Yahoo Finance Nano-X Imaging Ltd. (NASDAQ:NNOX): Are Analysts Optimistic?
With the business potentially at an important milestone, we thought we'd take a closer look at Nano-X Imaging Ltd.'s (NASDAQ:NNOX) future prospects. Nano-X Imaging Ltd. develops a commercial-grade tomographic imaging device with a digital X-ray source. On 31 December 2023, the US$561m market-cap company posted a loss of US$61m for its most recent financial year. Many investors are wondering about the rate at which Nano-X Imaging will turn a profit, with the big question being “when will the company breakeven?” In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.
View our latest analysis for Nano-X Imaging
According to the 2 industry analysts covering Nano-X Imaging, the consensus is that breakeven is near. They expect the company to post a final loss in 2025, before turning a profit of US$104m in 2026. Therefore, the company is expected to breakeven roughly 2 years from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 69%, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.
We're not going to go through company-specific developments for Nano-X Imaging given that this is a high-level summary, though, bear in mind that typically a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.
One thing we’d like to point out is that The company has managed its capital judiciously, with debt making up 1.8% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.
Next Steps:
There are key fundamentals of Nano-X Imaging which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Nano-X Imaging, take a look at Nano-X Imaging's company page on Simply Wall St. We've also put together a list of essential factors you should look at:
Historical Track Record: What has Nano-X Imaging's performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Nano-X Imaging's board and the CEO’s background.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
