Tenon Medical, Inc. (TNON) AI Stock Analysis

• Market Cap: $10.39M
• Dividend Yield: N/A
• Average Volume (3M): 189.55K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.31
• Revenue Growth: -2.47%
• EPS Growth: 91.23%
• Country: US
• Employees: 27
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): -0.40
• Shares Outstanding: 8,879,220
• 10 Day Avg. Volume: 240,436
• 30 Day Avg. Volume: 189,548
• PEG Ratio: <0.01
• Price to Book (P/B): 0.38
• Price to Sales (P/S): 0.70
• P/FCF Ratio: -0.23
• Enterprise Value/Market Cap: 0.35
• Enterprise Value/Revenue: 1.12
• Enterprise Value/Gross Profit: 2.13
• Enterprise Value/Ebitda: -0.29
• 1Y Price Target: $2.75
• Price Target Upside: 157.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: $1.00 ▼(-6.54% Downside)

Tenon Medical, Inc. faces significant challenges with profitability and technical indicators suggest bearish momentum. Despite strong revenue growth and strategic product launches, the company's reliance on external funding and negative valuation metrics weigh heavily on its overall score.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong market demand and successful product integration, enhancing long-term business prospects.

Product Innovation

FDA clearance for new products strengthens Tenon's competitive position and supports future revenue growth through expanded offerings.

Strong Clinical Data

Positive clinical outcomes enhance product credibility and adoption, supporting long-term growth through increased market penetration.

Negative Factors

Profitability Challenges

Ongoing net losses highlight profitability challenges, which could strain resources and limit reinvestment in growth initiatives.

Cash Flow Reliance

Negative cash flow dependence on external financing could impact financial stability and flexibility, hindering long-term growth.

Increased Operating Expenses

Rising operating expenses reduce profitability, necessitating improved cost management to ensure sustainable financial health.

Tenon Medical, Inc. Business Overview & Revenue Model

Company Description

Tenon Medical, Inc., a medical device company, develops surgical implant systems to optimize sacroiliac joint fixation/fusion surgery and corresponding outcomes. It sells The CATAMARAN SIJ Fusion System that includes instruments and implants designed to prepare and fixate the SI-Joint for fusion in the United States and Puerto Rico. The company was founded in 2012 and is based in Los Gatos, California.

How the Company Makes Money

Tenon Medical primarily generates revenue through the sale of its spinal implants and related surgical instruments to hospitals and surgical centers. The company’s revenue model is based on direct sales to healthcare providers, which involves establishing long-term contracts and relationships with hospitals and orthopedic practices. Key revenue streams include the sale of its proprietary spinal implant systems and accessories, as well as potential licensing agreements for its technologies. Additionally, strategic partnerships with healthcare institutions and participation in surgical training programs contribute to increased product adoption and, ultimately, revenue growth.

Tenon Medical, Inc. Financial Statement Overview

Summary

Tenon Medical, Inc. shows strong revenue growth potential but faces challenges with profitability. The company benefits from low leverage and a healthy equity ratio, yet relies heavily on external funding due to negative cash flows and income. Improved cost management is crucial for future financial health.

Income Statement

Tenon Medical, Inc. has shown significant revenue growth over the years, with a 11.91% increase in 2024. However, the company is still experiencing negative net income, leading to a negative net profit margin. The gross profit margin is 52.23%, indicating potential for profitability if cost control can be improved. The EBIT and EBITDA margins are negative due to high operating expenses relative to revenue.

Balance Sheet

The company's debt-to-equity ratio is low at 0.07, which is favorable and suggests low financial leverage. However, the return on equity is negative due to consistent net losses. The equity ratio is 60.67%, indicating a strong equity position relative to total assets, but the overall financial stability is impacted by recurring losses.

Cash Flow

Tenon Medical, Inc.'s operating cash flow remains negative, though there has been an improvement over the previous year. The free cash flow is also negative, but financing cash flow is positive, indicating reliance on external financing to sustain operations. The operating cash flow to net income ratio is not optimal due to ongoing losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.23M	3.28M	2.93M	691.00K	160.00K	43.82K
Gross Profit	1.69M	1.71M	1.24M	-641.00K	105.00K	25.56K
EBITDA	-12.41M	-12.98M	-15.13M	-18.27M	-6.35M	-537.52K
Net Income	-12.81M	-13.67M	-15.58M	-18.92M	-7.05M	-585.18K
Balance Sheet
Total Assets	10.37M	9.84M	6.34M	11.09M	9.27M	390.90K
Cash, Cash Equivalents and Short-Term Investments	3.44M	6.54M	2.43M	8.57M	7.32M	245.63K
Total Debt	216.00K	428.00K	1.86M	911.00K	14.62M	574.98K
Total Liabilities	5.57M	3.87M	5.57M	4.84M	29.82M	1.83M
Stockholders Equity	4.80M	5.97M	778.00K	6.25M	-20.55M	-3.14M
Cash Flow
Free Cash Flow	-11.34M	-10.06M	-12.54M	-12.87M	-4.39M	-167.36K
Operating Cash Flow	-11.30M	-9.88M	-12.18M	-12.03M	-4.29M	-167.36K
Investing Cash Flow	-794.00K	-186.00K	6.14M	-2.88M	-4.50M	0.00
Financing Cash Flow	6.37M	14.13M	6.30M	14.11M	11.47M	254.80K

