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Sensus Healthcare (SRTS) Risk Analysis

Public companies are required to disclose risks that can affect the business and impact the stock. These disclosures are known as “Risk Factors”. Companies disclose these risks in their yearly (Form 10-K), quarterly earnings (Form 10-Q), or “foreign private issuer” reports (Form 20-F). Risk factors show the challenges a company faces. Investors can consider the worst-case scenarios before making an investment. TipRanks’ Risk Analysis categorizes risks based on proprietary classification algorithms and machine learning. Sensus Healthcare disclosed 24 risk factors in its most recent earnings report. Sensus Healthcare reported the most risks in the “Finance & Corporate” category.

Risk Overview Q4, 2025

Risk Distribution
24Risks
Sector Avg.Finance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Risk Change Over Time

Sensus Healthcare disclosed risks per quarterNo. of Risks232425262728Q3Q4Q12023Q2Q3Q4Q12024Q2Q3Q4Q12025Q2Q3Q4Showing: Q4, 2025
Risks removedRisks addedRisks changedSensus Healthcare Risk Factors
  • Accounting & Financial Operations - Risk 1
    We have a history of net losses prior to 2021 and we reported a net loss in 2025. If we do not return to and maintain profitability, our financial condition and the value of our common stock could suffer.

    The Company has a history of net losses. The historical losses from inception through December 31, 2021 totaled $17.8 million. While the Company achieved profitability in 2021 and maintained profitability on an annual basis through 2024, the Company reported a net loss of $7.7 million during the year ended December 31, 2025. The accumulated net loss prior to 2021 was mainly related to the research and development expenses in the early stage of the Company. The Company expects to continue to incur significant expenses as it seeks to grow its business, including costs related to research and development, sales and marketing, and general and administrative functions. The Company is continuously managing expenses and pursuing strategies to improve operational efficiency and increase revenues. However, there can be no assurances that these and other actions will result in the Company returning to profitability or, if profitability is achieved, that the Company will be able to sustain profitability. The Company's failure to achieve and maintain profitability could negatively impact our financial condition and the value of our common stock.

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Risk Highlights Q4, 2025

Main Risk Category
Finance & Corporate
With 9 Risks
Number of Disclosed Risks
24
-1
From last report
S&P 500 Average: 32
Recent Changes
0Risks added
1Risks removed
2Risks changed
Since Dec 2025
Number of Risk Changed
2
+2
From last report
S&P 500 Average: 1

Risk Word Cloud

sensus is required to comply with medical device reporting requirements and must report certain malfunctions, deaths, and serious injuries associated with its products, which can result in voluntary corrective actions or agency enforcement actions.medical device reporting requirementsif the company fails to maintain proper and effective internal controls, the company's ability to produce accurate and timely financial statements could be impaired and investors' views of the company or its business could be harmed, resulting in a decrease in value of the company's common stock.ability to produce accurateif the company fails to maintain proper and effective internal controls, the company's ability to produce accurate and timely financial statements could be impaired and investors' views of the company or its business could be harmed, resulting in a decrease in value of the company's common stock.company fails to maintain propersensus's executive officers and directors may exert control over the company and may exercise influence over matters subject to stockholder approval.matters subject to stockholder approvalsensus may be required to obtain additional funds in the future, and these funds may not be available on acceptable terms or at all.required to obtain additional fundsif sensus's patents and other intellectual property rights do not adequately protect its products, it may lose market share to competitors and be unable to operate business profitably.lose market share to competitorssensus is subject to various federal, state, and foreign healthcare laws and regulations, and a finding of failure to comply with these laws and regulations could have a material adverse effect on its business.finding of failure to complyif sensus's patents and other intellectual property rights do not adequately protect its products, it may lose market share to competitors and be unable to operate business profitably.unable to operate business profitablythe company's customers, including one u.s. customer accounting for a significant portion of our sales, are concentrated in the u.s., and economic difficulties or changes in the purchasing policies or patterns of the company's customers in the u.s. has had and could have in the future a significant impact on our business and operating results.significant portion of our saleslimited trading activity for shares of sensus's common stock may contribute to price volatility.contribute to price volatility

Risk Factors Full Breakdown - Total Risks 24

Share Price & Shareholder Rights5 | 20.8%
  • Share Price & Shareholder Rights - Risk 1
    Limited trading activity for shares of Sensus's common stock may contribute to price volatility.

