Investment Thesis
PAVmed is in severe financial distress with revenue collapsed 97.6% YoY to just $22K while operating losses reached $8M and operating cash burn is negative $2.6M. The company is destroying shareholder value (ROE -0.2%, ROA -0.1%) with no clear path to profitability, leaving only 2.5 years of cash runway at current burn rates if revenue does not recover.
Strengths
- Moderate leverage ratio (0.38x Debt/Equity) provides some financial flexibility
- Current ratio of 2.02x indicates adequate short-term liquidity ($6.5M cash available)
- Substantial asset base of $45.4M relative to current market distress
Risks
- Revenue collapse of 97.6% YoY indicates fundamental business failure or product rejection
- Operating cash burn of $2.6M annually will exhaust $6.5M cash reserves in approximately 2.5 years without revenue recovery
- Negative operating income of $8M and negative margins across all metrics indicate core business is fundamentally unprofitable
- Interest coverage of -309x cannot service $15M debt from operations; relies on asset liquidation or capital raises
- Company likely approaching going concern issues if revenue does not recover dramatically
Key Metrics to Watch
- Quarterly revenue trend - critical to determine if $22K represents bottom or continued deterioration
- Operating cash flow sustainability - cash burn trajectory will determine time to liquidity crisis
- Cash balance - current $6.5M is lifeline; depletion schedule is existential risk
- Product pipeline success or new revenue recognition - any material recovery in top-line essential for survival
Financial Metrics
Revenue
22.0K
Net Income
-60.0K
EPS (Diluted)
$-4.42
Free Cash Flow
-2.6M
Total Assets
45.4M
Cash
6.5M
Profitability Ratios
Gross Margin
-818.2%
Operating Margin
-36,522.7%
Net Margin
-272.7%
ROE
-0.2%
ROA
-0.1%
FCF Margin
-12,009.1%
Balance Sheet & Liquidity
Current Ratio
2.02x
Quick Ratio
2.02x
Debt/Equity
0.38x
Debt/Assets
45.0%
Interest Coverage
-309.04x
Long-term Debt
15.0M
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: 2026-05-16T09:52:44.060132 |
Data as of: 2026-03-31 |
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