Enovis (ENOV) AI Stock Analysis

• Market Cap: $1.79B
• Dividend Yield: N/A
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: 14.40%
• EPS Growth: -662.25%
• Country: US
• Employees: 7,367
• Sector: Healthcare
• Sector Strength: 45
• Industry: Industrial - Machinery
• EPS (TTM): 0.79
• Shares Outstanding: 57,159,800
• 10 Day Avg. Volume: 1,085,150
• 30 Day Avg. Volume: 1,024,400
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.95
• Price to Sales (P/S): 1.15
• P/FCF Ratio: -36.09
• Enterprise Value/Market Cap: 1.87
• Enterprise Value/Revenue: 1.53
• Enterprise Value/Gross Profit: 2.57
• Enterprise Value/Ebitda: -7.27
• 1Y Price Target: $51.00
• Price Target Upside: 69.89% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 49 Neutral
• Price Target: $31.00 ▲(3.26% Upside)

Enovis' overall stock score is primarily impacted by its financial performance, which is weakened by declining revenue and profitability issues. Technical analysis provides a neutral outlook, while valuation is negatively affected by a negative P/E ratio and lack of dividend yield. The positive sentiment from the earnings call is not factored into the score due to its exclusion from the weighted calculation.

Positive Factors

Revenue Growth

The consistent revenue growth indicates strong market demand and effective execution of business strategies, supporting long-term expansion.

Margin Improvements

Improved margins suggest enhanced operational efficiency, which can lead to better profitability and competitive positioning over time.

Successful Product Launches

Successful product launches expand the company's portfolio and market presence, driving future growth and innovation in the medical technology sector.

Negative Factors

Product Launch Delays

Delays in product launches can hinder growth in key segments, affecting revenue and market competitiveness in the short to medium term.

Flat Hip and Knee Growth

Flat growth in core segments may signal challenges in market penetration and demand, impacting long-term revenue potential.

Tariff Headwinds

Tariff-related costs can strain cash flow and profitability, posing risks to financial stability and operational flexibility.

Enovis Business Overview & Revenue Model

Company Description

Enovis Corporation operates as a medical technology company worldwide. It develops, manufactures, and distributes medical device products used by orthopedic specialists, surgeons, primary care physicians, pain management specialists, physical therapists, podiatrists, chiropractors, athletic trainers, and other healthcare professionals to treat patients with musculoskeletal conditions resulting from degenerative diseases, deformities, traumatic events, and sports related injuries. It offers rigid and soft orthopedic bracings, hot and cold therapy products, bone growth stimulators, vascular therapy systems and compression garments, therapeutic shoes and inserts, electrical stimulators used for pain management, and physical therapy products; and a suite of reconstructive joint products for the hip, knee, shoulder, elbow, foot, ankle, and finger. Enovis Corporation sells its products through independent distributors, such as healthcare professionals, consumer retail stores, and pharmacies; and directly under the DJO brand. The company was formerly known as Colfax Corporation. Enovis Corporation is headquartered in Wilmington, Delaware.

How the Company Makes Money

Enovis generates revenue through multiple key streams, primarily by selling medical devices and orthopedic solutions to hospitals, clinics, and healthcare professionals. The company's revenue model includes direct sales of products, as well as potential recurring revenue from post-operative care solutions and digital health services. Significant partnerships with healthcare providers and distributors enhance its market reach and facilitate the introduction of innovative products. Additionally, Enovis may engage in research and development collaborations that can lead to new product offerings and expand its revenue opportunities.

Enovis Financial Statement Overview

Summary

Enovis is facing significant financial challenges, with declining revenue and profitability issues. While there are improvements in leverage, the company struggles with cash flow generation. The strong gross profit margin indicates operational efficiency, but overall financial health is weakened by ongoing losses and cash flow difficulties.

Income Statement

Enovis has experienced a decline in revenue, with a negative revenue growth rate of -19.77% in the TTM period. The company is facing challenges with profitability, as indicated by negative net profit and EBIT margins. The gross profit margin remains relatively strong at 69.79%, suggesting some operational efficiency. However, the overall financial health is impacted by significant losses.

Balance Sheet

The debt-to-equity ratio has improved significantly in the TTM period, indicating better leverage management. However, the return on equity is negative, reflecting ongoing profitability challenges. The equity ratio remains stable, suggesting a solid asset base relative to equity.

Cash Flow

The cash flow situation is concerning, with a significant decline in free cash flow growth and negative free cash flow in the TTM period. The operating cash flow to net income ratio is positive, indicating some ability to generate cash from operations despite net losses. However, the free cash flow to net income ratio is negative, highlighting cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.19B	2.11B	1.71B	1.56B	1.43B	1.12B
Gross Profit	1.30B	1.18B	990.78M	869.38M	657.88M	1.14B
EBITDA	-460.10M	-481.03M	169.92M	225.78M	248.21M	180.05M
Net Income	-827.47M	-825.49M	-33.26M	-14.99M	71.66M	42.63M
Balance Sheet
Total Assets	5.02B	4.72B	4.51B	4.27B	8.52B	7.35B
Cash, Cash Equivalents and Short-Term Investments	44.07M	48.17M	36.19M	24.30M	680.25M	101.07M
Total Debt	1.46B	1.40B	536.42M	334.82M	2.16B	2.41B
Total Liabilities	2.44B	2.15B	1.09B	823.45M	3.85B	3.76B
Stockholders Equity	2.58B	2.56B	3.42B	3.45B	4.62B	3.54B
Cash Flow
Free Cash Flow	-3.95M	-67.21M	12.77M	-161.31M	251.86M	187.15M
Operating Cash Flow	188.06M	113.50M	134.99M	-55.86M	356.10M	301.94M
Investing Cash Flow	-226.63M	-955.47M	-242.47M	-176.39M	-320.48M	-175.08M
Financing Cash Flow	37.19M	846.82M	127.80M	-465.13M	584.91M	-131.65M

Enovis Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 30.02
• 50DMA: Positive
• 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 ENOV, the sentiment is Negative. The current price of 30.02 is below the 20-day moving average (MA) of 31.61, above the 50-day MA of 29.67, and below the 200-day MA of 36.15, indicating a neutral trend. The MACD of 0.51 indicates Positive momentum. The RSI at 50.00 is Neutral, neither overbought nor oversold. The STOCH value of 28.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ENOV.

Enovis Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HLIO	73 Outperform	1.76B	50.52	3.83%	0.69%	-5.41%	17.47%
EPAC	71 Outperform	2.18B	24.86	20.33%	0.10%	2.82%	7.50%
SXI	69 Neutral	2.44B	43.63	7.84%	0.63%	9.64%	-24.68%
XMTR	54 Neutral	2.75B	-44.83	-22.78%	―	20.19%	-12.34%
HI	52 Neutral	1.70B	-91.78	-1.19%	3.86%	-7.93%	91.44%
ENOV	49 Neutral	$1.79B	―	-28.31%	―	14.40%	-662.25%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%