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Buy Day today: Neutral (53) Mixed market breadth · no major macro event

Electromed Inc (ELMD)

Healthcare Medical Devices
40.60 $
+0.9% vs. previous close
Closing price · As of: 31. Jul 2026
🔔 Watch stock

symbol.quality_heading

Open questions

The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.

First, so there is no misunderstanding: this rating has nothing to do with the share price. The stock has run hard and at roughly 33 times earnings it is not cheap, but price is not a quality attribute. A great deal argues for the company itself — no financial debt, a 78.5 percent gross margin, three years of rising profit, an Altman Z-Score of 15.58 and a receivable burden that has improved from 183 to 144 days of sales. What stays open is a core operating question, and it comes straight from the filings: Electromed says it has one active product, whose home market price is set through a single reimbursement code, and approximately 96 percent of homecare revenue rests on capped installment arrangements whose amount is estimated. On top of that, 49.4 percent of third-quarter fiscal 2026 homecare revenue came from government programs — in a year in which the annual report itself warns about cuts. This is not an existential question; the balance sheet carries it easily. But it is more than housekeeping, and in doubt the more cautious grade applies. Hence yellow: documented quality, one open concentration. The decision is yours.

symbol.quality_note

Read the Full Deep Dive
Electromed: A 78 Percent Gross Margin, Zero Debt — and Thirteen Months Before the Money Arrives

Some companies check every box. Electromed has sold the same vest since 2000 — a device that shakes mucus loose from the lungs of chronically ill patients — at a gross margin of 78.5 percent for the nine months ended March 31, 2026, without a dollar of financial debt, while lifting revenue from $48.1 million to $64.0 million in two fiscal years. The quarterly report filed May 12, 2026, also carries the line no ratio displays: $28,251,000 of receivables, and a normal operating cycle of roughly thirteen months, because approximately 96 percent of homecare revenue comes from capped installment arrangements with health insurers. Not investment advice — just the question of how long a company can wait for its own money before the waiting becomes the business model.

Read the analysis

Stock Watch

This analysis is as of July 26, 2026. Stock Watch will tell you what's changed at ELMD since then.

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Appears in These Scanners

This stock currently matches 13 of our scanner strategies — each hit links to the scanner.

Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners

Trading Day

Previous Close
40.30$
Open
40.70$
Day High
41.20$
Day Low
39.70$
Volume
53,529shares

Key levels of the most recently completed trading day — not a live quote.

52-Week Range

52-Week Low 52-Week High
18.10 $ 46.30 $
08/01/2025 07/06/2026

Current price 40.60 $ — 80% of the range above the low.

Lowest and highest closing price over the last 52 weeks. The marker shows where the current price sits within that range: close to the high speaks for strength, close to the low for weakness.

Basics

Market Cap
0.3$B
Shares Outstanding
8Mio.
Float
82.7%
Beta
0.5

Performance

Perf. 1M
7.50%
Perf. 3M
72.00%
Perf. 6M
47.00%
YTD Performance (%)
32.30%
52-Week-High Distance
-2.3%
Perf. 1Y
123.67%
Perf. 3Y
299.31%
Perf. 5Y
246.93%
Perf. 10Y
815.28%
Perf. Since Inception
923.37%

Technical Indicators

MA 38 Days
40.80$
MA 50 Days
40.00$
MA 200 Days
29.80$
RSI (14)
50.4
Volatility 30 Days
40.6%
Volatility 250 Days
51.1%

Calculated from the price history · as of 08/03/2026

Valuation

P/E
35.9
Forward P/E
20.2
PEG
0.4
P/B
6.8
P/S
4.7
EV/EBITDA
22.4
Price/FCF
33.1

Profitability

Gross Margin
78.4%
EBIT Margin
Net Margin
14.1%
Return on Equity
21.7%
Return on Assets
14.9%

Balance Sheet & Safety

Equity Ratio
Debt/Equity
fortress balance sheet
Altman Z″
15.58
Piotroski
7 out of 9

Growth

Sales Growth Last Quarter
18.40%
EPS Growth Last Quarter
66.70%
Sales Growth (Year)
16.97%
Forward Sales Growth
13.59%
Forward EPS Growth

Dividend

This stock currently pays no dividend.

