Semler Scientific (SMLR) AI Stock Analysis

• Market Cap: $428.68M
• Dividend Yield: N/A
• Average Volume (3M): 1.06M
• Price to Earnings (P/E): 11.7
• Beta (1Y): 1.81
• Revenue Growth: -30.39%
• EPS Growth: 46.15%
• Country: US
• Employees: 79
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 5.04
• Shares Outstanding: 15,142,195
• 10 Day Avg. Volume: 2,169,282
• 30 Day Avg. Volume: 1,055,229
• 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: 1.19
• Enterprise Value/Revenue: 11.83
• Enterprise Value/Gross Profit: 13.03
• Enterprise Value/Ebitda: -22.22
• 1Y Price Target: $75.33
• Price Target Upside: 166.09% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 64 Neutral
• Price Target: $32.00 ▲(13.03% Upside)

Semler Scientific's overall stock score reflects strong profitability and strategic initiatives in Bitcoin and healthcare, which are offset by operational inefficiencies, declining revenue, and cash flow challenges. The stock's technical indicators suggest a bearish trend, while its valuation remains reasonable.

Positive Factors

Strong Profitability Margins

High gross and net profit margins indicate effective cost management and profitability, which can support sustainable growth and investment in new initiatives.

Stable Balance Sheet

A low debt-to-equity ratio reflects financial stability and reduces risk, providing the company with flexibility to invest in growth opportunities without significant financial strain.

Healthcare Expansion

Expanding into larger healthcare markets with new products can drive long-term revenue growth and strengthen market position, leveraging existing expertise in medical technology.

Negative Factors

Declining Revenue

A decline in revenue suggests challenges in maintaining market demand or competitive positioning, which could impact future growth and profitability if not addressed.

Operational Inefficiencies

Negative EBIT margin indicates operational inefficiencies, which can erode profitability and hinder the company's ability to reinvest in growth or innovation.

Cash Flow Challenges

Negative free cash flow growth highlights potential liquidity issues, limiting the company's ability to fund operations and invest in strategic initiatives without external financing.

Semler Scientific Business Overview & Revenue Model

Company Description

Semler Scientific (SMLR) is a medical technology company focused on developing innovative solutions for the healthcare sector, specifically in the area of diabetes management and cardiovascular health. The company is known for its proprietary software and diagnostic tools that assist healthcare providers in evaluating and managing patients' health conditions more effectively. Semler's core products include its advanced diagnostic devices that utilize machine learning algorithms to analyze patient data and provide actionable insights to clinicians.

How the Company Makes Money

Semler Scientific generates revenue primarily through the sale of its diagnostic devices and software solutions to healthcare providers, including hospitals and clinics. The company operates on a direct sales model, where it markets its products to end-users in the healthcare industry. Additionally, Semler may earn recurring revenue through subscription services associated with its software, as well as through partnerships with healthcare organizations that integrate its technology into their patient management systems. The company's ability to establish strategic partnerships with key players in the healthcare market further bolsters its revenue potential and market reach.

Semler Scientific Financial Statement Overview

Summary

Semler Scientific shows strong profitability margins with a high gross profit margin and robust net profit margin. However, operational inefficiencies are evident with a negative EBIT margin and declining revenue. The balance sheet is stable with low leverage, but cash flow management issues and liquidity concerns are significant risks.

Income Statement

Semler Scientific's income statement shows a high gross profit margin of 90.8% TTM, indicating strong cost management. However, the company faces challenges with a negative EBIT margin of -153.7% TTM, reflecting operational inefficiencies. The net profit margin is robust at 86.2% TTM, driven by non-operational factors. Revenue has declined by 12.7% TTM, which is a concern for future growth.

Balance Sheet

The balance sheet is stable with a low debt-to-equity ratio of 0.25 TTM, suggesting conservative leverage. Return on equity is healthy at 17.2% TTM, indicating efficient use of equity. The equity ratio stands at 73.4% TTM, reflecting a strong capital structure. Overall, the balance sheet shows financial stability with low leverage risk.

