TransMedics Group (TMDX) AI Stock Analysis

• Market Cap: $4.56B
• Dividend Yield: N/A
• Average Volume (3M): 958.97K
• Price to Earnings (P/E): 53.9
• Beta (1Y): 1.16
• Revenue Growth: 41.20%
• EPS Growth: 173.53%
• Country: US
• Employees: 728
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.66
• Shares Outstanding: 34,174,324
• 10 Day Avg. Volume: 720,909
• 30 Day Avg. Volume: 958,970
• PEG Ratio: -0.24
• Price to Book (P/B): 9.06
• Price to Sales (P/S): 4.69
• P/FCF Ratio: -25.60
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 8.17
• Enterprise Value/Gross Profit: 13.55
• Enterprise Value/Ebitda: 34.97
• 1Y Price Target: $143.67
• Price Target Upside: 7.64% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): 2.59
• Revenue Forecast (FY): $600.89M

• Rating: 78 Outperform
• Price Target: $153.00 ▲(14.63% Upside)

TransMedics Group's overall stock score is driven by strong financial performance and positive earnings call sentiment. The company's robust revenue growth, improved profitability, and strategic initiatives contribute significantly to the score. Technical analysis supports a stable outlook, though the high P/E ratio suggests the stock may be overvalued. The absence of corporate events and dividend yield slightly tempers the overall score.

Positive Factors

Revenue Growth

The strong revenue growth indicates expanding market reach and successful adoption of TransMedics' innovative technology, supporting long-term business sustainability.

Cash Generation

Robust cash generation and a strong cash position enhance financial stability and provide resources for strategic investments and growth initiatives.

FDA Approval

FDA approval for new products can drive future revenue growth and strengthen market position by expanding the product portfolio and addressing unmet medical needs.

Negative Factors

High Leverage

While leverage has improved, high debt levels can constrain financial flexibility and increase risk, potentially impacting long-term financial health.

Seasonality Impact

Seasonal fluctuations can affect revenue consistency and predictability, posing challenges to maintaining steady growth and operational planning.

Competitive Pressure

Competitive pressures and market noise can impact market perception and require strategic responses to maintain competitive advantages and market share.

TransMedics Group Business Overview & Revenue Model

Company Description

TransMedics Group, Inc. (TMDX) is a pioneering medical technology company focused on transforming the transplant process for organs, particularly hearts, lungs, and livers. The company has developed the Organ Care System (OCS), a novel platform that allows for the preservation and transport of donor organs in a near-physiological state, thereby increasing the viability and success rates of organ transplants. TMDX operates primarily within the healthcare and medical device sectors, targeting hospitals and transplant centers to improve patient outcomes and expand the availability of transplantable organs.

How the Company Makes Money

TransMedics generates revenue primarily through the sale of its Organ Care Systems and related disposable products used in the organ preservation and transplantation process. The company earns revenue by leasing the OCS devices to hospitals and transplant centers, which includes a fee for each organ transported using the system. Additionally, TMDX benefits from recurring revenues through the sale of disposables that accompany the use of the OCS, such as perfusion kits and other single-use components. Strategic partnerships with hospitals, transplant programs, and organ procurement organizations also contribute to the company’s growth and revenue, as they expand the network of facilities adopting TransMedics' innovative technology.

TransMedics Group Financial Statement Overview

Summary

TransMedics Group exhibits strong financial health with significant improvements in revenue growth, profitability, and cash flow generation. The income statement shows robust revenue growth and improved profit margins. The balance sheet indicates better leverage management, though the debt-to-equity ratio remains relatively high. Cash flow performance is particularly strong, with substantial growth in free cash flow and efficient cash conversion.

Income Statement

TransMedics Group has demonstrated strong revenue growth with a 6.6% increase in the TTM period, supported by a solid gross profit margin of 59.8%. The net profit margin improved significantly to 13.5% from 8.0% in the previous year, indicating enhanced profitability. EBIT and EBITDA margins also showed positive trends, reflecting operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio has improved from 2.27 to 1.63, indicating better leverage management, though it remains relatively high. Return on equity has increased to 28.0%, showcasing strong profitability relative to equity. However, the equity ratio remains moderate, suggesting a balanced asset structure.