Quality & Screener

Stage
2
RS Rating
87
EPS Rating
81
Piotroski
7 out of 9
Fundamental Rating
A (78 out of 100)
fortress balance sheet
Altman Z″
15.58

AI Rating

Neutral

Die sechs ausgewerteten SEC-Berichte (vier 10-Q, zwei 10-K, eingereicht 27.08.2024 bis 12.05.2026) enthalten keinen einzigen Treffer zu künstlicher Intelligenz oder maschinellem Lernen — weder als Umsatzquelle noch als operatives Werkzeug noch als Risikofaktor; das einzige Vorkommen des Wortes „algorithm“ bezieht sich auf einen klinischen Behandlungspfad bei Bronchiektasen.

View the full file — quotes, sources, reviewed filings

Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.

Analysts & Price Target

Current Price 40.60 $
Price Target (average) 40.33 $

The price target sits 0.7% below the current price.

Consensus
Strong Sell
Analyst Ratings
3
Distribution of Recommendations
Strong Buy 3
Buy 0
Hold 0
Sell 0
Strong Sell 0

Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.

Estimates by Fiscal Year

Estimates by Fiscal Year
Fiscal Year EPS Estimate ($) EPS Range ($) Revenue Estimate ($M) Expected Growth Analysts
06/30/2027 1.48 1.41 – 1.52 84 3

Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.

Next Reporting Date

25. Aug 2026 · after the close · Q2 2026
Expected Earnings per Share
0.32 $

Expected date of the next quarterly or annual figures. Dates do shift occasionally — only the invitation issued by the company is binding.

Revenue & Profit

Cash Flow

Balance Sheet

Margins

Per Share

Click the chart or tab into it, then use ← and → to step through the periods.

None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.

These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.

The figures could not be loaded right now.

Sales Per Quarter ($M)
2024: Q4 · 16.3 $M Q4 2025: Q1 · 15.7 $M Q1 2025: Q2 · 17.4 $M Q2 2025: Q3 · 16.9 $M Q3 2025: Q4 · 18.9 $M Q4 2026: Q1 · 18.6 $M Q1

Source: fundamental data

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Quarterly Figures

Quarterly Figures
Quarter EPS (Earnings Per Share) EPS YoY (%) Sales ($M) Sales YoY (%) Net Margin (%) OCF ($M) FCF ($M)
2024: Q4 0.24 17.60 16 18.70 12.10 3 3
2025: Q1 0.23 26.70 16 13.10 12.10 2 2
2025: Q2 0.27 20.60 17 17.30 12.70 4 4
2025: Q3 0.26 44.90 17 15.10 12.60 0 0
2025: Q4 0.33 40.30 19 16.30 14.60 3 3
2026: Q1 0.36 58.80 19 18.40 16.20 4 3
What Do These Terms Mean?
EPS (Earnings Per Share):
Quarterly profit divided by the total share count — how much of the profit works out to a single share.
YoY (Year over Year):
Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
Sales:
All revenue for the quarter, before any costs are deducted — the top line of the income statement.
Net Margin:
What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
OCF (Operating Cash Flow):
The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
FCF (Free Cash Flow):
Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.

Annual Figures

Annual Figures
Fiscal Year Revenue ($M) EBIT ($M) Net Income ($M) EPS ($) Operating Cash Flow ($M) Equity ($M) Total Assets ($M)
2016 23 3 2 0.27 2 16 21
2017 26 4 2 0.26 1 19 23
2018 28 3 2 0.21 2 22 27
2019 31 3 2 0.23 3 26 29
2020 32 5 4 0.47 4 30 33
2021 36 3 2 0.27 3 32 37
2022 42 3 2 0.26 -1 34 41
2023 48 4 3 0.36 1 38 46
2024 55 7 5 0.58 9 45 52
2025 64 10 8 0.86 11 43 54

Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.

Assessment: Opportunities & Risks

Business and growth

Revenue rose from $48.067 million in fiscal 2023 to $54.716 million in fiscal 2024 and $64.000 million in fiscal 2025, then added another 16.6 percent to $54.359 million over the nine months ended March 31, 2026. The driver is not acquisitions but more sales representatives and higher net revenue per approval — of the $2.630 million of additional third-quarter homecare revenue, $1.959 million came from higher volume.

Balance sheet

As of March 31, 2026, total assets of $59.474 million faced only $10.307 million of liabilities, none of it interest-bearing. Cash stood at $16.985 million and shareholders' equity at $49.167 million. An Altman Z-Score of 15.58 and a Piotroski score of 7 out of 9 (data as of July 24, 2026) confirm the picture. The $10 million credit line was undrawn.

