KMTS

Company Overview — What Does KESTRA MEDICAL TECHNOLOGIES, LTD. Do?

We are a commercial-stage, wearable medical device and digital healthcare company focused on transforming patient outcomes in cardiovascular disease using monitoring and therapeutic intervention technologies that are intuitive, intelligent, and connected. We have developed and are commercializing our Cardiac Recovery System platform, a comprehensive and advanced system that integrates monitoring, therapeutic treatment, digital health, and patient support services into a single, unified solution. The cornerstone of our Cardiac Recovery System platform is the ASSURE WCD, a next generation wearable cardioverter defibrillator (“WCD”) used to protect patients at an elevated risk of sudden cardiac arrest (“SCA”), a major public health problem that accounts for approximately 50% of all cardiovascular deaths in the U.S. The ASSURE WCD automatically monitors elevated risk patients and, if needed, delivers a defibrillation shock to return the patient’s heart to normal rhythm. The ASSURE WCD was purpose-built to enhance patient comfort and compliance and directly address the key barriers to adoption associated with the only other commercially available WCD. We believe the ASSURE WCD offers significant clinical and functional advantages, including greater patient compliance as a result of a major reduction in false alarms and enhanced comfort and wearability. In addition to the ASSURE WCD, our Cardiac Recovery System platform includes a comprehensive suite of fully integrated digital solutions and services that enable enhanced patient and provider engagement and oversight, with the objective of improving patient outcomes. We believe our Cardiac Recovery System platform addresses serious unmet needs in the cardiac patient population and has the potential to disrupt and grow the market which has been limited to a single solution for more than 20 years. As of January 31, 2025, our system is actively being prescribed by more than 550 hospitals across the U.S., representing approximately 20% of WCD prescribing hospitals in the U.S., and has been worn by over 17,000 patients since it was fully commercially launched. In our top 50 hospitals, we believe we have successfully captured approximately 45% of the currently available prescriptions based on company-sourced data on all hospitals that we serve in the U.S. and the percentage of WCD filled prescriptions at those hospitals that are for our ASSURE WCD. SCA is a life-threatening emergency characterized by the abrupt cessation of the heartbeat caused by an electrical malfunction in the heart. This is typically triggered by ventricular arrhythmias, such as ventricular fibrillation (“VF”), and leads to a loss of consciousness and potentially death within minutes if not promptly treated. The American Heart Association (“AHA”) estimates that SCA causes approximately 436,000 deaths per year, making it the third leading cause of death in the U.S. Defibrillation, or an electrical shock, is the only way to restore a fibrillating heart to a normal rhythm. Each minute of delay in restoring the heart to a normal rhythm reduces a patient’s chance of survival by 7% to 10%. The average time for Emergency Medical Services (“EMS”) arrival is 7 minutes from the time of a 911 call, and often longer in rural communities. The most common location of a SCA in adults is at a home or residence, representing approximately 73% of SCAs. In addition, approximately 50% of all SCAs are unwitnessed. A WCD is a wearable, non-invasiveminiaturized automated external defibrillator and is worn underneath regular clothing. The device continuously monitors a patient’s heart rhythm and is capable of delivering a defibrillation shock. Wires connect electrodes inside the garment to the monitor, which is carried in a small pack or shoulder bag. The electrodes continuously acquire a patient’s heart rate and rhythm for evaluation by the automated external defibrillator. If the monitor detects a potentially life-threatening arrhythmia, the WCD first alerts the patient via an audible alarm and then administers a shock, if needed. For over 20 years, WCDs have been used to protect patients at elevated risk of SCA. However, until the ASSURE WCD received Food and Drug Administration (“FDA”) approval in July of 2021, the market was limited to a single solution. Since the approval of the first WCD in 2001, global WCD revenues have grown to $1.3 billion in 2023, with approximately 85% of the revenues generated in the U.S based on our analysis of third-party claims data and estimated average WCD wear prescription lengths and average reimbursement rates in the U.S. and in select international markets derived from industry data and internal estimates. The volume of patients prescribed a WCD in the U.S. grew at roughly 6% annually between 2021 and 2023, and we expect WCD revenues to continue growing. Despite being proven as safe and effective in treating dangerous cardiac rhythms when worn, WCD therapy remains underutilized, reaching just 14% of the eligible U.S. patient population in 2023 based on data on patients indicated for a WCD and WCD prescription data from industry sources. We believe that the low penetration of WCD therapy is largely due to the limitations of the incumbent commercially available device. In feedback we have collected through directly engaging with patients and providers and customer feedback on public platforms, commonly cited reasons for patients or providers failing to use the competitor device include high false alarm frequency, poor wearability and patient discomfort, a unisex-only garment, low utility data and limited connectivity with patients. In the U.S., we estimate that there are approximately 800,000 cardiac patients each year who have experienced a myocardial infarction (“MI”) or are diagnosed with heart failure and have low Left Ventricular Ejection Fraction (“LVEF”), therefore making them eligible for WCD therapy. Additionally, approximately 50,000 patients each year either have documented ventricular tachycardia (“VT”) or VF, an inherited genetic condition, or have had their implantable cardioverter defibrillators (“ICD”) temporarily explanted, and are also indicated for WCDs. Based on an average WCD wear prescription length of 3.4 months per patient and an average Medicare reimbursement rate of $3,436 per patient per month, we believe this represents an approximately $10 billion