Biomerica, Inc. (BMRA) AI Stock Analysis
BMRA AI stock analysis summary
AI ResearchBiomerica, Inc. (BMRA) is a biomedical technology firm focused on diagnostic and therapeutic products with an enterprise value of $13.0M. The company reported FY2026 revenue of $4.5M, down 16.2% year-over-year, alongside a net loss of -$3.8M. Over the trailing twelve months, revenue was $4.5M with an operating margin of -175.2%.
- Market cap
- $8.5M
- Revenue (TTM)
- $4.5M
- P/E
- —
- 1Y return
- -38.5% S&P 500 16.8%
- Avg. target
- $13.00 602.7% vs last close
Bull case
- Biomerica maintained positive net cash of $407,000 with $2.7M in cash and short-term investments as of August 31, 2026.
- Quarterly revenue growth increased by 16.8% year-over-year for the latest quarter ending August 31, 2026.
- The consensus mean price target of $13.00 indicates a potential 602.7% upside relative to the last close of $1.85.
Bear case
- Free cash flow remained deeply negative at -$3.4M in FY2026 alongside an operating cash flow of -$3.4M.
- Annual revenue fell 16.2% to $4.5M in FY2026, contributing to a 5-year revenue CAGR of -9.2% from FY2021 to FY2026.
- The company posted 0 EPS beats over the last 4 quarters while generating an EPS of -$1.26 in FY2026.
What Biomerica does
Biomerica, Inc., founded in 1971 and based in Irvine, California, develops, patents, manufactures, and markets diagnostic and therapeutic products globally. Its portfolio features diagnostic test kits analyzing blood, urine, nasal, or fecal specimens to diagnose gastrointestinal diseases, food intolerances, and other medical complications. These products are sold to physicians' offices, over-the-counter drugstores, and hospital or clinical laboratories. Key offerings include InFoods, a diagnostic test using a simple blood sample to identify patient-specific foods that may alleviate irritable bowel syndrome symptoms, a Helicobacter pylori detection test, and diagnostic products for COVID-19.
Growth and profitability
Biomerica generated $4.5M in revenue for FY2026, marking a 16.2% decline following $5.3M in FY2025 and $5.4M in FY2024. This reflects a 5-year revenue CAGR of -9.2% from FY2021 to FY2026. Gross margin stood at 8.1% in FY2026, slightly down from 9.4% in FY2025 and 11.3% in FY2024. Operating margins remained negative at -119.5% in FY2026 compared to -96.7% in FY2025. Annual net loss was -$3.8M with an EPS of -$1.26 in FY2026. For the trailing twelve months ending August 31, 2026, revenue was $4.5M, while quarterly revenue growth grew 16.8% year-over-year.
Balance sheet and cash flow
As of August 31, 2026, Biomerica held $2.7M in cash and short-term investments against $2.3M in total debt, leaving net cash of $407,000. Total assets were $8.1M and shareholders' equity stood at $3.6M, resulting in a current ratio of 1.91 and a debt-to-equity ratio of 0.64. In FY2026, operating cash flow was -$3.4M and free cash flow was -$3.4M. Capital expenditures were $1,000 in FY2026, while the share count experienced a 5-year change of -73.8%.
Valuation and performance
Biomerica carries a market capitalization of $8.5M and an enterprise value of $13.0M. The stock trades at a price-to-sales multiple of 1.9x and an EV-to-revenue multiple of 2.9x, compared to a median price-to-sales multiple of 4.1x for its US-listed Healthcare peers. Its price-to-book ratio is 4.5x. Over the past year, the stock fell 38.5%, significantly underperforming the S&P 500 (SPY), which gained 16.8%. Over a 5-year period, BMRA shares dropped 95.8% compared to an 83.0% gain for the S&P 500.
What analysts expect
Wall Street coverage for Biomerica, Inc. includes a mean price target of $13.00, representing a 602.7% premium over the last close of $1.85 on October 16, 2026. However, the company recorded 0 EPS beats over the last 4 quarters, highlighting persistent earnings volatility. Across the trailing twelve months, diluted EPS stood at -$1.64 following an EPS of -$1.26 in FY2026, while operating margin was -175.2%.
Key risks and what to watch
- Biomerica's trailing twelve months operating margin is deeply negative at -175.2%, creating operational funding pressure.
- With cash and short-term investments at $2.7M against an annual free cash flow burn of -$3.4M in FY2026, liquidity could face pressure without operational improvements.
- The stock has lost 95.8% of its value over 5 years and trades 11.8% below its 200-day moving average.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this BMRA AI stock analysis
This page is an AI-written research summary of Biomerica, Inc. (BMRA). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: BMRA income statement, BMRA balance sheet, BMRA key metrics, BMRA chart. See the BMRA stock overview for the latest quote and news.
BMRA AI stock analysis FAQ
What does Biomerica, Inc. do?
Biomerica develops, manufactures, and markets diagnostic test kits for conditions such as gastrointestinal diseases and food intolerances, including products like InFoods for IBS.
What is Biomerica's cash position?
As of August 31, 2026, Biomerica had $2.7M in cash and short-term investments and $2.3M in total debt, resulting in net cash of $407,000.
Does Biomerica pay a dividend?
Biomerica does not pay a regular dividend, and no dividend yield is reported.
What is the analyst price target for BMRA stock?
Analysts have set a mean price target of $13.00, which is 602.7% above the last closing price of $1.85 on October 16, 2026.