Aspira Womens Health Inc: A Deep Dive into Its Performance Potential

Unraveling the Factors That Could Limit Aspira Womens Health Inc's Growth

Long-established in the Medical Diagnostics & Research industry, Aspira Womens Health Inc (AWH, Financial) has enjoyed a stellar reputation. It has recently witnessed a surge of 8.47%, juxtaposed with a three-month change of -21.47%. However, fresh insights from the GuruFocus Score Rating hint at potential headwinds. Notably, its diminished rankings in financial strength, growth, and valuation suggest that the company might not live up to its historical performance. Join us as we dive deep into these pivotal metrics to unravel the evolving narrative of Aspira Womens Health Inc.

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Understanding the GF Score

The GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation, which has been found to be closely correlated to the long-term performances of stocks by backtesting from 2006 to 2021. The stocks with a higher GF Score generally generate higher returns than those with a lower GF Score. Therefore, when picking stocks, investors should invest in companies with high GF Scores. The GF Score ranges from 0 to 100, with 100 as the highest rank.

Based on the above method, GuruFocus assigned Aspira Womens Health Inc the GF Score of 56 out of 100, which signals poor future outperformance potential.

Aspira Womens Health Inc: A Snapshot

Aspira Womens Health Inc is engaged in developing and commercializing diagnostic tests for gynecologic diseases. The Company markets and sells, 1) Ova1, a blood test intended as an aid to assess the likelihood of malignancy in women with an ovarian adnexal mass for which surgery is planned when the physician's independent clinical and radiological evaluation does not indicate malignancy; (2) Overa, a second-generation biomarker reflex intended to maintain Ova1's high sensitivity while improving specificity; (3) Ova1Plus, a reflex offering which uses Ova1 as the primary test and Overa as a confirmation for Ova1 intermediate range results; and (4) OvaWatch, a lab-developed blood test intended to assist in the initial clinical assessment of malignancy risk in all women with an adnexal mass.

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Financial Strength Analysis

Aspira Womens Health Inc's financial strength indicators present some concerning insights about the company's balance sheet health. The company's Altman Z-Scoreis just -95.92, which is below the distress zone of 1.81. This suggests that the company may face financial distress over the next few years.

Profitability Analysis

Aspira Womens Health Inc's low Profitability rank can also raise warning signals. Aspira Womens Health Inc's Operating Margin has declined over the past five years ((-291,457.00%)), as shown by the following data: 2018: -371.21; 2019: -336.67; 2020: -386.61; 2021: -478.49; 2022: -400.35; . With a Piotroski F-Score of 2, Aspira Womens Health Inc's financial health appears concerning. This score, rooted in Joseph Piotroski's nine-point scale, evaluates a firm's profitability, liquidity, and operating efficiency. Given its rating, Aspira Womens Health Inc might be facing challenges in these areas.

Conclusion

Given the company's financial strength, profitability, and growth metrics, the GuruFocus Score Rating highlights the firm's unparalleled position for potential underperformance. While Aspira Womens Health Inc has a history of strong performance, the current indicators suggest that it may struggle to maintain this trend. Therefore, investors should exercise caution and conduct further research before making investment decisions.

GuruFocus Premium members can find more companies with strong GF Scores using the following screener link: GF Score Screen

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.