NSPR shares have a strong debt-to-equity ratio but their quick ratio which reads 5.20 is strong and might cause problems for them later in the future.
Even though there was a rise of +7.10% in revenue, the company failed to succeed in outperforming the industry average of 4.84%. For the most recent quarter, the net income has jumped by +3.60%. This strength in their income has affected them and thus decreased their earnings to -$1.94 M. The 7.10% yoy growth of NSPR’s revenue has gone up that of the industry average by -53.55%. For the past 12 months, InspireMD, Inc. revenue has gone up by 60.65%. The sustained growth in their revenue has helped boost their earnings per share.
They have recorded a 67.82% growing earnings per share earnings. They have recorded a 67.82% growing earnings per share earnings. Analysts expect decrease in earnings is also on the cards next quarter with an average estimate at -$148.75.
The 12-month return on equity has significantly fallen to -156.43 in comparison to the same data for other companies in the same industry. This shows that there is a major weakness within the organization over the past one year. Comparing them to other companies in the industry and the overall Healthcare sector, the industry average is 14.84 while 13.91 is of the sector.
In addition to their unfavorable P/E ratio, InspireMD, Inc. has maintained a gross margin of 27.10. This shows whether the company has what it takes to effectively turn the revenue into profit.
The company’s ROA is -62.02 when compared to 9.73 for the stocks operating in the same industry. This can be attributed to the strength recorded in the net income produced by total assets. Comparing it to other companies in the sector, InspireMD, Inc. ROE is above 13.91 that of both the sector average.
The operating profit margin for InspireMD, Inc. (NSPR) is -189.70%, a figure which is considered to be weak.
Added to that, this ratio has missed the industry net margin that stands at 12.99.
Still some above discussed indicators of the $7.16M company show strength while others show weakness. There is little evidence at the moment to justify the expectation of the NSPR shares to either perform positively or negatively when compared to other stocks. The primary strengths of InspireMD, Inc. can be witnessed in its increased revenue, growing earnings per share, higher return on equity, increased operating cash and high net margin. Subsequently, financial analysis have also identified some weak areas that includes high debt, relatively high P/E ratio, lower return on assets and low net margin.