IR-Med, Inc. (IRME) Stock Analysis

IR-Med, Inc. (IRME) Stock Analysis

Overall Grade: F (Concerning)

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IR-Med, Inc. faces challenges in financial performance that warrant careful analysis.

Key Metrics:

Metric Value Context
ROIC 308.9% Above industry average
FCF Margin 0.0% Cash flow pressure
Debt/Equity 0.0x Conservative leverage

Investment Thesis: Strong return on invested capital of 308.9% suggests durable competitive advantages and efficient capital allocation.


What is IR-Med, Inc.'s Profitability and ROIC?

IR-Med, Inc. generates strong returns on invested capital at 308.9%, indicating efficient capital allocation and competitive advantages.

Key Metrics

Metric Value Rating Interpretation
Return on Invested Capital (ROIC) 308.9% Excellent Strong capital efficiency
Return on Equity (ROE) 1026.2% Excellent Efficient use of shareholder equity

How Strong is IR-Med, Inc.'s Cash Flow Quality?

IR-Med, Inc. generated $-837000 in free cash flow over the trailing twelve months, representing a 0.0% margin. FCF was positive in N/A of the last 8 quarters, indicating variable cash generation.

Key Metrics

Metric Value Rating Interpretation
Free Cash Flow Margin 0.0% Red flag Thin cash margins
Free Cash Flow (TTM) $-837000 Red flag Cash burn
OCF/Net Income 0.4x Warning Potential accrual concerns
FCF Consistency (8Q) N/A Warning Variable cash flow

What is IR-Med, Inc.'s Financial Health?

IR-Med, Inc.'s debt-to-equity ratio of 0.0x indicates conservative leverage.

Key Metrics

Metric Value Rating Interpretation
Debt to Equity 0.0x Excellent Conservative capital structure

Is IR-Med, Inc. Stock Overvalued or Undervalued?

Key Metrics

Metric Value Rating Interpretation
EV/Sales 0.0x Excellent Attractive revenue multiple

Sector Rankings

Metric Value Percentile vs Median
Return on Invested Capital (ROIC) 308.9% Top 5% -
Free Cash Flow Margin 0.0% Bottom 10% -
Return on Equity (ROE) 1026.2% Top 5% -

Rating Thresholds

Return on Invested Capital (ROIC)

Measures how efficiently a company uses its debt and equity capital to generate profits. ROIC above 15% typically indicates a competitive moat.

Rating Range Interpretation
Excellent > 20% Exceptional capital efficiency, strong competitive moat
Good 12% - 20% Above-average returns, sustainable competitive position
Adequate 8% - 12% Around cost of capital, moderate competitive position
Warning 4% - 8% Below cost of capital, value may be eroding
Red flag < 4% Significant capital destruction, fundamental issues

Current: 308.9% (Excellent - Top 5% of sector (median: 0.0%))

Free Cash Flow Margin

The percentage of revenue converted to free cash flow. Higher margins indicate stronger cash generation and business quality.

Rating Range Interpretation
Excellent > 20% Strong cash generation, high-quality business
Good 10% - 20% Healthy cash conversion
Adequate 5% - 10% Moderate cash generation
Warning 0% - 5% Thin cash margins, capital intensive
Red flag < 0% Cash burn, potential liquidity concerns

Current: 0.0% (Red flag)

Debt to Equity Ratio

Total debt divided by shareholders' equity. Lower ratios indicate more conservative financing and reduced financial risk.

Rating Range Interpretation
Excellent < 0.3x Conservative leverage, strong balance sheet
Good 0.3x - 0.7x Moderate leverage, healthy financial position
Adequate 0.7x - 1.5x Elevated leverage, monitor closely
Warning 1.5x - 3.0x High leverage, increased financial risk
Red flag > 3.0x Excessive leverage, potential distress risk

Current: 0.0% (Excellent)


Frequently Asked Questions

Q: What is IR-Med, Inc.'s Return on Invested Capital (ROIC)?

IR-Med, Inc. (IRME) has a trailing twelve-month Return on Invested Capital (ROIC) of 308.9%. This compares above the sector median of 0.0%. An ROIC above 20% indicates exceptional capital efficiency and strong competitive advantages.

Q: What is IR-Med, Inc.'s Free Cash Flow Margin?

IR-Med, Inc. (IRME) has a free cash flow margin of 0.0%, generating $-837000 in free cash flow over the trailing twelve months. Negative free cash flow means the company is consuming cash, which may require financing.

Q: Is IR-Med, Inc. stock overvalued or undervalued?

IR-Med, Inc. (IRME) The EV/Sales multiple is 0.0x.

Q: What is IR-Med, Inc.'s revenue and earnings growth?

IR-Med, Inc. (IRME) Earnings per share increased by 33.3% compared to the prior year.

Q: How does IR-Med, Inc. compare to competitors in Healthcare?

Compared to other companies in Healthcare, IR-Med, Inc. (IRME) shows: ROIC of 308.9% is above the sector median of 0.0% (Top 0%). FCF margin of 0.0% trails the sector median of 0.0%. These rankings are based on MetricDuck's analysis of all Healthcare companies with available SEC filings.

Q: What warning signs should I watch for with IR-Med, Inc.?

Investors in IR-Med, Inc. (IRME) should monitor these potential warning signs: 1) FCF margin is thin at 0.0%, leaving limited buffer for economic downturns. Regular monitoring of SEC filings and quarterly trends is recommended.


Data Source: Data sourced from 10-Q filed 2025-08-14. TTM metrics as of Q2 2025.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

This analysis is for informational purposes only and does not constitute investment advice.