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olivLaw · US equity research

Neuraxis, Inc. NRXS

Electromedical & Electrotherapeutic Apparatus · SIC 3845 · Vertical: Electromedical & Electrotherapeutic Apparatus (SIC 3845)

6.86USD+4.26% · 1 dayClose 04 Nov 2026

Neuraxis is a growth-stage medical technology company developing non-drug neuromodulation therapies for digestive disorders, mainly in children. Its main product, IB-Stim, reported net sales of 3536578 dollars in the first half of 2026, a strong increase after the Category I CPT code took effect, which makes the company interesting to investors but dependent on insurance coverage.

At the close of 04 Nov 2026, Neuraxis, Inc. (NRXS) stock was 6.86 USD (+4.26% on the day), with market capitalisation 86.1 m USD, beta 1.13, 52-week range 2.31–8.81 USD. Latest reported quarter (Q2 2026): revenue of 1.9 m USD (+115.7% YoY), net income of -2.1 m USD, diluted EPS -0.19 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
86.1 m USD
shares as of 06 Aug 2026
P/E (TTM)
unavailable
Diluted EPS TTM -0.77 · TTM to 30 Jun 2026
E/P (TTM)
-11.24%
TTM to 30 Jun 2026
Dividend yield
unavailable
Beta (2y)
1.13
Volatility (1y) 72%
52-week range
2.318.81

Price history

Loading chart…

Technical reading

RSI (14)
45.3
neutral
Bollinger (20, 2)
6.26 – 8.18
in the lower half of the band · %B 0.31 · band width 26.7%
SMA 50 / 200
6.87 / 6.70
mixed trend
MACD (12, 26, 9)
-0.02 / 0.10
MACD below 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

CompanyS&P 500vs S&P 500Vertical median
1 month−4.1%−1.1%−3.0 pp—
3 months+1.0%−0.5%+1.5 pp—
6 months−22.1%+4.4%−26.5 pp—
Year to date+51.1%+12.3%+38.8 pp—
1 year+170.1%+13.5%+156.5 pp−0.4%
3 years+174.4%+76.4%+98.0 pp−29.1%
5 yearsunavailable+63.7%unavailable—
Max drawdown (1y)
−35.4%
06 May 2026 → 10 Sept 2026
Max drawdown (5y)
−74.0%
11 Aug 2023 → 17 Apr 2025
Compound annual growth (5y)
unavailable
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q2 2026 · 30 Jun 2026

Revenue
1.9 m USD
+115.7% YoY
Net income
-2.1 m USD
unavailable YoY
Diluted EPS
-0.19
unavailable YoY
net / operating
-108.1% / -110.2%

Quarterly margins

Quarterly statements · USD

Fiscal yearQ3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26
Revenue666.6 k761.2 k895.7 k894.1 k811.4 k968.1 k1.6 m1.9 m
Cost of revenue97.1 k105.1 k139.5 k146.6 k135.5 k141.7 k218.4 k272.6 k
Gross profit569.6 k656.1 k756.2 k747.4 k675.9 k826.5 k1.4 m1.7 m
Research & development126.2 k138.4 k117.9 k115.2 k130.9 k146.2 k99.6 k274.3 k
Operating income-1.7 m-1.5 m-2.3 m-1.7 m-2.1 m-1.7 m-1.7 m-2.1 m
Depreciation & amortisation9.3 k6.9 k6.4 k12.9 k16.2 k24.1 k16.3 k16.7 k
Interest expense64.7 k2.4 k2.2 k13.4 k29.7 k28.6 k26.2 k19.8 k
Net income-1.8 m-1.4 m-2.3 m-1.7 m-2.1 m-1.7 m-1.8 m-2.1 m
Diluted EPS-0.25-0.20 ≈-0.33-0.22-0.24-0.16 ≈-0.18-0.19
Operating cash flow-1.4 m ≈-1.8 m-1.6 m-1.5 m ≈-1.4 m ≈-1.9 m-1.2 m-1.0 m ≈
Capex4.4 k ≈018.0 k7.3 k ≈0 ≈5.9 k——

≈ 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.

