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Xwell, Inc. (XWEL)
:XWEL
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XWELL
(NASDAQ:XWEL)
41Neutral
XWELL (XWEL) vs. S&P 500 (SPY)
Market Cap
$4.16M
Dividend YieldN/A
Average Volume (3M)61.01K
Price to Earnings (P/E)―
Beta (1Y)0.86
Revenue Growth12.58%
EPS Growth47.24%
CountryUS
Employees246
SectorHealthcare
Sector Strength58
IndustryPersonal Products & Services
Share Statistics
EPS (TTM)-3.51
Shares Outstanding5,261,024
10 Day Avg. Volume9,859
30 Day Avg. Volume61,005
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap2.99
Enterprise Value/RevenueN/A
Enterprise Value/Gross Profit3.38
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
XWELL Business Overview & Revenue Model
Company DescriptionXWELL Inc., a health and wellness services company, provides spa services at airports. It operates through XpresSpa, XpresTest, Treat, and HyperPointe brands. The company offers spa services, including massage, and nail and skin care, as well as spa and travel products; and retail products. It also operates wellness centers that provides COVID-19 screening and testing, and rapid testing services for other communicable diseases, such as influenza, COVID-19, RSV, Flu A&B, and seasonal flu vaccination services; and other medical diagnostic testing services. In addition, the company offers services through an integrated digital platform, and a relevant retail offering to the traveling public. As of December 31, 2021, it operated 52 spa and clinic locations in 24 airports in the United States, the Netherlands, and the United Arab Emirates. The company was formerly known as XpresSpa Group, Inc. and changed its name to XWELL Inc. in October 2022. XWELL Inc. is headquartered in New York, New York.
How the Company Makes MoneyXWELL generates revenue through multiple streams primarily centered around its wellness centers and service offerings. The company earns money by providing spa and wellness services, which include massage therapy, skincare treatments, and other health-related services. Additionally, XWELL sells health and wellness products through its retail outlets, contributing to its income. The company may also engage in partnerships with other organizations within the health and wellness industry to expand its service offerings and reach a broader audience, further supporting its revenue generation.
XWELL Financial Statement Overview
Summary
XWELL's financial performance is challenged by consistent net losses and negative cash flows, despite revenue growth and improved gross profit margins. The high leverage and declining equity present financial stability risks.Income Statement
XWELL's revenue showed a positive growth from 2023 to TTM, indicating a recovery trajectory. However, the company has consistently operated at a net loss, with negative net and EBIT margins, reflecting ongoing profitability challenges. The gross profit margin improved slightly, which is a positive sign, but overall profitability remains a concern.45
Neutral
Balance Sheet
The debt-to-equity ratio has increased as equity declined, indicating higher financial leverage and potential risk. Stockholders’ equity has been decreasing, impacting the equity ratio negatively. Return on equity is concerning due to continuous net losses, which may affect future financial stability.38
Negative
Cash Flow
Free cash flow has improved slightly in TTM compared to 2023, but remains negative, indicating ongoing cash management challenges. The operating cash flow to net income ratio is negative, reflecting difficulties in converting profits into cash flow. The company needs to enhance operational efficiency to improve cash flow metrics.42
Neutral
| Breakdown | ||||
| Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 30.11M | 55.94M | 73.73M | 8.38M | 48.52M | Gross Profit |
| 3.68M | 12.05M | 32.43M | -3.60M | 10.66M | EBIT |
| -19.30M | -24.55M | 5.87M | -40.10M | -9.78M | EBITDA |
| -15.75M | -19.12M | 7.87M | -19.54M | -11.24M | Net Income Common Stockholders |
| -27.74M | -32.63M | 3.35M | -92.23M | -20.53M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 23.05M | 42.19M | 105.51M | 89.80M | 2.18M | Total Assets |
| 38.99M | 70.43M | 127.27M | 103.13M | 28.72M | Total Debt |
| 11.09M | 14.11M | 13.82M | 15.38M | 15.26M | Net Debt |
| 2.66M | -4.93M | -91.68M | -74.42M | 13.07M | Total Liabilities |
| 18.02M | 22.48M | 27.33M | 22.76M | 31.26M | Stockholders Equity |
| 13.00M | 39.93M | 92.73M | 77.81M | -6.24M |
| Cash Flow | Free Cash Flow | |||
| -18.45M | -31.02M | 6.97M | -29.36M | -2.39M | Operating Cash Flow |
| -16.07M | -24.19M | 15.64M | -25.01M | -113.00K | Investing Cash Flow |
| 5.65M | -34.84M | -6.24M | -4.35M | -2.27M | Financing Cash Flow |
| 8.00K | -27.38M | 6.35M | 117.22M | 1.17M |
XWELL Technical Analysis
Negative
0.79
Price Trends
0.93
Negative
1.14
Negative
1.46
Negative
Market Momentum
-0.05
Negative
43.88
Neutral
39.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For XWEL, the sentiment is Negative. The current price of 0.79 is below the 20-day moving average (MA) of 0.80, below the 50-day MA of 0.93, and below the 200-day MA of 1.46, indicating a bearish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 43.88 is Neutral, neither overbought nor oversold. The STOCH value of 39.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for XWEL.
