📊 KRMD Key Takeaways
Is KORU Medical Systems, Inc. (KRMD) a Good Investment?
KRMD exhibits strong revenue growth of 22.2% YoY with exceptional gross margins of 62.3%, supported by a fortress balance sheet with minimal debt (0.03x D/E) and ample liquidity. However, the company is currently unprofitable with negative operating and net margins (-7.2% and -6.4% respectively) and burning cash with negative free cash flow of -470.1K, creating material execution risk around the path to profitability despite strong financial resources to sustain operations.
KORU Medical is delivering strong 22% revenue growth with robust 62% gross margins and improving losses, supported by positive operating cash flow, ample liquidity, and minimal leverage. With operating leverage emerging, the path to break-even appears achievable if growth persists and operating expenses remain disciplined.
Why Buy KORU Medical Systems, Inc. Stock? KRMD Key Strengths
- Strong revenue growth of 22.2% YoY demonstrates robust market demand and sales execution
- Excellent gross margin of 62.3% indicates strong pricing power and operational efficiency in core business
- Fortress balance sheet with minimal leverage (0.03x D/E), 8.9M cash, and strong liquidity (2.44x current ratio) provides substantial runway to reach profitability
- Positive operating cash flow of 462.4K shows the core business is generating cash from operations
- Double-digit revenue growth (+22% YoY) with 62% gross margin indicating strong unit economics
- Solid balance sheet and liquidity: current ratio 2.44x, low debt (0.03x D/E), $8.9M cash
- Improving EPS and positive operating cash flow with near-breakeven FCF
KRMD Stock Risks: KORU Medical Systems, Inc. Investment Risks
- Operating unprofitably with negative operating margin (-7.2%) and negative net income, indicating cost structure exceeds revenue contribution
- Negative free cash flow (-470.1K) despite positive operating cash flow, driven by high capital expenditure (932.5K), suggests cash consumption and potential need for future financing
- No evidence of near-term path to profitability; company must demonstrate margin expansion or operating leverage as it scales
- Still unprofitable with negative ROE/ROA and a -7% operating margin
- Execution and reimbursement/regulatory risks typical for med devices; potential customer concentration
- Sustained negative FCF could pressure cash if growth moderates
Key Metrics to Watch
- Operating margin trajectory - must show improvement toward positive territory to justify growth investment thesis
- Free cash flow inflection - critical to achieve positive FCF to validate business model sustainability
- Gross margin maintenance and operating expense leverage as revenue scales
- Operating margin
- Operating cash flow and FCF conversion
KORU Medical Systems, Inc. (KRMD) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.44x current ratio provides a solid financial cushion.
KRMD Profit Margin, ROE & Profitability Analysis
KRMD vs Healthcare Sector: How KORU Medical Systems, Inc. Compares
How KORU Medical Systems, Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is KORU Medical Systems, Inc. Stock Overvalued? KRMD Valuation Analysis 2026
Based on fundamental analysis, KORU Medical 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.
KORU Medical Systems, Inc. Balance Sheet: KRMD Debt, Cash & Liquidity
KRMD Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: KORU Medical Systems, Inc.'s revenue has grown significantly by 70% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.13 indicates the company is currently unprofitable.
KRMD Revenue Growth, EPS Growth & YoY Performance
KRMD Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $8.2M | -$206.9K | $0.02 |
| Q2 2025 | $8.4M | -$206.9K | $0.00 |
| Q1 2025 | $8.2M | -$1.2M | $0.03 |
| Q3 2024 | $7.0M | -$988.7K | $-0.03 |
| Q2 2024 | $6.9M | -$988.7K | $-0.02 |
| Q1 2024 | $7.4M | -$1.9M | $-0.04 |
| Q3 2023 | $7.0M | -$1.2M | $-0.03 |
| Q2 2023 | $6.5M | -$2.4M | $-0.05 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
KORU Medical Systems, Inc. Dividends, Buybacks & Capital Allocation
KRMD SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for KORU Medical Systems, Inc. (CIK: 0000704440)
📋 Recent SEC Filings
❓ Frequently Asked Questions about KRMD
What is the AI rating for KRMD?
KORU Medical Systems, Inc. (KRMD) has a Combined AI Rating of BUY from Claude (HOLD) and ChatGPT (BUY) with 67% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are KRMD's key strengths?
Claude: Strong revenue growth of 22.2% YoY demonstrates robust market demand and sales execution. Excellent gross margin of 62.3% indicates strong pricing power and operational efficiency in core business. ChatGPT: Double-digit revenue growth (+22% YoY) with 62% gross margin indicating strong unit economics. Solid balance sheet and liquidity: current ratio 2.44x, low debt (0.03x D/E), $8.9M cash.
What are the risks of investing in KRMD?
Claude: Operating unprofitably with negative operating margin (-7.2%) and negative net income, indicating cost structure exceeds revenue contribution. Negative free cash flow (-470.1K) despite positive operating cash flow, driven by high capital expenditure (932.5K), suggests cash consumption and potential need for future financing. ChatGPT: Still unprofitable with negative ROE/ROA and a -7% operating margin. Execution and reimbursement/regulatory risks typical for med devices; potential customer concentration.
What is KRMD's revenue and growth?
KORU Medical Systems, Inc. reported revenue of $41.1M.
Does KRMD pay dividends?
KORU Medical Systems, Inc. does not currently pay dividends.
Where can I find KRMD SEC filings?
Official SEC filings for KORU Medical Systems, Inc. (CIK: 0000704440) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is KRMD's EPS?
KORU Medical Systems, Inc. has a diluted EPS of $-0.06.
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 KRMD a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, KORU Medical Systems, Inc. has a BUY rating with 67% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is KRMD stock overvalued or undervalued?
Valuation metrics for KRMD: ROE of -15.5% (sector avg: 15%), net margin of -6.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy KRMD stock in 2026?
Our dual AI analysis gives KORU Medical 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 KRMD's free cash flow?
KORU Medical Systems, Inc.'s operating cash flow is $462.4K, with capital expenditures of $932.5K. FCF margin is -1.1%.
How does KRMD compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -6.4% (avg: 12%), ROE -15.5% (avg: 15%), current ratio 2.44 (avg: 2).