Cash Flow

Cash flow analysis reveals a negative free cash flow growth of -32.1% TTM, highlighting cash management issues. The operating cash flow to net income ratio is 0.34 TTM, indicating weak cash conversion. The free cash flow to net income ratio is -9.42 TTM, further emphasizing cash flow challenges. These factors suggest potential liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.98M	56.29M	68.18M	56.69M	53.03M	38.60M
Gross Profit	39.04M	51.53M	61.20M	52.43M	46.91M	35.25M
EBITDA	-22.89M	21.51M	23.28M	17.79M	19.45M	15.96M
Net Income	37.05M	40.90M	20.58M	14.32M	17.22M	14.01M
Balance Sheet
Total Assets	522.60M	239.83M	78.06M	62.69M	50.67M	34.64M
Cash, Cash Equivalents and Short-Term Investments	13.48M	14.92M	57.20M	43.09M	37.32M	22.08M
Total Debt	96.28M	70.00K	160.00K	245.00K	325.00K	332.00K
Total Liabilities	139.19M	9.08M	6.27M	7.02M	5.13M	4.85M
Stockholders Equity	383.41M	230.75M	71.80M	55.68M	45.55M	29.79M
Cash Flow
Free Cash Flow	-117.31M	24.36M	20.50M	15.30M	15.23M	14.36M
Operating Cash Flow	12.46M	24.41M	21.33M	17.46M	16.06M	15.42M
Investing Cash Flow	-366.41M	-189.98M	18.40M	-26.84M	-825.00K	-1.31M
Financing Cash Flow	360.10M	117.19M	-5.41M	-4.94M	13.00K	230.00K

Semler Scientific Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 28.31
• 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 Negative. The current price of 28.31 is below the 20-day moving average (MA) of 29.25, below the 50-day MA of 32.78, and below the 200-day MA of 41.01, indicating a bearish trend. The MACD of -0.58 indicates Negative momentum. The RSI at 41.50 is Neutral, neither overbought nor oversold. The STOCH value of 33.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMLR.

Semler Scientific Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SMLR	64 Neutral	$428.68M	11.66	16.04%	―	-30.39%	46.15%
VREX	57 Neutral	$500.49M	-3.72	-29.10%	―	-1.36%	-479.49%
KIDS	52 Neutral	$458.35M	-10.17	-11.75%	―	26.08%	-63.67%
CTKB	51 Neutral	$432.56M	-66.54	-1.70%	―	-0.85%	61.31%
CBLL	51 Neutral	$416.87M	-8.28	-21.16%	―	―	―
SRDX	43 Neutral	$428.07M	-24.21	-15.84%	―	-0.02%	-1196.44%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Semler Scientific Corporate Events

Semler Scientific’s Stockholder Meeting Approves Key Proposals

On September 5, 2025, Semler Scientific held its annual meeting of stockholders where several key proposals were voted upon. Stockholders elected William H.C. Chang as a Class I Director and approved the executive compensation on a non-binding advisory basis. They also approved an amendment to increase the authorized shares of common stock from 50 million to 210 million. However, the proposal to authorize the issuance of 42 million shares of ‘blank-check’ preferred stock was not approved. Additionally, the selection of BDO USA, P.C. as the independent registered public accounting firm for 2025 was ratified.

Semler Scientific Acquires Bitcoin Amid Equity Offering

Semler Scientific has announced updates regarding its financial activities, including a Controlled Equity Offering℠ Sales Agreement entered on April 15, 2025, allowing the company to issue and sell up to $500 million of its common stock. By July 23, 2025, the company had raised approximately $194.3 million through this program. Additionally, Semler Scientific acquired 175 Bitcoin between July 17 and July 23, 2025, using proceeds from the ATM offering, and held a total of 5,021 Bitcoin valued at $594.8 million as of July 23, 2025. The company reported a BTC Yield of 31.3% year-to-date, indicating a strategic focus on enhancing shareholder value through Bitcoin investments.

Semler Scientific Launches Bitcoin Holdings Dashboard

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

Semler Scientific Launches Bitcoin Holdings Dashboard

Semler Scientific has launched a website dashboard to disclose information about its Bitcoin holdings, market data, and key performance indicators to comply with Regulation FD. This initiative aims to provide transparent and broad distribution of material information, encouraging investors to regularly review the updates.

Semler Scientific Launches CardioVanta Subsidiary for Healthcare

On June 24, 2025, Semler Scientific announced the creation of CardioVanta, Inc., a wholly-owned subsidiary dedicated to its future healthcare business activities. This strategic move aims to enhance the company’s focus on early detection of heart-related conditions and involves seeking external investment to support its initial capital requirements, potentially impacting its market positioning and stakeholder interests.

Semler Scientific Updates Bylaws for Compliance Clarity

On June 22, 2025, Semler Scientific‘s board of directors approved the Fifth Amended and Restated Bylaws, effective immediately. This amendment was made to clarify compliance with Delaware General Corporation Law and to align with the company’s certificate of incorporation, potentially impacting corporate governance and operational clarity.

Semler Scientific Appoints Joe Burnett for Bitcoin Strategy

On June 19, 2025, Semler Scientific, Inc. announced the appointment of Joe Burnett as director of Bitcoin strategy. The company also revealed its ambitious plan to acquire 10,000 Bitcoins by the end of 2025, 42,000 by the end of 2026, and 105,000 by the end of 2027, utilizing funds from equity and debt financings as well as cash flows from operations.