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TransMedics Group, Inc. (TMDX) Fundamental Analysis & AI Grade 2026

TMDX Nasdaq Electromedical & Electrotherapeutic Apparatus MA CIK: 0001756262
Updated This Month • Analysis: May 7, 2026 • SEC Data: 2026-03-31
Combined AI Grade
B
68% Confidence
N/A
B
68% Conf
Pending
Analysis scheduled

📊 TMDX Key Takeaways

Revenue: $173.9M
Net Margin: 4.2%
Free Cash Flow: $-12.1M
Current Ratio: 6.74x
Debt/Equity: 0.12x
EPS: $0.20
AI Grade: B with 68% confidence
TransMedics Group, Inc. (TMDX) receives a B fundamental grade with 68% confidence from our AI analysis based on SEC 10-K filings. With revenue of $173.9M, net profit margin of 4.2%, and return on equity (ROE) of 1.5%, TransMedics Group, Inc. demonstrates mixed fundamentals in the Healthcare sector. Below is our complete TMDX stock analysis for 2026.

Is TransMedics Group, Inc. (TMDX) a Good Investment?

Claude

TransMedics exhibits strong revenue growth (+37.1% YoY) and healthy gross margins (58.2%), indicating solid product-market fit in the medical device sector. However, negative free cash flow (-$12.1M) despite positive net income, combined with extremely poor capital efficiency (ROE 1.5%, ROA 0.5%), raises concerns about earnings quality and the sustainability of profitability given high capital intensity.

TransMedics Group, Inc. Key Strengths (TMDX)

Claude
  • + Strong revenue growth of 37.1% YoY demonstrates robust market demand
  • + Healthy gross margin of 58.2% indicates pricing power and cost management
  • + Fortress balance sheet with $461.7M cash, minimal debt ($58.8M), and 6.74x current ratio provides strategic flexibility

TMDX Stock Risks: TransMedics Group, Inc. Investment Risks

Claude
  • ! Negative free cash flow of -$12.1M despite positive net income signals cash conversion problems and high capex burden relative to operating cash flow
  • ! Extremely low returns on capital (ROE 1.5%, ROA 0.5%) indicate poor capital deployment efficiency and value creation
  • ! Low interest coverage ratio of 1.8x and thin net margin of 4.2% limit financial flexibility despite strong balance sheet

Key Metrics to Watch

Claude
  • * Free cash flow sustainability and capex intensity relative to revenue growth
  • * Operating cash flow conversion rates and cash-to-earnings quality
  • * Return on equity and asset turnover trends as profitability scales

TransMedics Group, Inc. (TMDX) Financial Metrics & Key Ratios

Revenue
$173.9M
Net Income
$7.3M
EPS (Diluted)
$0.20
Free Cash Flow
$-12.1M
Total Assets
$1.4B
Cash Position
$461.7M

💡 AI Analyst Insight

Strong liquidity with a 6.74x current ratio provides a solid financial cushion.

TMDX Profit Margin, ROE & Profitability Analysis

Gross Margin 58.2%
Operating Margin 7.6%
Net Margin 4.2%
ROE 1.5%
ROA 0.5%
FCF Margin -7.0%

TMDX vs Healthcare Sector: How TransMedics Group, Inc. Compares

How TransMedics Group, Inc. compares to Healthcare sector averages

Net Margin
TMDX 4.2%
vs
Sector Avg 12.0%
TMDX Sector
ROE
TMDX 1.5%
vs
Sector Avg 15.0%
TMDX Sector
Current Ratio
TMDX 6.7x
vs
Sector Avg 2.0x
TMDX Sector
Debt/Equity
TMDX 0.1x
vs
Sector Avg 0.6x
TMDX Sector

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

Is TransMedics Group, Inc. Stock Overvalued? TMDX Valuation Analysis 2026

Based on fundamental analysis, TransMedics Group, Inc. has mixed fundamental signals relative to the Healthcare sector in 2026.

