📊 LIVN Key Takeaways
Is LivaNova PLC (LIVN) a Good Investment?
LivaNova demonstrates strong top-line growth (10.7% YoY) and excellent gross margins (67.3%), but faces critical fundamental concerns: operating cash flow of only $15.2M (4.2% of revenue) with nearly zero free cash flow ($926K) indicates severe cash generation problems. The catastrophic 483.6% EPS decline and anemic ROE/ROA metrics (1.8%/0.9%) suggest the company is not efficiently converting revenue into shareholder value, raising questions about earnings quality and operational efficiency.
Underlying operations look healthy: double‑digit revenue growth, 68% gross margin, and a 14% operating margin with strong free cash flow and low leverage. The large GAAP net loss contrasts with positive operating income and robust interest coverage, suggesting non-operational or non-cash items drove the decline. If these charges abate, fundamentals support continued cash generation and improving profitability.
LivaNova PLC Key Strengths (LIVN)
- Strong gross margin of 67.3% indicates competitive product positioning in medical device sector
- Revenue growth of 10.7% YoY demonstrates market acceptance and demand
- Solid balance sheet with $539.7M cash reserves and low leverage (0.24x debt/equity ratio)
- Double-digit revenue growth with high gross margin
- Positive operating income and strong interest coverage (12.5x)
- Healthy free cash flow (12.5% margin) and cash-rich, low-leverage balance sheet
LIVN Stock Risks: LivaNova PLC Investment Risks
- Catastrophic diluted EPS decline of 483.6% YoY signals severe profitability deterioration or significant one-time charges
- Critical cash flow weakness: operating cash flow only $15.2M (4.2% OCF margin) with free cash flow of $926K is unsustainable
- Extremely poor returns on equity (1.8%) and assets (0.9%) indicate capital inefficiency and operational dysfunction
- Large GAAP net loss and negative ROE/ROA; potential impairments, legal or tax charges
- Margin volatility from product mix, pricing, or input costs
- Regulatory/clinical and litigation risks typical in medical devices
Key Metrics to Watch
- Operating cash flow trends and OCF margin recovery to healthy 15-20% levels
- Free cash flow sustainability and ability to fund operations without burning reserves
- EPS stabilization and ROE improvement trajectory
- Net margin (return to positive and sustainability)
- Free cash flow conversion (FCF/Revenue)
LivaNova PLC (LIVN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 0.3% FCF margin may limit capital allocation flexibility.
LIVN Profit Margin, ROE & Profitability Analysis
LIVN vs Healthcare Sector: How LivaNova PLC Compares
How LivaNova PLC compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LivaNova PLC Stock Overvalued? LIVN Valuation Analysis 2026
Based on fundamental analysis, LivaNova PLC 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.
LivaNova PLC Balance Sheet: LIVN Debt, Cash & Liquidity
LIVN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: LivaNova PLC's revenue has grown significantly by 28% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.32 reflects profitable operations.
LIVN Revenue Growth, EPS Growth & YoY Performance
LIVN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $316.9M | $22.3M | $0.40 |
| Q3 2025 | $318.1M | $7.3M | $0.13 |
| Q2 2025 | $318.6M | $16.3M | $0.30 |
| Q1 2025 | $294.9M | -$41.9M | $-0.78 |
| Q3 2024 | $286.1M | $1.2M | $0.02 |
| Q2 2024 | $293.9M | $1.2M | $0.02 |
| Q1 2024 | $263.4M | $7.4M | $0.14 |
| Q3 2023 | $252.6M | $1.2M | $0.02 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LivaNova PLC Dividends, Buybacks & Capital Allocation
LIVN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for LivaNova PLC (CIK: 0001639691)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LIVN
What is the AI rating for LIVN?
LivaNova PLC (LIVN) has a Combined AI Grade of B from Claude (C) and ChatGPT (A) with 69% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LIVN's key strengths?
Claude: Strong gross margin of 67.3% indicates competitive product positioning in medical device sector. Revenue growth of 10.7% YoY demonstrates market acceptance and demand. ChatGPT: Double-digit revenue growth with high gross margin. Positive operating income and strong interest coverage (12.5x).
What are the risks of investing in LIVN?
Claude: Catastrophic diluted EPS decline of 483.6% YoY signals severe profitability deterioration or significant one-time charges. Critical cash flow weakness: operating cash flow only $15.2M (4.2% OCF margin) with free cash flow of $926K is unsustainable. ChatGPT: Large GAAP net loss and negative ROE/ROA; potential impairments, legal or tax charges. Margin volatility from product mix, pricing, or input costs.
What is LIVN's revenue and growth?
LivaNova PLC reported revenue of $362.3M.
Does LIVN pay dividends?
LivaNova PLC does not currently pay dividends.
Where can I find LIVN SEC filings?
Official SEC filings for LivaNova PLC (CIK: 0001639691) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LIVN's EPS?
LivaNova PLC has a diluted EPS of $0.40.
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 grade reflects both perspectives for balanced insights.
What is LIVN's fundamental grade?
Based on our AI fundamental analysis in May 2026, LivaNova PLC has a B grade with 69% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is LIVN stock overvalued or undervalued?
Valuation metrics for LIVN: ROE of 1.8% (sector avg: 15%), net margin of 6.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is LIVN's AI grade for 2026?
Our dual AI analysis gives LivaNova PLC a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LIVN's free cash flow?
LivaNova PLC's operating cash flow is $15.2M, with capital expenditures of $14.3M. FCF margin is 0.3%.
How does LIVN compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin 6.2% (avg: 12%), ROE 1.8% (avg: 15%), current ratio 1.33 (avg: 2).