Share count
34Mpeak FY2024
← All companies ← BVN Manual BWLP → ← BVS Medical Devices & Equipment CBLL →
BWAY, BrainsWay Ltd.
Medical Devices & Equipment consumer brand
A medical-device business, placing equipment that pulls consumables and service behind it.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2024
$46M
+45.0% YoY · 15% 5-yr CAGR
Vital signs · TTM, with 5-yr average
Revenue $46M 5-yr avg $30M
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What moves the needle
- Operating margin has run around −31% through the cycle on a 77% gross margin, the operating line in the red even at its best — so the lever is whether the spending below the gross line can come down enough to clear a profit: revenue growth against the cost curve, and the cash runway until it does. The cash cycle has run negative through the cycle (a median of −153 days): the operation is paid before it pays, so working capital releases cash as the business grows rather than tying it up. Read this kind of business on the installed base and what follows it. On its own account, the filing leans hardest on pricing power & competition, set against the numbers in what the filing emphasizes, below.
- Is it a good business?
- Return on capital has rarely cleared the cost of capital (median −143%, above 15% in 0 of 5 years). Owner earnings, the cash-based check, have been thin too. This is price-taker territory, where the balance sheet and the cycle matter more than any multiple; the rest is in the 10-K.
Every line is arithmetic on the company's filings, shown in full in the sections below.
The record
Ten years of arithmetic, read across the cycle.
The record, 2017–2024
realized figures from each filing · older years to the left| 2017’17 | 2018’18 | 2019’19 | 2020’20 | 2021’21 | 2022’22 | 2023’23 | 2024’24 | TTMTTMJun 2025 | |
|---|---|---|---|---|---|---|---|---|---|
| Income statement | |||||||||
| $11M | $16M | $23M | $22M | $30M | $27M | $32M | $41M | $46M | RevenueRevenue |
| 77% | 78% | 78% | 77% | 78% | 74% | 74% | 75% | 75% | Gross marginGross mgn |
| ($7M) | ($5M) | ($8M) | ($5M) | ($5M) | ($13M) | ($5M) | $1M | $2M | Operating incomeOp. inc. |
| −59.3% | −31.2% | −36.7% | −21.9% | −16.9% | −46.7% | −15.6% | 3.4% | 4.0% | Operating marginOp. mgn |
| ($7M) | ($6M) | ($10M) | ($5M) | ($6M) | ($13M) | ($4M) | $3M | $5M | Net incomeNet inc. |
| Cash flow & returns | |||||||||
| ($3M) | ($4M) | ($7M) | ($1M) | $884K | ($10M) | $1M | $10M | $23M | Operating cash flowOp. cash |
| $394K | $463K | $550K | $438K | $560K | $558K | $362K | $660K | $911K | DepreciationDeprec. |
| $3M | $2M | $3M | $4M | $7M | $3M | $5M | $7M | $17M | Working capital & otherWC & other |
| $985K | $2M | $3M | $2M | $2M | — | — | — | $2M | CapexCapex |
| 8.8% | 12.0% | 14.3% | 11.2% | 7.5% | — | — | — | 4.9% | Capex / revenueCapex/rev |
| ($4M) | ($4M) | ($8M) | ($2M) | $324K | — | — | — | $22M | Owner earningsOwner earn. |