Return on Equity
1.5%
Sector avg: 15%
Net Profit Margin
4.2%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.12x
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.

TransMedics Group, Inc. Balance Sheet: TMDX Debt, Cash & Liquidity

Current Ratio
6.74x
Quick Ratio
6.19x
Debt/Equity
0.12x
Debt/Assets
65.6%
Interest Coverage
1.84x
Long-term Debt
$58.8M

TMDX Revenue & Earnings Growth: 5-Year Financial Trend

TMDX 5-year financial data: Year 2019: Revenue $25.8M, Net Income N/A, EPS N/A. Year 2020: Revenue $28.4M, Net Income N/A, EPS N/A. Year 2021: Revenue $31.4M, Net Income -$28.7M, EPS $-1.16.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: TransMedics Group, Inc.'s revenue has grown significantly by 21% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.77 indicates the company is currently unprofitable.

TMDX 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
-7.0%
Free cash flow / Revenue

TMDX Quarterly Earnings & Performance

Quarterly financial performance data for TransMedics Group, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $143.5M $7.3M $0.20
Q3 2025 $108.8M $4.2M $0.12
Q2 2025 $114.3M $12.2M $0.35
Q1 2025 $96.9M $12.2M $0.35
Q3 2024 $66.4M -$1.0M $0.12
Q2 2024 $52.5M -$1.0M $-0.03
Q1 2024 $41.6M -$2.6M $-0.08
Q3 2023 $25.7M -$1.0M $-0.25

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

TransMedics Group, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$24.5M
Cash generated from operations
Capital Expenditures
$36.7M
Investment in assets
Dividends
None
No dividend program

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

Access official SEC EDGAR filings for TransMedics Group, Inc. (CIK: 0001756262)

📋 Recent SEC Filings

Date Form Document Action
May 22, 2026 4 xslF345X06/ownership.xml View →
May 22, 2026 4 xslF345X06/ownership.xml View →
May 22, 2026 4 xslF345X06/ownership.xml View →
May 22, 2026 4 xslF345X06/ownership.xml View →
May 22, 2026 4 xslF345X06/ownership.xml View →

Frequently Asked Questions about TMDX

What is the AI rating for TMDX?

TransMedics Group, Inc. (TMDX) has an AI grade of B with 68% confidence, based on fundamental analysis of SEC EDGAR filings.

What are TMDX's key strengths?

Claude: Strong revenue growth of 37.1% YoY demonstrates robust market demand. Healthy gross margin of 58.2% indicates pricing power and cost management.

What are the risks of investing in TMDX?

Claude: Negative free cash flow of -$12.1M despite positive net income signals cash conversion problems and high capex burden relative to operating cash flow. Extremely low returns on capital (ROE 1.5%, ROA 0.5%) indicate poor capital deployment efficiency and value creation.

What is TMDX's revenue and growth?

TransMedics Group, Inc. reported revenue of $173.9M.

Does TMDX pay dividends?

TransMedics Group, Inc. does not currently pay dividends.

Where can I find TMDX SEC filings?

Official SEC filings for TransMedics Group, Inc. (CIK: 0001756262) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is TMDX's EPS?

TransMedics Group, Inc. has a diluted EPS of $0.20.

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 TMDX's fundamental grade?

Based on our AI fundamental analysis in June 2026, TransMedics Group, Inc. has a B grade with 68% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is TMDX stock overvalued or undervalued?

Valuation metrics for TMDX: ROE of 1.5% (sector avg: 15%), net margin of 4.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

What is TMDX's AI grade for 2026?

Our dual AI analysis gives TransMedics Group, Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is TMDX's free cash flow?

TransMedics Group, Inc.'s operating cash flow is $24.5M, with capital expenditures of $36.7M. FCF margin is -7.0%.

How does TMDX compare to other Healthcare stocks?

Vs Healthcare sector averages: Net margin 4.2% (avg: 12%), ROE 1.5% (avg: 15%), current ratio 6.74 (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 7, 2026 | Data as of: 2026-03-31 | Powered by Claude AI