Earnings quality and cash conversion

Margins have improved for years — gross margin from 76.0 to 78.5 percent, operating margin from 8.3 to 18.5 percent. Cash has not kept pace: over the nine months ended March 31, 2026, $7.900 million of net income produced only $6.671 million of operating cash, because receivables rose $3.591 million. In the prior-year period the relationship ran the other way ($5.333 million against $7.534 million).

Dependence on one product and one reimbursement code

The quarterly report as of March 31, 2026, states that Electromed has one active product and one business segment. In the U.S. home market the price of that product is effectively set through billing code E0483; the Medicare allowable was approximately $15,000 per device per the annual report. In the third quarter of fiscal 2026, 49.4 percent of homecare revenue rested on government programs, up from 47.3 percent in fiscal 2025.

Revenue built on estimates

Approximately 96 percent of homecare revenue comes from capped installment arrangements whose final amount is estimated — with homecare at 90.1 percent of revenue, that is roughly 86 percent of company revenue. The fiscal 2025 annual report notes that payment patterns held steady over five years and that prior-period estimate revisions were immaterial. That reduces the risk. It does not remove it.

Valuation

As of July 24, 2026, market capitalization of roughly $333 million equaled about 4.6 times trailing twelve-month revenue and roughly 33 times earnings, with the stock 0.4 percent below its all-time high. Worth noting alongside it: the company's own buying history. Repurchases ran through January 2026 at an average of $25.79 and then stopped — $6.082 million of the authorization stayed undrawn.

Bottom Line

Electromed has one of the cleanest small balance sheets on a U.S. exchange: no financial debt, a 78.5 percent gross margin, three years of rising profit, $16.985 million of cash and a product that demonstrably helps patients. The price of that model sits in the same balance sheet: $28.251 million of receivables, a normal operating cycle of roughly thirteen months and approximately 96 percent of homecare revenue from capped installment arrangements whose amount is estimated. Add one product, one reimbursement code and 49.4 percent of homecare revenue from government programs in a year when those programs are being cut. Buy this and you are buying quality with a very long wire between revenue and cash. Not investment advice.

Worth Noting:
  • Electromed reached our research list through our in-house stock scanner: on July 26, 2026, the stock appeared in the U.S. selection of the "Fundamental Rank (A / A+)" screen (38 U.S. hits, 25 of them listed on the page) and on eleven screens in total, including "Quality Growth", "Professionals 80%", "Stan Weinstein: Stage 2" and "Near 52-Week High". These lists are recalculated daily.
  • Timing note: Electromed's fiscal year ends June 30. "Fiscal 2025" means July 1, 2024, through June 30, 2025; the most recent interim report evaluated here is the third quarter of fiscal 2026, as of March 31, 2026, filed May 12, 2026. All filings through July 2, 2026, were reviewed; after the quarterly report there were only insider filings (Form 4), notices of proposed sale (Form 144) and the annual conflict minerals disclosure (Form SD dated May 29, 2026).
  • Valuation anchors are dated and evergreen: the $42.30 reference is not a daily quote but the price documented in an insider filing (Form 4) dated June 30, 2026. For comparison, the CFO sold between $36.34 and $37.11 on June 4, 2026, and the CEO between $36.25 and $37.77 on June 8, 2026. The company itself last repurchased shares in January 2026 at $27.72. This analysis is evergreen; daily prices are not an investment case.

About the Company

Electromed, Inc. entwickelt, fertigt, vermarktet und verkauft Produkte zur Atemwegsreinigung und verwandte Produkte, die hochfrequente Brustwandoszillation (HFCWO) in der pneumologischen Versorgung von Patienten in den USA und international anwenden.

Employees177
HeadquartersNew Prague, MN
Address500 Sixth Avenue NW, 56071 New Prague, United States
Phone952 758 9299
Websitesmartvest.com
IPO Date13. Aug 2010
ISINUS2854091087

Management

Management
Name Title Birth Year
James L. Cunniff President, CEO & Director 1966
Bradley M. Nagel CFO, Treasurer & Secretary 1982

Executives per the latest required filings; titles kept in their original language. Source: fundamental data.

Chart

Interactive price chart (TradingView).

Data as of: July 31, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)

Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.

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