📊 KRMD Key Takeaways
Is KRMD a Good Investment? Thesis Analysis
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.
Why Buy 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
KRMD Investment Risks to Consider
- 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
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
KRMD Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 2.44x current ratio provides a solid financial cushion.
KRMD Profitability Ratios
KRMD vs Healthcare Sector
How KORU Medical Systems, Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is KRMD Overvalued or Undervalued?
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.
KRMD Balance Sheet & Liquidity
KRMD 5-Year Financial Trend & Growth Analysis
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 Growth Metrics (YoY)
KRMD Quarterly 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.
KRMD Capital Allocation
KRMD SEC 10-K & 10-Q Filing 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 an AI rating of HOLD with 68% 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.
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.
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 HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. 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 HOLD 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).