XWELL Risk Analysis
XWELL disclosed 52 risk factors in its most recent earnings report. XWELL 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
XWELL Peers Comparison
Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
56 Neutral | $145.63M | 66.49 | -3.32% | ― | -39.47% | -110.28% | |
56 Neutral | $47.05M | 0.53 | 526.88% | ― | -11.38% | ― | |
52 Neutral | $5.36B | 3.88 | -42.93% | 2.87% | 17.85% | 1.45% | |
48 Neutral | $58.36M | ― | 31.02% | ― | -11.65% | -174.54% | |
41 Neutral | $4.16M | ― | -275.96% | ― | 12.58% | 47.24% | |
38 Underperform | $6.71M | 4.82 | 23.48% | ― | -7.60% | -118.80% | |
27 Underperform | $6.05M | ― | -4470.12% | ― | 459.36% | 70.21% |
* Healthcare Sector Average
Performance Comparison
XWEL
XWELL
0.79
-1.01
-56.11%
MED
Medifast
13.25
-11.93
-47.38%
RGS
Regis
19.32
13.77
248.11%
WW
WW International
0.58
-1.47
-71.71%
MRM
MEDIROM Healthcare Technologies
0.85
-4.44
-83.93%
TRNR
Interactive Strength Inc
0.67
-663.33
-99.90%
XWELL Earnings Call Summary
Earnings Call Date:Apr 15, 2025
(Q3-2024)
| % Change Since: 5.33%|
Next Earnings Date:May 19, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant progress in revenue growth, strategic market expansion, and cost reductions, with improved financial metrics compared to the previous year. However, there were challenges such as increased salaries and legal expenses. Overall, the positive aspects and strategic advancements outweigh the negatives.Q3-2024 Updates
Positive Updates
Revenue Growth
Total revenue for Q3 2024 was approximately $8.4 million, up from $7.5 million in the prior year period.
Strategic Expansion Plans
Planning to expand into several attractive markets in Florida, with up to 10 XWELL properties expected by mid-2025. Opening first Naples Wax location in November 2024.
Successful Cost Reduction
Reduced total operating expenses by approximately 35% for the 9-month period in 2024 compared to the same period in 2023.
Decrease in Operating Loss
Operating loss for Q3 2024 was $4.8 million, a significant improvement from an operating loss of $12.1 million in the prior year third quarter.
Solid Financial Position
No long-term debt with cash and cash equivalents at $4.4 million and $11.7 million in marketable securities.
Positive Customer Engagement
Customer traction and foot traffic at the new Philadelphia International Airport XpresSpa have been solid, with promising performance from tech-forward installations.
Negative Updates
Increased Salaries and Benefits
Salaries and benefits were approximately $1.9 million in Q3 2024, compared to $1.2 million in the same period in 2023.
Legal Expenses Impact
General and administrative expenses were approximately $4.5 million, including over $2 million related to extraordinary legal expenses.
Company Guidance
During the XWELL Q3 2024 earnings call, several key metrics and strategic initiatives were highlighted. Total revenue for the quarter was approximately $8.4 million, a notable increase from $7.5 million in the same period last year. Revenue sources included $4.9 million from XpresSpa and Treat locations, $3.1 million from XpresTest, and $0.4 million from Naples Wax Center. Operating expenses significantly decreased to $6.8 million from $13.2 million in Q3 2023, contributing to a reduced operating loss of $4.8 million compared to $12.1 million the previous year. The company has also made strides in cost management, with a 35% reduction in total operating expenses over the first nine months of 2024 compared to the same period in 2023. XWELL is focusing on expanding its market presence, particularly in Florida, and is set to open new locations, including its first Naples Wax location and a spa at Penn Station. The company maintains a solid liquidity position with $4.4 million in cash and $11.7 million in marketable securities, with no long-term debt.XWELL Corporate Events
Shareholder Meetings
XWELL Stockholders Approve Key Proposals at Special Meeting
Neutral
Apr 11, 2025
On April 10, 2025, XWELL held a Special Meeting where stockholders voted on five proposals. The meeting saw participation from 3,251,366 shares of common stock. Proposal 1, concerning the issuance of shares to comply with Nasdaq Listing Rule 5635(d), was authorized. Proposal 2, aimed at classifying the board of directors into two classes, was not approved. Proposal 3, which involved amending the Incentive Plan to increase the number of shares available for awards, was approved. Proposal 4, the appointment of CBIZ CPAs P.C. as the independent registered public accounting firm for 2025, was ratified. Lastly, Proposal 5, to adjourn the meeting if necessary, was also approved.
Spark’s Take on XWEL Stock
According to Spark, TipRanks’ AI Analyst, XWEL is a Neutral.
XWELL’s stock score is hindered by financial instability, reflected in consistent net losses and negative cash flows, despite some positive momentum in revenue growth and strategic initiatives. The technical analysis indicates weak momentum, and valuation is problematic due to negative earnings. Corporate events and earnings call improvements are promising but insufficient to offset fundamental financial challenges.
To see Spark’s full report on XWEL stock, click here.
Private Placements and FinancingM&A TransactionsBusiness Operations and Strategy
XWELL Announces Strategic Investment in Medical Spas
Positive
Mar 13, 2025
On March 13, 2025, XWELL, Inc. announced a strategic investment plan to acquire select medical spas by the end of 2025, using a $4 million private placement to expand into the wellness and beauty sector. This move aims to position XWELL as a leader in the rapidly growing market by offering advanced, personalized wellness treatments in metropolitan areas like Orlando, Austin, and Salt Lake City, thereby enhancing its brand presence and catering to the rising demand for non-invasive, results-driven beauty and wellness services.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.