| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 29.18 | 913 |
| Intrinsic value (DCF) | 2.05 | -29 |
| Graham-Dodd Method | 3.04 | 5 |
| Graham Formula | 0.74 | -74 |
Geratherm Medical AG is a Germany-based medical technology company specializing in diagnostic and therapeutic devices. Operating through four key segments—Healthcare Diagnostic, Respiratory, Cardio/Stroke, and Medical Warming Systems—Geratherm provides a diverse portfolio of products, including clinical thermometers, blood pressure monitors, pulmonary function diagnostics, and MRI-compatible incubators for newborns. The company serves pharmacies, hospitals, and clinics across approximately 60 countries, leveraging its expertise in medical innovation. Founded in 1990 and headquartered in Geschwenda, Germany, Geratherm focuses on improving patient care through precision diagnostics and specialized medical warming solutions. With a market capitalization of around €17.2 million, the company remains a niche player in the medical devices sector, emphasizing quality and reliability in its product offerings.
Geratherm Medical AG presents a mixed investment profile. On the positive side, the company operates in the stable and growing medical technology sector, with a diversified product portfolio and international reach. Its net income of €1.1 million and positive operating cash flow of €1.4 million in FY 2023 indicate operational stability. However, the company's small market cap (~€17.2M) and modest revenue (~€22.3M) suggest limited scale compared to larger medtech players. The low beta (0.393) implies lower volatility, but investors should weigh the niche positioning against potential growth constraints. The dividend yield (€0.10 per share) adds a modest income component, but high competition in medical devices may pressure margins. Overall, Geratherm could appeal to investors seeking exposure to specialized medical diagnostics, but its small size and debt (~€7.2M) warrant caution.
Geratherm Medical AG competes in the fragmented medical devices market, where differentiation hinges on product specialization and technological innovation. The company’s competitive advantage lies in its niche focus on diagnostic and warming systems, particularly its LMT-branded MRI-compatible incubators and stroke risk analysis tools. However, its small scale limits R&D spending compared to global medtech giants, potentially hindering long-term innovation. Geratherm’s direct competitors include mid-sized European medtech firms with similar product portfolios. Its export presence (~60 countries) provides diversification, but reliance on pharmacies and hospitals for distribution exposes it to pricing pressures from larger buyers. The company’s strength in Germany and select international markets offers stability, but growth may require strategic partnerships or acquisitions. While Geratherm’s profitability (€1.1M net income in FY 2023) is a positive, its ability to sustain margins amid rising regulatory costs and competition remains a key challenge. Investors should monitor its ability to scale operations and penetrate emerging markets.