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Quipt Home Medical (TSE:QIPT)
TSX:QIPT
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Quipt Home Medical (QIPT) AI Stock Analysis

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TSE:QIPT

Quipt Home Medical

(TSX:QIPT)

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Neutral 48 (OpenAI - 4o)
Rating:48Neutral
Price Target:
C$3.50
▲(1.45% Upside)
Quipt Home Medical's overall stock score reflects significant challenges in financial performance and valuation, primarily due to declining profitability and a negative P/E ratio. Technical analysis indicates bearish conditions, though there is potential for a rebound. The earnings call provided some positive insights into strategic growth initiatives, but ongoing financial challenges weigh heavily on the score.
Positive Factors
Strategic Partnerships
Strategic partnerships with major health systems expand Quipt's geographical reach and service offerings, enhancing market position and driving long-term growth.
Recurring Revenue
A high percentage of recurring revenue provides a stable and predictable income stream, supporting financial stability and long-term planning.
Joint Venture with Hart Medical
The joint venture with Hart Medical Equipment enhances Quipt's scale and revenue base, contributing to operational efficiency and market expansion.
Negative Factors
Declining Revenue
A year-over-year decline in revenue indicates challenges in maintaining market share and could impact long-term financial performance if not addressed.
Increased Operating Expenses
Rising operating expenses can erode profit margins and reduce financial flexibility, posing a risk to long-term profitability if not controlled.
Net Loss Increase
An increasing net loss highlights ongoing profitability issues, which can strain resources and hinder investment in growth initiatives.

Quipt Home Medical (QIPT) vs. iShares MSCI Canada ETF (EWC)

Quipt Home Medical Business Overview & Revenue Model

Company DescriptionQuipt Home Medical (QIPT) is a leading provider of in-home monitoring and disease management services, offering a comprehensive range of products and services to support patients with chronic illnesses. Operating primarily in the healthcare sector, Quipt Home Medical specializes in providing durable medical equipment (DME) such as respiratory devices, sleep apnea equipment, and mobility aids. The company is dedicated to improving the quality of life for patients by facilitating effective home-based healthcare solutions.
How the Company Makes MoneyQuipt Home Medical makes money through the sale and rental of durable medical equipment (DME) and the provision of related healthcare services. The company's key revenue streams include insurance reimbursements from government and private health insurers, direct sales to patients, and rental income from equipment provided to patients on a temporary basis. Significant factors contributing to its earnings include the growing demand for home-based healthcare solutions, strategic partnerships with healthcare providers, and a focus on expanding its service offerings and geographical reach to meet the needs of an aging population.

