Recent News
On October 16, 2025 the company scheduled its third-quarter 2025 results release and conference call for October 30, 2025. On October 30, 2025 management highlighted commercial momentum, publication of multiple clinical studies supporting Zio long-term continuous monitoring, expansion in international markets, and ongoing product pipeline work including a next‑generation mobile cardiac telemetry submission. A November 5, 2025 feature in financial press noted rapid adoption of the Zio patch and increased institutional interest amid a strong 2025 performance narrative.
Technical Analysis
Directional indicators show a low-trend environment: ADX at 16.8 signals no established trend, reducing the conviction of momentum-based moves relative to the current valuation. DI+ at 17.15 decreasing denotes recent sell-side pressure, which weakens short-term upside relative to valuation expectations.
DI- peaked and reversed, a pattern that corresponds with DI- decreasing; that action signals a reduction in downside dominance and partially offsets DI+ weakness, creating offsetting directional forces that favor range-bound action around intraday levels.
MACD sits negative at -2.26, trending down and below its signal line (-1.07), indicating bearish momentum that suppresses near-term upside potential unless MACD turns and crosses above the signal.
MRO reads +14.35 with a dip-and-reversal pattern; the positive MRO implies price above WMDST target and therefore mean-reversion risk, while the recent dip-and-reversal suggests a tentative shift in momentum that still leaves downside vulnerability relative to valuation.
RSI at 47.85 and decreasing indicates momentum rolling toward the bearish side of neutral, consistent with price trading under the 20-day average ($174.10) and the 12-day EMA ($171.74). Price near the lower Bollinger band (lower 1× std dev $167.27) points to short-term support around current levels, with resistance clustered near the ichimoku cloud and supertrend upper band between roughly $183–$188.
Fundamental Analysis
Revenue totaled $192,884,000 with revenue growth of 3.32%; quarter-over-quarter revenue change shows a decrease of 81.20% QoQ, and year-over-year revenue change shows -10.65% YoY. Gross margin at 71.09% sits above the industry peer mean of 64.24% (industry peer median 64.81%), supporting a premium for product-level economics.
Operating margin stands at -4.21% and EBIT margin at -1.38%, both below the industry peer mean (EBIT margin mean 20.07%, median 19.94%). EBIT margin contracted QoQ by 78.42% and YoY by 95.25%, indicating near-term pressure on operating profitability despite healthy gross margins.
Net loss measured -$5,212,000 while EPS came in at -$0.06 versus an estimate of -$0.28, producing an EPS beat of $0.22 or a 78.57% surprise. Adjusted cash flow metrics show free cash flow of $20,052,000 and a free cash flow yield of 0.365%, with free cash flow yield up ~14.87% YoY, reflecting improved cash conversion despite negative earnings.
Balance-sheet liquidity remains a strength: cash and short-term investments total $565,213,000 and the current ratio equals 4.63 (industry peer mean 2.75), while the cash ratio registers 3.85. Leverage presents a material offset: total debt $733,011,000 produces debt-to-assets of 73.65% and debt-to-equity of 6.01, both well above typical peer medians and signaling higher financial risk until debt reduces.
Efficiency metrics include asset turnover of 0.20 (above the industry peer mean of 0.12) and receivables turnover rising YoY, which supports revenue scalability. Market multiples remain elevated—price-to-book ~45.06 and price-to-sales ~28.47—while enterprise multiple at 1,426.43 reflects a wide gap between market capitalization and operating earnings.
