BWAY

BrainsWay

Fundamental data last updated:April 13, 2026

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company profile

SECTOR

Healthcare

industry

Medical Devices

Exchange

Nasdaq

County of HQ

Israel

Next Earnings Date

05/12/26

Business Summary

BrainsWay operates in the Medical Devices space, developing and commercializing advanced therapeutic systems that healthcare providers purchase and deploy in clinical settings. Revenue is generated through device sales and ongoing utilization within treatment centers, creating recurring economic activity once systems are installed. The moat is built on clinical validation, regulatory approvals, and the high switching costs inherent in embedded medical equipment. In healthcare, trust and evidence drive adoption, and once a device becomes part of treatment protocols, replacement risk diminishes significantly, supporting durable cash generation over time.

 


VALUATION

P/E

77.5

Market Cap ($M USD)

$573

Forward P/E

31.2

PEG

0.9

PRICE TO SALES

11.3

PRICE TO BOOK

7.6

EV / EBITDA

44.6

5-Year Average P/E

Free Cash Flow Yield

DCF Value

Graham Number

Price to FCF

EV to FCF

Earnings Yield

FCF Yield

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$0.20

Next Year EPS Growth Estimate

$0.45

Next Year Revenue Growth Estimate

22.70%

Return on Equity (ROE)

10.40%

FREE CASH FLOW

Operating Margin

8.30%

Debt-to-Equity

0.1

Piotroski F-Score

6

Altman Z-Score

8.8

Return on Invested Capital (ROIC)

5.80%

Current Ratio

3.8

Quick Ratio

Net Debt to EBITDA

Interest Coverage

Gross Profit margin

FCF PER SHARE

REVENUE PER SHARE

Gainseekers Quantitative Analysis

Summary

At 77.5x earnings and 11.3x sales, BWAY screens optically expensive, but the compression to a 31.2 Forward P/E and a 0.9 forward PEG suggests the market is pricing in a sharp earnings ramp that may not be fully appreciated. A 22.70% Return on Equity with a 10.40% operating margin indicates a business that has crossed into real profitability rather than speculative growth. Most importantly, an Altman Z-Score of 8.8 signals extremely low bankruptcy risk, and a Current Ratio of 3.8 reinforces balance sheet stability. This is not a distressed med-tech story; it’s a financially secure growth asset trading at a growth-adjusted multiple that may be too conservative if forward estimates hold.

AI Exposure / Tech Reliance

As a Medical Devices company within Healthcare, BWAY operates in a sector that increasingly integrates AI-driven diagnostics, treatment optimization, and data analytics into device ecosystems. The industry’s shift toward precision medicine and data-backed treatment protocols structurally benefits device makers that can embed software and evidence-based enhancements into their platforms. Healthcare technology adoption cycles are long but sticky, creating resilience once systems are clinically validated and deployed.

The Bull Case

A GARP investor would be drawn to the 0.9 PEG Forward, which implies growth is being acquired at a discount relative to its projected expansion. The 22.70% ROE demonstrates efficient capital deployment, while a 5.80% ROIC, though more modest, remains positive and suggests incremental returns above capital costs. A Piotroski F-Score of 6 indicates fundamentally sound operations without distress signals, and the 10.40% operating margin confirms operating leverage is emerging. Combine that with a conservative 8.30% Debt/Equity ratio and an 8.8 Altman Z-Score, and you have a company that can fund growth internally while maintaining solvency strength—exactly the profile institutional investors seek when rotating into profitable mid-cap healthcare growth.

The Bear Case

The stock is undeniably expensive on a trailing basis at 77.5x earnings and 11.3x sales, leaving little room for execution errors. ROIC at 5.80% trails the much stronger 22.70% ROE, suggesting leverage or accounting dynamics may be flattering equity returns. While the PEG of 0.9 looks attractive, it is entirely dependent on forward estimates materializing, and any slowdown would quickly re-rate the 31.2 Forward P/E downward. With no meaningful dividend support and a TTM Yield of 0.1, shareholders are fully exposed to multiple compression risk if growth disappoints.

Market Sentiment & Smart Money

Short Interest %

0.40%

Analyst Consensus

1

Average Analyst Price Target

$15.33

Institutional Ownership %

35.20%

1-Year Beta

1.61

Insider Buying % (6 Mo)

6.00%%

Distance to 52-Week High

94.80%

Distance to 52-Week Low

355.10%

EARNINGS SURPRISE %

50-DAY SMA

200-DAY SMA

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.