Quipt Home Medical Earnings Call Summary

Earnings Call Date:Aug 11, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Dec 22, 2025
Earnings Call Sentiment Neutral
Quipt Home Medical demonstrated important strategic expansions and maintained a steady adjusted EBITDA margin, indicating resilience and potential for future growth. However, there were declines in revenue year-over-year, a decrease in the customer base, and increased operating expenses, which highlight some ongoing challenges.
Q3-2025 Updates
Positive Updates
Revenue Stabilization and Organic Growth
Revenue for fiscal Q3 2025 was $58.3 million, a return to positive quarter-over-quarter organic growth of 1.6%, compared to $57.4 million in Q2 2025.
Strategic Health System Partnerships
Quipt announced partnerships with major health systems including Ballad Health and a joint venture with Henry Ford Health, McLaren Health, and Blanchard Valley Health, expanding presence into Michigan and Ohio.
Consistent Adjusted EBITDA Margin
Adjusted EBITDA margin remained steady at 23.5% in Q3 2025, showing consistent performance despite a dynamic environment.
Expansion and Infrastructure Growth
With over 160 locations across 27 states, Quipt serves over 325,000 active patients, supporting scalability and efficiency.
Strong Recurring Revenue
Recurring revenue for Q3 2025 was robust at 81% of total revenue, indicating a stable revenue stream.
Joint Venture with Hart Medical Equipment
The joint venture adds immediate scale with Hart generating approximately $60 million in revenue and $7 million in adjusted EBITDA.
Negative Updates
Decrease in Customer Base and Setups
The company's customer base decreased, serving 151,000 unique patients as of June 30, 2025 compared to 153,000 in 2024, and setups/deliveries decreased from 216,000 in Q3 2024 to 210,000 in Q3 2025.
Revenue Decline Year-Over-Year
Revenue for fiscal Q3 2025 decreased by 4.1% to $58.3 million from $60.8 million in Q3 2024.
Increased Operating Expenses
Operating expenses as a percentage of revenue rose to 53.3% in Q3 2025 from 50.4% in the corresponding period in 2024.
Net Loss Increase
Net loss for Q3 2025 was $3 million or $0.07 per diluted share, compared to $1.6 million loss or $0.04 per diluted share in Q3 2024.
Decrease in Cash on Hand
The company reported $11.3 million of cash on hand as of June 30, 2025, down from $17.1 million as of March 31, 2025.
Company Guidance
During the third quarter of fiscal year 2025, Quipt Home Medical Corp. reported a return to positive organic growth and revenue stabilization. The company achieved $58.3 million in revenue, reflecting a 1.6% quarter-over-quarter increase, though it was a 4.1% decrease from the previous year's quarter. Adjusted EBITDA margin was consistent at 23.5%, with adjusted EBITDA totaling $13.7 million. Despite a net loss of $3 million or $0.07 per diluted share, cash flow from operations improved to $27.9 million for the nine months ended June 30, 2025. The company completed 210,000 unique setups/deliveries and maintained strong recurring revenue at 81% of total revenue. Quipt also announced a strategic joint venture with Hart Medical Equipment, enhancing their Midwest presence and projecting an annualized run rate revenue of roughly $300 million. This joint venture is expected to provide an immediate scale, with Hart generating approximately $60 million in revenue and $7 million in adjusted EBITDA as of June 30, 2025. The company's focus remains on operational excellence, with strategic expansions and partnerships set to drive long-term growth and shareholder value.

Quipt Home Medical Financial Statement Overview

Summary
Quipt Home Medical shows strong revenue growth and solid cash flow management, but struggles with net profitability and rising liabilities. The company's financial health is supported by consistent operational cash flow, indicating potential for improved profitability with strategic adjustments.
Income Statement
45
Neutral
Quipt Home Medical has demonstrated consistent revenue growth, with a revenue increase from $221.74 million in 2023 to $241.93 million in TTM 2024, highlighting positive sales momentum. However, despite growing revenues and gross profit margins (71.6% in TTM 2024), profitability remains a challenge, as indicated by negative net income margins (-3% in TTM 2024). The EBIT margin is marginally positive, suggesting minimal operational profitability.
Balance Sheet
55
Neutral
The company's balance sheet shows a moderate debt-to-equity ratio of 0.95 in TTM 2024, reflecting balanced leverage. However, the return on equity is concerning due to negative net income, affecting shareholder returns. The equity ratio remains stable at approximately 43.8%, indicating a sound capital structure but with limited financial flexibility due to rising liabilities.
Cash Flow
50
Neutral
Quipt Home Medical exhibits robust cash flow management, with a healthy free cash flow of $20.52 million in TTM 2024. The operating cash flow to net income ratio is strong, showcasing effective cash generation from operations despite net losses. Free cash flow growth has been variable, but the company maintains a solid cash position to support future investments and operations.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue229.68M245.91M211.68M139.86M102.35M72.64M
Gross Profit164.24M176.99M153.78M106.65M74.18M52.70M
EBITDA48.06M51.07M44.07M28.05M13.21M12.80M
Net Income-10.26M-6.76M-2.78M4.84M-6.17M-4.57M
Balance Sheet
Total Assets236.09M247.25M247.41M132.21M108.57M53.95M
Cash, Cash Equivalents and Short-Term Investments11.25M16.17M17.21M8.52M34.61M21.88M
Total Debt92.35M99.80M97.96M10.93M27.05M17.17M
Total Liabilities133.56M140.06M136.29M52.67M49.95M32.81M
Stockholders Equity102.54M107.19M111.11M79.55M58.62M21.14M
Cash Flow
Free Cash Flow20.66M25.07M33.75M17.38M13.65M
Operating Cash Flow34.65M35.38M40.54M26.34M18.69M
Investing Cash Flow-12.97M-10.31M-82.83M-42.49M-17.84M
Financing Cash Flow-24.79M-26.15M50.87M-9.85M3.91M10.48M