WMDST values the stock as under-valued. That valuation rests on strong gross margins, improving free cash flow, and a large cash balance, tempered by negative operating profitability and elevated leverage that must normalize for multiples to fully re-rate.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-10-30 |
| NEXT REPORT DATE: | 2026-01-29 |
| CASH FLOW | Begin Period Cash Flow | $ 317.5 M |
| Operating Cash Flow | $ 34.9 M | |
| Capital Expenditures | $ -14.83 M | |
| Change In Working Capital | $ -13.04 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -53.50 M | |
| End Period Cash Flow | $ 264.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 192.9 M | |
| Forward Revenue | $ 22.3 M | |
| COSTS | ||
| Cost Of Revenue | $ 55.8 M | |
| Depreciation | $ 6.6 M | |
| Depreciation and Amortization | $ 6.6 M | |
| Research and Development | $ 21.0 M | |
| Total Operating Expenses | $ 201.0 M | |
| PROFITABILITY | ||
| Gross Profit | $ 137.1 M | |
| EBITDA | $ 4.0 M | |
| EBIT | $ -2.65 M | |
| Operating Income | $ -8.13 M | |
| Interest Income | $ 5.9 M | |
| Interest Expense | $ 2.5 M | |
| Net Interest Income | $ 2.7 M | |
| Income Before Tax | $ -5.19 M | |
| Tax Provision | $ 24.0 K | |
| Tax Rate | 21.0 % | |
| Net Income | $ -5.21 M | |
| Net Income From Continuing Operations | $ -5.21 M | |
| EARNINGS | ||
| EPS Estimate | $ -0.28 | |
| EPS Actual | $ -0.06 | |
| EPS Difference | $ 0.22 | |
| EPS Surprise | 78.571 % | |
| Forward EPS | $ -0.07 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 995.2 M | |
| Intangible Assets | $ 862.0 K | |
| Net Tangible Assets | $ 121.0 M | |
| Total Current Assets | $ 680.0 M | |
| Cash and Short-Term Investments | $ 565.2 M | |
| Cash | $ 255.6 M | |
| Net Receivables | $ 76.2 M | |
| Inventory | $ 19.6 M | |
| Long-Term Investments | $ 53.6 M | |
| LIABILITIES | ||
| Accounts Payable | $ 8.3 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 146.9 M | |
| Net Debt | $ 393.1 M | |
| Total Debt | $ 733.0 M | |
| Total Liabilities | $ 873.3 M | |
| EQUITY | ||
| Total Equity | $ 121.9 M | |
| Retained Earnings | $ -809.02 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 3.78 | |
| Shares Outstanding | 32.205 M | |
| Revenue Per-Share | $ 5.99 | |
| VALUATION | Market Capitalization | $ 5.5 B |
| Enterprise Value | $ 5.7 B | |
| Enterprise Multiple | 1426.426 | |
| Enterprise Multiple QoQ | -252.923 % | |
| Enterprise Multiple YoY | -2998.087 % | |
| Enterprise Multiple IPRWA | IRTC: 1426.426 high: 161.723 median: 104.027 mean: 88.068 low: -110.323 |
|
| EV/R | 29.344 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 8.165 | |
| Asset To Liability | 1.14 | |
| Debt To Capital | 0.857 | |
| Debt To Assets | 0.737 | |
| Debt To Assets QoQ | -3.361 % | |
| Debt To Assets YoY | 2058.043 % | |
| Debt To Assets IPRWA | IRTC: 0.737 high: 0.684 median: 0.333 mean: 0.31 low: 0.002 |
|
| Debt To Equity | 6.014 | |
| Debt To Equity QoQ | -15.159 % | |
| Debt To Equity YoY | 1290.193 % | |
| Debt To Equity IPRWA | IRTC: 6.014 high: 2.338 mean: 0.637 median: 0.531 low: 0.002 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 45.058 | |
| Price To Book QoQ | -3.018 % | |
| Price To Book YoY | 42.074 % | |
| Price To Book IPRWA | IRTC: 45.058 high: 12.447 median: 6.636 mean: 6.393 low: -4.114 |
|
| Price To Earnings (P/E) | -2842.343 | |
| Price To Earnings QoQ | 573.83 % | |
| Price To Earnings YoY | 4823.03 % | |
| Price To Earnings IPRWA | high: 256.954 mean: 125.832 median: 118.26 low: -227.904 IRTC: -2842.343 |
|
| PE/G Ratio | 34.983 | |
| Price To Sales (P/S) | 28.474 | |
| Price To Sales QoQ | 10.377 % | |
| Price To Sales YoY | 84.578 % | |
| Price To Sales IPRWA | high: 77.674 mean: 33.334 median: 29.418 IRTC: 28.474 low: 0.679 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | -352.732 | |
| Forward PE/G | 4.341 | |
| Forward P/S | 40.072 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -23.406 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.197 | |
| Asset Turnover Ratio QoQ | -0.324 % | |
| Asset Turnover Ratio YoY | 22.04 % | |
| Asset Turnover Ratio IPRWA | high: 0.417 IRTC: 0.197 median: 0.127 mean: 0.125 low: 0.001 |
|
| Receivables Turnover | 2.437 | |
| Receivables Turnover Ratio QoQ | 6.245 % | |
| Receivables Turnover Ratio YoY | 34.559 % | |
