# LivaNova (LIVN.US)

Canonical: https://gigainvestors.com/s/LIVN

Analysis as of: 2026-10-16T07:29:51.946Z. Financial observations: FY1996–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $78.50 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 4 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- negative average operating margin

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 7

- Operating margin variation: 4.40×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.09×

- FY2018: -0.22×

- FY2019: -0.16×

- FY2020: -0.29×

- FY2021: -0.00×

- FY2022: -0.08×

- FY2023: -0.06×

- FY2024: 0.10×

- FY2025: 0.14×

- LTM to Jun 2026: 0.13×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: -3.2%

- ROIC, second-lowest year: -29.5%

- Typical minus recent gross margin: -0.9 pp

- Typical gross margin (annual median): 67.3%

- Recent gross margin (lower of latest and 3-year median): 68.2%

- Years with nonpositive capital: 0

- Capital spending / revenue: 3.4%

- ROIC including acquisitions, ten-year median: -4.6%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 5.7%

- FY2018: -29.5%

- FY2019: -17.0%

- FY2020: -33.6%

- FY2021: -0.1%

- FY2022: -7.5%

- FY2023: -6.2%

- FY2024: 11.3%

- FY2025: 64.3%

- LTM to Jun 2026: 52.0%

### economics: fail

- owner earnings cash conversion below threshold

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: -$294M

- Net income, five-year total: -$384M

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -1.2 pp

- Working capital / revenue, change between three-year averages: -8.5 pp

- Working capital / revenue, final three-year average: 23.0%

Chart: Owner earnings · five years; fiscal year observations.

- FY2021: -$93M

- FY2022: -$55M

- FY2023: $43M

- FY2024: $67M

- FY2025: -$257M

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: -2.0% vs 11.3%

- Per-share earnings: -0.52 to 0.32 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.1%

- Ordinary dilution, 5-year annual growth: 2.3%

- Market cap gain: $1.2B

- Cumulative retained earnings: -$1.1B

- Diluted shares, 10-year annual growth: 1.1%

- Diluted shares, 5-year annual growth: 2.3%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: $0.84

- Per-share value, starting three-year median: -$0.52

- Per-share value, ending three-year median: $0.32

- Buybacks concentrated in cheaper years (correlation): 0.30

- Average buyback yield: 0.6%

- Buyback history: 10 years

- Debt-funded buybacks: Yes

- Acquisition spending: $352M

- Cumulative net income, 10 years: -$1.2B

- ROIC, first three-year median: -2.0%

- ROIC, last three-year median: 11.3%

Chart: Earnings per share; fiscal year observations.

- FY2016: -$1.28

- FY2017: -$0.52

- FY2018: -$3.91

- FY2019: -$3.26

- FY2020: -$7.18

- FY2021: -$2.68

- FY2022: -$1.61

- FY2023: $0.32

- FY2024: $1.16

- FY2025: -$4.45

### accounting: pass

- restructuring or one-time charges in at least three of five years

- Sloan accruals: -19.1%

- Receivables to sales index (DSRI): 0.87×

- Restructuring years, last five: 5

- Stock compensation / operating cash flow: 14.3%

- Earnings backed by cash: Yes

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.85×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -6.5%

- FY2017: -4.6%

- FY2018: -12.2%

- FY2019: -2.8%

- FY2020: -11.2%

- FY2021: -10.8%

- FY2022: -6.8%

- FY2023: -2.4%

- FY2024: -4.8%

- FY2025: -19.1%

## Holders

## Price story

Up 60% since Oct 2023 · "LivaNova Reports Second-Quarter 2026 Results; Raises Full-Year 2026 Revenue and Adjusted Diluted EPS Guidance" (finance.yahoo.com, Aug 2026) · sales +6%

Story as of 2026-10-16T09:59:04.711Z; price observation 2026-10-15.

