📊 LUNG Key Takeaways
Is LUNG a Good Investment? Thesis Analysis
Pulmonx demonstrates strong gross margins (74.2%) and adequate liquidity (5.07x current ratio), indicating market acceptance of its medical devices. However, the company is unprofitable with substantial operating losses (-59.3% margin), severe cash burn (-$32.8M FCF), and negative returns on equity/assets, suggesting the business model is not yet sustainable despite revenue growth.
Why Buy LUNG? Key Strengths
- Strong gross margin of 74.2% indicates pricing power and efficient manufacturing of medical devices
- Robust liquidity position with $69.8M cash and 5.07x current ratio provides runway for operations
- Modest revenue growth of 8.0% YoY demonstrates ongoing market demand for its surgical products
LUNG Investment Risks to Consider
- Severe cash burn of $32.4M operating cash flow annually threatening long-term viability without profitability
- Operating losses of -$53.7M (-59.3% margin) indicate inability to scale efficiently or control R&D/SG&A costs
- Negative ROE (-99.8%) and ROA (-41.8%) show destruction of shareholder value despite revenue generation
- Cash runway of approximately 2+ years at current burn rate with long-term debt of $37.1M creating refinancing risk
Key Metrics to Watch
- Operating cash flow trend - critical to confirm if burn rate is stabilizing or accelerating
- Path to operating profitability - need evidence of expense discipline and operating leverage
- Gross margin sustainability - monitor if product mix changes or pricing pressures emerge
- Cash balance depletion rate - essential to ensure adequate runway before profitability inflection
LUNG Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 5.07x current ratio provides a solid financial cushion.
LUNG Profitability Ratios
LUNG vs Healthcare Sector
How Pulmonx Corp compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LUNG Overvalued or Undervalued?
Based on fundamental analysis, Pulmonx Corp 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.
LUNG Balance Sheet & Liquidity
LUNG 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Pulmonx Corp's revenue has grown significantly by 87% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.44 indicates the company is currently unprofitable.
LUNG Growth Metrics (YoY)
LUNG Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $20.4M | -$13.7M | $-0.34 |
| Q2 2025 | $20.8M | -$13.7M | $-0.38 |
| Q1 2025 | $18.9M | -$13.7M | $-0.36 |
| Q3 2024 | $17.7M | -$13.7M | $-0.36 |
| Q2 2024 | $17.2M | -$13.7M | $-0.39 |
| Q1 2024 | $14.5M | -$13.7M | $-0.36 |
| Q3 2023 | $13.5M | -$14.2M | $-0.38 |
| Q2 2023 | $14.0M | -$14.6M | $-0.40 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LUNG Capital Allocation
LUNG SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Pulmonx Corp (CIK: 0001127537)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LUNG
What is the AI rating for LUNG?
Pulmonx Corp (LUNG) has an AI rating of SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are LUNG's key strengths?
Claude: Strong gross margin of 74.2% indicates pricing power and efficient manufacturing of medical devices. Robust liquidity position with $69.8M cash and 5.07x current ratio provides runway for operations.
What are the risks of investing in LUNG?
Claude: Severe cash burn of $32.4M operating cash flow annually threatening long-term viability without profitability. Operating losses of -$53.7M (-59.3% margin) indicate inability to scale efficiently or control R&D/SG&A costs.
What is LUNG's revenue and growth?
Pulmonx Corp reported revenue of $90.5M.
Does LUNG pay dividends?
Pulmonx Corp does not currently pay dividends.
Where can I find LUNG SEC filings?
Official SEC filings for Pulmonx Corp (CIK: 0001127537) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LUNG's EPS?
Pulmonx Corp has a diluted EPS of $-1.33.
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 LUNG a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Pulmonx Corp has a SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is LUNG stock overvalued or undervalued?
Valuation metrics for LUNG: ROE of -99.8% (sector avg: 15%), net margin of -59.7% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy LUNG stock in 2026?
Our dual AI analysis gives Pulmonx Corp a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LUNG's free cash flow?
Pulmonx Corp's operating cash flow is $-32.4M, with capital expenditures of $452.0K. FCF margin is -36.3%.
How does LUNG compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -59.7% (avg: 12%), ROE -99.8% (avg: 15%), current ratio 5.07 (avg: 2).