olivLaw · US equity research
LivaNova PLC LIVN
Electromedical & Electrotherapeutic Apparatus · SIC 3845 · Vertical: Electromedical & Electrotherapeutic Apparatus (SIC 3845)
LivaNova PLC is a global medical technology company that develops extracorporeal circulation systems for cardiac surgery and neuromodulation therapies for epilepsy, treatment-resistant depression and obstructive sleep apnea. With revenue of 1.388 billion USD in 2025 and reported growth of 10.8% in the second quarter of 2026, the company's results are now tied to raised guidance and to the tax and environmental burden of the SNIA liability.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, LivaNova PLC (LIVN) stock was 94.19 USD (+17.88% on the day), with market capitalisation 5.2 bn USD, P/E 31.3 on diluted EPS of 3.01 USD over the last 12 months, beta 0.99, 52-week range 49.57–94.19 USD. Latest reported quarter (Q3 2026): revenue of 393.1 m USD (+9.9% YoY), net income of 34.3 m USD (+28.0% YoY), diluted EPS 0.11 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 78.5
- overbought (≥ 70)
- Bollinger (20, 2)
- 72.09 – 87.18
- above the upper band · %B 1.46 · band width 18.9%
- SMA 50 / 200
- 78.85 / 73.23
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 1.83 / 0.83
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +23.2% | −1.1% | +24.3 pp | — |
| 3 months | +20.5% | −0.5% | +21.0 pp | — |
| 6 months | +42.2% | +4.4% | +37.8 pp | — |
| Year to date | +53.1% | +12.3% | +40.8 pp | — |
| 1 year | +74.6% | +13.5% | +61.1 pp | −0.4% |
| 3 years | +88.5% | +76.4% | +12.1 pp | −29.1% |
| 5 years | +2.0% | +63.7% | −61.7 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 321.8 m | 316.9 m | 352.5 m | 357.8 m | 360.9 m | 362.3 m | 390.6 m | 393.1 m |
| Cost of revenue | 107.5 m | 100.6 m | 113.5 m | 112.9 m | 121.1 m | 118.5 m | 116.9 m | 128.1 m |
| Gross profit | 214.4 m | 216.3 m | 239.0 m | 244.9 m | 239.8 m | 243.7 m | 273.7 m | 265.1 m |
| Research & development | 43.3 m | 37.9 m | 47.2 m | 48.6 m | 52.1 m | 58.7 m | 53.7 m | 47.7 m |
| SG&A | 130.6 m | 129.1 m | 137.8 m | 138.5 m | 143.4 m | 143.6 m | 158.1 m | 154.9 m |
| Operating income | 37.0 m | 48.6 m | 54.2 m | 54.0 m | 42.6 m | 41.5 m | 49.5 m | 28.4 m |
| Interest expense | 15.8 m | 15.3 m | 14.9 m | 10.9 m | 8.2 m | 8.3 m | 7.2 m | 8.0 m |
| Pre-tax income | 56.5 m | -315.6 m | 33.3 m | 33.9 m | 27.6 m | 27.5 m | 18.5 m | 46.8 m |
| Income tax | 589.0 k | 11.7 m | 6.2 m | 7.1 m | -3.3 m | 4.3 m | -90.2 m | 12.4 m |
| Net income | 55.9 m | -327.3 m | 27.2 m | 26.8 m | 30.9 m | 22.3 m | 108.6 m | 34.3 m |
| Diluted EPS | 1.02 ≈ | -6.01 | 0.50 | 0.49 | 0.57 ≈ | 0.40 | 1.93 | 0.11 |
| Operating cash flow | 78.7 m | 24.0 m | 62.9 m ≈ | 85.1 m ≈ | 82.4 m | 15.2 m | 66.6 m ≈ | 73.7 m ≈ |
| Capex | 10.4 m | 10.8 m | 15.1 m ≈ | 22.9 m ≈ | 32.2 m | 14.3 m | 31.6 m ≈ | 30.8 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 25 percentile of its own 8-quarter history (min 24.3, median 50.2, max 1,035.5; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.1 bn | 1.1 bn | 934.2 m | 1.0 bn | 1.0 bn | 1.2 bn | 1.3 bn | 1.4 bn |
| Revenue YoY | +9.4% | −2.1% | −13.8% | +10.8% | −1.3% | +12.9% | +8.7% | +10.7% |