Fiscal years

Fiscal year2022202320242025
Revenue2.7 m2.5 m2.7 m3.6 m
Revenue YoYunavailable−8.4%+9.2%+32.9%
Net income-4.8 m-14.6 m-8.2 m-7.8 m
Net income YoYunavailableunavailableunavailableunavailable
Diluted EPS-2.77-4.50-1.22-0.95
Diluted EPS YoYunavailableunavailableunavailableunavailable
net %-178.0%-594.6%-306.8%-218.5%
Free cash flow-2.3 m-6.7 m-6.1 m-6.5 m

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
5.0 m USD
Financial debt
148.3 k USD
Net debt
-4.8 m USD
Equity
3.4 m USD
Total assets
6.4 m USD
Debt / equity
0.04x
Current ratio
2.05x
ROE
-285.4%
ROA
-139.8%
FCF margin
-181.1%

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
2.5 m
2024
2.7 m
2025
3.6 m

SEC (XBRL)· 19 Mar 2026verified

Cost of revenue
2023
303.3 k
2024
362.0 k
2025
562.9 k

SEC (XBRL)· 19 Mar 2026verified

Gross profit
2023
2.2 m
2024
2.3 m
2025
3.0 m

SEC (XBRL)· 19 Mar 2026verified

Research & development
2023
169.3 k
2024
433.6 k
2025
493.6 k

SEC (XBRL)· 19 Mar 2026verified

Operating income
2023
-6.7 m
2024
-7.2 m
2025
-7.8 m

SEC (XBRL)· 19 Mar 2026verified

Depreciation & amortisation
2023
40.7 k
2024
37.8 k
2025
59.5 k

SEC (XBRL)· 19 Mar 2026verified

EBITDA
2023
-6.6 m ≈
2024
-7.1 m ≈
2025
-7.8 m ≈

SEC (XBRL)· 19 Mar 2026derived

Interest expense
2023
476.4 k
2024
174.3 k
2025
74.0 k

SEC (XBRL)· 19 Mar 2026verified

Net income
2023
-14.6 m
2024
-8.2 m
2025
-7.8 m

SEC (XBRL)· 19 Mar 2026verified

Diluted EPS
2023
-4.50
2024
-1.22
2025
-0.95

SEC (XBRL)· 19 Mar 2026verified

Weighted average diluted shares
2023
3.3 m
2024
6.9 m
2025
9.1 m

SEC (XBRL)· 19 Mar 2026verified

Balance sheet · USD

Cash
2023
78.6 k
2024
3.7 m
2025
5.0 m

SEC (XBRL)· 19 Mar 2026verified

Receivables
2023
73.2 k
2024
244.6 k
2025
195.7 k

SEC (XBRL)· 19 Mar 2026verified

Inventories
2023
21.2 k
2024
44.3 k
2025
257.1 k

SEC (XBRL)· 19 Mar 2026verified

Current assets
2023
242.6 k
2024
4.3 m
2025
5.7 m

SEC (XBRL)· 19 Mar 2026verified

Property, plant & equipment, net
2023
88.6 k
2024
90.0 k
2025
75.6 k

SEC (XBRL)· 19 Mar 2026verified

Intangibles (excl. goodwill)
2023
108.1 k
2024
96.6 k
2025
274.8 k

SEC (XBRL)· 19 Mar 2026verified

Total assets
2023
509.5 k
2024
4.8 m
2025
6.4 m

SEC (XBRL)· 19 Mar 2026verified

Accounts payable
2023
1.2 m
2024
596.9 k
2025
139.4 k

SEC (XBRL)· 19 Mar 2026verified

Short-term debt
2023
148.1 k
2024
154.2 k
2025
148.3 k

SEC (XBRL)· 19 Mar 2026verified

Long-term debt
2023
—
2024
—
2025
—

SEC (XBRL)· 16 Apr 2024verified

Current liabilities
2023
1.9 m
2024
2.4 m
2025
2.8 m

SEC (XBRL)· 19 Mar 2026verified

Total liabilities
2023
1.9 m
2024
2.7 m
2025
3.0 m

SEC (XBRL)· 19 Mar 2026verified

Equity
2023
-1.4 m †
2024
2.1 m †
2025
3.4 m †

SEC (XBRL)· 19 Mar 2026verified

Cash flow · USD

Operating cash flow
2023
-6.7 m
2024
-6.1 m
2025
-6.4 m

SEC (XBRL)· 19 Mar 2026verified

Capex
2023
30.8 k
2024
27.8 k
2025
31.2 k

SEC (XBRL)· 19 Mar 2026verified

Free cash flow
2023
-6.7 m ≈
2024
-6.1 m ≈
2025
-6.5 m ≈

SEC (XBRL)· 19 Mar 2026derived

Investing cash flow
2023
-71.8 k
2024
-27.8 k
2025
-131.2 k

SEC (XBRL)· 19 Mar 2026verified

Financing cash flow
2023
6.6 m
2024
9.7 m
2025
7.8 m

SEC (XBRL)· 19 Mar 2026verified

Computed indicators

Growth

Revenue growth (YoY)
32.9%
computed by olivLawFY 2025
Revenue CAGR 3Y
10.0%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
