Bioventus (BVS) AI Stock Analysis

• Market Cap: $651.45M
• Dividend Yield: N/A
• Average Volume (3M): 397.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.47
• Revenue Growth: 11.89%
• EPS Growth: 79.18%
• Country: US
• Employees: 930
• Sector: Healthcare
• Sector Strength: 74
• Industry: Medical - Devices
• EPS (TTM): -0.52
• Shares Outstanding: 66,156,870
• 10 Day Avg. Volume: 378,448
• 30 Day Avg. Volume: 397,725
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.38
• Price to Cash Flow (P/CF): 10.20
• P/FCF Ratio: 10.30
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $16.00
• Price Target Upside: 101.26% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

Bioventus is on a path to recovery with strong revenue growth and improved cash flow, yet profitability remains a concern due to negative margins. Technical indicators and valuation suggest caution, but positive earnings call guidance and debt reduction provide a promising outlook.

Positive Factors

Earnings Performance

BVS posted a strong Q4, beating revenue, adj. EBITDA, and pro forma EPS expectations with significant improvements in its business units.

Growth Prospects

The planned divestiture of the Rehab business should allow Bioventus to refocus on higher growth, higher margin opportunities.

Strategic Investments

BVS has the financial breathing room to invest in commercial and R&D activities, which helps the company remain competitive.

Negative Factors

Debt Concerns

Bioventus still has a significant amount of debt on its balance sheet, which could limit strategic uses of capital.

Distributor Order Impact

Pain Treatments growth benefited from a few million dollars of above-normal distributor orders, which is expected to negatively impact Q1 expectations as lower distributor orders are anticipated.

Revenue Challenges

Q1/H1 organic revenues should be more challenged given two fewer selling days in the Q1, pull-forward of HA orders from the Q1/25 to Q4/24, and continued BGS distributor choppiness for a couple more quarters.

Bioventus Business Overview & Revenue Model

Company Description

Bioventus Inc. a medical device company, focuses on developing and commercializing clinical treatments that engage and enhance the body's natural healing process in the United States and internationally. The company's product portfolio includes pain treatments, which comprise non-surgical joint pain injection therapies, as well as peripheral nerve stimulation products. Its surgical solutions comprise bone graft substitutes to fuse and grow bones, enhance results following spinal and other orthopedic surgeries; and ultrasonic medical devices for the use in precise bone sculpting, remove tumors, and tissue debridement. The company's restorative therapies include an ultrasonic bone healing system for fracture care; skin allografts; and products that are used to support healing of chronic wounds, as well as advanced rehabilitation devices designed to help patients regain leg or hand function. It serves physicians spanning the orthopedic continuum, including sports medicine, total joint reconstruction, hand and upper extremities, foot and ankle, podiatric surgery, trauma, spine, and neurosurgery in the physician's office or clinic, ambulatory surgical centers, or in the hospital setting. The company was founded in 2011 and is headquartered in Durham, North Carolina.

How the Company Makes Money

Bioventus generates revenue primarily through the sale of its orthobiologic products and solutions to healthcare providers, hospitals, and clinics. The company earns money by selling devices and therapies that facilitate bone healing and reduce pain associated with musculoskeletal conditions. Key revenue streams include sales of their EXOGEN ultrasound bone healing system, DUROLANE and GELSYN-3 viscosupplementation products for osteoarthritis pain relief, and PTP bone graft substitutes used in surgical procedures. Bioventus also enters into strategic partnerships and collaborations with other healthcare entities to expand its product offerings and market reach, enhancing its revenue-generating potential. The company invests in research and development to innovate and improve its product portfolio, which can also lead to increased sales and market competitiveness.

Bioventus Financial Statement Overview

Summary

Bioventus shows signs of recovery with positive revenue growth and improved cash flow generation. However, profitability remains a challenge with negative net margins and ROE, despite a stronger balance sheet due to reduced debt.

Income Statement

Bioventus shows a mixed performance in its income statement. Gross profit margin has improved to 100% in the latest year due to reported gross profit equaling total revenue, but net profit margin remains negative, indicating persistent losses. Revenue growth is positive at 11.9% from 2023 to 2024, showing some recovery. However, the EBIT and EBITDA margins are negative, reflecting challenges in operational efficiency and profitability.

Balance Sheet

The balance sheet reveals a stable but cautious picture. The debt-to-equity ratio decreased significantly, indicating reduced leverage and improved financial stability. However, the return on equity remains negative due to persistent net losses. The equity ratio is moderate, suggesting a balanced capital structure but with room for improvement in equity strength.

Cash Flow

Cash flow analysis shows signs of improvement with a strong growth in operating cash flow. The free cash flow to net income ratio is positive, indicating that cash generation is better than net profitability figures suggest. However, the operating cash flow to net income ratio implies that cash flow generation is not yet robust enough to cover net losses consistently.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
573.28M	512.35M	512.12M	430.90M	321.16M
	Gross Profit
573.28M	328.19M	331.08M	302.71M	233.52M
	EBIT
0.00	-81.72M	-35.68M	17.72M	21.24M
	EBITDA
-49.55M	-23.07M	-109.20M	51.81M	50.44M
	Net Income Common Stockholders
-49.13M	-156.23M	-213.39M	9.59M	16.41M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
41.58M	36.96M	31.81M	43.93M	86.84M
	Total Assets
727.96M	810.91M	1.37B	1.23B	494.47M
	Total Debt
27.34M	394.85M	418.07M	357.68M	188.38M
	Net Debt
-14.24M	357.88M	386.25M	313.75M	101.54M
	Total Liabilities
542.35M	589.79M	1.03B	692.07M	350.31M
	Stockholders Equity
147.94M	173.59M	316.58M	458.92M	142.24M
Cash Flow		Free Cash Flow
38.80M	7.98M	-25.06M	15.62M	51.13M
	Operating Cash Flow
38.80M	15.34M	-13.54M	22.99M	71.80M
	Investing Cash Flow
22.96M	15.81M	-116.44M	-283.76M	-20.50M
	Financing Cash Flow
-54.58M	-26.65M	62.08M	273.37M	-29.57M

Bioventus Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BVS, the sentiment is Negative. The current price of 7.95 is below the 20-day moving average (MA) of 9.08, below the 50-day MA of 9.77, and below the 200-day MA of 10.00, indicating a bearish trend. The MACD of -0.24 indicates Positive momentum. The RSI at 45.59 is Neutral, neither overbought nor oversold. The STOCH value of 29.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BVS.

Bioventus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KIDS	65 Neutral	$571.87M	―	-10.34%	―	37.65%	-77.01%
SIBN	60 Neutral	$590.95M	―	-18.38%	―	20.37%	34.10%
AXGN	54 Neutral	$743.20M	―	-9.99%	―	17.81%	54.69%
BVS	52 Neutral	$651.45M	―	-20.86%	―	11.89%	79.18%
AVNS	52 Neutral	$606.32M	45.80	-37.42%	―	-2.54%	-546.91%
OFIX	51 Neutral	$574.41M	―	-22.87%	―	7.08%	20.45%
Sector *	48 Neutral	$6.36B	1.28	-45.04%	2.64%	19.24%	1.69%