| Net income | -189.4 m | -157.6 m | -348.8 m | -135.8 m | -86.2 m | 17.5 m | 63.2 m | -242.5 m |
| Net income YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | +260.4% | −483.5% |
| Diluted EPS | -3.91 | -3.26 | -7.18 | -2.68 | -1.61 | 0.32 | 1.16 | -4.45 |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | +262.5% | −483.6% |
| net % | -17.1% | -14.5% | -37.3% | -13.1% | -8.4% | 1.5% | 5.0% | -17.5% |
| Free cash flow | 83.3 m | -115.8 m | -114.4 m | 77.1 m | 43.4 m | 39.9 m | 135.9 m | 173.3 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 635.6 m USD
- Financial debt
- 376.7 m USD
- Net debt
- -258.9 m USD
- Equity
- 1.2 bn USD
- Total assets
- 2.6 bn USD
- Debt / equity
- 0.31x
- Current ratio
- 1.36x
- ROE
- -19.2%
- ROA
- -9.5%
- FCF margin
- 12.5%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 934.2 m | 1.0 bn | 1.0 bn | 1.2 bn | 1.3 bn | 1.4 bn | SEC (XBRL)· 25 Feb 2026verified |
| Cost of revenue | 339.5 m | 329.4 m | 314.6 m | 397.7 m | 400.0 m | 448.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Gross profit | 594.8 m | 706.0 m | 707.2 m | 755.8 m | 853.5 m | 939.9 m | SEC (XBRL)· 25 Feb 2026verified |
| Research & development | 152.9 m | 183.4 m | 155.8 m | 193.8 m | 182.5 m | 185.8 m | SEC (XBRL)· 25 Feb 2026verified |
| SG&A | 446.6 m | 471.9 m | 469.2 m | 502.7 m | 508.9 m | 548.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Operating income | -273.9 m | -784.0 k | -76.8 m | -68.5 m | 129.1 m | 199.4 m | SEC (XBRL)· 25 Feb 2026verified |
| Interest expense | 40.8 m | 50.2 m | 48.3 m | 58.9 m | 63.1 m | 49.3 m | SEC (XBRL)· 25 Feb 2026verified |
| Pre-tax income | -348.0 m | -124.5 m | -75.1 m | -81.2 m | 88.3 m | -220.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Income tax | -960.0 k | 11.2 m | 11.1 m | -98.9 m | 25.1 m | 21.6 m | SEC (XBRL)· 25 Feb 2026verified |
| Net income | -348.8 m | -135.8 m | -86.2 m | 17.5 m | 63.2 m | -242.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Diluted EPS | -7.18 | -2.68 | -1.61 | 0.32 | 1.16 | -4.45 | SEC (XBRL)· 25 Feb 2026verified |
| Weighted average diluted shares | 48.6 m | 50.6 m | 53.5 m | 54.2 m | 54.6 m | 54.5 m | SEC (XBRL)· 25 Feb 2026verified |
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 252.8 m | 208.0 m | 214.2 m | 266.5 m | 428.9 m | 635.6 m | SEC (XBRL)· 25 Feb 2026verified |
| Receivables | 184.4 m | 185.4 m | 183.1 m | 215.1 m | 193.2 m | 216.0 m | SEC (XBRL)· 25 Feb 2026verified |
| Inventories | 115.3 m | 105.8 m | 129.4 m | 147.9 m | 147.6 m | 164.7 m | SEC (XBRL)· 25 Feb 2026verified |
| Current assets | 708.0 m | 679.2 m | 886.1 m | 988.2 m | 1.1 bn | 1.1 bn | SEC (XBRL)· 25 Feb 2026verified |
| Property, plant & equipment, net | 163.8 m | 150.1 m | 147.2 m | 154.2 m | 170.3 m | 242.6 m | SEC (XBRL)· 25 Feb 2026verified |
| Goodwill | 922.3 m | 899.5 m | 768.8 m | 782.9 m | 750.0 m | 792.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Intangibles (excl. goodwill) | 437.6 m | 399.7 m | 368.6 m | 261.2 m | 237.3 m | 230.0 m | SEC (XBRL)· 25 Feb 2026verified |
| Total assets | 2.4 bn | 2.2 bn | 2.3 bn | 2.4 bn | 2.5 bn | 2.6 bn | SEC (XBRL)· 25 Feb 2026verified |