- 2025-08-06: LivaNova Reports Second-Quarter 2025 Results; Raises 2025 Guidance ([finance.yahoo.com](https://finance.yahoo.com/news/livanova-reports-second-quarter-2025-100000652.html))

- 2025-11-05: LivaNova Reports Third-Quarter 2025 Results; Raises 2025 Guidance ([finance.yahoo.com](https://finance.yahoo.com/news/livanova-reports-third-quarter-2025-110000938.html))

- 2026-05-06: LivaNova (LIVN) beats quarterly expectations but shares slip on cautious guidance reaction ([finance.yahoo.com](https://finance.yahoo.com/sectors/healthcare/articles/livanova-livn-beats-quarterly-expectations-123220464.html))

- 2026-08-05: LivaNova exceeds second-quarter forecasts and increases 2026 outlook ([finance.yahoo.com](https://finance.yahoo.com/healthcare/articles/livanova-exceeds-second-quarter-forecasts-122406505.html))

### Sales · FY2025–2026

sales +6%; source https://www.sec.gov/Archives/edgar/data/1639691/000163969126000010/livn-20251231.htm; observed 2026-02-25.

- FY2017: $1.0B 

- FY2018: $1.1B 

- FY2019: $1.1B 

- FY2020: $934M 

- FY2021: $1.0B 

- FY2022: $1.0B 

- FY2023: $1.2B 

- FY2024: $1.3B 

- FY2025: $1.4B 

- FY2026: $1.5B 

### Gross margin · FY2026

gross margin 68.2%; source https://www.sec.gov/Archives/edgar/data/1639691/000163969126000010/livn-20251231.htm; observed 2026-02-25.

- FY2017: 64.4% 

- FY2018: 66.4% 

- FY2019: 66.8% 

- FY2020: 63.7% 

- FY2021: 68.2% 

- FY2022: 69.2% 

- FY2023: 66.9% 

- FY2024: 69.5% 

- FY2025: 67.7% 

- FY2026: 68.2% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in medical devices; annual sales are USD 1.4 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1639691/000163969126000010/livn-20251231.htm (filed 2026-02-25); FY2025: revenue 1388100000; grossProfit 939900000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 66.9% to 69.5% during 2023–25; it lost 3.2% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); FY2023: grossProfit / revenue = 66.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); FY2024: grossProfit / revenue = 69.5%.

- Source: https://www.sec.gov/Archives/edgar/data/1639691/000163969126000010/livn-20251231.htm (filed 2026-02-25); FY2025: grossProfit / revenue = 67.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); 10-year return on capital observations [[2017,0.05741265118064888],[2018,-0.29483686863596636],[2019,-0.17028312744378662],[2020,-0.3363842998011669],[2021,-0.0013071354705274044],[2022,-0.07531313773688257],[2023,-0.06230051796768775],[2024,0.11297537538145949],[2025,0.6433650402087835],[2026,0.5197872652735984]]; median -0.03180382671910758. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 1 of 10 years; bought back USD 4.4 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); FY2017: growth capex 0; upkeep 34100000; cash acquisitions 14194000; owner earnings 10998000. Growth capex plus acquisitions / owner earnings = 1.2905982905982907.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); FY2023: growth capex 0; upkeep 34981000; cash acquisitions 0; owner earnings 43421000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); FY2024: growth capex 0; upkeep 47107000; cash acquisitions 0; owner earnings 67271000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); Dividend observations: [[2016,0],[2017,0],[2018,0],[2019,4840000],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1639691/000163969126000010/livn-20251231.htm (filed 2026-02-25); FY2025: cash repurchases 4430000 USD.

### Are managers owners

Insiders own 0.4% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); LIVN.US SharesStats.PercentInsiders = 0.414 percentage points; cache date 2026-10-16.

### What the price says

The price is 3.1 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-25); Closing price 78.5 USD; reporting-to-trading FX 1; FY2025 annual sales per share 25.447312458751924; price multiple 3.08480512931345. FY2025 cash earnings/share -4.703761904854625. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $56.68 per share