| −34.6% | −25.8% | −33.7% | −8.5% | 1.1% | — | — | — | 48.3% | Owner earnings marginOE mgn |
| ($4M) | ($6M) | ($11M) | ($4M) | ($1M) | — | — | — | $21M | Free cash flowFCF |
| −39.9% | −35.0% | −45.7% | −17.7% | −4.6% | — | — | — | 45.4% | Free cash flow marginFCF mgn |
| — | -494% | -263% | -143% | -10% | — | -13% | — | 56% | ROICROIC |
| -55% | -93% | -43% | -27% | -11% | -29% | -10% | 5% | 8% | Return on equityROE |
| −55% | −93% | −43% | −27% | −11% | −29% | −10% | 5% | 8% | Retained to equityRetained/eq |
| Balance sheet | |||||||||
| $15M | $9M | $22M | $17M | $17M | $48M | $11M | $69M | $69M | Cash & investmentsCash+inv |
| — | $3M | $6M | $6M | $6M | $5M | $4M | $5M | $4M | ReceivablesReceiv. |
| — | — | — | — | — | $4M | $4M | $4M | $4M | InventoryInvent. |
| — | $3M | $3M | $4M | $5M | $4M | $5M | $6M | $6M | Accounts payablePayables |
| — | ($555K) | $2M | $2M | $2M | $4M | $2M | $3M | $2M | Operating working capitalOper. WC |
| — | $13M | $29M | $24M | $65M | $58M | $55M | $80M | $89M | Current assetsCur. assets |
| — | $8M | $7M | $7M | $9M | $8M | $10M | $15M | $26M | Current liabilitiesCur. liab. |
| — | 1.6× | 4.3× | 3.6× | 7.2× | 7.1× | 5.7× | 5.2× | 3.5× | Current ratioCurr. ratio |
| — | $24M | $39M | $34M | $76M | $64M | $63M | $94M | $112M | Total assetsAssets |
| -24.1× | -4.4× | -5.9× | -15.1× | — | -8.6× | -4.3× | 0.9× | 1.0× | Interest coverageInt. cov. |
| $13M | $7M | $24M | $20M | $57M | $45M | $42M | $62M | $68M | Shareholders’ equityEquity |
| Per share | |||||||||
| 14.8M | 16.6M | 20.5M | 22.5M | 31.2M | 33.0M | 33.2M | 34.0M | 37.8M | Shares out (diluted)Shares |
| $0.75 | $0.99 | $1.13 | $0.98 | $0.95 | $0.82 | $0.96 | $1.21 | $1.22 | Revenue / shareRev/sh |
| $-0.48 | $-0.39 | $-0.50 | $-0.24 | $-0.21 | $-0.40 | $-0.13 | $0.09 | $0.14 | EPS (diluted)EPS |
| $-0.26 | $-0.25 | $-0.38 | $-0.08 | $0.01 | — | — | — | $0.59 | Owner earnings / shareOE/sh |
| $-0.30 | $-0.35 | $-0.51 | $-0.17 | $-0.04 | — | — | — | $0.55 | Free cash flow / shareFCF/sh |
| $0.07 | $0.12 | $0.16 | $0.11 | $0.07 | — | — | — | $0.06 | Cap. spending / shareCapex/sh |
| $0.86 | $0.42 | $1.18 | $0.87 | $1.84 | $1.38 | $1.25 | $1.83 | $1.80 | Book value / shareBVPS |
Per-share growththe realized rate an owner's share compounded
| 7-yr | 5-yr | |
|---|---|---|
| Revenue / share | +6.9%/yr | +1.4%/yr |
| Capital spending / share | +1.9%/yr (4-yr) | +1.9%/yr (4-yr) |
| Book value / share | +11.4%/yr | +9.2%/yr |
The record, charted
FY2017–2024Each measure over its full record; the current point and the worst year marked.
ROIC
−13%low FY2018
Gross margin
75%low FY2022
Owner earnings vs. net income
Owner earningsNet incomeThe accountant's number, and the cash an owner can take; the gap is the tell.
$324Kowner earningsvs.($6M)net incomelow FY2019
Where the cash went
ReinvestBuybacksDividendsAcquisitionsRetainedEach year's operating cash, by what management did with it: the mix, and how it drifts.
