Latest Ratios: P/E Ratio -41.1x · EV/EBITDA N/A · ROE -80.5%. (2023–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| Market Cap | $441M | $1.1B | — | — |
| Enterprise Value | $429M | $1.1B | — | — |
| P/E Ratio → | -41.06 | — | — | — |
| P/S Ratio | 9.32 | 23.67 | — | — |
| P/B Ratio | 10.79 | 7.23 | — | — |
| P/FCF | — | — | — | — |
| P/OCF | — | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| EV / Revenue | — | 23.42 | — | — |
| EV / EBITDA | — | — | — | — |
| EV / EBIT | — | — | — | — |
| EV / FCF | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| Gross Margin | 76.5% | 76.5% | 77.0% | 79.2% |
| Operating Margin | -55.6% | -55.6% | -46.3% | -56.4% |
| Net Profit Margin | -85.3% | -85.3% | -49.4% | -65.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| ROE | -80.5% | -80.5% | — | — |
| ROA | -37.9% | -37.9% | -32.1% | -23.3% |
| ROIC | -40.7% | -40.7% | — | — |
| ROCE | -24.7% | -24.7% | -34.3% | -21.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| Debt / Equity | 0.10 | 0.10 | — | — |
| Debt / EBITDA | — | — | — | — |
| Net Debt / Equity | — | -0.08 | — | — |
| Net Debt / EBITDA | — | — | — | — |
| Debt / FCF | — | — | — | — |
| Interest Coverage | -375.67 | -375.67 | -10.87 | -15.63 |
Net cash position: cash ($27M) exceeds total debt ($15M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| Current Ratio | — | — | 4.59 | 11.17 |
| Quick Ratio | — | — | 2.77 | 8.85 |
| Cash Ratio | — | — | 1.97 | 7.66 |
| Asset Turnover | — | 0.28 | 0.73 | 0.35 |
| Inventory Turnover | 0.51 | 0.51 | 0.52 | 0.40 |
| Days Sales Outstanding | — | 63.78 | 59.12 | 88.87 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| Dividend Yield | — | — | — | — |
| Payout Ratio | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| Earnings Yield | — | — | — | — |
| FCF Yield | — | — | — | — |
| Buyback Yield | 0.0% | 0.0% | — | — |
| Total Shareholder Yield | 0.0% | 0.0% | — | — |
| Shares Outstanding | — | $78M | $20M | $20M |
Liquidity depletion risk
Based on reported figures, Shoulder Innovations trades at a P/S multiple of 9.95, which appears to price in aggressive future market share gains rather than current profitability, as the company lacks a positive P/E or FCF metric to anchor its valuation relative to established orthopedic peers.
The high P/S ratio suggests that investors are valuing the company as a high-growth disruptor, effectively ignoring the current negative net margins. This valuation implies a significant expectation for future margin expansion that may be difficult to achieve given the competitive intensity of the shoulder arthroplasty market.
As reported in financial statements, the company's ROIC has remained consistently negative, reaching -4.8% in 2026Q1, which indicates that the capital deployed into instrument trays and commercial infrastructure is not yet generating a return that exceeds the cost of the capital invested in the business.
The persistent negative return on capital highlights the difficulty of scaling a specialized medical device firm where high upfront investment in consignment inventory is required. Investors should monitor whether the company can improve its asset turnover as the installed base of surgeons grows, which is necessary to turn these returns positive.
According to recent SEC filings, the company's cash conversion cycle remains highly elevated at 435 days in 2026Q1, primarily driven by an extremely long days inventory outstanding metric that reflects the heavy burden of maintaining consignment instrument trays across various hospital and surgery center locations.
This extended cycle suggests that the company's working capital is heavily tied up in non-liquid assets, which limits operational flexibility. The high DIO relative to industry norms warrants further investigation into whether the company can optimize its tray utilization rates without sacrificing the surgeon conversion momentum.
Based on the provided financial data, the company's current ratio has fluctuated significantly, settling at 11.81 in 2026Q1, yet this figure masks a precarious cash position that has declined sharply as the firm funds its aggressive commercial expansion and high operating burn rate.
While the current ratio appears high, it is heavily influenced by the value of consignment inventory which is not easily converted to cash. The rapid depletion of liquid reserves suggests that the company may face a liquidity crunch if it cannot reach a self-sustaining cash flow profile soon.
Investors often misapply the current ratio to Shoulder Innovations, failing to recognize that the high liquidity figure is distorted by the inclusion of specialized consignment inventory that cannot be liquidated to meet short-term debt obligations or fund ongoing operating expenses during a period of cash burn.
A more accurate assessment of the company's liquidity would involve excluding inventory from the current assets to determine a 'cash-only' runway. Relying on standard liquidity ratios obscures the reality that the company's assets are largely tied to the physical infrastructure required to support its surgical system.
Includes 30+ ratios · 3 years · Updated daily
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Quick answers to the most common questions about buying SI stock.
Shoulder Innovations, Inc.'s current P/E ratio is -41.1x. This places it at the 50th percentile of its historical range.
Shoulder Innovations, Inc.'s return on equity (ROE) is -80.5%. The historical average is -80.5%.
Based on historical data, Shoulder Innovations, Inc. is trading at a P/E of -41.1x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Shoulder Innovations, Inc. has 76.5% gross margin and -55.6% operating margin.