📊 DCTH Key Takeaways
Is Delcath Systems, Inc.. (DCTH) a Good Investment?
Delcath demonstrates exceptional revenue growth of 129% YoY with strong profitability expansion, evidenced by robust gross margins of 86.2% and positive net income growth of 110%. The company maintains fortress-like financial health with zero long-term debt, substantial cash reserves of $43.5M, and excellent free cash flow generation of $21M, providing significant flexibility for growth investments.
Delcath Systems shows strong fundamental momentum with revenue up 129.1% YoY, very high gross margins of 86.2%, and positive net income and free cash flow generation. The balance sheet is exceptionally strong with no long-term debt and substantial cash, but the very thin 0.8% operating margin suggests the business still needs to prove durable operating leverage as it scales.
Why Buy Delcath Systems, Inc.. Stock? DCTH Key Strengths
- Exceptional revenue growth of 129% YoY indicates strong market demand and successful commercialization
- Outstanding gross margin of 86.2% reflects pricing power and efficient manufacturing in medical device space
- Strong free cash flow of $21M (24.6% FCF margin) demonstrates ability to fund growth without external capital
- Fortress balance sheet with zero debt, $43.5M cash, and 10.92x current ratio provides financial stability
- Net income growth of 110% YoY shows profitability scaling with revenue expansion
- Positive insider activity with 8 Form 4 filings in past 90 days suggests management confidence
- Exceptional top-line growth with revenue increasing 129.1% YoY
- Very strong financial position with $43.45M cash, no long-term debt, and high liquidity
- High-quality cash generation with $22.52M operating cash flow and $20.97M free cash flow
DCTH Stock Risks: Delcath Systems, Inc.. Investment Risks
- Operating margin of only 0.8% despite high gross margin indicates significant operating expense burden relative to revenue
- Low returns on equity (2.4%) and assets (2.2%) suggest inefficient capital deployment despite strong balance sheet
- Modest net margin of 3.2% leaves limited room for error or unexpected expenses
- Operating expense leverage has not materialized proportionally with 129% revenue growth, raising questions about cost control
- Scale-dependent profitability model typical of medical device companies requires sustained revenue growth to maintain margins
- Operating profitability remains fragile with only a 0.8% operating margin
- Returns on capital are still modest with ROE of 2.4% and ROA of 2.2%
- Recent profit improvement may be vulnerable if revenue growth slows or expenses rise faster than sales
Key Metrics to Watch
- Operating expense ratio trending and scalability as revenue continues to grow
- Sustained revenue growth rate in subsequent quarters to confirm 129% YoY is sustainable
- Free cash flow conversion maintaining above 20% as company scales
- Gross margin stability above 85% to ensure pricing power persists
- Operating margin expansion toward 10%+ range as fixed costs are absorbed by larger revenue base
- Operating margin expansion
- Sustained revenue growth with positive free cash flow
Delcath Systems, Inc.. (DCTH) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 24.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 10.92x current ratio provides a solid financial cushion.
DCTH Profit Margin, ROE & Profitability Analysis
DCTH vs Healthcare Sector: How Delcath Systems, Inc.. Compares
How Delcath Systems, Inc.. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Delcath Systems, Inc.. Stock Overvalued? DCTH Valuation Analysis 2026
Based on fundamental analysis, Delcath Systems, Inc.. has mixed fundamental signals relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Delcath Systems, Inc.. Balance Sheet: DCTH Debt, Cash & Liquidity
DCTH Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Delcath Systems, Inc..'s revenue has grown significantly by 2,297% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.93 indicates the company is currently unprofitable.
DCTH Revenue Growth, EPS Growth & YoY Performance
DCTH Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $11.2M | $830.0K | $0.02 |
| Q2 2025 | $7.8M | $1.1M | $0.07 |
| Q1 2025 | $3.1M | $1.1M | $0.03 |
| Q3 2024 | $434.0K | $1.9M | $0.06 |
| Q2 2024 | $495.0K | -$7.2M | $-0.48 |
| Q1 2024 | $597.0K | -$9.0M | $-0.45 |
| Q3 2023 | $434.0K | -$7.2M | $-0.96 |
| Q2 2023 | $495.0K | -$7.2M | $-0.58 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Delcath Systems, Inc.. Dividends, Buybacks & Capital Allocation
DCTH SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Delcath Systems, Inc.. (CIK: 0000872912)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DCTH
What is the AI rating for DCTH?
Delcath Systems, Inc.. (DCTH) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (BUY) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are DCTH's key strengths?
Claude: Exceptional revenue growth of 129% YoY indicates strong market demand and successful commercialization. Outstanding gross margin of 86.2% reflects pricing power and efficient manufacturing in medical device space. ChatGPT: Exceptional top-line growth with revenue increasing 129.1% YoY. Very strong financial position with $43.45M cash, no long-term debt, and high liquidity.
What are the risks of investing in DCTH?
Claude: Operating margin of only 0.8% despite high gross margin indicates significant operating expense burden relative to revenue. Low returns on equity (2.4%) and assets (2.2%) suggest inefficient capital deployment despite strong balance sheet. ChatGPT: Operating profitability remains fragile with only a 0.8% operating margin. Returns on capital are still modest with ROE of 2.4% and ROA of 2.2%.
What is DCTH's revenue and growth?
Delcath Systems, Inc.. reported revenue of $85.2M.
Does DCTH pay dividends?
Delcath Systems, Inc.. does not currently pay dividends.
Where can I find DCTH SEC filings?
Official SEC filings for Delcath Systems, Inc.. (CIK: 0000872912) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DCTH's EPS?
Delcath Systems, Inc.. has a diluted EPS of $0.07.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is DCTH a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Delcath Systems, Inc.. has a BUY rating with 76% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is DCTH stock overvalued or undervalued?
Valuation metrics for DCTH: ROE of 2.4% (sector avg: 15%), net margin of 3.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy DCTH stock in 2026?
Our dual AI analysis gives Delcath Systems, Inc.. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is DCTH's free cash flow?
Delcath Systems, Inc..'s operating cash flow is $22.5M, with capital expenditures of $1.5M. FCF margin is 24.6%.
How does DCTH compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin 3.2% (avg: 12%), ROE 2.4% (avg: 15%), current ratio 10.92 (avg: 2).