Avanos Medical, Inc.
Avanos Medical designs and manufactures medical devices focused on specialty nutrition systems and pain management and recovery solutions.
Business. Avanos Medical designs and manufactures medical devices focused on specialty nutrition systems and pain management and recovery solutions.
At a glance
What drives this business
The watch-list the newsroom runs for this company — derived from its sector path, sharpened layer by layer. Not investment advice.
News & coverage
0Sector rotation
Developing storylines
Analysis
AI analysisOpportunity
Upcoming catalysts
Scheduled public events. Informational only — not investment advice.
- Company
- EarningsQ3 2026 earnings (expected)2026-10-28 · estimated
- Macro
- Rate decisionBank of England rate decision (press conf.)2026-08-06 · GB
- Rate decisionReserve Bank of Australia rate decision (press conf.)2026-08-12 · AU
- Rate decisionNorges Bank rate decision (press conf.)2026-08-20 · NO
- Rate decisionSveriges Riksbank rate decision (press conf.)2026-09-03 · SE
- Rate decisionBank of Canada rate decision (press conf.)2026-09-09 · CA
- Rate decisionEuropean Central Bank rate decision (press conf.)2026-09-10 · EU
- Macro & political
- ElectionSE Swedish Election2026-09-14 · SE
- ElectionUS U.S. Midterms2026-11-03 · US
- ElectionFR French Legislative2027-06-01 · FR
Pre-earnings brief
Signals & dispatch
Composite-score breakdown
Synthesis
Avanos Medical designs and manufactures medical devices focused on specialty nutrition systems and pain management and recovery solutions.
Avanos Medical maintains a conservative capital structure with a debt-to-equity ratio of 0.01 and a current ratio of 2.48, indicating strong short-term liquidity coverage. The balance sheet holds $65.6 million in cash and equivalents against $10.9 million in short-term debt, resulting in a net cash position. However, the company generated negative operating cash flow of -$12.3 million in Q1 2026, suggesting working capital consumption or timing mismatches despite the healthy balance sheet metrics. The market capitalization stands at $1.19 billion, trading at a price-to-book ratio of 4.34.
Profitability metrics show significant pressure, with a return on equity of -9.32% and a return on assets of -6.94%. The company reported net income of $5.1 million on revenue of $182.2 million in Q1 2026, yielding a net margin of approximately 2.8%. Operating income was $8.9 million, indicating that while the core business generates positive operating leverage, non-operating items or tax effects may be impacting the bottom line. The negative EV/EBITDA of -49.88 reflects the current earnings volatility or one-time charges impacting EBITDA calculations.
The company operates through two primary segments: Specialty Nutrition Systems and Pain Management and Recovery. Revenue concentration risk is present, with filings noting customer concentration risks involving two major customers. Geographic exposure includes significant operations in the United States, with manufacturing concentration in Mexico noted as a key operational risk factor. The company also holds international operations in Canada, Japan, Belgium, and the UK, though specific revenue splits are not detailed in the snapshot.
Growth trajectory analysis is limited by the absence of historical period data in the input. However, the current quarter revenue of $182.2 million provides a baseline for annualized projections. The company has undergone recent restructuring initiatives and divestitures, including the sale of its RH business for $110 million in cash, which impacts the comparability of historical revenue streams. The pending merger with affiliates of American Industrial Partners introduces uncertainty regarding future growth vectors and strategic direction.
Risk factors include medium dilution risk, as indicated by the difference between basic shares (46.7 million) and diluted shares (47.5 million), suggesting outstanding options or convertible instruments. Key flags highlight potential dilution or offering risks. Operational risks include supply chain disruptions, inflationary pressures, and the concentration of manufacturing in Mexico. Regulatory risks involve changes in reimbursement policies from government healthcare programs and private insurers, which could adversely affect product demand and pricing.
