Spectral Medical (EDT) AI Stock Analysis

• Market Cap: C$383.26M
• Dividend Yield: N/A
• Average Volume (3M): 78.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: 34.85%
• EPS Growth: -62.50%
• Country: CA
• Employees: 29
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): -0.11
• Shares Outstanding: 292,562,930
• 10 Day Avg. Volume: 98,063
• 30 Day Avg. Volume: 78,934
• PEG Ratio: 3.66
• Price to Book (P/B): -5.10
• Price to Sales (P/S): 61.48
• P/FCF Ratio: -15.89
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$3.50
• Price Target Upside: 165.06% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): C$5.48M

• Rating: 45 Neutral
• Price Target: C$1.50 ▲(13.64% Upside)
• Action: Reiterated Date: 01/04/26
• Date: Action: Reiterated 01/04/26

The score is weighed down primarily by weak financial performance—large ongoing losses, persistent cash burn, negative equity, and rising debt—implying high funding risk. Technicals are moderately supportive with mild positive momentum, but valuation remains constrained by negative earnings and no dividend data.

Positive Factors

Revenue Growth

The company has demonstrated significant revenue growth, which indicates increasing demand for its products and potential market expansion.

Market Demand

Rising sepsis cases and focus on advanced therapeutics enhance demand for Spectral Medical's core product, supporting long-term growth.

Strategic Partnerships

Collaborations with medical institutions and companies can enhance product offerings and expand market reach, supporting sustainable growth.

Negative Factors

Financial Stability

Negative equity and rising debt levels indicate potential solvency issues, which could limit the company's ability to invest in growth.

Cash Flow Challenges

Persistent negative cash flow suggests difficulties in sustaining operations without external financing, impacting long-term viability.

Profitability Concerns

Ongoing losses and negative profit margins highlight operational challenges, questioning the company's ability to achieve profitability.

Spectral Medical Business Overview & Revenue Model

Company Description

Spectral Medical Inc., together with its subsidiaries, focuses on the development and commercialization of products for the treatment of septic shock and renal disease in North America. The company markets Endotoxin Activity Assay, a rapid in vitro diagnostic test for the detection of components of gram negative bacterial cell wall; and Polymyxin B Hemoperfusion, a therapeutic hemoperfusion device that removes endotoxin from the bloodstream. It also develops and manufactures monoclonal and polyclonal antibodies, recombinant cardiac proteins, and calibrators for use in the research and development, as well as products that are manufactured by other diagnostic companies; and develops platform for renal replacement therapy. The company was formerly known as Spectral Diagnostics Inc. and changed its name to Spectral Medical Inc. in December 2014. Spectral Medical Inc. was incorporated in 1991 and is headquartered in Toronto, Canada.

How the Company Makes Money

Spectral Medical generates revenue primarily through the sale of its medical devices, specifically the Toraymyxin product, which is sold to hospitals and healthcare providers treating critically ill patients. The company also engages in strategic partnerships and collaborations with other medical institutions and companies to enhance its product offerings and expand market reach. Additionally, it may explore licensing agreements and research grants, contributing to its revenue streams. The increasing prevalence of sepsis and the growing focus on advanced therapeutic solutions in critical care settings further drive demand for its products.

Spectral Medical Financial Statement Overview

Summary

Despite modest revenue growth and a meaningful gross margin improvement, the company continues to report very large operating and net losses, sustained negative operating/free cash flow, negative and worsening equity, and rising debt—indicating elevated funding and balance-sheet risk.

Income Statement

TTM (Trailing-Twelve-Months) revenue is modestly higher (+6.8% growth), and gross margin improved meaningfully versus 2024 (about 67% vs ~45%), showing better unit economics. However, profitability remains very weak: the company continues to post large operating losses and a very large net loss in TTM, with deeply negative margins, indicating costs are far outpacing the revenue base. Overall, improving gross profit trends are outweighed by persistent and widening losses.

Balance Sheet

The balance sheet is highly stressed, with stockholders’ equity negative across recent periods and worsening in TTM (more negative than 2024), which signals accumulated losses and limited balance-sheet flexibility. Debt has also increased (TTM higher than 2024), while total assets remain relatively small, implying elevated financial risk and dependence on external funding. The main positive is that the company still reports material assets, but the negative equity and rising leverage dominate the risk profile.

Cash Flow

Cash generation remains a key weakness: operating cash flow is consistently negative and stayed deeply negative in TTM, with free cash flow also negative and deteriorating versus 2024 (negative free cash flow growth). A modestly favorable point is that free cash flow and net loss move closely together (cash burn broadly tracks reported losses), but the scale and persistence of cash burn suggest ongoing funding needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.71M	2.29M	1.60M	1.67M	2.00M	2.10M
Gross Profit	1.82M	1.02M	662.00K	983.00K	1.16M	1.47M
EBITDA	-36.83M	-11.97M	-13.96M	-7.18M	-6.38M	-8.76M
Net Income	-41.70M	-15.40M	-15.66M	-11.28M	-8.79M	-9.10M
Balance Sheet
Total Assets	8.13M	5.32M	5.21M	12.00M	11.55M	8.16M
Cash, Cash Equivalents and Short-Term Investments	5.89M	2.99M	2.95M	8.41M	8.89M	5.81M
Total Debt	20.96M	14.93M	8.56M	7.57M	582.00K	667.00K
Total Liabilities	76.79M	32.87M	21.76M	14.55M	7.47M	8.83M
Stockholders Equity	-68.66M	-27.55M	-16.55M	-2.55M	4.08M	-669.00K
Cash Flow
Free Cash Flow	-9.14M	-8.85M	-10.91M	-9.93M	-9.18M	-639.00K
Operating Cash Flow	-9.11M	-8.82M	-10.72M	-9.90M	-8.70M	-324.00K
Investing Cash Flow	-194.00K	-27.00K	-185.00K	-33.00K	-325.00K	-297.00K
Financing Cash Flow	9.44M	8.88M	5.44M	9.46M	12.16M	5.18M

Spectral Medical Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EDT, the sentiment is Negative. The current price of 1.32 is below the 20-day moving average (MA) of 1.33, below the 50-day MA of 1.34, and above the 200-day MA of 1.22, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 47.82 is Neutral, neither overbought nor oversold. The STOCH value of 36.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:EDT.

Spectral Medical Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPH	78 Outperform	C$376.99M	12.81	16.32%	―	94.28%	5.23%
KSI	55 Neutral	C$368.78M	-198.83	-2.45%	―	33.27%	86.18%
PRN	55 Neutral	C$368.00M	-6.49	-127.60%	―	72.03%	-1.47%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
BUX	47 Neutral	C$65.16M	-32.47	―	―	-21.89%	26.36%
EDT	45 Neutral	C$383.26M	-3.46	―	―	34.85%	-62.50%
SONA	41 Neutral	C$40.68M	-21.43	-2846.90%	―	―	10.97%

Spectral Medical Corporate Events

Spectral Medical Reports Positive Tigris Trial Results and Prepares for FDA Submission

Spectral Medical announced positive results from its Phase 3 Tigris trial, which demonstrated significant survival benefits for patients with endotoxic septic shock using its PMX treatment. The company is preparing for a Premarket Approval submission to the FDA, now targeted for Q1 2026, and is collaborating with Vantive on commercialization efforts. This progress positions Spectral for a strong market entry and potential FDA approval, which could significantly impact its operations and market positioning.

The most recent analyst rating on (TSE:EDT) stock is a Hold with a C$1.50 price target. To see the full list of analyst forecasts on Spectral Medical stock, see the TSE:EDT Stock Forecast page.