Diagnostics company with 20%+ topline growth hits inflection point
After years of dilution, the company has turned adjusted EBITDA positive, with operating leverage ahead.
Few businesses become more compelling the more you learn about them. This is one of them. At first glance, it looks uninvestable: the share count has almost doubled, the balance sheet carries significant debt, and profitability historically has been out of reach.
But those same reasons are why the market has left it behind.
Under the hood, the story looks different:
Seventeen consecutive quarters of >20% growth, with organic growth likely accelerating.
Just turned adjusted EBITDA positive, now on the path to being self-funded.
Revenue has doubled since 2022 without expanding the sales force, evidence of a sticky channel where each rep can layer in multiple products.
It is a rare one-stop shop in its market, with strong product positioning and rising barriers to entry.
Shares are trading for 2x EV/Revenue, while competitors trade at 4x EV/Revenue — and have historically traded at 6x EV/Revenue.
Current market cap is just below $200 million, trading volume is decent with roughly $300,000 per day.