IRadimed Corp (IRMD) stock analysis

P/E above its 5-year median

IRadimed's P/E of 46.3 is above its own 5-year median of 39.9.

P/E above the industry

IRadimed's P/E of 46.3 is above the Surgical, Medical, and Dental Instruments and Supplies median of 27.7.

EV/EBITDA above its 5-year median

IRadimed's EV/EBITDA of 34.2 is above its 5-year median of 29.9.

P/B above the industry

IRadimed's price-to-book of 10.40 is above the Surgical, Medical, and Dental Instruments and Supplies median of 3.22.

Trading above fair value

The share price of $86.58 is above our fair value estimate of $54.01.

Margin of safety under 20%

The price is 60.3% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 16.3% a year over the last three fiscal years.

EPS growing 10%+ a year

Diluted EPS grew 19.7% a year over the last three fiscal years.

Earnings growth not accelerating

Net income grew 13.2% over the last twelve months, against a 5-year average of 75.0% a year.

Growing slower than the industry

Revenue grew 11.0% over the last twelve months; the Surgical, Medical, and Dental Instruments and Supplies median is 11.0%.

Guidance raised

IRadimed raised its full year 2026 non-GAAP diluted earnings per share outlook on Aug 18, 2026.

Gross margin slipping

Gross margin was 75.5% over the last twelve months, against 77.1% a year earlier.

Return on equity over 15%

Return on equity was 23.4% over the last twelve months and averaged 20.9% over five years.

Return on capital over 10%

Return on invested capital was 52.3%, above the 10% that usually covers the cost of capital.

Return on equity above the industry

IRadimed's return on equity of 23.4% is above the Surgical, Medical, and Dental Instruments and Supplies median of -31.3%.

Earnings grew over 5 years

Net income grew 75.0% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 26.8% over the last twelve months, against a 5-year average of 25.1%.

Net margin above the industry

IRadimed's net margin of 26.8% is above the Surgical, Medical, and Dental Instruments and Supplies median of -14.1%.

No debt

IRadimed has no borrowings on its latest balance sheet.

Debt not rising

With no debt today, leverage cannot have risen.

Debt covered by cash flow

There is no debt to cover.

Interest well covered

No meaningful interest expense to cover.

Short-term assets cover short-term debts

Current assets are 8.99 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 48.65; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

IRadimed paid dividends worth 0.9% of the share price over the last twelve months.

Yield below Treasuries

The 0.9% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; IRadimed yields 0.9%.

Dividend stability

Fewer than five years of dividend history.

Covered by earnings

Dividends take 67.6% of net income.

Covered by free cash flow

Dividends take 62.1% of free cash flow.