| Accounts payable | 73.7 m | 68.0 m | 74.3 m | 80.8 m | 69.7 m | 97.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Short-term debt | 13.3 m | 229.7 m | 23.4 m | 18.1 m | 78.0 m | 31.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Long-term debt | 642.3 m | 9.8 m | 518.1 m | 568.5 m | 549.6 m | 345.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Current liabilities | 309.1 m | 697.0 m | 297.4 m | 335.0 m | 392.1 m | 808.1 m | SEC (XBRL)· 25 Feb 2026verified |
| Total liabilities | 1.3 bn | 906.3 m | 1.1 bn | 1.2 bn | 1.2 bn | 1.4 bn | SEC (XBRL)· 25 Feb 2026verified |
| Equity | 1.1 bn † | 1.3 bn † | 1.2 bn † | 1.3 bn † | 1.3 bn † | 1.2 bn † | SEC (XBRL)· 25 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | -79.4 m | 102.5 m | 69.9 m | 74.9 m | 183.0 m | 254.3 m | SEC (XBRL)· 25 Feb 2026verified |
| Capex | 35.0 m | 25.5 m | 26.5 m | 35.0 m | 47.1 m | 81.1 m | SEC (XBRL)· 25 Feb 2026verified |
| Free cash flow | -114.4 m ≈ | 77.1 m ≈ | 43.4 m ≈ | 39.9 m ≈ | 135.9 m ≈ | 173.3 m ≈ | SEC (XBRL)· 25 Feb 2026derived |
| Investing cash flow | -41.8 m | 36.9 m | -38.4 m | -40.3 m | -48.2 m | -72.9 m | SEC (XBRL)· 25 Feb 2026verified |
| Financing cash flow | 310.8 m | -181.5 m | 280.1 m | 21.5 m | 18.6 m | -285.7 m | SEC (XBRL)· 25 Feb 2026verified |
| Share repurchases | 0 | — | — | — | — | — | SEC (XBRL)· 01 Mar 2021verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 60 / 100
A scoring methodology on indicators and valuation, not investment advice.
(margin_of_safety <= -0.25 & agreement in ['high', 'medium'])
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 5.2 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet56
- Quality76
- Valuation30
- Growth90
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 48.56 – 89.08 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)48.56 – 72.46 (Mid 57.80)WACC 9.1% · starting FCFF 155.6 m USD · terminal value share of EV 74%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): 36.7%
- Peers: EV/EBITDAunavailable · input data missing
- Peers: P/E60.82 – 89.08 (Mid 65.46)7 companies used · median multiple 21.8x · quartiles 20.2x – 29.6xBLFS, CNMD, ELMD, INMD, ITGR, MDT, TMDX
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 60/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 13.3% | 90 (vs peers) | 17% |
| Net margin · Quality | 13.0% | 77 (vs peers) | 10% |
| FCF conversion · Quality | 65.8% | 51 (on a fixed band) | 10% |
| Revenue CAGR 3Y · Growth | 10.8% | 90 (on a fixed band) | 14% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 5.1x | 56 (on a fixed band) | 10% |
| Current ratio · Balance sheet | 1.5x | 55 (on a fixed band) | 7% |
| P/E (TTM) · Valuation | 31.3x | 29 (vs peers) | 17% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 2.5% | 31 (on a fixed band) | 14% |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet56/100 · 2/3 factors with a value
- Growth· partial90/100 · 1/2 factors with a value
- Quality76/100 · 3/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation30/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
LivaNova PLC (LIVN). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 1.4 bn USD in 2025; YoY growth 10.7%; net margin 13.0%; ROE 15.5%.
