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Tactile Systems Technology Inc. (TCMD) Stock Fundamental Analysis & AI Rating 2026

TCMD Nasdaq Surgical & Medical Instruments & Apparatus MN CIK: 0001027838
Recently Updated • Analysis: May 6, 2026 • SEC Data: 2026-03-31
Combined AI Rating
HOLD
58% Confidence
N/A
HOLD
58% Conf
Pending
Analysis scheduled

📊 TCMD Key Takeaways

Revenue: $75.3M
Net Margin: -2.3%
Free Cash Flow: $-1.2M
Current Ratio: 4.24x
Debt/Equity: 0.00x
EPS: $-0.08
AI Rating: HOLD with 58% confidence
Tactile Systems Technology Inc. (TCMD) receives a HOLD rating with 58% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $75.3M, net profit margin of -2.3%, and return on equity (ROE) of -0.8%, Tactile Systems Technology Inc. demonstrates mixed fundamentals in the Healthcare sector. Below is our complete TCMD stock analysis for 2026.

Is Tactile Systems Technology Inc. (TCMD) a Good Investment?

Claude

Tactile Systems shows strong revenue growth (+12.5% YoY) and exceptional gross margins (76.5%), indicating a viable core business model, but is undermined by negative operating cash flow (-339K) and operating losses (-1.5M) despite $75M+ revenue. The fortress balance sheet with $75M cash and zero debt provides a cushion, but the company must demonstrate a clear path to profitability and positive cash generation to justify investment.

Why Buy Tactile Systems Technology Inc. Stock? TCMD Key Strengths

Claude
  • + Strong revenue growth trajectory at 12.5% YoY demonstrates market traction
  • + Exceptional gross margin of 76.5% shows strong pricing power and efficient manufacturing
  • + Fortress balance sheet with $75M cash, zero debt, and 4.24x current ratio provides substantial financial flexibility

TCMD Stock Risks: Tactile Systems Technology Inc. Investment Risks

Claude
  • ! Negative operating cash flow (-339K) despite $75M revenue indicates operational inefficiency or working capital deterioration
  • ! Operating unprofitability (-1.5M loss) reveals SG&A and overhead expenses are consuming gross profits faster than revenue growth
  • ! Negative free cash flow (-1.2M) means company is burning capital despite revenue scale, unsustainable without margin improvement

Key Metrics to Watch

Claude
  • * Operating cash flow trajectory - must turn positive to validate business model sustainability
  • * Operating margin path to breakeven - currently -2.0%, need quarterly trend toward profitability
  • * SG&A expense ratio relative to revenue - identify if cost structure is adjusting as company scales

Tactile Systems Technology Inc. (TCMD) Financial Metrics & Key Ratios

Revenue
$75.3M
Net Income
$-1.8M
EPS (Diluted)
$-0.08
Free Cash Flow
$-1.2M
Total Assets
$272.1M
Cash Position
$75.0M

💡 AI Analyst Insight

Strong liquidity with a 4.24x current ratio provides a solid financial cushion.

TCMD Profit Margin, ROE & Profitability Analysis

Gross Margin 76.5%
Operating Margin -2.0%
Net Margin -2.3%
ROE -0.8%
ROA -0.6%
FCF Margin -1.5%

TCMD vs Healthcare Sector: How Tactile Systems Technology Inc. Compares

How Tactile Systems Technology Inc. compares to Healthcare sector averages

Net Margin
TCMD -2.3%
vs
Sector Avg 12.0%
TCMD Sector
ROE
TCMD -0.8%
vs
Sector Avg 15.0%
TCMD Sector
Current Ratio
TCMD 4.2x
vs
Sector Avg 2.0x
TCMD Sector
Debt/Equity
TCMD 0.0x
vs
Sector Avg 0.6x
TCMD Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Tactile Systems Technology Inc. Stock Overvalued? TCMD Valuation Analysis 2026

Based on fundamental analysis, Tactile Systems Technology Inc. has mixed fundamental signals relative to the Healthcare sector in 2026.

Return on Equity
-0.8%
Sector avg: 15%
Net Profit Margin
-2.3%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.6x

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.