- 2016-11: $44.27 per share

- 2016-12: $44.97 per share

- 2017-01: $48.11 per share

- 2017-02: $50.40 per share

- 2017-03: $49.01 per share

- 2017-04: $52.70 per share

- 2017-05: $56.84 per share

- 2017-06: $61.21 per share

- 2017-07: $60.94 per share

- 2017-08: $62.58 per share

- 2017-09: $70.06 per share

- 2017-10: $73.90 per share

- 2017-11: $87.18 per share

- 2017-12: $79.92 per share

- 2018-01: $85.55 per share

- 2018-02: $89.74 per share

- 2018-03: $88.50 per share

- 2018-04: $88.78 per share

- 2018-05: $94.05 per share

- 2018-06: $99.82 per share

- 2018-07: $110.13 per share

- 2018-08: $125.55 per share

- 2018-09: $123.97 per share

- 2018-10: $111.99 per share

- 2018-11: $101.19 per share

- 2018-12: $91.47 per share

- 2019-01: $92.32 per share

- 2019-02: $93.20 per share

- 2019-03: $97.25 per share

- 2019-04: $68.89 per share

- 2019-05: $71.90 per share

- 2019-06: $71.96 per share

- 2019-07: $77.05 per share

- 2019-08: $77.63 per share

- 2019-09: $73.79 per share

- 2019-10: $70.73 per share

- 2019-11: $83.76 per share

- 2019-12: $75.43 per share

- 2020-01: $67.97 per share

- 2020-02: $69.72 per share

- 2020-03: $45.25 per share

- 2020-04: $53.12 per share

- 2020-05: $53.49 per share

- 2020-06: $48.13 per share

- 2020-07: $46.54 per share

- 2020-08: $46.90 per share

- 2020-09: $45.21 per share

- 2020-10: $50.34 per share

- 2020-11: $52.85 per share

- 2020-12: $66.21 per share

- 2021-01: $62.90 per share

- 2021-02: $77.54 per share

- 2021-03: $73.73 per share

- 2021-04: $84.87 per share

- 2021-05: $83.54 per share

- 2021-06: $84.11 per share

- 2021-07: $86.30 per share

- 2021-08: $82.69 per share

- 2021-09: $79.19 per share

- 2021-10: $76.72 per share

- 2021-11: $80.16 per share

- 2021-12: $87.43 per share

- 2022-01: $75.11 per share

- 2022-02: $78.82 per share

- 2022-03: $81.83 per share

- 2022-04: $76.66 per share

- 2022-05: $68.07 per share

- 2022-06: $62.47 per share

- 2022-07: $63.67 per share

- 2022-08: $56.25 per share

- 2022-09: $50.77 per share

- 2022-10: $47.10 per share

- 2022-11: $55.37 per share

- 2022-12: $55.54 per share

- 2023-01: $56.20 per share

- 2023-02: $47.32 per share

- 2023-03: $43.58 per share

- 2023-04: $47.90 per share

- 2023-05: $44.28 per share

- 2023-06: $51.43 per share

- 2023-07: $58.45 per share

- 2023-08: $55.55 per share

- 2023-09: $52.88 per share

- 2023-10: $49.05 per share

- 2023-11: $44.85 per share

- 2023-12: $51.74 per share

- 2024-01: $48.68 per share

- 2024-02: $54.81 per share

- 2024-03: $55.94 per share

- 2024-04: $55.75 per share

- 2024-05: $61.07 per share

- 2024-06: $54.82 per share

- 2024-07: $49.40 per share

- 2024-08: $50.39 per share

- 2024-09: $52.54 per share

- 2024-10: $51.62 per share

- 2024-11: $52.50 per share

- 2024-12: $46.31 per share

- 2025-01: $49.95 per share

- 2025-02: $41.63 per share

- 2025-03: $39.28 per share

- 2025-04: $37.00 per share

- 2025-05: $43.25 per share

- 2025-06: $45.02 per share

- 2025-07: $42.19 per share

- 2025-08: $56.37 per share

- 2025-09: $52.38 per share

- 2025-10: $52.63 per share

- 2025-11: $63.81 per share

- 2025-12: $61.53 per share

- 2026-01: $65.71 per share

- 2026-02: $70.60 per share

- 2026-03: $63.56 per share

- 2026-04: $60.10 per share

- 2026-05: $73.80 per share

- 2026-06: $82.23 per share

- 2026-07: $80.14 per share

- 2026-08: $79.81 per share

- 2026-09: $76.50 per share

- 2026-10: $78.50 per share

## Annual estimated value (USD per share)

- FY2016: low $48.93 per share, central $65.08 per share, high $76.14 per share

- FY2017: low $42.68 per share, central $59.57 per share, high $69.67 per share

- FY2018: low $3.23 per share, central $3.60 per share, high $4.10 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1639691/000163969126000010/livn-20251231.htm); period 2025-12-31, filed 2026-02-25.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.