The estimated value range is 54.69–80.77 USD per share (median of 2 methods, agreement: high); assumptions are illustrative. Against the central value of 61.63 USD, the price of 94.19 USD leaves a potential of -34.6% (value / price − 1) and a margin of safety of -52.8% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 60/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth, returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROIC: 13.3%
- Net margin: 13.0%
- Revenue CAGR 3Y: 10.8%
What contradicts it
- P/E (TTM): 31.3x
- The price is above the estimated value range
Not assessed (insufficient data or a ratio without meaning): EPS CAGR 3Y, Net debt / EBITDA, EV/EBITDA, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Electromedical & Electrotherapeutic Apparatus (SIC 3845) · same industry (4-digit SIC) · compared with 24 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| MDTMedtronic plc | 134.3 bn | 25.8 | 10.7% | 13.9% | +8.4% | −0% / +32% |
| LIVNLivaNova PLC | 5.2 bn | 31.3 | 15.5% | 13.0% | +10.7% | +75% / +89% |
| ITGRInteger Holdings Corporation | 4.3 bn | 42.5 | 6.0% | 5.7% | +8.0% | +75% / +45% |
| AXGNAxogen, Inc. | 3.1 bn | — | -10.3% | -12.0% | +20.2% | +79% / +684% |
| TMDXTransMedics Group, Inc. | 2.5 bn | 18.9 | 36.3% | 22.7% | +37.1% | −50% / −4% |
| BLFSBioLife Solutions, Inc. | 1.9 bn | 33.5 | 15.1% | 56.4% | +28.9% | unavailable / unavailable |
| CNMDConmed Corporation | 1.6 bn | 21.8 | 7.1% | 5.4% | +5.2% | +24% / −50% |
| CBLLCeriBell, Inc. | 1.1 bn | — | -52.5% | -68.0% | +36.1% | +61% / unavailable |
| INMDInMode Ltd. | 899.7 m | 9.9 | 13.5% | 25.3% | −6.2% | −0% / −40% |
| CVCapsoVision, Inc | 342.8 m | — | — | -214.7% | +15.3% | +23% / unavailable |
| ELMDElectromed, Inc. | 234.3 m | 21.5 | 23.3% | 15.3% | +15.3% | +5% / +172% |
| FOCLEdap Tms SA | 162.9 m | — | -321.7% | -49.1% | +1.6% | +81% / −17% |
| VANIVivani Medical, Inc. | 96.5 m | — | -220.4% | — | unavailable | −21% / +13% |
| STXSStereotaxis, Inc. | 95.9 m | — | -325.9% | -74.2% | +20.3% | −61% / −42% |
| NRXSNeuraxis, Inc. | 86.1 m | — | -139.8% | -144.4% | +32.9% | +147% / +117% |
| OMOutset Medical, Inc. | 83.8 m | — | -63.0% | -58.3% | +5.1% | −3% / −94% |
| ECORelectroCore, Inc. | 77.5 m | — | — | -33.5% | +27.2% | +66% / +49% |
| POCIPrecision Optics Corporation, Inc. | 53.1 m | — | -22.3% | -11.5% | +65.2% | +3% / −18% |
| NXLNexalin Technology, Inc. | 34.4 m | — | -240.3% | -4,139.4% | +78.8% | −95% / −87% |
| QTIQt Imaging Holdings, Inc. | 32.1 m | — | -2,125.0% | -77.3% | +287.9% | −64% / −99% |
| NUWENuwellis, Inc. | 19.2 m | — | — | -125.6% | −5.4% | −94% / −100% |
| IRIXIridex Corp | 12.6 m | — | -73.1% | -6.9% | unavailable | −26% / −72% |
| NDRAEndra Life Sciences Inc. | 7.4 m | — | -152.0% | — | unavailable | −16% / −100% |
| ITOCiTonic Holdings Ltd | — | — | -82.8% | -974.7% | +16.7% | −80% / unavailable |
| HYPRHyperfine, Inc. | 0 | — | -97.0% | -210.8% | +5.2% | −30% / −41% |
1- and 3-year price returns: for LIVN from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 70.06 Total return -26% · Per year -26% | 123.51 Total return 31% · Per year 31% | 185.56 Total return 97% · Per year 97% |
| 3 years | 76.81 Total return -18% · Per year -7% | 151.50 Total return 61% · Per year 17% | 248.62 Total return 164% · Per year 38% |
| 5 years | 84.20 Total return -11% · Per year -2% | 185.82 Total return 97% · Per year 15% | 333.11 Total return 254% · Per year 29% |
- Exit P/E± 37.87
- Net margin± 26.51
- Annual revenue growth± 20.53
- Annual dilution± 2.23
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 05 Aug 2026; since then the company filed 8-K (04 Nov 2026 · results), 10-Q (04 Nov 2026).