Cash Flow

TransMedics Group's cash flow performance is robust, with a remarkable 595.3% growth in free cash flow. The operating cash flow to net income ratio of 2.04 indicates strong cash generation relative to earnings. The free cash flow to net income ratio has improved, reflecting better cash conversion efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	566.35M	441.54M	241.62M	93.46M	30.26M	25.64M
Gross Profit	341.40M	262.08M	154.09M	65.27M	21.16M	16.64M
EBITDA	132.27M	69.95M	-7.70M	-28.96M	-38.49M	-23.15M
Net Income	91.77M	35.46M	-25.03M	-36.23M	-44.22M	-28.75M
Balance Sheet
Total Assets	946.03M	804.08M	706.05M	277.15M	134.89M	152.03M
Cash, Cash Equivalents and Short-Term Investments	466.17M	336.65M	394.81M	201.18M	92.45M	125.64M
Total Debt	464.75M	518.29M	515.95M	67.56M	43.80M	34.66M
Total Liabilities	590.83M	575.47M	568.85M	89.77M	67.04M	48.13M
Stockholders Equity	355.20M	228.60M	137.20M	187.38M	67.85M	103.89M
Cash Flow
Free Cash Flow	120.65M	-80.94M	-192.09M	-57.72M	-32.38M	-30.72M
Operating Cash Flow	177.99M	48.80M	-13.03M	-45.82M	-28.86M	-30.27M
Investing Cash Flow	-57.34M	-129.30M	-193.95M	54.51M	29.27M	-41.60M
Financing Cash Flow	14.94M	22.87M	400.42M	167.93M	1.39M	75.55M

TransMedics Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 133.47
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TMDX, the sentiment is Positive. The current price of 133.47 is above the 20-day moving average (MA) of 124.59, above the 50-day MA of 119.81, and above the 200-day MA of 106.85, indicating a neutral trend. The MACD of 0.29 indicates Positive momentum. The RSI at 52.08 is Neutral, neither overbought nor oversold. The STOCH value of 62.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TMDX.

TransMedics Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TMDX	78 Outperform	$4.56B	53.91	32.48%	―	41.20%	173.53%
INSP	71 Outperform	$2.42B	57.22	6.54%	―	16.81%	34.90%
ITGR	61 Neutral	$2.37B	28.33	5.18%	―	7.81%	-26.32%
ATEC	58 Neutral	$2.91B	―	-540.40%	―	27.11%	17.66%
LIVN	58 Neutral	$2.94B	―	-17.63%	―	8.97%	-1024.86%
GKOS	52 Neutral	$5.54B	―	-12.19%	―	30.38%	47.64%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

TransMedics Group Corporate Events

TransMedics Group’s Earnings Call Highlights Robust Growth and Strategic Expansion

TransMedics Group’s recent earnings call revealed a balanced yet optimistic outlook for the company, highlighting significant achievements alongside some challenges. The call underscored strong year-over-year growth, particularly in revenue and operating margins, while also addressing issues such as a seasonal slowdown and sequential revenue decline. Overall, the sentiment was positive, with more highlights than lowlights, reflecting the company’s robust performance and strategic initiatives.

TransMedics Group Reports Strong Q3 2025 Results

TransMedics Group, Inc. is a medical technology company based in Andover, Massachusetts, specializing in portable extracorporeal warm perfusion and assessment of donor organs for transplantation, aiming to improve the availability and quality of organs for patients with end-stage heart, lung, and liver failure.

TransMedics’ ENHANCE Trial: A Game-Changer in Heart Transplantation?

TransMedics Group is spearheading a pivotal clinical trial titled Enhancing Heart Allograft Function With the OCS Heart System (ENHANCE) Trial. The study aims to assess the safety and effectiveness of the novel OCS Solution and OCS Functional Enhancer in heart transplantation, specifically comparing its performance to the traditional Static Cold Storage (SCS) method. This trial is significant as it seeks to support FDA approval for the OCS system in both donation after brain death (DBD) and donation after circulatory death (DCD) heart transplants, potentially demonstrating superiority over existing methods.

TransMedics’ OCS Lung Registry: A Game-Changer for Lung Transplants?

The US National OCS Lung Thoracic Organ Perfusion (TOP) Registry, led by TransMedics, aims to gather comprehensive data on clinical outcomes for lung transplants using the OCS Lung System. This study is significant as it evaluates the real-world performance of the OCS device post-FDA approval, focusing on both short and long-term outcomes for lung transplant patients.

TransMedics’ OCS Heart System: A Game Changer in Heart Transplantation?

Study Overview: The US National OCS Heart Perfusion (OHP) Registry, officially titled the same, is a sponsor-initiated, multi-center, observational post-approval registry with independent academic oversight. Its primary objective is to evaluate the outcomes of heart transplant recipients who receive donor hearts perfused using the OCS Heart System, highlighting its significance in potentially expanding donor heart utilization.

TransMedics Group Acquires Aircraft for Organ Transport

On October 3, 2025, TransMedics, Inc., a subsidiary of TransMedics Group, acquired a fixed-wing aircraft from Teaghlach Aviation, LLC for approximately $14.5 million. This acquisition is part of a series of transactions to build a fleet of 22 aircraft, aimed at enhancing the company’s capabilities in transporting donor organs for its National OCS Program.

The most recent analyst rating on (TMDX) stock is a Buy with a $150.00 price target. To see the full list of analyst forecasts on TransMedics Group stock, see the TMDX Stock Forecast page.