annual addressable market. In select international markets, we estimate based on patient population data collected by various third-party industry sources that there are approximately 3.7 million people each year who experience an MI, are diagnosed with heart failure, have documented VT or VF, have an inherited genetic condition, or have had their ICD temporarily explanted. Among these patients, based on the same third-party industry sources, we estimate that approximately 1.8 million patients meet the indications for WCD therapy. Based on estimated average WCD wear prescription length in these international markets of 2.5 months per patient and estimated average reimbursement rate of $3,000 per patient per month derived from industry data and internal estimates, we believe this represents an approximately $14 billion total annual market opportunity outside the U.S. The ASSURE WCD is the next generation of WCD therapy, delivering a safe and effective solution for patients with a design that enhances patient comfort and compliance. In addition to the ASSURE WCD, the various digital solutions and services of our Cardiac Recovery System platform include the ASSURE patient application, Kestra CareStation remote patient data platform, Heart Alert Services, and ASSURE Assist services. The ASSURE patient application engages patients with real-time mobile updates to promote compliance, while the Kestra CareStation remote patient data platform equips healthcare providers with actionable insights to support timely and informed care decisions. Heart Alert Services and ASSURE Assist services work together to enhance safety and are designed to provide critical alerts to healthcare providers for significant arrhythmias and notify emergency services when therapy is administered. This post-therapy EMS support is critical as a range of injuries, such as head injuries, soft tissue damage and bone fractures, can result from falling down after a SCA. In addition, the ASSURE wearable ECG as part of our Cardiac Recovery System platform provides monitoring and connectivity for patients no longer indicated for a WCD but who still require ongoing support while their heart continues to remodel. We believe we offer the most comprehensive and cohesive platform, with digital solutions and services that are seamlessly integrated with our ASSURE WCD, meaningfully differentiating our Cardiac Recovery System platform from the only other commercially available WCD. We are building a body of clinical evidence supporting the safety, efficacy, and benefits of the ASSURE WCD, with six publications completed to date. This growing portfolio includes our pivotal trials—the ASSURE WCD Clinical Evaluation—Detection and Safety Study (“ACE-DETECT”) and the ASSURE WCD Clinical Evaluation—Conversion Efficacy Study (“ACE-CONVERT”)—which served as the basis for our premarket approval (“PMA”). In addition, we are conducting the ASSURE WCD Clinical Evaluation—Post Approval Study (“ACE-PAS”) as part of a broader ongoing ASSURE Patient Registry. All patients prescribed the ASSURE WCD in the United States after August 5, 2022 are included in the Registry. As of January 31, 2025, our ongoing registry has enrolled over 17,000 patients, and its findings further validate the results of ACE-DETECT and ACE-CONVERT. Our most recent FDA submission from ACE-PAS from July 2024, which includes data from 5,929 patients, reported first shock conversion efficacy of approximately 96%, a low false alarm rate with only 6% of our patients experiencing a false alarm, compared to 46% for the competitor’s device, and a median daily use of 23.2 hours. These results underscore the ASSURE WCD’s competitive advantages in wearability, usability, and patient compliance, providing strong support for continued adoption. We believe this collection of real-world evidence will generate additional publications, continue to increase awareness of WCDs as a proven therapy for elevated risk cardiac patients and further demonstrate the clinical differentiation of our ASSURE WCD. We have made material investments in infrastructure to support rapid growth and scalability, specifically in our commercial organization, distribution and supply chain capabilities, as well as revenue cycle management capabilities. In the U.S., we have built a commercial sales team of approximately 70 direct sales representatives and more than 40 sales and clinical support professionals with deep expertise in cardiac rhythm management and established relationships in the cardiology and electrophysiology fields. This team is responsible for developing sales territory business plans, targeting and opening new accounts, and processing prescriptions of our ASSURE WCD. Our direct sales team is supported by a contracted team of over 250 ASSURE Patient Specialists (“APSs”) who assist patients with fitting and training. At fitting, we deliver our ASSURE WCD from our distribution network to the patient. We utilize a lease business model, and when a patient’s wear time has concluded, the device is returned for reprocessing and reintroduction into the distribution network. To support our growth, we have developed a highly scalable supply chain in collaboration with experienced, top-tier medical technology suppliers. Our substantial investment in a fleet of devices, each with a capacity for approximately three patient wears per year, are reprocessed through efficient reconditioning, which enables the business to scale with an attractive unit economic profile. Finally, our revenue cycle management capabilities streamline reimbursement processes by ensuring claims are accurately prepared and submitted according to individual payor requirements, facilitating timely collections. These capabilities are a critical asset in driving operational efficiency and supporting both patient and prescriber satisfaction. We believe our significant investments in infrastructure create a high barrier to entry that will help us protect and grow our market share. Kestra Medical Technologies, Ltd. is located in Kirkland, Washington. KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) is classified as a small-cap stock in the Healthcare sector, specifically within the Medical Equipment industry. The company is led by CEO Brian Webster and employs approximately 300 people, headquartered in KIRKLAND, Washington. With a market capitalization of $1.1B, KMTS is one of the notable companies in the Healthcare sector.

KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) Stock Rating — Reduce (April 2026)

As of April 2026, KESTRA MEDICAL TECHNOLOGIES, LTD. receives a Reduce rating with a composite score of 36.6/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.KMTS ranks #3,479 out of 4,446 stocks in our coverage universe. Within the Healthcare sector, KESTRA MEDICAL TECHNOLOGIES, LTD. ranks #534 of 839 stocks, placing it in the lower half of its Healthcare peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

KMTS Stock Price and 52-Week Range

KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) currently trades at $19.84. The 52-week high for KMTS is $30.00, which means the stock is currently trading -33.9% from its annual peak. The 52-week low is $13.25, putting the stock 49.7% above its annual trough. Recent trading volume was 0 shares, suggesting relatively thin trading activity.

Is KMTS Overvalued or Undervalued? — Valuation Analysis

KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) carries a value factor score of 34/100 in the Blank Capital model, signaling premium valuation that prices in significant future growth. The price-to-book ratio stands at 7.13x, versus the sector average of 2.69x. The price-to-sales ratio is 13.95x, compared to 1.64x for the average Healthcare stock.

At current multiples, KESTRA MEDICAL TECHNOLOGIES, LTD. trades at a premium to most Healthcare peers. This elevated valuation may be justified if the company can sustain above-average growth rates and profitability, but it also creates downside risk if earnings disappoint expectations.

KESTRA MEDICAL TECHNOLOGIES, LTD. Profitability — ROE, Margins, and Quality Score

KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) earns a quality factor score of 27/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is -71.4%, compared to the Healthcare sector average of -42.5%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at -47.5% versus the sector average of -33.1%.

On a margin basis, KESTRA MEDICAL TECHNOLOGIES, LTD. reports gross margins of 48.2%, compared to 71.3% for the sector. The operating margin is -144.9% (sector: -65.2%). Net profit margin stands at -139.3%, versus -54.1% for the average Healthcare stock. Revenue growth is running at 49.5% on a trailing basis, compared to 10.7% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.

