue Growth: -37.29%
• EPS Growth: 62.60%
• Country: US
• Employees: 79
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): -0.32
• Shares Outstanding: 15,285,092
• 10 Day Avg. Volume: 402,755
• 30 Day Avg. Volume: 407,865
• PEG Ratio: 0.11
• Price to Book (P/B): 1.69
• Price to Sales (P/S): 6.93
• P/FCF Ratio: 16.03
• Enterprise Value/Market Cap: 1.60
• Enterprise Value/Revenue: 13.69
• Enterprise Value/Gross Profit: 15.08
• Enterprise Value/Ebitda: -10.84
• 1Y Price Target: $51.00
• Price Target Upside: 146.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: $19.50 ▼(-5.66% Downside)

Semler Scientific's overall stock score reflects significant operational and cash flow challenges, despite a strong balance sheet and undervaluation. The bearish technical indicators and recent legal and revenue challenges further weigh on the score. However, strategic initiatives like the merger with Strive, Inc. could provide future growth opportunities if successfully executed.

Positive Factors

Strategic Realignment

The strategic realignment plan aims to improve operating leverage and reduce expenses, potentially enhancing long-term operational efficiency and profitability.

Merger with Strive, Inc.

The merger with Strive, Inc. could expand market reach and create synergies, enhancing competitive positioning and growth prospects in the healthcare sector.

Strong Balance Sheet

A strong balance sheet with low leverage provides financial stability and flexibility, supporting long-term strategic initiatives and resilience against economic fluctuations.

Negative Factors

Declining Revenue

Declining revenue indicates challenges in maintaining market share and product demand, which could impact long-term growth and profitability if not addressed.

Operational Challenges

Operational inefficiencies reflected in negative margins could hinder profitability and require strategic adjustments to improve cost management and operational effectiveness.

Cash Flow Issues

Cash flow challenges can limit the company's ability to invest in growth opportunities and meet financial obligations, impacting long-term financial health.

Semler Scientific Business Overview & Revenue Model

Company Description

Semler Scientific, Inc. provides technology solutions to improve the clinical effectiveness and efficiency of healthcare providers in the United States. The company's products include QuantaFlo, a four-minute in-office blood flow test that enables healthcare providers to use blood flow measurements as part of their examinations of a patient's vascular condition. Its products serve cardiologists, internists, nephrologists, endocrinologists, podiatrists, and family practitioners, as well as healthcare insurance plans, integrated delivery networks, independent physician groups, and companies contracting with the healthcare industry, such as risk assessment groups. The company offers its products through salespersons and distributors. Semler Scientific, Inc. was incorporated in 2007 and is headquartered in Santa Clara, California.

How the Company Makes Money

Semler Scientific generates revenue primarily through the sale of its medical devices and related software solutions. The company's revenue model is based on direct sales to healthcare providers, including hospitals and clinics, as well as partnerships with pharmaceutical companies for integrated health solutions. Additionally, Semler may benefit from recurring revenue streams through service contracts, maintenance agreements, and software subscriptions. Key partnerships with healthcare organizations and participation in clinical studies also contribute to its earnings by expanding market reach and enhancing product credibility.

Semler Scientific Financial Statement Overview

Summary

Semler Scientific faces operational and cash flow challenges despite a strong balance sheet. The income statement reflects declining revenue and negative operational margins, while the cash flow statement highlights liquidity issues. The balance sheet remains robust with low leverage and good equity utilization, but the company needs to address its operational inefficiencies and cash flow management to improve its financial health.

Income Statement

The income statement shows a significant decline in revenue with a negative growth rate of -14.01% in the TTM period. Despite a high gross profit margin of 90.85%, the company is experiencing negative EBIT and EBITDA margins, indicating operational challenges. The net profit margin remains strong at 86.20%, primarily due to non-operational factors. Overall, the income statement reflects declining revenue and operational inefficiencies.

Balance Sheet

The balance sheet is relatively strong with a low debt-to-equity ratio of 0.25, indicating low leverage. The return on equity is healthy at 17.21%, showing efficient use of equity. The equity ratio is solid, suggesting a stable financial structure. However, the increase in total debt in the TTM period could be a potential risk if not managed properly.

Cash Flow

The cash flow statement reveals challenges with negative operating and free cash flows in the TTM period. The free cash flow growth rate is positive at 26.33%, but this is from a negative base. The operating cash flow to net income ratio is low at 0.34, indicating cash flow issues relative to reported earnings. Overall, cash flow management appears to be a significant concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.96M	56.29M	68.18M	56.69M	53.03M	38.60M
Gross Profit	33.54M	51.53M	61.20M	52.43M	46.91M	35.25M
EBITDA	-46.64M	21.51M	23.59M	17.79M	20.08M	17.06M
Net Income	48.34M	40.90M	20.58M	14.32M	17.22M	14.01M
Balance Sheet
Total Assets	596.68M	239.83M	78.06M	62.69M	50.67M	34.64M
Cash, Cash Equivalents and Short-Term Investments	10.18M	14.92M	57.20M	43.09M	37.32M	22.08M
Total Debt	116.42M	70.00K	160.00K	245.00K	325.00K	0.00
Total Liabilities	136.93M	9.08M	6.27M	7.02M	5.13M	4.85M
Stockholders Equity	459.75M	230.75M	71.80M	55.68M	45.55M	29.79M
Cash Flow
Free Cash Flow	-388.75M	-165.34M	16.99M	15.30M	15.23M	14.36M
Operating Cash Flow	-26.91M	24.41M	17.82M	17.46M	16.06M	15.11M
Investing Cash Flow	-405.76M	-189.98M	18.40M	-26.84M	-825.00K	-1.01M
Financing Cash Flow	436.28M	117.19M	-1.90M	-4.94M	13.00K	230.00K