FY2021FY2024
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2021 the business earned $324K of owner earnings, the operating cash left after the $560K it takes just to hold its position. It put $2M more into growth; free cash flow, after that spending, was ($1M).
| FY2021 | FY2020 | FY2019 | FY2018 | FY2017 | |
|---|---|---|---|---|---|
| Reported net income | ($6M) | ($5M) | ($10M) | ($6M) | ($7M) |
| Depreciation & amortizationnon-cash charge added back | +$560K | +$438K | +$550K | +$463K | +$394K |
| Working capital & othertiming of cash in and out, other non-cash items | +$7M | +$4M | +$3M | +$2M | +$3M |
| Cash from operations | $884K | ($1M) | ($7M) | ($4M) | ($3M) |
| Maintenance capital expenditurethe spending needed just to hold position and volume | −$560K | −$438K | −$550K | −$463K | −$394K |
| Owner earnings | $324K | ($2M) | ($8M) | ($4M) | ($4M) |
| Growth capital expenditurediscretionary; spent to get bigger, not to stand still | −$2M | −$2M | −$3M | −$2M | −$591K |
| Free cash flow | ($1M) | ($4M) | ($11M) | ($6M) | ($4M) |
| Owner-earnings marginowner earnings ÷ revenue | 1% | -8% | -34% | -26% | -35% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the maintenance capital it must spend to hold its position (here about $560K, roughly its depreciation, the rate its assets wear out). The other $2M of its capital spending is growth it chose, not upkeep it owed; charged only with the maintenance it must do, the business earns well more than the year's free cash flow shows.
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
FY2024 20-F · source on SEC EDGAR →
Will it survive?
- Does not cover its interestOperating income $2M ÷ interest expense $2M
What this means
A full year of operating profit didn't cover the interest bill. This is the zombie zone: the business depends on refinancing, asset sales, or forbearance to service its debt.
- Net cashCash $68M + ST investments $949K − debt $3M
What this means
Cash and short-term investments exceed every dollar of debt by $66M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Negative, funded by othersDSO 31 + DIO 130 − DPO 197 days
What this means
Days cash is tied up between paying suppliers and collecting from customers. A negative cycle is a quiet moat: suppliers and customers fund the operation (Buffett's “float”), the company grows on other people's money.
Is it a good business?
- Below average through the cycle5-yr median, range -494%–-10%; 56% latest = NOPAT $2M ÷ invested capital $3MIndustry peers: median -83%
What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. The headline is the median of the last 5 years (it ran 56% most recently), so one peak or trough year doesn't set the verdict. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
- Positive this year, negative across the cyclelatest $22M = operating cash $23M − maintenance capex $911K (positive this year), after an earlier loss stretch (5-yr median -26%)Industry peers: median -76%
What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 48% of revenue this year, a -26% median across 5 years.
- Cash-backedCash from ops $23M ÷ net income $5M
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? 2.46×ExpandingCapex $2M ÷ depreciation $911K
What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.
Graham’s defensive tests · 2 of 5 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $46M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity PassCurrent ratio ≥ 2× · 3.49×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Conservative debt PassDebt ≤ working capital · $3M vs $64M WC
What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
- Earnings stability MissA profit every year (8-yr record) · 7 loss years
What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
- Dividend record MissUninterrupted dividends · none paid
What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
- Earnings growth —Earnings +33% over the record · —
What this means
Earnings were negative early in the record, a growth rate isn't meaningful.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $-0.12/share (latest year $0.14), the averaged base the calculator's gate runs on, and book value is $1.74/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Durability & moat, 2017–2024
Whether the record’s returns held, and what the capital reinvested earned.
- Profitable years 1 of 8
What this means
Lost money in 7 year(s), look at what happened there before trusting the average.
- Operating margin −42% → −20% (3-yr avg ends)
In the filing’s words The record and the words agree: the margin widened and the filing attributes the gain to its own pricing, not volume alone.
What this means
Through the cycle the operating margin widened — about −42% early to −20% lately, median −31% — pricing power intact or improving.
- Reinvestment, incremental ROIC returns capital
What this means
The capital base barely grew: this business returns cash through dividends and buybacks rather than reinvesting. Judge it on the cash returned, not on compounding.
- Worst year 2017 · −59.3% op. margin
What this means
Operations went underwater in 2017, understand why before trusting the good years.
