Investment Thesis
Vyome is a pre-commercial pharmaceutical company with only $31.6K in revenue but -$1.4M quarterly operating cash burn, yielding a -3048% net margin. Despite 24% revenue growth and a solid cash position of $8.8M, the current burn rate suggests only 2 years of runway before capital infusion or dilution becomes necessary. Negative profitability across all metrics, zero insider buying activity, and a business model that remains fundamentally unproven present substantial risk.
Strengths
- Strong gross margin of 52.7% suggests underlying product economics may be viable at scale
- Excellent liquidity position (4.27x current ratio, 3.08x quick ratio) provides near-term operational flexibility
- Revenue growth of 24.4% YoY indicates early commercial traction
Risks
- Unsustainable cash burn rate of -$1.4M quarterly against $8.8M cash reserves limits runway to ~2-2.5 years
- Catastrophically negative operating margins (-3576.8%) and net margins (-3048.1%) indicate unproven business model at revenue scale
- Pre-commercial stage business model with minimal $31.6K revenue base creates binary risk profile; dilution or failed pipeline likely
Key Metrics to Watch
- Quarterly cash burn rate and cash runway extension
- Revenue acceleration trajectory and path to breakeven
- Operating cash flow improvement or further deterioration
Financial Metrics
Revenue
31.6K
Net Income
-962.9K
EPS (Diluted)
$-0.15
Free Cash Flow
-1.5M
Total Assets
10.2M
Cash
8.8M
Profitability Ratios
Gross Margin
52.7%
Operating Margin
-3,576.8%
Net Margin
-3,048.1%
ROE
-12.0%
ROA
-9.5%
FCF Margin
-4,681.6%
Balance Sheet & Liquidity
Current Ratio
4.27x
Quick Ratio
3.08x
Debt/Equity
0.37x
Debt/Assets
21.1%
Interest Coverage
N/A
Long-term Debt
3.0M
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-05-21T07:45:34.500810 |
Data as of: 2026-03-31 |
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