📊 TELA Key Takeaways
Is TELA Bio, Inc. (TELA) a Good Investment?
TELA Bio demonstrates strong revenue growth (+15.8% YoY) and healthy gross margins (67.7%), but is deeply unprofitable with accelerating operating losses (-$33.8M), significant cash burn (-$28.7M FCF), and excessive leverage (8.82x debt/equity) that severely constrains financial flexibility. At current burn rates (~$28M annually) and limited equity base ($6.3M), the company has approximately 1.8 years of runway despite adequate cash reserves, creating material solvency risk if profitability milestones are not achieved.
Why Buy TELA Bio, Inc. Stock? TELA Key Strengths
- Revenue growth of 15.8% YoY demonstrates market traction and product demand
- Strong gross margin of 67.7% indicates viable product economics and pricing power
- Adequate near-term liquidity with current ratio of 4.20x and $50.8M cash reserves
TELA Stock Risks: TELA Bio, Inc. Investment Risks
- Severe negative cash flow (-$28.7M FCF) with no improvement despite revenue growth, indicating unprofitable scale
- Extreme leverage (8.82x debt/equity, $55.7M long-term debt vs $6.3M equity) amplifies downside risk and limits strategic flexibility
- Negative interest coverage (-25.3x) indicates operating losses exceed debt service requirements; solvency dependent on cash depletion timeline
- Operating losses expanding in absolute terms while operating margin deteriorates at -42%, suggesting business model challenges at current stage
Key Metrics to Watch
- Operating margin trajectory and path to breakeven profitability
- Cash burn rate and months of runway remaining at current burn levels
- Operating cash flow inflection point and working capital efficiency
- Debt refinancing requirements and covenant compliance as liquidity depletes
TELA Bio, Inc. (TELA) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 4.20x current ratio provides a solid financial cushion.
TELA Profit Margin, ROE & Profitability Analysis
TELA vs Healthcare Sector: How TELA Bio, Inc. Compares
How TELA Bio, Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is TELA Bio, Inc. Stock Overvalued? TELA Valuation Analysis 2026
Based on fundamental analysis, TELA Bio, 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.
TELA Bio, Inc. Balance Sheet: TELA Debt, Cash & Liquidity
TELA Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: TELA Bio, Inc.'s revenue has grown significantly by 172% over the 5-year period, indicating strong business expansion. The most recent EPS of $-2.04 indicates the company is currently unprofitable.
TELA Revenue Growth, EPS Growth & YoY Performance
TELA Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $19.0M | -$8.6M | $-0.19 |
| Q2 2025 | $16.1M | -$9.9M | $-0.22 |
| Q1 2025 | $16.6M | -$5.7M | $-0.23 |
| Q3 2024 | $15.1M | -$10.4M | $-0.42 |
| Q2 2024 | $14.5M | -$10.8M | $-0.46 |
| Q1 2024 | $11.9M | -$5.7M | $-0.23 |
| Q3 2023 | $11.2M | -$10.7M | $-0.45 |
| Q2 2023 | $10.4M | -$10.8M | $-0.46 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
TELA Bio, Inc. Dividends, Buybacks & Capital Allocation
TELA SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for TELA Bio, Inc. (CIK: 0001561921)
📋 Recent SEC Filings
❓ Frequently Asked Questions about TELA
What is the AI rating for TELA?
TELA Bio, Inc. (TELA) has an AI rating of SELL with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are TELA's key strengths?
Claude: Revenue growth of 15.8% YoY demonstrates market traction and product demand. Strong gross margin of 67.7% indicates viable product economics and pricing power.
What are the risks of investing in TELA?
Claude: Severe negative cash flow (-$28.7M FCF) with no improvement despite revenue growth, indicating unprofitable scale. Extreme leverage (8.82x debt/equity, $55.7M long-term debt vs $6.3M equity) amplifies downside risk and limits strategic flexibility.
What is TELA's revenue and growth?
TELA Bio, Inc. reported revenue of $80.3M.
Does TELA pay dividends?
TELA Bio, Inc. does not currently pay dividends.
Where can I find TELA SEC filings?
Official SEC filings for TELA Bio, Inc. (CIK: 0001561921) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is TELA's EPS?
TELA Bio, Inc. has a diluted EPS of $-0.83.
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 TELA a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, TELA Bio, Inc. has a SELL rating with 78% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is TELA stock overvalued or undervalued?
Valuation metrics for TELA: ROE of -615.1% (sector avg: 15%), net margin of -48.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy TELA stock in 2026?
Our dual AI analysis gives TELA Bio, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is TELA's free cash flow?
TELA Bio, Inc.'s operating cash flow is $-28.2M, with capital expenditures of $448.0K. FCF margin is -35.7%.
How does TELA compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -48.4% (avg: 12%), ROE -615.1% (avg: 15%), current ratio 4.20 (avg: 2).
Is TELA Bio, Inc. carrying too much debt?
TELA has a debt-to-equity ratio of 8.82x, which is above the Healthcare sector average of 0.6x. However, the current ratio of 4.20 suggests adequate short-term liquidity.