Outset Medical, Inc.
$4.60
-6.3%Outset Medical, Inc., a medical technology company, develops a hemodialysis system for dialysis. It provides the Tablo Hemodialysis System, which comprises a compact console with integrated water purification, on-demand dialysate production, and software and connectivity capabilities for dialysis care in acute and home settings. The company was formerly known as Home Dialysis Plus, Ltd. and changed its name to Outset Medical, Inc. in January 2015. Outset Medical, Inc. was incorporated in 2003 and is headquartered in San Jose, California.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
Medium confidenceValuation multiple is compressed (P/E -0.9).
Valuation inputs: P/E -0.9, earnings yield N/A, momentum -6.3%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -64.3%, ROIC -29.2%).
Profitability stack: net margin -68.3%, ROE -64.3%, ROIC -29.2%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +52.0%, momentum -6.3%, net margin -68.3%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Outset Medical, Inc. Market vs Earnings Trajectory
Loading price and EPS data...
Outset Medical, Inc. Fair Value Envelope
Outset Medical, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Strong gross margins indicate healthy pricing and efficient production or service delivery.
Operating Margin
Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.
Net Profit Margin
Net losses indicate the company is burning cash. Sustainability depends on path to profitability.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
Outset Medical, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.
Outset Medical, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.
Debt-to-Equity Ratio
Elevated leverage. Debt exceeds equity, which amplifies both gains and risks. Monitor debt servicing ability.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.
Outset Medical, Inc. Street Expectations Map
Wall Street analysts project that OM stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 10.00, with estimates ranging from a low of 7.00 to a high of 15.00.
The consensus 1-year price target stands at 10.00, with estimates ranging from a low of 7.00 to a high of 15.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
High uncertainty. Very wide target spread indicates significant disagreement among analysts—major valuation uncertainty or transformation underway.
Analyst Conviction
High uncertainty: Wide dispersion indicates analysts struggle to agree on valuation—proceed with caution and independent analysis.
Market Sentiment Insight
High risk, high reward: Substantial upside potential exists, but wide analyst disagreement signals execution risk or unclear catalysts. Thorough due diligence essential before committing capital.
Outset Medical, Inc. Insider Positioning
During the last 12 months, insiders have sold $255K worth of OM shares, with no buying activity reported.
3 Months
0
0.00
7.7K
28.36K
-28K
-$28K
3-6 Months
0
0.00
40.9K
193.03K
-193K
-$193K
6-9 Months
0
0.00
3.1K
13.90K
-14K
-$14K
9-12 Months
0
0.00
1.5K
19.70K
-20K
-$20K
Top Buyers
No buying activity
Top Sellers
Trigg Leslie
Director, Officer: Chair And Ceo
$119K
Brottem John L.
Officer: General Counsel
$81K
Nash Marc
Officer: Evp Operations R&D & Service
$49K
Drexler Karen
Director
$7K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $255K net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
4 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
No Dividend Yield Data
OM has not reported any dividend yield values in the available annual periods.
om Dividend History
Learning Layer
Related Guides
Build conviction on OM by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.