Recent events include critical 8-K filings indicating material agreements, changes in control, or other significant corporate actions. The company faces risks related to the pending merger with American Industrial Partners, including the potential failure to complete the transaction on anticipated terms. Filings also disclose risks associated with cybersecurity threats, geopolitical conflicts, and tariff impacts on imported raw materials. The company continues to execute on restructuring initiatives aimed at improving operational efficiency and cost structure.
- Strong liquidity position with $65.6M cash and 2.48 current ratio, but negative operating cash flow of -$12.3M in Q1 2026.
- Negative returns on equity (-9.32%) and assets (-6.94%) signal profitability challenges despite positive operating income.
- Medium dilution risk exists with 830k additional diluted shares, alongside key flags for potential offering risks.
- Strategic uncertainty looms due to the pending merger with American Industrial Partners and recent RH business divestiture.
- Operational risks are concentrated in Mexican manufacturing and exposure to healthcare reimbursement policy changes.
- Customer concentration risk is present with two major customers accounting for significant receivables.
Bull / Bear case
Generated · model-assistedIn focus — financials by report
Revenue $182.2M; Operating income $8.9M.
- ▍Revenue $182.2M
- ▍Operating income $8.9M
- ▍Net margin 2.8%
Revenue $520.3M; Operating income -$64.1M.
- ▍Revenue $520.3M
- ▍Operating income -$64.1M
- ▍Net margin -13.8%
Revenue $342.5M; Operating income -$64.2M.
- ▍Revenue $342.5M
- ▍Operating income -$64.2M
- ▍Net margin -20.5%
Revenue $701.2M; Operating income -$61.6M.
- ▍Revenue $701.2M
- ▍Operating income -$61.6M
- ▍Net margin -10.4%
Revenue $687.8M; Operating income -$396.2M.
- ▍Revenue $687.8M
- ▍Operating income -$396.2M
- ▍Net margin -57.0%
Revenue $687.8M; Operating income -$396.2M.
- ▍Revenue $687.8M
- ▍Operating income -$396.2M
- ▍Net margin -57.0%
Revenue $673.3M; Operating income $4.2M.
- ▍Revenue $673.3M
- ▍Operating income $4.2M
- ▍Net margin -9.2%
Revenue $673.3M; Operating income $4.2M.
- ▍Revenue $673.3M
- ▍Operating income $4.2M
- ▍Net margin -9.2%
Valuation FY
Revenue by segment
Business relationships
Supply chain
Peer comparison
Market position
Stress test
Predictor forecast
| Metric | Our forecast | Guidance | Consensus |
|---|---|---|---|
| EPS | —no estimate | —no estimate | 1,00 |
| Revenue | —no estimate | —no estimate | 710,0M USD |
| Operating income | —no estimate | —no estimate | 68,0M USD |
Options
Short squeeze
Earnings-call key lines
Consensus distribution
sell-side coverageEstimate revisions
consensus EPS · 26-week trendSell-side observations
Themes
ESG
Risk factors
- Source documents mention dilution or offering risk.