unavailable
input data missing
EBIT growth (YoY)
unavailable
the base of the ratio is not positive
Net income growth (YoY)
unavailable
the base of the ratio is not positive
Net income CAGR 3Y
unavailable
the base of the ratio is not positive
Net income CAGR 5Y
unavailable
input data missing
EPS growth (YoY)
unavailable
the base of the ratio is not positive
EPS CAGR 3Y
unavailable
the base of the ratio is not positive
EPS CAGR 5Y
unavailable
input data missing
FCF growth (YoY)
unavailable
the base of the ratio is not positive

Profitability

Gross margin
85.6%
computed by olivLawTTM to 30 Jun 2026
EBITDA margin
-143.1%
computed by olivLawTTM to 30 Jun 2026
EBIT margin
-144.5%
computed by olivLawTTM to 30 Jun 2026
Net margin
-144.4%
computed by olivLawTTM to 30 Jun 2026
FCF margin
-106.0%
computed by olivLawTTM to 30 Jun 2026

Returns

ROE
-139.8%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
ROA
-89.9%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
ROIC
unavailable
insufficient data
ROCE
-111.3%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Payout ratio (EPS)
unavailable
input data missing
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
-8.3 m USD
computed by olivLawbalance sheet at 30 Jun 2026
Net debt / EBITDA
unavailable
insufficient data
Debt / equity
0.0x
computed by olivLawbalance sheet at 30 Jun 2026
Interest coverage
-73.7x
computed by olivLawTTM to 30 Jun 2026

Liquidity

Current ratio
3.0x
computed by olivLawbalance sheet at 30 Jun 2026
Quick ratio
3.0x
computed by olivLawbalance sheet at 30 Jun 2026
Cash ratio
2.7x
computed by olivLawbalance sheet at 30 Jun 2026

Cash

Operating cash flow
-5.6 m USD
computed by olivLawTTM to 30 Jun 2026
Capital expenditure
12.2 k USD
computed by olivLawTTM to 30 Jun 2026
Free cash flow
-5.6 m USD
computed by olivLawTTM to 30 Jun 2026
FCF conversion
unavailable
insufficient data
Cash conversion
unavailable
insufficient data

Efficiency

Days sales outstanding
19 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Days inventory outstanding
97 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Days payables outstanding
298 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Cash conversion cycle
-182 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026

Market and valuation

Market capitalisation
86.1 m USD
computed by olivLawbalance sheet at 30 Jun 2026
Enterprise value
77.9 m USD
computed by olivLawbalance sheet at 30 Jun 2026
Market cap / net income TTM
unavailable
insufficient data
P/E (TTM)
unavailable
insufficient data
Earnings yield
-11.2%
computed by olivLawTTM to 30 Jun 2026
P/B
12.8x
computed by olivLawbalance sheet at 30 Jun 2026
P/S
16.2x
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
EV/EBITDA
unavailable
insufficient data
EV/EBIT
unavailable
insufficient data
EV/Sales
14.6x
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
P/FCF
unavailable
the base of the ratio is not positive
FCF yield
-6.5%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero
Shareholder yield (distributions)
unavailable
input data missing

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • indicators available: 5 of at least 6
  • score weight coverage: 33.3% of at least 60%
  • valuation methods computed: 0 of at least 1

A scoring methodology on indicators and valuation, not investment advice.

