CeriBell combines 32.5% revenue growth, 88% GAAP / 92% non-GAAP gross margin, and a $3.5B+ TAM with meaningful execution and cash-burn risk, creating high-asymmetry medtech upside.
Overview
CeriBell is a commercial-stage medtech company replacing slow, labor-intensive continuous EEG workflows with a portable, AI-enabled point-of-care platform for emergency departments, ICUs, neonatal and pediatric units, and other acute-care settings. Its revenue model combines approximately 76% product sales from disposable headbands and recorders with 24% recurring Clarity AI subscriptions. **The operating trend is strong:** Q2 2026 revenue rose 32.5% to $28.097 million, product revenue increased 33.4% to $21.241 million, subscription revenue grew 29.9% to $6.856 million, and active hospital accounts reached 712. Gross margin was 92%, or high-88% normalized excluding a one-time tariff refund, although operating expenses rose 36.4% and GAAP net loss widened to $19.337 million. Management raised FY2026 revenue guidance to $114 million–$117 million, representing 28%–31% growth, and the company has a greater than $3.5 billion U.S. TAM against roughly 12% hospital penetration. **Valuation reflects both quality and risk:** at $24.31, EV is $791.1 million, or 6.85x FY2026E revenue. Near-term catalysts are CMS delirium NTAP on October 1, 2026, pediatric and neonatal expansion, and stroke-pipeline progress; the five-year probability-weighted target is $45.97.