| Receivables Turnover Ratio IPRWA | high: 2.895 IRTC: 2.437 mean: 1.831 median: 1.771 low: 0.627 |
|
| Inventory Turnover | 2.938 | |
| Inventory Turnover Ratio QoQ | -10.665 % | |
| Inventory Turnover Ratio YoY | -2.864 % | |
| Inventory Turnover Ratio IPRWA | IRTC: 2.938 high: 2.068 mean: 0.533 median: 0.473 low: 0.09 |
|
| Days Sales Outstanding (DSO) | 37.447 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 51.775 | |
| Cash Conversion Cycle Days QoQ | 9.745 % | |
| Cash Conversion Cycle Days YoY | -13.779 % | |
| Cash Conversion Cycle Days IPRWA | high: 409.199 median: 201.455 mean: 194.963 IRTC: 51.775 low: -109.842 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.362 | |
| CapEx To Revenue | -0.077 | |
| CapEx To Depreciation | -2.24 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 770.6 M | |
| Net Invested Capital | $ 770.6 M | |
| Invested Capital | $ 770.6 M | |
| Net Tangible Assets | $ 121.0 M | |
| Net Working Capital | $ 533.1 M | |
| LIQUIDITY | ||
| Cash Ratio | 3.847 | |
| Current Ratio | 4.629 | |
| Current Ratio QoQ | -7.821 % | |
| Current Ratio YoY | -26.204 % | |
| Current Ratio IPRWA | high: 14.251 IRTC: 4.629 mean: 2.747 median: 1.703 low: 0.159 |
|
| Quick Ratio | 4.496 | |
| Quick Ratio QoQ | -7.92 % | |
| Quick Ratio YoY | -26.568 % | |
| Quick Ratio IPRWA | high: 13.711 IRTC: 4.496 mean: 2.004 median: 1.123 low: 0.317 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 184.731 | |
| Cost Of Debt | 0.273 % | |
| Interest Coverage Ratio | -1.047 | |
| Interest Coverage Ratio QoQ | -77.941 % | |
| Interest Coverage Ratio YoY | -91.834 % | |
| Interest Coverage Ratio IPRWA | high: 119.631 median: 19.958 mean: 17.964 IRTC: -1.047 low: -165.333 |
|
| Operating Cash Flow Ratio | 0.012 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 17.844 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 3.235 % | |
| Revenue Growth | 3.319 % | |
| Revenue Growth QoQ | -81.198 % | |
| Revenue Growth YoY | -1064.826 % | |
| Revenue Growth IPRWA | high: 27.485 % IRTC: 3.319 % mean: 1.389 % median: 0.122 % low: -22.33 % |
|
| Earnings Growth | -81.25 % | |
| Earnings Growth QoQ | 22.519 % | |
| Earnings Growth YoY | -176.25 % | |
| Earnings Growth IPRWA | high: 105.556 % mean: 14.126 % median: 7.609 % IRTC: -81.25 % low: -86.957 % |
|
| MARGINS | ||
| Gross Margin | 71.09 % | |
| Gross Margin QoQ | -0.107 % | |
| Gross Margin YoY | 3.359 % | |
| Gross Margin IPRWA | high: 94.036 % IRTC: 71.09 % median: 64.812 % mean: 64.24 % low: -17.483 % |
|
| EBIT Margin | -1.375 % | |
| EBIT Margin QoQ | -78.418 % | |
| EBIT Margin YoY | -95.245 % | |
| EBIT Margin IPRWA | high: 82.825 % mean: 20.073 % median: 19.944 % IRTC: -1.375 % low: -487.428 % |
|
| Return On Sales (ROS) | -4.213 % | |
| Return On Sales QoQ | -51.536 % | |
| Return On Sales YoY | -85.431 % | |
| Return On Sales IPRWA | high: 69.921 % mean: 20.787 % median: 20.492 % IRTC: -4.213 % low: -487.428 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 20.1 M | |
| Free Cash Flow Yield | 0.365 % | |
| Free Cash Flow Yield QoQ | 1.671 % | |
| Free Cash Flow Yield YoY | 1486.957 % | |
| Free Cash Flow Yield IPRWA | high: 5.888 % mean: 0.919 % median: 0.733 % IRTC: 0.365 % low: -18.664 % |
|
| Free Cash Growth | 15.975 % | |
| Free Cash Growth QoQ | -107.992 % | |
| Free Cash Growth YoY | -118.862 % | |
| Free Cash Growth IPRWA | high: 185.61 % median: 25.615 % mean: 21.668 % IRTC: 15.975 % low: -192.298 % |
|
| Free Cash To Net Income | -3.847 | |
| Cash Flow Margin | 0.906 % | |
| Cash Flow To Earnings | -0.335 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | -0.532 % | |
| Return On Assets QoQ | -64.628 % | |
| Return On Assets YoY | -89.465 % | |
| Return On Assets IPRWA | high: 5.043 % mean: 1.92 % median: 1.792 % IRTC: -0.532 % low: -36.008 % |
|
| Return On Capital Employed (ROCE) | -0.313 % | |
| Return On Equity (ROE) | -0.043 | |
| Return On Equity QoQ | -68.825 % | |
| Return On Equity YoY | -93.355 % | |
| Return On Equity IPRWA | high: 0.068 median: 0.037 mean: 0.029 IRTC: -0.043 low: -0.624 |
|
| DuPont ROE | -4.621 % | |
| Return On Invested Capital (ROIC) | -0.272 % | |
| Return On Invested Capital QoQ | -82.586 % | |
| Return On Invested Capital YoY | -103.962 % | |
| Return On Invested Capital IPRWA | high: 5.308 % median: 2.535 % mean: 2.508 % IRTC: -0.272 % low: -14.919 % |
|