Closing price

6.86 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 86.1 m USD

Key indicators

Market capitalisation
86.1 m USD
computed by olivLawbalance sheet at 30 Jun 2026
P/E (TTM)
unavailable
insufficient data
P/B
12.8x
computed by olivLawbalance sheet at 30 Jun 2026
EV/EBITDA
unavailable
insufficient data
ROE
-139.8%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Net margin
-144.4%
computed by olivLawTTM to 30 Jun 2026
Revenue growth (YoY)
32.9%
computed by olivLawFY 2025
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero

Coverage and freshness

29/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 31 Dec 2026
Latest balance sheet date: 30 Jun 2026
Share count (cover of the latest filing), as of: 06 Aug 2026
Source: SEC (XBRL)published 11 Aug 2026
verified 583derived 48

Score by group

33% · Insufficient data

Estimated value range

unavailable — no valuation method could be computed

Valuation assumptions are editorial choices, not measured; beta is not measured.

Valuation methods

  • DCF (discounted cash flow)unavailable · the base of the ratio is not positive
  • Peers: EV/EBITDAunavailable · the base of the ratio is not positive
  • Peers: P/Eunavailable · the base of the ratio is not positive
  • Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption

no valuation method could be computed

Multiple comparisons use the SIC vertical: Electromedical & Electrotherapeutic Apparatus (SIC 3845)

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

Insufficient data

Minimum-evidence gate: indicators available: 5 of at least 6; score weight coverage: 33.3% of at least 60%; valuation methods computed: 0 of at least 1

FactorValueScoreWeight used
ROIC · Qualityunavailableunavailable—
Net margin · Quality-144.4%18 (vs peers)19%
FCF conversion · Qualityunavailableunavailable—
Revenue CAGR 3Y · Growth10.0%83 (on a fixed band)25%
EPS CAGR 3Y · Growthunavailableunavailable—
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheet-73.7x0 (on a fixed band)19%
Current ratio · Balance sheet3.0x100 (on a fixed band)13%
P/E (TTM) · Valuationunavailableunavailable—
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuation-6.5%0 (on a fixed band)25%
Shareholder yield (distributions) · Returnsunavailableunavailable—
Payout ratio (FCF) · Returnsunavailableunavailable—

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet40/100 · 2/3 factors with a value
  • Growth· partial83/100 · 1/2 factors with a value
  • Quality· partial18/100 · 1/3 factors with a value
  • Returns· partialunavailable · 0/2 factors with a value
  • Valuation· partial0/100 · 1/3 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

NEURAXIS, INC. (NRXS). Latest full fiscal year: 2025; data up to 2026-12-31.

Figures computed from the financial statements: revenue 3.6 m USD in 2025; YoY growth 32.9%; net margin -144.4%; ROE -139.8%.

Valuation cannot be computed from the available data.

Insufficient data for a verdict (indicators available: 5 of at least 6; score weight coverage: 33.3% of at least 60%; valuation methods computed: 0 of at least 1).

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • Revenue CAGR 3Y: 10.0%
  • Current ratio: 3.0x

What contradicts it

  • Net margin: -144.4%
  • Interest coverage: -73.7x
  • FCF yield: -6.5%

Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, P/E (TTM), 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

P/E
—
vertical median 23.8x
EV/EBITDA
—
vertical median 18.2x
P/S
16.2x
vertical median 2.4x
above median (+567.3%)
P/B
12.8x
vertical median 4.1x
above median (+214.9%)
ROE
-139.8%
vertical median -52.5%
below median
Net margin
-144.4%
vertical median -22.7%
below median
EBIT margin
-144.5%
vertical median -18.0%
below median
Revenue YoY
32.9%
vertical median 15.3%
above median (+115.0%)
Net debt/EBITDA
—
vertical median -2.0x
Dividend yield
—
vertical median 0.6%