Benchmarks vs cohort
Corporate actions / M&A
FX exposure
Comparable transactions
Derivatives & instruments
Derivative transactions
- Director · Restricted Share Units → Common StockDisposed 12 003disposition · 2026-07-27
- Director · Restricted Share Units → Common StockDisposed 12 003disposition · 2026-07-27
- Director · Restricted Share Units → Common StockDisposed 12 003disposition · 2026-07-27
- SVP, Operations · Employee Stock Option (right to buy) → Common StockDisposed 37 520 @ $13,69disposition · 2026-07-27
- Chief Executive Officer · Employee Stock Option (right to buy) → Common StockDisposed 239 354 @ $13,69disposition · 2026-07-27
- SVP, Chief Financial Officer · Employee Stock Option (right to buy) → Common StockDisposed 21 038 @ $15,24disposition · 2026-07-27
- SVP, Chief Financial Officer · Employee Stock Option (right to buy) → Common StockDisposed 69 630 @ $13,69disposition · 2026-07-27
- SVP, Operations · Employee Stock Option (right to buy) → Common StockDisposed 21 914 @ $15,24disposition · 2026-07-27
- Director · Restricted Share Units → Common StockDisposed 12 003disposition · 2026-07-27
- Director · Restricted Share Units → Common StockDisposed 12 003disposition · 2026-07-27
- Director · Restricted Share Units → Common StockAcquired 12 003grant · 2026-05-08
- Director · Restricted Share Units → Common StockAcquired 12 003grant · 2026-05-08
- Director · Restricted Share Units → Common StockAcquired 12 003grant · 2026-05-08
- Director · Restricted Share Units → Common StockAcquired 12 003grant · 2026-05-08
- Director · Restricted Share Units → Common StockAcquired 12 003grant · 2026-05-08
- SVP, Operations · Employee Stock Option (right to buy) → Common StockAcquired 37 520 @ $13,69grant · 2026-03-13
- Chief Executive Officer · Employee Stock Option (right to buy) → Common StockAcquired 239 354 @ $13,69grant · 2026-03-13
- SVP, Chief Financial Officer · Employee Stock Option (right to buy) → Common StockAcquired 69 630 @ $13,69grant · 2026-03-13
Actions
Ask Handelsavisen
- Market data
- Regulatory filings
- Issuer disclosures
- Public news
- Earnings transcripts
- Consensus estimates
- ESG data
- Reference data
- Cash Conversion Ratiooperating_cash_flow / net_income
- Market Priceinput from market-data provider (delayed close or quote-shim mid)
- Ev To Revenueenterprise_value / revenue
- Net Cashcash_and_equivalents + short_term_investments - short_term_debt - long_term_debt
- Return On Equitynet_income / total_equity
- Market Capmarket_price * shares_outstanding_diluted
- AVANOS MEDICAL, INC. company facts · 2026-08-01
- AVANOS MEDICAL, INC. 10-Q 2026-05-05 · 2026-08-01
- AVANOS MEDICAL, INC. 10-K 2026-02-24 · 2026-08-01
- AVANOS MEDICAL, INC. 10-Q 2025-11-05 · 2026-08-01
- AVANOS MEDICAL, INC. 10-Q 2025-08-05 · 2026-08-01
- 8-K (sec_8k_material) on AVNS · 2026-08-01
Ownership & reference
Top holders
- Investment Managers · as of 2026-03-310,05 %$0M
- Investment Managers · as of 2026-03-310,01 %$29M
- Investment Managers · as of 2026-03-310,00 %$10M
- Investment Managers · as of 2024-06-300,00 %$140M
- Investment Managers · as of 2026-03-310,00 %$15M
- Investment Managers · as of 2026-03-310,00 %$4M
- Investment Managers · as of 2026-03-310,00 %$4M
- Institutional Investor · as of 2026-03-310,00 %$8M
- Investment Managers · as of 2026-03-310,00 %$28M
- Investment Managers · as of 2026-03-310,00 %$15M
- Investment Managers · as of 2026-03-310,00 %$7M
- Investment Managers · as of 2026-03-310,00 %$7M
- Institutional Investor · as of 2026-03-310,00 %$4M
- Investment Managers · as of 2026-03-310,00 %$1M
- Investment Managers · as of 2026-03-310,00 %$12M
- Investment Managers · as of 2026-03-310,00 %$3M