In brief
LivaNova PLC is a global medical technology company that develops extracorporeal circulation systems for cardiac surgery and neuromodulation therapies for epilepsy, treatment-resistant depression and obstructive sleep apnea. With revenue of 1.388 billion USD in 2025 and reported growth of 10.8% in the second quarter of 2026, the company's results are now tied to raised guidance and to the tax and environmental burden of the SNIA liability.
SWOT
Strengths
- The company holds leading positions in cardiac perfusion and neuromodulation therapy, supported by a patent portfolio and close relationships with specialists in the field.
- Revenue has grown in recent years in both segments, and operating profit margin has improved as structural costs and litigation provisions were reduced.
- A global presence in more than one hundred countries and ISO quality certifications give the company a diversified operating base.
Weaknesses
- Reliance on a small number of suppliers for certain components, such as oxygenator fiber and rare earth magnets, exposes the company to production interruptions.
- The company posted a large net loss in 2025 driven by the SNIA environmental liability, showing the balance sheet's exposure to legacy obligations.
- Litigation costs and remediation of the 2023 cybersecurity incident still affect results and reputation.
Opportunities
- The Thermo Fisher agreement could allow oxygenator output to grow and help meet unmet customer demand.
- The aura6000 approval for sleep apnea and improvements such as PolySync could expand the market for hypoglossal nerve stimulation therapy.
- Reconsideration of Medicare coverage for treatment-resistant depression could open wider access to VNS therapy for patients with unipolar depression.
Threats
- Trade tariffs and export restrictions could raise costs and disrupt supply chains, especially for products made in Europe and shipped to the U.S.
- Competition and hospital pressure for lower prices could reduce margins if the company loses its technological edge.
- Regulatory risks, including European MDR requirements and possible product litigation, can bring extra costs and approval delays.
Risks
- Supply chainhigh
Critical components come from single suppliers, and an interruption could limit oxygenator and heart-lung machine production.
- SNIA environmental liabilityhigh
The environmental obligation linked to the Saluggia site produced a major charge in 2025 and could affect future cash flows.
- Trade policy and tariffsmedium
Changes in tariffs and sanctions could raise import and export costs and affect market access.
- Cybersecuritymedium
A new incident could disrupt operations, expose sensitive patient data and generate remediation costs and litigation.
- Product litigationmedium
Proceedings related to the 3T Heater-Cooler device and other litigation could lead to additional provisions if courts rule against the company.
Investment thesis
What would need to be true (bull case)
- Revenue growth in both segments, combined with raised 2026 guidance, suggests the core operations could support the company's expansion.
- The Thermo Fisher agreement and the aura6000 launch could open new sources of medium-term growth, if production and reimbursement keep pace with demand.
- The discrete tax benefit in Italy and lower litigation provisions could improve reported profitability in coming periods.
What would break the thesis
- The SNIA environmental liability and the large 2025 net loss show that legacy obligations can dominate reported results and cash flows.
- Adjusted free cash flow guidance was lowered because of additional investment, which could limit the company's capacity to fund growth.
- Dependence on the U.S. market and on Medicare reimbursement for neuromodulation therapies could expose the company to policy changes that are hard to anticipate.
What to watch
- Oxygenator output trends following the Thermo Fisher agreement2027
- Adjusted free cash flow guidance and investment spending in capacityQ4 2026
- Development of the SNIA liability and related tax effectsnext 10-K
- CMS decision on reconsidering VNS coverage for unipolar treatment-resistant depression2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 05 Aug 2026; since then the company filed 8-K (04 Nov 2026 · results), 10-Q (04 Nov 2026).
