Lumida
/AVNS
⌘K
Avanos Medical Inc

Avanos Medical Inc

AVNS
$24.97USD↑+0.04%+0.01 today

MARKET CAP

1.2B

P/E (TTM)

27.7x

FWD P/E

19.0x

DAY RANGE

$25 – $25

52W RANGE

$9
$25

AI Summary

Stalk
Buy NowMedium

AVNS remains in a Stage 2 advancing phase with its long-term uptrend intact and medium-term bullish permission. The active Lockout Rally pattern has driven price into a tight plateau at new highs, with EMAs flattening but holding support. Under the Lockout Rally override, short-term bias is bullish despite extended conditions, justifying aggressive entry now. Execution will target continuation participation on shallow pullbacks into the 9/20 EMA zone or on a break of the base of the consolidation.

  • ↑2025 revenue $701M exceeds guidance; specialty nutrition sales +8% organic.
  • ↑Adjusted EPS $0.94 and FCF ~$40M reflect solid cash generation.
  • ↓Gross margin 54.6% hit by tariffs; 2026 tariff costs ~$30M.
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Avanos Medical, Inc. (NYSE: AVNS) operates in the medical technology sector, specializing in innovative solutions in pain management and specialty nutrition systems. The company is in the midst of a significant transformation to optimize its product portfolio and enhance profitability while addressing challenges such as macroeconomic headwinds and tariff pressures. As a leader in its niche market, Avanos remains focused on delivering high-quality, non-opioid pain management solutions, as well as enhancing the performance of its enteral feeding products, in response to the evolving healthcare landscape.

Bull says

  • ↑2025 revenue $701M exceeds guidance; specialty nutrition sales +8% organic.
  • ↑Adjusted EPS $0.94 and FCF ~$40M reflect solid cash generation.
  • ↑Q4 radiofrequency ablation segment up ~14%, driving non-opioid momentum.
  • ↑Operational plan targets $15–20M in cost savings by end-2026.
  • ↑Nexus Medical acquisition to fuel double-digit neonatal care growth.
  • ↑High earnings yield and strong momentum factors suggest undervaluation.

Bear says

  • ↓Gross margin 54.6% hit by tariffs; 2026 tariff costs ~$30M.
  • ↓Profitability score negative; struggles converting revenue into profit.
  • ↓Pain management segment growth flat to low single digits.
  • ↓Leadership changes risk execution amid ongoing restructuring.
  • ↓Negative growth factor warns of potential revenue stagnation.
  • ↓Weak balance sheet quality and low institutional ownership heighten risk.

Earnings Call · Q4 2024 · Mgmt. Guidance

Updated 07-11-2026bullish

Transcript signals

Bull points

  • We delivered a strong fourth quarter anchored by continued solid performance of our enteral feeding franchise.
  • Additionally, we are pleased to have served over 2 million patients in 2024 through our enteral feeding portfolio, which provide essential nutrition and medication delivery for those in need, and our pain management and recovery solutions, which deliver clinically proven non-opioid therapies to support patients with chronic pain conditions or those recovering from postoperative pain.
  • We delivered adjusted diluted earnings per share of $1.35, a 31% increase compared to the prior year, and adjusted EBITDA from continuing operations of approximately 108 million, or almost 100 basis point expansion of margin.

Bear points

  • Our fourth quarter gap results include a non-cash impairment charge of approximately $437 million based upon an assessment that the fair value of our single company reporting unit was below its carrying value.
  • Normalized organic sales for this quarter were down approximately 3%, excluding the impact of foreign exchange and our previously announced strategic decision to discontinue certain low-growth, low-margin products.
  • Finally, our corporate and other segment is anticipated to decline over 20%.
Read full transcript analysis ›