    While Sensus's common stock is listed and traded on the Nasdaq Capital Market, there has been limited trading activity in the Company's shares. Due to the limited trading activity of Sensus's common stock, relativity small trades may have a significant impact on the price of our common stock.

  • Share Price & Shareholder Rights - Risk 2
    Sensus's executive officers and directors may exert control over the Company and may exercise influence over matters subject to stockholder approval.

    Sensus's executive officers and directors, together with their respective affiliates, beneficially owned approximately 9.0% of our outstanding common stock as of February 12, 2026. Accordingly, these stockholders, if they act together, may exercise substantial influence over matters requiring stockholder approval, including the election of directors and approval of corporate transactions, such as a merger. This concentration of ownership could have the effect of delaying or preventing a change in control or otherwise discourage a potential acquirer from attempting to obtain control over Sensus, which in turn could have a material adverse effect on the market value of Sensus's common stock.

  • Share Price & Shareholder Rights - Risk 3
    If securities or industry analysts do not publish research or publish unfavorable or inaccurate research about Sensus, the price of Sensus's securities and trading volume could decline.

    The trading market for Sensus's securities depends, in part, on the research and reports that securities or industry analysts publish about us. Sensus may be unable to attract or sustain coverage by well-regarded securities and industry analysts. If either none or only a limited number of securities or industry analysts cover Sensus, or if these securities or industry analysts are not widely respected within the general investment community, the trading price for Sensus's securities would be materially and negatively impacted. In the event Sensus obtains securities or industry analyst coverage, if one or more of the analysts who cover Sensus downgrades the securities or publishes inaccurate or unfavorable research about the Company, the price of Sensus's securities would likely decline. If one or more of these analysts cease coverage of Sensus, or fail to publish reports on Sensus regularly, demand for the Sensus's securities could decrease, which might cause the price of its securities and trading volume to decline.

  • Share Price & Shareholder Rights - Risk 4
    The Company's certificate of incorporation and bylaws, and Delaware law contain provisions that could discourage another company from acquiring the Company and may prevent attempts by the Company's stockholders to replace or remove the current directors and management.

    Provisions of the Delaware General Corporation Law ("DGCL") and the Company's certificate of incorporation and bylaws may discourage, delay, or prevent a merger or acquisition that stockholders may consider favorable, including transactions in which an investor might otherwise receive a premium for its stock. In addition, these provisions may frustrate or prevent any attempts by the Company's stockholders to replace or remove the current management by making it more difficult for stockholders to replace or remove directors from the Board of Directors. These provisions include: - authorizing the issuance of "blank check" preferred stock without any need for action by stockholders;- requiring supermajority stockholder voting to effect any merger or sale of all or substantially all of the Company's stock and assets;   - eliminating the ability of stockholders to call and bring business before special meetings of stockholders;   - prohibiting stockholder action by written consent;   - establishing advance notice requirements for nominations for election to the Board of Directors or for proposing matters that can be acted on by stockholders at stockholder meetings;   - dividing the Board of Directors into three classes so that only one third of the directors will be up for election in any given year; and   - providing that the Company's directors may be removed only by the affirmative vote of at least 75% of the Company's then-outstanding common stock and only for cause. In addition, the Company is subject to Section 203 of the DGCL, which may have an anti-takeover effect with respect to transactions not approved in advance by the Board of Directors, including discouraging takeover attempts that could result in a premium over the market price for shares of the Company's common stock. These provisions will apply even if a takeover offer may be considered beneficial by some stockholders and could delay or prevent an acquisition that the Board of Directors determines is not in the best interests of the Company and its stockholders and could also affect the price that some investors are willing to pay for the Company's common stock.

  • Share Price & Shareholder Rights - Risk 5
    The Company's certificate of incorporation provides that the Court of Chancery of the State of Delaware is the exclusive forum for substantially all disputes between the Company and its stockholders, which could limit a stockholder's ability to obtain a favorable judicial forum for disputes with the Company or its directors, officers, or employees.

    The Company's certificate of incorporation provides that, unless the Company consents in writing to the selection of an alternative forum, the Court of Chancery of the State of Delaware is the exclusive forum for: any derivative action or proceeding brought on behalf of the Company; any action asserting a breach of fiduciary duty; any action asserting a claim against the Company arising pursuant to the DGCL, the Company's certificate of incorporation, or bylaws; or any action asserting a claim against the Company that is governed by the internal affairs doctrine. This choice of forum provision may limit a stockholder's ability to bring a claim in a judicial forum that it finds favorable for disputes with the Company or its directors, officers, or other employees, which may discourage these lawsuits against the Company and its directors, officers, and other employees. If a court were to find the choice of forum provision contained in the Company's certificate of incorporation to be inapplicable or unenforceable in an action, the Company may incur additional costs associated with resolving the action in other jurisdictions, which could harm business and financial condition.