Quipt Home Medical Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price3.45
Price Trends
50DMA
3.45
Negative
100DMA
3.08
Positive
200DMA
3.30
Positive
Market Momentum
MACD
-0.02
Positive
RSI
43.86
Neutral
STOCH
39.69
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:QIPT, the sentiment is Neutral. The current price of 3.45 is below the 20-day moving average (MA) of 3.62, below the 50-day MA of 3.45, and above the 200-day MA of 3.30, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 43.86 is Neutral, neither overbought nor oversold. The STOCH value of 39.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:QIPT.

Quipt Home Medical Risk Analysis

Quipt Home Medical disclosed 47 risk factors in its most recent earnings report. Quipt Home Medical reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Quipt Home Medical Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
54
Neutral
C$232.61M-106.37%64.42%-21.09%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
48
Neutral
C$149.01M-9.96%-0.70%-102.48%
45
Neutral
C$28.51M-233.44%219.12%-15.92%
44
Neutral
C$17.61M207.08%88.47%11.88%
44
Neutral
C$50.13M-291.69%16.00%9.79%
42
Neutral
C$23.81M-26.27%17.61%-19.19%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:QIPT
Quipt Home Medical
3.45
-0.50
-12.66%
TSE:ASG
Aurora Spine
0.29
-0.11
-27.50%
TSE:PINK
Perimeter Medical Imaging AI
0.24
-0.31
-56.36%
TSE:PRN
Profound Medical
7.63
-2.69
-26.07%
TSE:TLT
Theralase Technologies
0.20
-0.18
-47.37%
TSE:VPT
VentriPoint Diagnostics
0.10
-0.06
-37.50%

Quipt Home Medical Corporate Events

M&A TransactionsBusiness Operations and Strategy
Quipt Home Medical Expands Midwest Presence Through Strategic Joint Venture
Positive
Aug 12, 2025

Quipt Home Medical has announced a strategic joint venture with three major health systems, acquiring a 60% stake in Hart Medical Equipment. This move is set to enhance Quipt’s presence in the Midwest, particularly with its entry into the Michigan market, and is expected to add $60 million in revenue. The partnership will strengthen Quipt’s integration with healthcare systems, leveraging Hart’s established relationships with hospitals and care facilities. The transaction is anticipated to close by the end of Fiscal Q4, 2025, and is expected to align with Quipt’s strategic goals of expanding its service network and improving patient care outcomes.

The most recent analyst rating on (TSE:QIPT) stock is a Buy with a C$8.50 price target. To see the full list of analyst forecasts on Quipt Home Medical stock, see the TSE:QIPT Stock Forecast page.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Quipt Home Medical Achieves Positive Growth and Expands Reach with Strategic Acquisition
Positive
Aug 11, 2025

Quipt Home Medical reported its fiscal third quarter 2025 results, highlighting a return to positive organic growth with a 1.6% increase in quarter-over-quarter revenue, despite a year-over-year decrease. The company achieved an adjusted EBITDA of 23.5% of revenue and maintained strong recurring revenue at 81%. Operationally, Quipt expanded its reach through the acquisition of a durable medical equipment provider, enhancing its presence in the Appalachian Highlands region and securing a Preferred Provider Agreement with Ballad Health. This strategic move is expected to align the acquired operation’s margins with Quipt’s historical range, supporting long-term growth and stability.

The most recent analyst rating on (TSE:QIPT) stock is a Buy with a C$8.50 price target. To see the full list of analyst forecasts on Quipt Home Medical stock, see the TSE:QIPT Stock Forecast page.

Financial Disclosures
Quipt Home Medical to Release Q3 2025 Financial Results
Neutral
Jul 29, 2025

Quipt Home Medical Corp. is set to announce its fiscal third-quarter 2025 financial results on August 11, 2025, with a conference call scheduled for the following day. This announcement is significant as it provides insights into the company’s financial health and operational progress, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (TSE:QIPT) stock is a Buy with a C$8.50 price target. To see the full list of analyst forecasts on Quipt Home Medical stock, see the TSE:QIPT Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 13, 2025