The business
LivaNova PLC is a medical technology company headquartered in the United Kingdom, listed on Nasdaq under LIVN, that designs, manufactures and sells products, therapies and services. The company reports two segments: Cardiopulmonary, covering heart-lung machines, oxygenators, autotransfusion systems, tubing and cannulae, and Neuromodulation, covering the VNS Therapy System for epilepsy and depression and the aura6000 device for obstructive sleep apnea. Sales go through direct representatives, agents and independent distributors in more than 100 countries.
Revenue is heavily concentrated in the United States, which accounted for 53% of net revenue in 2025, followed by Europe and the rest of the world. Cardiopulmonary products are manufactured mainly in the U.S., Italy, Germany, Australia and Brazil, and some components are sourced from outside the U.S., including Italy and Germany. The company states that its quality system is ISO 13485 certified.
In 2026 the company entered a long-term agreement with Thermo Fisher Scientific to secure supply of a critical oxygenator component, which could allow output to increase over time. The agreement aims to meet unmet customer demand and strengthen the long-term supply chain.
Market context
The company competes in the global medical device market, which is marked by rapid technological change and pressure on prices from hospitals seeking centralized purchasing. European MDR rules add requirements, with certification needed by December 2027 or December 2028 depending on the device's risk class.
Net revenue for the first half of 2026 reached 752.8 million USD, compared with 669.4 million USD a year earlier, showing sustained demand in both segments. The company could continue to benefit from this demand if its supply chain remains stable.
Trends
- Tariff and trade pressuremixed
U.S. tariffs and changes in trade policy could raise the cost of raw materials and finished goods, since part of the cardiopulmonary range is made outside the U.S. IEEPA tariff refunds after the Supreme Court ruling provided a temporary benefit.
- Hospital price pressureheadwind
Hospitals seek cost reduction through centralized purchasing and limiting vendors, which can lead to price pressure and greater use of preferred suppliers.
- Expansion of neuromodulation therapiestailwind
Approval of aura6000 for sleep apnea and broader reimbursement for certain epilepsy syndromes open new markets for the company's therapies, if patient access and reimbursement keep developing.
- Digitalization and cybersecuritymixed
Integration of software and AI into products increases reliance on IT systems and exposure to cyberattacks, while the company experienced a significant incident in November 2023.
Competitive position
LivaNova competes in a market ranging from large manufacturers with multiple business lines to small specialized producers. Competition also comes from providers of alternative therapies, pharmaceuticals and surgical interventions, and medical advisories or safety alerts can shift market share quickly.
In cardiopulmonary the company faces several international rivals, and in neuromodulation it competes with firms offering devices for epilepsy and neurological conditions. Its competitive strengths rest on product efficacy and quality and on obtaining regulatory approvals in good time.
- Medtronic plcMDT
Competitor across several product lines, named in the annual report as one of the main rivals in cardiopulmonary and neuromodulation.
- Haemonetics CorporationHAE
Competitor in cardiopulmonary products, including autotransfusion systems and related equipment.
- NeuroPace, Inc.NPCE
Competitor in the neurological part of the neuromodulation segment, named as a main competitor in certain product lines.
- Terumo Medical Corporation
Competitor in cardiopulmonary products active in international markets; U.S. listing not confirmed in the sources.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report04 Nov 2026
- Current report04 Nov 2026Results of operations · Financial statements and exhibits
- Quarterly report05 Aug 2026
- Current report05 Aug 2026Results of operations · Financial statements and exhibits
- Current report11 Jun 2026Shareholder vote · Financial statements and exhibits
- Quarterly report06 May 2026
- Current report06 May 2026Results of operations · Financial statements and exhibits
- Proxy statement29 Apr 2026
- Annual report25 Feb 2026
- Current report25 Feb 2026Results of operations · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / LivaNova PLC · 25 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / LivaNova PLC · 05 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / LivaNova PLC · 05 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.