- Investment Managers · as of 2024-12-310,00 %$2M
- Investment Managers · as of 2025-12-310,00 %$40M
- Funds · as of 2026-03-310,00 %$3M
- Investment Managers · as of 2026-03-310,00 %$2M
- Institutional Investor · as of 2026-03-310,00 %$5M
- Investment Managers · as of 2026-03-310,00 %$1M
- Institutional Investor · as of 2026-03-310,00 %$0M
- Investment Managers · as of 2026-03-310,00 %$0M
- Investment Managers · as of 2026-03-310,00 %$0M
- Brokerage Firms · as of 2026-03-310,00 %$0M
- Investment Managers · as of 2026-03-310,00 %$0M
- Institutional Investor · as of 2026-03-310,00 %$0M
- Investment Managers · as of 2026-03-310,00 %$0M
Insider activity
- Chief Executive Officer · Common StockOther 444 730 @ $25,00$11,1M · 2026-07-27
- SVP, Operations · Common StockOther 55 741 @ $25,00$1,4M · 2026-07-27
- SVP, Operations · Common StockOther 54 886 · 2026-07-27
- SVP, Operations · Common StockOther 54 886 @ $25,00$1,4M · 2026-07-27
- SVP, Chief Financial Officer · Common StockOther 135 596 @ $25,00$3,4M · 2026-07-27
- SVP, Chief Financial Officer · Common StockOther 96 121 · 2026-07-27
- SVP, Chief Financial Officer · Common StockOther 96 121 @ $25,00$2,4M · 2026-07-27
- Chief Executive Officer · Common StockOther 322 194 @ $25,00$8,1M · 2026-07-27
- Chief Executive Officer · Common StockOther 444 730 · 2026-07-27
- Director · Common StockOther 50 090 @ $25,00$1,3M · 2026-07-27
- Director · Common StockOther 54 640 @ $25,00$1,4M · 2026-07-27
- Director · Common StockOther 4 817 @ $25,00$120K · 2026-07-27
- Director · Common StockOther 13 811 @ $25,00$345K · 2026-07-27
- Director · Common StockOther 40 000 @ $25,00$1,0M · 2026-07-27
- Director · Common StockOther 79 590 @ $25,00$2,0M · 2026-07-27
- SVP, Operations · Common StockOther 4 264 @ $24,64$105K · 2026-04-22
- SVP, Chief Financial Officer · Common StockOther 4 228 @ $24,64$104K · 2026-04-22
- Chief Executive Officer · Common StockOther 21 194 @ $14,53$308K · 2026-04-14
- SVP, Chief Financial Officer · Common StockOther 29 481 · 2026-03-13
- Principal Accounting Officer · Common StockOther 2 211 · 2026-03-13
- Chief Executive Officer · Common StockOther 101 341 · 2026-03-13
- SVP, Operations · Common StockOther 15 886 · 2026-03-13
- SVP, Chief Financial Officer · Common StockOther 1 119 @ $13,29$15K · 2026-03-09
- Principal Accounting Officer · Common StockOther 226 @ $13,29$3K · 2026-03-09
- SVP, Chief Financial Officer · Common StockOther 5 907 @ $13,79$81K · 2026-03-06
Short positioning
Geographic breakdown
Intel & risk
Evidence & claims
From filings & derived data- Operating cash flow (annual): USD 74.7MUnknown
- Gross profit (annual): USD 353.9MUnknown
- EPS (basic) (annual): USD-PER-SHARES -2Unknown
- Cost of revenue (annual): USD 347.3MUnknown
- Cash & equivalents (annual): USD 89.8MUnknown
- Shareholders' equity (annual): USD 778.2MUnknown
- EPS (diluted) (annual): USD-PER-SHARES -2Unknown
- Pre-tax income (annual): USD -66.2MUnknown
- Shares outstanding (annual): 46.46MUnknown
- Net income (annual): USD -72.9MUnknown
- Operating income (annual): USD -61.6MUnknown
- Long-term debt (annual): USD 90.3MUnknown
- Revenue (annual): USD 701.2MUnknown
- R&D expense (annual): USD 23.3MUnknown
- Current liabilities (annual): USD 165.2MUnknown
- Total assets (annual): USD 1.07BUnknown
- Total liabilities (annual): USD 295.5MUnknown
- Current assets (annual): USD 355.4MUnknown
- Current assets (annual): USD 393.4MUnknown
- Shareholders' equity (annual): USD 828.5MUnknown
- Total liabilities (annual): USD 325.7MUnknown
- Long-term debt (annual): USD 125.3MUnknown
- Net income (annual): USD -392.1MUnknown
- EPS (basic) (annual): USD-PER-SHARES -9Unknown