BDSX

Biodesix is executing an operational turnaround that the numbers now corroborate. FY2025 revenue grew 24% to $88.5M — the fourth straight year of acceleration off the FY2022 trough ($38.2M) — and the mix is high quality: Diagnostic Test revenue rose 22% on 15% higher test volume (62,600 tests) plus rising revenue per test, with Q4 core organic diagnostic growth of 40%. Management reports gross margin expanding ~300bps to 81% for the year (400bps to 83% in Q4) as workflow optimization cut cost per test, and operating expenses grew only 10% against 24% revenue growth — real operating leverage. The net loss narrowed 18% to $35.3M and operating cash burn improved 52%. At $217M market cap this is 2.4x sales, an undemanding multiple for a 24% grower carrying 80%+ gross margins in Medicare-covered blood-based lung diagnostics.

The balance sheet is why this is a hold, not a buy. Stockholders' equity is negative (-$2.46M), the accumulated deficit is -$498M, and reported cash of just $19.0M sits against ~$23.3M of annual operating cash burn — well under a year of runway as stated. The company leans on external financing to bridge this: pro forma cash of $33.7M includes post-quarter ATM proceeds, and it amended the $50M Perceptive Advisors senior secured term loan to push maturity and the interest-only period to November 2028. That extension buys ~1.4 years of runway and removes the immediate going-concern cliff, but the ATM issuance signals ongoing equity dilution, and the 93% collapse in share count to 9.86M reflects a reverse split — a classic listing-compliance move that flags prior price distress.