📊 EBRCZ Key Takeaways
Is EBR Systems, Inc. (EBRCZ) a Good Investment?
EBR Systems is in severe financial distress with collapsing revenues (-49.2% YoY), massive operating losses (-$46.1M), and deeply negative cash flow (-$53.2M operating, -$56.9M free cash flow). Despite adequate liquidity ratios, the company is burning cash rapidly with only $5.8M in cash against $41.8M in long-term debt, indicating insolvency risk within 12 months absent dramatic operational turnaround or capital infusion.
EBR Systems shows extremely weak fundamentals: revenue is declining sharply, gross margin is modest for a medical device company, and operating losses are massively larger than sales. While near-term liquidity appears adequate, the combination of heavy cash burn, negative free cash flow, and meaningful leverage creates a high dependence on external financing rather than internally funded growth.
Why Buy EBR Systems, Inc. Stock? EBRCZ Key Strengths
- Positive gross margin of 30.3% indicates product-level economics are viable
- Current ratio of 5.20x provides near-term liquidity buffer for operations
- Only 1 insider Form 4 filing in 90 days suggests minimal opportunistic selling
- Current and quick ratios indicate solid short-term liquidity
- The company still generated positive gross profit, showing the product can produce contribution margin
- Asset base and equity remain positive, providing some balance sheet support despite losses
EBRCZ Stock Risks: EBR Systems, Inc. Investment Risks
- Revenue collapse of 49.2% YoY indicates severe demand destruction or market rejection
- Operating cash burn of $53.2M with only $5.8M cash on hand creates imminent liquidity crisis
- Long-term debt of $41.8M versus equity of $25.6M with negative interest coverage (-8.2x) signals debt default risk
- Net losses of $48.8M and operating losses of $46.1M show unsustainable business model
- Negative free cash flow of $56.9M indicates company cannot self-fund operations
- Revenue fell 49.2% year over year, indicating poor growth quality and weak commercial traction
- Operating and net margins are deeply negative, showing the business is far from sustainable profitability
- Operating cash flow and free cash flow are severely negative, increasing refinancing and dilution risk
Key Metrics to Watch
- Monthly operating cash burn rate and cash runway to depletion
- Revenue stabilization or recovery trajectory in next two quarters
- Debt covenant compliance status and refinancing availability
- Capital raising activities including equity dilution or debt restructuring
- Revenue growth and gross margin improvement
- Cash burn runway relative to cash balance and debt obligations
EBR Systems, Inc. (EBRCZ) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 5.20x current ratio provides a solid financial cushion.
EBRCZ Profit Margin, ROE & Profitability Analysis
EBRCZ vs Healthcare Sector: How EBR Systems, Inc. Compares
How EBR Systems, Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is EBR Systems, Inc. Stock Overvalued? EBRCZ Valuation Analysis 2026
Based on fundamental analysis, EBR Systems, Inc. shows some fundamental concerns 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.
EBR Systems, Inc. Balance Sheet: EBRCZ Debt, Cash & Liquidity
EBRCZ Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: EBR Systems, Inc.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $-0.13 indicates the company is currently unprofitable.
EBRCZ Revenue Growth, EPS Growth & YoY Performance
EBRCZ Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $512.1K | -$10.1M | $-0.03 |
| Q2 2025 | $169.7K | -$11.5M | $-0.03 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
EBR Systems, Inc. Dividends, Buybacks & Capital Allocation
EBRCZ SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for EBR Systems, Inc. (CIK: 0001347123)
📋 Recent SEC Filings
❓ Frequently Asked Questions about EBRCZ
What is the AI rating for EBRCZ?
EBR Systems, Inc. (EBRCZ) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 94% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are EBRCZ's key strengths?
Claude: Positive gross margin of 30.3% indicates product-level economics are viable. Current ratio of 5.20x provides near-term liquidity buffer for operations. ChatGPT: Current and quick ratios indicate solid short-term liquidity. The company still generated positive gross profit, showing the product can produce contribution margin.
What are the risks of investing in EBRCZ?
Claude: Revenue collapse of 49.2% YoY indicates severe demand destruction or market rejection. Operating cash burn of $53.2M with only $5.8M cash on hand creates imminent liquidity crisis. ChatGPT: Revenue fell 49.2% year over year, indicating poor growth quality and weak commercial traction. Operating and net margins are deeply negative, showing the business is far from sustainable profitability.
What is EBRCZ's revenue and growth?
EBR Systems, Inc. reported revenue of $1.6M.
Does EBRCZ pay dividends?
EBR Systems, Inc. does not currently pay dividends.
Where can I find EBRCZ SEC filings?
Official SEC filings for EBR Systems, Inc. (CIK: 0001347123) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is EBRCZ's EPS?
EBR Systems, Inc. has a diluted EPS of $-0.12.
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 EBRCZ a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, EBR Systems, Inc. has a STRONG SELL rating with 94% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is EBRCZ stock overvalued or undervalued?
Valuation metrics for EBRCZ: ROE of -190.6% (sector avg: 15%), net margin of -3,015.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy EBRCZ stock in 2026?
Our dual AI analysis gives EBR Systems, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is EBRCZ's free cash flow?
EBR Systems, Inc.'s operating cash flow is $-53.2M, with capital expenditures of $3.7M. FCF margin is -3,517.3%.
How does EBRCZ compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -3,015.3% (avg: 12%), ROE -190.6% (avg: 15%), current ratio 5.20 (avg: 2).
Is EBR Systems, Inc. carrying too much debt?
EBRCZ has a debt-to-equity ratio of 1.63x, which is above the Healthcare sector average of 0.6x. However, the current ratio of 5.20 suggests adequate short-term liquidity.