Elutia Inc

Elutia's capital structure is highly leveraged, with total liabilities of $85.66 million and total equity of -$50.30 million, indicating a negative net worth. The company's liquidity position is weak, as evidenced by a current ratio of 0.63 and a negative operating cash flow of -$2.64 million. The debt-to-equity ratio of -0.44 further highlights the company's reliance on debt financing, which is atypical for a firm with negative equity.

Profitability metrics are concerning, with a net loss of $17.99 million and an operating loss of $8.48 million. The return on equity (ROE) of 0.3577 is positive but misleading due to the negative equity base. The return on assets (ROA) of -0.5089 indicates that the company is not generating returns from its asset base. Gross profit of $2.84 million is significantly lower than revenue of $6.69 million, suggesting high cost of goods sold or low pricing power.

Elutia's revenue is concentrated in a single business segment, with no disclosed geographic diversification. The company's financial snapshot does not provide segment-specific revenue data, but the lack of diversification increases exposure to market-specific risks. The absence of geographic breakdown suggests a potential concentration risk, particularly if the company's products are regionally dependent.

The company's growth trajectory is uncertain, with no disclosed revenue growth rates or future projections. The negative operating and free cash flows indicate a lack of internal funding for growth initiatives. The capital expenditure of -$15,000 is minimal, suggesting limited investment in long-term growth. Analysts have assigned a mean price target of $5.00, which is significantly higher than the current market price of $1.04, but the lack of strong buy recommendations (0) and the presence of only one buy recommendation suggest cautious sentiment.

Risk factors include high liquidity risk due to negative net cash and a weak balance sheet. The company's dilution risk is currently low, but the negative equity position and high debt levels could necessitate future equity raises, which would dilute existing shareholders. The risk assessment flags a negative net cash position after subtracting total debt, which is a red flag for short-term solvency.

Recent events include the publication of the latest financial data, which shows continued losses and a deteriorating balance sheet. No recent filings or transcripts have been disclosed that provide additional insight into the company's strategic direction or operational performance. The lack of recent positive developments or guidance from management increases uncertainty for investors.

Analysts project 423.6% upside to a $5.00 target price, signaling strong confidence in future value creation.

Long-term debt reached zero in fiscal 2026, eliminating interest obligations and reducing financial leverage risks significantly.

Free cash flow improved by 64.8% year-over-year in fiscal 2026, demonstrating enhanced operational cash generation capabilities.

Dilution risk is assessed as low, suggesting limited immediate threat to existing shareholder equity value from issuance.

Credit risk is flagged as high, indicating significant concerns regarding the company's ability to meet financial obligations.

Cash conversion ratio of 0.15 is in the bottom quartile, indicating inefficient translation of earnings into cash.

Revenue $3.3M, +16,2% YoY; Operating income +12,0% YoY.

• ▍Revenue $3.3M, +16,2% YoY
• ▍Operating income +12,0% YoY
• ▍Net income +881,3% YoY
• ▍Free cash flow −10,7% YoY
• ▍Net margin 2164.2%

Revenue $3.3M, −9,3% YoY; Operating income +43,2% YoY.

• ▍Revenue $3.3M, −9,3% YoY
• ▍Operating income +43,2% YoY
• ▍Net income −400,8% YoY
• ▍Free cash flow −107,8% YoY
• ▍Net margin -116.4%

Revenue $6.3M, −0,5% YoY; Operating income −16,0% YoY.

• ▍Revenue $6.3M, −0,5% YoY
• ▍Operating income −16,0% YoY
• ▍Net income +65,9% YoY
• ▍Free cash flow +67,9% YoY
• ▍Net margin -153.4%

Revenue $6.0M, −9,9% YoY; Operating income +6,6% YoY.

• ▍Revenue $6.0M, −9,9% YoY
• ▍Operating income +6,6% YoY
• ▍Net income +78,1% YoY
• ▍Free cash flow +80,5% YoY
• ▍Net margin -65.2%

Revenue $2.8M; Operating income -$7.5M.

• ▍Revenue $2.8M
• ▍Operating income -$7.5M
• ▍Net margin -321.8%

Revenue $3.7M; Operating income -$9.2M.

• ▍Revenue $3.7M
• ▍Operating income -$9.2M
• ▍Net margin 35.1%

Revenue $6.3M; Operating income -$8.5M.

• ▍Revenue $6.3M
• ▍Operating income -$8.5M
• ▍Net margin -447.9%

Revenue $6.7M; Operating income -$8.5M.

• ▍Revenue $6.7M
• ▍Operating income -$8.5M
• ▍Net margin -268.8%

Revenue $12.3M, −15,0% YoY; Operating income +12,4% YoY.

• ▍Revenue $12.3M, −15,0% YoY
• ▍Operating income +12,4% YoY
• ▍Net income +198,9% YoY
• ▍Free cash flow +64,8% YoY
• ▍Net margin 434.2%

Revenue $14.5M, −41,5% YoY; Operating income −0,6% YoY.

• ▍Revenue $14.5M, −41,5% YoY
• ▍Operating income −0,6% YoY
• ▍Net income −43,3% YoY
• ▍Free cash flow −12,4% YoY
• ▍Net margin -372.9%

Revenue $24.7M, −49,7% YoY; Operating income +3,8% YoY.

• ▍Revenue $24.7M, −49,7% YoY
• ▍Operating income +3,8% YoY
• ▍Net income −14,5% YoY
• ▍Free cash flow −27,4% YoY
• ▍Net margin -152.2%

Revenue $49.2M, +3,8% YoY; Operating income −53,1% YoY.

• ▍Revenue $49.2M, +3,8% YoY
• ▍Operating income −53,1% YoY
• ▍Net income −32,5% YoY
• ▍Free cash flow −38,3% YoY
• ▍Net margin -66.9%