Does AI threaten the moat?
Low contestabilityThe moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.
In its own filing Named as a competitive risk
Its FY2025 10-K names artificial intelligence as a competitive threat.
“On a related point, the lead time for receiving electronic components shipped by suppliers has increased significantly in recent years amid the worldwide supply chain crisis, the increases in demand due to AI and quantum computing, and shipping disruptions caused by the war between Ukraine and Russia, and the various w…”
AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat, and the company is using it that way.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of fiscal year-end, Jun 30, 2025Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
Current assets$89M
- Cash & short-term investments$69M
- Receivables$4M
- Inventory$4M
- Other current assets$12M
Current liabilities$26M
- Debt due within a year$750K
- Accounts payable$6M
- Other current liabilities$18M
Current ratio3.49×all current assets ÷ what's due · Graham looked for 2×
Quick ratio3.33×stricter: inventory excluded
Cash ratio2.70×strictest: cash alone against what's due
Working capital$64Mthe cushion left after near-term bills
Debt due this year vs. cash$750K due · $69M cash
covered by cash on hand, no refinancing forced · both figures from the Jun 30, 2025 balance sheet
Deeper floors
Tangible book value$68Mequity stripped of goodwill & intangibles
Debt incl. operating leases$8M$6M of it operating leases
From the company's latest filing.
Peers, Medical Devices & Equipment
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| BBNXBeta Bionics Inc. | $100M | 55% | -71.5% | -22% | -76% |
| NPCENeuropace Inc. | $100M | 74% | -36.6% | -32% | -42% |
| DCTHDelcath Systems Inc. | $85M | 81% | -690.0% | -127% | -640% |
| ELMDElectromed Inc. | $64M | 77% | 10.8% | 11% | 7% |
| BWAYBrainsWay Ltd. | $46M | 77% | -26.5% | -143% | -26% |
| CLPTClearPoint Neuro Inc. | $37M | 63% | -75.4% | -228% | -65% |
| DRIODarioHealth Corp. | $22M | 31% | -257.7% | -83% | -192% |
| PROFProfound Medical Corp. | $16M | 63% | -339.4% | -257% | -238% |
| Group median | — | 68% | -73.5% | -105% | -70% |
The price
What a price has to assume.
What the price implies
reverse-DCFEnter the US price, in dollars: the NYSE/Nasdaq quote you hold. Per the filing's own cover, “American Depositary Shares each representing one Ordinary”; BrainsWay Ltd. reports in USD, so every figure in this tool is stated per ADS so your dollar quote reconciles exactly. The record tables elsewhere on this page remain as filed.
Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what BrainsWay Ltd. has delivered.
$
Base
—
The assumptions
9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.
Enter a price above to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Implied by the price—
Owner-earnings growth, delivered—
Owner-earnings growth, delivered—
Owner-earnings yield—
What a growth belief costs, in multiples
The growth each return requires, at your price
P/E (3-yr earnings ’22–’24)—
P/B—
Graham’s price gate—
Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.
Against a high-grade bond: Graham’s yardstick bond yield%
Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.
Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.
Owner-earnings yield—
High-grade bond yield—
Margin over the bond—
Free cash flow $21M on 39M shares outstanding, per the 20-F cover, as of 2025-12-31; net cash $66M. The base is the latest year by default; Normalize values it on the through-cycle median owner-earnings margin (to avoid paying on a peak year). Net of stock comp treats option pay as the expense it is. Capex ($2M) runs well above depreciation ($911K), so this is a build-out; Steady-state swaps total capex for maintenance (≈ depreciation), lifting the base to about $22M, the cash it would throw off if it stopped expanding. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.
Cite: Owner Scorecard, "BrainsWay Ltd. (BWAY), the owner's record," https://ownerscorecard.com/c/BWAY, data as of 2026-07-09.
Manual order: ← BVN its page in the Manual BWLP →
Industry order: ← BVS the Medical Devices & Equipment chapter CBLL →