Tactile Systems Technology Inc. Balance Sheet: TCMD Debt, Cash & Liquidity

Current Ratio
4.24x
Quick Ratio
3.78x
Debt/Equity
0.00x
Debt/Assets
19.9%
Interest Coverage
N/A
Long-term Debt
$0.0

TCMD Revenue & Earnings Growth: 5-Year Financial Trend

TCMD 5-year financial data: Year 2021: Revenue $208.1M, Net Income $11.0M, EPS $0.56. Year 2022: Revenue $246.8M, Net Income -$620.0K, EPS $-0.03. Year 2023: Revenue $274.4M, Net Income -$11.8M, EPS $-0.60. Year 2024: Revenue $293.0M, Net Income -$17.9M, EPS $-0.89. Year 2025: Revenue $329.5M, Net Income $28.5M, EPS $1.23.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Tactile Systems Technology Inc.'s revenue has grown significantly by 58% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.23 reflects profitable operations.

TCMD Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-1.5%
Free cash flow / Revenue

TCMD Quarterly Earnings & Performance

Quarterly financial performance data for Tactile Systems Technology Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $61.3M -$1.8M $-0.08
Q3 2025 $73.1M $5.2M $0.21
Q2 2025 $73.2M $243.0K $0.01
Q1 2025 $61.1M -$2.2M $-0.09
Q3 2024 $69.6M $5.2M $0.21
Q2 2024 $68.3M -$100.0K $0.00
Q1 2024 $58.8M -$1.9M $-0.09
Q3 2023 $65.3M -$2.3M $-0.11

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Tactile Systems Technology Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$339.0K
Cash generated from operations
Stock Buybacks
$1.1M
Shares repurchased (TTM)
Capital Expenditures
$821.0K
Investment in assets
Dividends
None
No dividend program

TCMD SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Tactile Systems Technology Inc. (CIK: 0001027838)

📋 Recent SEC Filings

Date Form Document Action
May 8, 2026 4 xslF345X06/form4-05082026_090553.xml View →
May 8, 2026 4 xslF345X06/form4-05082026_090525.xml View →
May 8, 2026 4 xslF345X06/form4-05082026_090555.xml View →
May 8, 2026 4 xslF345X06/form4-05082026_090522.xml View →
May 8, 2026 4 xslF345X06/form4-05082026_090541.xml View →

Frequently Asked Questions about TCMD

What is the AI rating for TCMD?

Tactile Systems Technology Inc. (TCMD) has an AI rating of HOLD with 58% confidence, based on fundamental analysis of SEC EDGAR filings.

What are TCMD's key strengths?

Claude: Strong revenue growth trajectory at 12.5% YoY demonstrates market traction. Exceptional gross margin of 76.5% shows strong pricing power and efficient manufacturing.

What are the risks of investing in TCMD?

Claude: Negative operating cash flow (-339K) despite $75M revenue indicates operational inefficiency or working capital deterioration. Operating unprofitability (-1.5M loss) reveals SG&A and overhead expenses are consuming gross profits faster than revenue growth.

What is TCMD's revenue and growth?

Tactile Systems Technology Inc. reported revenue of $75.3M.

Does TCMD pay dividends?

Tactile Systems Technology Inc. does not currently pay dividends.

Where can I find TCMD SEC filings?

Official SEC filings for Tactile Systems Technology Inc. (CIK: 0001027838) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is TCMD's EPS?

Tactile Systems Technology Inc. has a diluted EPS of $-0.08.

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 TCMD a good stock to buy right now?

Based on our AI fundamental analysis in May 2026, Tactile Systems Technology Inc. has a HOLD rating with 58% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is TCMD stock overvalued or undervalued?

Valuation metrics for TCMD: ROE of -0.8% (sector avg: 15%), net margin of -2.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

Should I buy TCMD stock in 2026?

Our dual AI analysis gives Tactile Systems Technology 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 TCMD's free cash flow?

Tactile Systems Technology Inc.'s operating cash flow is $-339.0K, with capital expenditures of $821.0K. FCF margin is -1.5%.

How does TCMD compare to other Healthcare stocks?

Vs Healthcare sector averages: Net margin -2.3% (avg: 12%), ROE -0.8% (avg: 15%), current ratio 4.24 (avg: 2).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) 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 and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 6, 2026 | Data as of: 2026-03-31 | Powered by Claude AI