TransMedics Group, Inc.
$69.69
+3.2%TransMedics Group, Inc., a commercial-stage medical technology company, engages in transforming organ transplant therapy for end-stage organ failure patients in the United States and internationally. The company offers Organ Care System (OCS), a portable organ perfusion, optimization, and monitoring system that utilizes its proprietary and customized technology to replicate near-physiologic conditions for donor organs outside of the human body. Its Organ Care System includes OCS LUNG for the preservation of standard criteria donor lungs for double-lung transplantation; OCS Heart, a technology for extracorporeal perfusion and preservation of donor hearts; and OCS Liver for the preservation of donor livers. The company was founded in 1998 and is headquartered in Andover, Massachusetts.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is compressed (P/E 12.4).
Valuation inputs: P/E 12.4, earnings yield +8.0%, momentum +3.2%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is strong (ROE +40.2%, ROIC +10.9%).
Profitability stack: net margin +31.4%, ROE +40.2%, ROIC +10.9%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile looks controlled across current risk inputs.
Risk factors: liabilities/assets +55.7%, momentum +3.2%, net margin +31.4%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
TransMedics Group, Inc. Market vs Earnings Trajectory
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TransMedics Group, Inc. Fair Value Envelope
TransMedics Group, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.
Operating Margin
Healthy operating margins demonstrate effective cost control and strong business fundamentals.
Net Profit Margin
Exceptional profitability. The company converts a significant portion of revenue to bottom-line earnings.
Effective Tax Rate
Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.
Profitability Insight
Room for improvement: Moderate profitability with opportunities to enhance margins through better cost management or pricing strategy.
TransMedics Group, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Moderate conversion rate. Some gap between earnings and cash flow may warrant investigation into working capital or non-cash items.
CapEx Intensity
Moderate capital requirements typical of many stable businesses. Healthy balance between reinvestment and cash generation.
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.
Cash Flow Quality Insight
Solid cash generation: Positive free cash flow with reasonable earnings quality provides financial flexibility for growth investments, debt reduction, or shareholder returns.
TransMedics Group, 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
Balanced asset mix between current and non-current assets, typical of many stable businesses.
Financial Health Insight
Mixed signals: Strong short-term liquidity provides comfort, but high overall leverage requires careful monitoring of debt servicing capabilities and refinancing risk.
TransMedics Group, Inc. Street Expectations Map
Wall Street analysts project that TMDX stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 120.20, with estimates ranging from a low of 75.00 to a high of 142.00.
The consensus 1-year price target stands at 120.20, with estimates ranging from a low of 75.00 to a high of 142.00.
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
Mixed analyst views. Wide target range suggests differing opinions on key value drivers, growth prospects, or risk factors.
Analyst Conviction
Bearish or uncertain outlook. Limited upside or poor consensus suggests challenges ahead or fundamental concerns.
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.
TransMedics Group, Inc. Insider Positioning
During the last 12 months, insiders have purchased $2.77M and sold $4.57M worth of TMDX shares, resulting in $1.81M of net selling activity.
3 Months
0
0.00
0
0.00
+0
+$0
3-6 Months
0
0.00
14.9K
2.16M
-2.2M
-$2.16M
6-9 Months
8.8K
1.00M
13.1K
1.80M
-797K
-$797K
9-12 Months
15.0K
1.77M
4.8K
615.89K
+1.1M
+$1.15M
Top Buyers
Hassanein Waleed H
Director, Officer: President & Ceo
$2.77M
Top Sellers
Weill David
Director
$1.22M
Basile Edward M
Director
$1.06M
Hernandez Gerardo
Officer: Chief Financial Officer
$1.05M
Ranganath Anil P.
Officer: See Remarks
$652K
Corcoran Nicholas
Officer: See Remarks
$413K
Insider Activity Analysis
Net Insider Sentiment
Slightly bearish with $1.81M net selling. Selling modestly exceeds buying, which could be routine diversification rather than concern.
Buy/Sell Ratio
Moderately negative ratio. Selling is roughly double the buying, which may be routine or signal caution.
Insider Participation
5 insider sellers vs. 1 buyers. Widespread selling across multiple insiders may signal concerns.
No Dividend Yield Data
TMDX has not reported any dividend yield values in the available annual periods.
tmdx Dividend History
Learning Layer
Related Guides
Build conviction on TMDX 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.