Semler Scientific Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 20.67
• 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 SMLR, the sentiment is Neutral. The current price of 20.67 is above the 20-day moving average (MA) of 17.93, below the 50-day MA of 20.90, and below the 200-day MA of 30.78, indicating a neutral trend. The MACD of -0.17 indicates Negative momentum. The RSI at 56.19 is Neutral, neither overbought nor oversold. The STOCH value of 76.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SMLR.

Semler Scientific Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CBLL	59 Neutral	$846.89M	-15.93	-59.78%	―	―	―
CTKB	58 Neutral	$703.26M	-53.71	-3.36%	―	-2.18%	-30.96%
SMLR	54 Neutral	$316.10M	7.43	17.74%	―	-37.29%	62.60%
KIDS	52 Neutral	$461.17M	-9.58	-12.67%	―	19.90%	-57.90%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
VREX	50 Neutral	$528.18M	-7.66	-13.95%	―	4.14%	-45.29%

Semler Scientific Corporate Events

Semler Scientific Announces Strategic Realignment Plan

On December 12, 2025, Semler Scientific announced a strategic realignment plan approved by its board, which includes a 37% reduction in headcount and other expense curtailments to improve operating leverage. This move is expected to reduce quarterly operating expenses by $0.7 million to $1.1 million starting January 2026, with severance costs estimated at $1.2 million. Additionally, Semler Scientific is implementing a cash retention program for non-executive employees to ensure continuity during its pending merger with Strive, Inc., which was initially agreed upon on September 22, 2025. The merger is an all-stock transaction aimed at strategic and financial benefits for the combined company.

The most recent analyst rating on (SMLR) stock is a Hold with a $20.50 price target. To see the full list of analyst forecasts on Semler Scientific stock, see the SMLR Stock Forecast page.

Semler Scientific Announces Merger with Strive, Inc.

On September 22, 2025, Semler Scientific entered into a Merger Agreement with Strive, Inc., which will acquire Semler in an all-stock transaction. This merger positions Strive as the accounting acquirer, with Semler becoming a wholly-owned subsidiary, and is expected to bring strategic and financial benefits to the combined entity. The transaction, however, is subject to various risks and uncertainties, including potential volatility in Bitcoin, which is part of Semler’s treasury strategy, and the challenges of integrating the two companies.

The most recent analyst rating on (SMLR) stock is a Hold with a $27.00 price target. To see the full list of analyst forecasts on Semler Scientific stock, see the SMLR Stock Forecast page.

Semler Scientific Launches Bitcoin Holdings Dashboard

Semler Scientific has launched a website dashboard to disclose information about its Bitcoin holdings, including key performance indicators and market data. This initiative aims to ensure compliance with disclosure obligations and provide investors with regular updates on Bitcoin-related information.

The most recent analyst rating on (SMLR) stock is a Hold with a $31.00 price target. To see the full list of analyst forecasts on Semler Scientific stock, see the SMLR Stock Forecast page.

Semler Scientific Announces Merger with Strive, Inc.

On September 22, 2025, Semler Scientific, Inc. entered into a merger agreement with Strive, Inc., whereby Strive will acquire Semler in an all-stock transaction. This merger is subject to various terms and conditions, and the companies have disclosed potential risks and uncertainties associated with the transaction, such as integration challenges and market conditions. Strive, Inc. also announced the closing of its initial public offering of Variable Rate Series A Perpetual Preferred Stock, raising approximately $149.3 million. The proceeds were used to purchase bitcoin and for general corporate purposes, increasing Strive’s bitcoin holdings significantly.

The most recent analyst rating on (SMLR) stock is a Hold with a $31.00 price target. To see the full list of analyst forecasts on Semler Scientific stock, see the SMLR Stock Forecast page.

Semler Scientific Merges with Strive in Stock Deal

On September 22, 2025, Semler Scientific, Inc. entered into a merger agreement with Strive, Inc., allowing Strive to acquire Semler in an all-stock transaction. The merger aims to integrate the businesses, potentially impacting their market positioning and financial performance. Strive disclosed its financial activities, including cash reserves, bitcoin holdings, and plans for a public offering of preferred stock, reflecting its strategic focus on strengthening its financial position and expanding its asset management operations.

The most recent analyst rating on (SMLR) stock is a Hold with a $31.00 price target. To see the full list of analyst forecasts on Semler Scientific stock, see the SMLR Stock Forecast page.