CVRX

CVRx is a commercial-stage, single-product story: essentially all revenue comes from Barostim, its neuromodulation device for HFrEF, and management explicitly warns it expects 'substantially all of our revenue to continue to be derived from sales of Barostim for the foreseeable future.' The quality of the product economics is real — gross margin is 85.3% — but nothing below the gross line works yet. FY2025 delivered a -90.5% operating margin, a -$53.3M net loss, and -$40.2M of operating cash burn, against an accumulated deficit that has now reached -$591M. This is a company that consumes roughly two-thirds of its market cap in cash every year.

The decisive negative is the collision of decelerating growth with heavy burn. Revenue compounded from $13.0M (FY21) to $51.3M (FY24) — a ~+30% year in FY24 — then slowed sharply to just +10.4% in FY25 ($56.7M). A single-product growth company burning $40M annually needs re-acceleration, not deceleration, to justify the equity. Meanwhile the balance sheet is tightening: cash fell 28.5% to $75.7M, equity dropped 44.7% to $39.3M, and the company carries $50M of term debt at year-end — then borrowed another $10M in January 2026 and amended the facility to access up to $100M. Management states plainly it 'expect[s] to continue to incur net losses for the next several years, which may require additional funding and could include future equity and debt financing.' At ~$75.7M cash against ~$40M annual burn, that is a real dilution/leverage overhang inside two years.