Tenon Medical, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TNON, the sentiment is Negative. The current price of 1.07 is below the 20-day moving average (MA) of 1.14, below the 50-day MA of 1.18, and below the 200-day MA of 1.21, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 47.83 is Neutral, neither overbought nor oversold. The STOCH value of 60.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TNON.

Tenon Medical, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVNO	58 Neutral	$13.14M	-0.57	-57.19%	―	―	18.94%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
PAVM	48 Neutral	$10.04M	0.32	20.03%	―	-99.28%	-46.16%
TNON	44 Neutral	$10.39M	-0.20	-197.26%	―	-2.47%	91.23%
SSKN	44 Neutral	$9.66M	-0.61	-207.19%	―	-5.19%	-0.81%
LFWD	43 Neutral	$9.39M	―	-127.95%	―	-2.02%	-32.93%
HSCS	39 Underperform	$6.67M	―	-193.24%	―	-66.40%	65.99%

Tenon Medical, Inc. Corporate Events

Tenon Medical Reports Q3 2025 Financial Results

Tenon Medical, Inc. is a medical device company specializing in innovative solutions for sacro-pelvic disorders, with a focus on the U.S. market. The company recently released its earnings report for the quarter ending September 30, 2025, highlighting its financial performance and strategic developments. The report shows a slight increase in revenue to $1.173 million compared to the previous year, but the company continues to face challenges with a net loss of $3.339 million for the quarter. Key financial metrics include a gross profit of $773,000 and total operating expenses of $4.165 million. The company’s recent acquisitions of SiVantage, Inc. and SIMPL Medical, LLC are expected to enhance its product offerings and market reach. Looking ahead, Tenon Medical’s management remains focused on expanding its market presence and improving financial performance, despite the current financial challenges.

Tenon Medical Issues Restricted Stock Units to Directors

On October 13, 2025, Tenon Medical, Inc. issued 866,642 restricted stock units (RSUs) to its directors and officers under its 2022 Equity Incentive Plan. These RSUs will vest in two installments, with 50% converting into common stock on January 1, 2026, and the remaining 50% on July 31, 2026, utilizing an exemption from the Securities Act of 1933.

The most recent analyst rating on (TNON) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on Tenon Medical, Inc. stock, see the TNON Stock Forecast page.

Tenon Medical Approves Key Proposals at Annual Meeting

Tenon Medical, Inc. held its 2025 Annual Meeting of Stockholders virtually on September 18, 2025, after previous sessions were adjourned due to a lack of quorum. During the meeting, stockholders voted on several key proposals, including the election of seven board members, the approval of warrant exercisability, amendments to the 2022 Equity Incentive Plan, and the ratification of Haskell & White LLP as the independent auditor for 2025. All proposals were approved, indicating strong shareholder support for the company’s strategic decisions.

The most recent analyst rating on (TNON) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on Tenon Medical, Inc. stock, see the TNON Stock Forecast page.

Tenon Medical’s Earnings Call: Strategic Growth Amid Challenges

During Tenon Medical, Inc.’s recent earnings call, the company conveyed a strategic focus on growth through acquisitions and product development, while demonstrating significant financial discipline. Despite these positive strides, the company reported a decline in revenue and gross profit, which contributed to a net loss for the quarter.

Tenon Medical Reports Q2 2025 Financial Results

Tenon Medical, Inc. is a medical device company based in Los Gatos, California, specializing in innovative solutions for sacroiliac joint disorders, with a focus on the U.S. market. In its latest earnings report for the quarter ending June 30, 2025, Tenon Medical reported a decrease in revenue to $564,000 from $901,000 in the same quarter of the previous year. The company also recorded a net loss of $2.8 million, an improvement from the $3.8 million loss in the prior year. Despite the revenue decline, Tenon Medical’s cash position improved to $7.8 million, up from $6.5 million at the end of 2024, primarily due to successful financing activities. The company continues to face challenges with operating expenses, which totaled $3.1 million for the quarter, but it remains focused on its strategic initiatives, including the commercialization of The Catamaran System. Looking ahead, Tenon Medical’s management is committed to addressing its financial challenges and exploring opportunities for growth and expansion in the medical devices industry.