Company Overview
Spectral AI, Inc. operates as an artificial intelligence company focused on predictive medical diagnostics within the United States, offering the DeepView System which utilizes proprietary AI algorithms to distinguish between fully damaged, partially damaged, and healthy human tissue characteristics. The firm functions within the Healthcare sector and specifically the Medical Devices industry, positioning itself to leverage advanced technology for clinical decision support in radiology and pathology applications. As of the latest reporting period, the company possesses a market capitalization of $47.42M and generated annual revenue of $19.65M, with employee count data currently unavailable for public disclosure. These valuation and revenue figures indicate that Spectral AI is a mid-sized entity within the medical device landscape, possessing a market cap that suggests a niche but established presence rather than a dominant market leader, while the revenue scale reflects the operational output of its core diagnostic software solutions.
Financial Health
The company reported a revenue of $19.65M over the trailing twelve months, yet recorded a net income of -$7,571,000 and an EBITDA of -$8,532,000, revealing a significant gap between top-line generation and bottom-line profitability. This disparity between revenue and net income highlights a cost structure where operational expenses and loss-making activities substantially exceed gross profits, resulting in a net loss that is larger in magnitude than the EBITDA figure due to non-operating costs or interest expenses. The free cash flow stands at -$1,838,000, indicating that the company is currently burning cash, which limits its immediate financial flexibility to fund organic expansion without external capital infusion or debt issuance. Analysis of the three primary margins shows a gross margin of 45.4%, suggesting that the cost of goods sold is controlled effectively relative to revenue, but this is contrasted by an operating margin of -64.5% and a profit margin of -38.5%, both of which indicate severe inefficiencies in scaling operations or high overhead costs relative to the revenue base. On the balance sheet, the company holds $15.39M in cash against $10.09M in debt, while the debt-to-equity ratio is listed as N/A, creating a complex picture where the nominal cash position exceeds nominal debt but the lack of a traditional equity base complicates leverage assessment. The current ratio is 0.94, which indicates that the company's short-term assets are insufficient to cover its short-term liabilities, signaling potential liquidity constraints that must be managed carefully. Return on Equity is N/A due to the absence of positive retained earnings or a standard equity base for calculation, while the return on assets stands at -32.1%, revealing that the company's asset base is currently generating negative returns rather than value for stakeholders.
Valuation Assessment
The trailing twelve-month P/E ratio is N/A because the company is not currently profitable, whereas the forward P/E is -1.73, a metric that is typically not used for valuation of loss-making companies but reflects the negative earnings expectation in the forward-looking model. The price-to-book ratio is reported as -7.97, which indicates a market valuation that is negative relative to book value, a situation often seen in distressed firms or those with significant intangible assets or losses that depress the book equity. The price-to-sales ratio is 2.41, and the EV/EBITDA is -4.94, suggesting that the market is pricing the stock based on revenue multiples rather than earnings power, as the negative EV/EBITDA confirms that the enterprise value relative to earnings is not a standard benchmark for valuation here. The stock has traded between a 52-week high of $3.21 and a 52-week low of $1.04, meaning the current price sits somewhere within this range, reflecting the volatility typical of small-cap biotech and AI firms. The beta value is N/A, which implies that historical volatility data relative to the broader market is not available or calculable for this specific security, making it difficult to gauge systematic risk without direct historical correlation data.
Growth & Income
Revenue growth year-over-year is -49.4%, while earnings growth year-over-year is N/A due to the company's continued losses, indicating that the business is currently in a contraction phase regarding revenue and has not yet achieved the profitability required to support meaningful earnings growth metrics. The company does not pay dividends, as evidenced by a dividend yield of N/A and a payout ratio of 0.0%, which means that all available cash flow is theoretically reinvested into the business or used to cover operating losses rather than distributed to shareholders. Since the company is not a dividend payer, the 0.0% payout ratio is sustainable only in the sense that no distribution is made, but the lack of cash generation limits the ability to fund growth without external financing. The overall growth and income profile is characterized by significant revenue contraction and a complete absence of income distribution, positioning the stock as a high-risk, high-potential speculative asset dependent on future operational turnaround.