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
MDTMedtronic plc134.3 bn25.810.7%13.9%+8.4%−0% / +32%
LIVNLivaNova PLC5.2 bn31.315.5%13.0%+10.7%+48% / +110%
ITGRInteger Holdings Corporation4.3 bn42.56.0%5.7%+8.0%+75% / +45%
AXGNAxogen, Inc.3.1 bn—-10.3%-12.0%+20.2%+79% / +684%
TMDXTransMedics Group, Inc.2.5 bn18.936.3%22.7%+37.1%−50% / −4%
BLFSBioLife Solutions, Inc.1.9 bn33.515.1%56.4%+28.9%unavailable / unavailable
CNMDConmed Corporation1.6 bn21.87.1%5.4%+5.2%+24% / −50%
CBLLCeriBell, Inc.1.1 bn—-52.5%-68.0%+36.1%+61% / unavailable
INMDInMode Ltd.899.7 m9.913.5%25.3%−6.2%−0% / −40%
CVCapsoVision, Inc342.8 m——-214.7%+15.3%+23% / unavailable
ELMDElectromed, Inc.234.3 m21.523.3%15.3%+15.3%+5% / +172%
FOCLEdap Tms SA162.9 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%+170% / +174%
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 Corp12.6 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 NRXS 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.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
1 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
3 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
5 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
What moves the 3-year price the most

    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.

    In brief

    Neuraxis is a growth-stage medical technology company developing non-drug neuromodulation therapies for digestive disorders, mainly in children. Its main product, IB-Stim, reported net sales of 3536578 dollars in the first half of 2026, a strong increase after the Category I CPT code took effect, which makes the company interesting to investors but dependent on insurance coverage.

    SWOT

    Strengths

    • The company is first to market with PENFS neuromodulation for gastrointestinal disorders, backed by a portfolio of device and method patents 1.
    • The product has FDA clearance, recognition in paediatric academic guidelines and a Category I CPT code, which strengthens clinical credibility 1.
    • Gross margins are high, and sales growth in 2026 shows that hospital adoption has begun to accelerate 2.

    Weaknesses

    • The company has not yet generated operating profits and continues to report net losses, and its auditors have expressed substantial doubt about its going concern 1.
    • Revenue is concentrated in a single product and a few large customers, which raises vulnerability to changes in orders 1.
    • Cash resources are limited, and management has said current resources might cover operating needs only until the end of 2026 1.

    Opportunities

    • Wider reimbursement and coverage by commercial insurers could support sales growth in children's hospitals 1.
    • Clinical results for new indications such as post-concussion syndrome or fibromyalgia could expand the addressable market 1.
    • The Federal Supply Schedule contract with the US government could open an additional sales channel 1.

    Threats

    • The FDA approval process for new indications can be long and unpredictable, and approval is not assured 1.
    • Off-label medicines and other treatments may remain preferred by physicians, which could limit adoption 1.
    • Pressure on healthcare costs could reduce prices or coverage, affecting margins 1.

    Risks

    • Going concernhigh

      Auditors have expressed substantial doubt about the company's ability to continue as a going concern, and current cash could be insufficient without additional financing 1.

    • Single-product dependencehigh

      Almost all revenue comes from IB-Stim, so any regulatory or market problem could affect financial results 1.

    • Insurance coveragemedium

      Growth depends on acceptance of the therapy by private and public payers, and policy changes could slow adoption 1.

    • Customer concentrationmedium

      A few large customers account for a significant part of sales, and losing one could affect revenue 1.

    • Regulatory and clinical riskmedium

      Clinical studies can be delayed or give inconclusive results, and new indications might not be approved on time 1.

    Investment thesis

    What would need to be true (bull case)

    • Sales growth in the first half of 2026 and improving gross margin suggest adoption could continue if coverage expands 2.
    • Academic guideline recognition and the Category I CPT code give credibility in a market with few approved paediatric alternatives 1.
    • The pipeline of additional indications and the federal contract could diversify revenue sources in coming years 1.

    What would break the thesis

    • The company continues to report net losses and has substantial doubt about its going concern, which could require additional financing 1.
    • Dependence on one product and a few large customers makes revenue sensitive to changes in orders or policy 1.
    • Approval of new indications is uncertain and may take a long time, and delays could postpone the expected growth 1.

    What to watch

    • Evolution of insurance coverage following the Category I CPT codeQ3 2026
    • Progress on additional financing and going-concern statusnext 10-Q
    • Results of randomized trials for post-concussion syndrome and cyclic vomiting2027
    • Trend in gross margin and share of sales to largest customersnext 10-K

    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.