See a full breakdown of risk according to category and subcategory. The list starts with the category with the most risk. Click on subcategories to read relevant extracts from the most recent report.

FAQ

What are “Risk Factors”?
Risk factors are any situations or occurrences that could make investing in a company risky. The Securities and Exchange Commission (SEC) requires that publicly traded companies disclose their most significant risk factors. This is so that potential investors can consider any risks before they make an investment. They also offer companies protection, as a company can use risk factors as liability protection. This could happen if a company underperforms and investors take legal action as a result. It is worth noting that smaller companies, that is those with a public float of under $75 million on the last business day, do not have to include risk factors in their 10-K and 10-Q forms, although some may choose to do so.
How do companies disclose their risk factors?
Publicly traded companies initially disclose their risk factors to the SEC through their S-1 filings as part of the IPO process. Additionally, companies must provide a complete list of risk factors in their Annual Reports (Form 10-K) or (Form 20-F) for “foreign private issuers”. Quarterly Reports also include a section on risk factors (Form 10-Q) where companies are only required to update any changes since the previous report. According to the SEC, risk factors should be reported concisely, logically and in “plain English” so investors can understand them.
How can I use TipRanks risk factors in my stock research?
Use the Risk Factors tab to get data about the risk factors of any company in which you are considering investing. You can easily see the most significant risks a company is facing. Additionally, you can find out which risk factors a company has added, removed or adjusted since its previous disclosure. You can also see how a company’s risk factors compare to others in its sector. Without reading company reports or participating in conference calls, you would most likely not have access to this sort of information, which is usually not included in press releases or other public announcements. A simplified analysis of risk factors is unique to TipRanks.
What are all the risk factor categories?
TipRanks has identified 6 major categories of risk factors and a number of subcategories for each. You can see how these categories are broken down in the list below. 1. Financial & Corporate Accounting & Financial Operations - risks related to accounting loss, value of intangible assets, financial statements, value of intangible assets, financial reporting, estimates, guidance, company profitability, dividends, fluctuating results. Share Price & Shareholder Rights – risks related to things that impact share prices and the rights of shareholders, including analyst ratings, major shareholder activity, trade volatility, liquidity of shares, anti-takeover provisions, international listing, dual listing. Debt & Financing – risks related to debt, funding, financing and interest rates, financial investments. Corporate Activity and Growth – risks related to restructuring, M&As, joint ventures, execution of corporate strategy, strategic alliances. 2. Legal & Regulatory Litigation and Legal Liabilities – risks related to litigation/ lawsuits against the company. Regulation – risks related to compliance, GDPR, and new legislation. Environmental / Social – risks related to environmental regulation and to data privacy. Taxation & Government Incentives – risks related to taxation and changes in government incentives. 3. Production Costs – risks related to costs of production including commodity prices, future contracts, inventory. Supply Chain – risks related to the company’s suppliers. Manufacturing – risks related to the company’s manufacturing process including product quality and product recalls. Human Capital – risks related to recruitment, training and retention of key employees, employee relationships & unions labor disputes, pension, and post retirement benefits, medical, health and welfare benefits, employee misconduct, employee litigation. 4. Technology & Innovation Innovation / R&D – risks related to innovation and new product development. Technology – risks related to the company’s reliance on technology. Cyber Security – risks related to securing the company’s digital assets and from cyber attacks. Trade Secrets & Patents – risks related to the company’s ability to protect its intellectual property and to infringement claims against the company as well as piracy and unlicensed copying. 5. Ability to Sell Demand – risks related to the demand of the company’s goods and services including seasonality, reliance on key customers. Competition – risks related to the company’s competition including substitutes. Sales & Marketing – risks related to sales, marketing, and distribution channels, pricing, and market penetration. Brand & Reputation – risks related to the company’s brand and reputation. 6. Macro & Political Economy & Political Environment – risks related to changes in economic and political conditions. Natural and Human Disruptions – risks related to catastrophes, floods, storms, terror, earthquakes, coronavirus pandemic/COVID-19. International Operations – risks related to the global nature of the company. Capital Markets – risks related to exchange rates and trade, cryptocurrency.