KMTS Debt, Balance Sheet, and Financial Health

KESTRA MEDICAL TECHNOLOGIES, LTD. has a debt-to-equity ratio of 26.0%, compared to the Healthcare sector average of 31.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. Total debt on the balance sheet is $42M. Cash and equivalents stand at $175M.

KMTS has a beta of 1.15, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for KESTRA MEDICAL TECHNOLOGIES, LTD. is 36/100, suggesting elevated price swings that may be unsuitable for conservative portfolios.

KESTRA MEDICAL TECHNOLOGIES, LTD. Revenue and Earnings History — Quarterly Trend

In TTM 2026, KESTRA MEDICAL TECHNOLOGIES, LTD. reported revenue of $84M and earnings per share (EPS) of $-0.64. Net income for the quarter was $-117M. Gross margin was 48.2%. Operating income came in at $-121M.

In Q2 2025, KESTRA MEDICAL TECHNOLOGIES, LTD. reported revenue of $23M and earnings per share (EPS) of $-0.64. Net income for the quarter was $-33M. Gross margin was 50.6%. Operating income came in at $-32M.

In Q2 2026, KESTRA MEDICAL TECHNOLOGIES, LTD. reported revenue of $23M and earnings per share (EPS) of $-0.64. Net income for the quarter was $-33M. Gross margin was 50.6%. Revenue grew 0.0% year-over-year compared to Q2 2025. Operating income came in at $-32M.

In Q1 2025, KESTRA MEDICAL TECHNOLOGIES, LTD. reported revenue of $19M and earnings per share (EPS) of $-0.50. Net income for the quarter was $-26M. Gross margin was 45.7%. Operating income came in at $-29M.

Over the past 8 quarters, KESTRA MEDICAL TECHNOLOGIES, LTD. has demonstrated a growth trajectory, with revenue expanding from $28M to $84M. Investors analyzing KMTS stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

KMTS Dividend Yield and Income Analysis

KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) does not currently pay a dividend. This is common among smaller companies in the Medical Equipment industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Healthcare dividend stocks may want to explore other Healthcare stocks or use the stock screener to filter by dividend yield.

KMTS Momentum and Technical Analysis Profile

KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) has a momentum factor score of 39/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 47/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 54/100 reflects moderate short selling activity.

KMTS vs Competitors — Healthcare Sector Ranking and Peer Comparison

Within the Healthcare sector, KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) ranks #534 out of 839 stocks based on the Blank Capital composite score. This places KMTS in the lower half of all Healthcare stocks in our coverage universe. Key competitors and sector peers include ASTRAZENECA PLC (AZN) with a score of 61.5/100, Sol-Gel Technologies Ltd. (SLGL) with a score of 56.3/100, HOLOGIC INC (HOLX) with a score of 52.8/100, FONAR CORP (FONR) with a score of 53.0/100, and Royalty Pharma plc (RPRX) with a score of 53.4/100.

Comparing KMTS against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full KMTS vs S&P 500 (SPY) comparison to assess how KESTRA MEDICAL TECHNOLOGIES, LTD. stacks up against the broader market across all factor dimensions.

KMTS Next Earnings Date

No upcoming earnings date has been announced for KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy KMTS? — Investment Thesis Summary

The quantitative profile for KESTRA MEDICAL TECHNOLOGIES, LTD. suggests caution. The quality score of 27/100 flags below-average profitability. The value score of 34/100 indicates premium valuation. Momentum is weak at 39/100, a headwind for near-term performance. High volatility (stability score 36/100) increases portfolio risk.

In summary, KESTRA MEDICAL TECHNOLOGIES, LTD. (KMTS) earns a Reduce rating with a composite score of 36.6/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on KMTS stock.

Related Resources for KMTS Investors

Explore more research and tools: KMTS vs S&P 500 comparison, top Healthcare stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare KMTS head-to-head with peers: KMTS vs AZN, KMTS vs SLGL, KMTS vs HOLX.