    The business

    Neuraxis, Inc. is a medical company focused on neuromodulation therapies for chronic conditions of the gastrointestinal tract, especially disorders of the gut-brain interaction in children and adults 1. Its main product, IB-Stim, uses internally developed PENFS technology and is FDA-cleared for functional abdominal pain associated with IBS and functional dyspepsia 1. The second product, RED, is a clinic test device for assessing rectal expulsion function and rectal hypersensitivity in adults 1.

    The commercial model relies on direct sales to hospitals and clinics, with a list price of 1195 dollars per device, and a treated patient typically uses four devices 1. Sales are made on purchase orders with standard payment terms of 30 days 1. In December 2025 the company was awarded a Federal Supply Schedule contract with the US government that includes IB-Stim 1.

    The company is investing in additional indications, including post-concussion syndrome, cyclic vomiting syndrome, post-operative pain and fibromyalgia pain, which are in randomized clinical trials 1. The July 2025 termination of the NSS-2 Bridge license with Masimo allowed the company to recapture the trademark and two patent applications 1.

    Segments

    IB-Stim (PENFS for gastrointestinal conditions)

    IB-Stim is the company's main revenue source and is indicated for patients aged 8 and older with functional abdominal pain 1. First-half 2026 sales reached 3536578 dollars, with growth attributed to broader insurance coverage and the Category I CPT code effective January 1, 2026 2.

    RED (Rectal Expulsion Device)

    RED is an office-based test device launched in 2025 that contributed to device sales growth in fiscal 2025 1. The company does not break out RED's revenue contribution separately, so its financial impact is hard to assess from the available sources 1.

    Market context

    The company focuses on US children's hospitals, where it has concentrated marketing on the 260 hospitals in the country, of which about 80 already use IB-Stim 1. Management describes the pediatric market as multi-billion-dollar and notes an unmet need for approved treatments of functional abdominal pain in children 1.

    Trends

    • Category I CPT codetailwind

      The Category I CPT code for PENFS procedures took effect on January 1, 2026 and gives physicians time credit and relative value units 1. This supported sales growth in the first half of 2026 2.

    • Academic society recognitiontailwind

      In May 2025 the NASPGHAN society published functional abdominal pain guidelines listing PENFS as the only FDA-approved or FDA-cleared treatment recommended 1. This recognition could support adoption by paediatricians.

    • Dependence on insurer coveragemixed

      Revenue depends on insurers expanding coverage, and the company has noted that reimbursement policy changes could affect this process 1. If coverage does not expand, growth could slow.

    • Regulatory and cost pressureheadwind

      The FDA review process for new indications is lengthy and hard to predict, and approval cannot be assured 1. Healthcare cost-control measures could reduce prices or volumes.

    Competitive position

    Competition includes off-label medicines such as tricyclic antidepressants and serotonin reuptake inhibitors, as well as drugs approved for adults with IBS, such as rifaximin and linaclotide 1. Neurostimulation devices such as gammaCore and transcutaneous auricular systems exist, but without data or clearance for functional bowel disorders 1.

    The neurostimulation market is dominated by implanted technologies that are not directly comparable to PENFS, and some competitors are large companies with easier access to capital 1. The company's method patents protect access to the brain through cranial nerves in the ear, which could limit other devices targeting the same indication 1.

    • Masimo CorporationMASI

      The company previously licensed NSS-2 Bridge, marketed as Masimo Bridge, and the license was terminated in July 2025 1.

    • gammaCore (vagus nerve stimulator)

      A transcutaneous vagus nerve stimulator cleared for headache, with recent studies in adult gastroparesis 1.

    • Makers of IBS drugs

      Drugs approved for IBS in adults and children that serve as therapeutic alternatives in treatment settings 1.

    • Transcutaneous auricular stimulation systems

      Systems cleared for opioid withdrawal without a gastrointestinal indication, which can be seen as technological alternatives 1.

    News & filings

    In the press

    No news in our archive over the last 180 days.

    SEC filings

    Sources

    1. [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Neuraxis, Inc. · 19 Mar 2026
    2. [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Neuraxis, Inc. · 11 Aug 2026

    Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.