Nano-X Imaging Ltd. (NASDAQ:NNOX) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Nano-X Imaging Ltd. develops a commercial-grade tomographic imaging device with a digital X-ray source. The US$496m market-cap company posted a loss in its most recent financial year of US$61m and a latest trailing-twelve-month loss of US$61m leading to an even wider gap between loss and breakeven. Many investors are wondering about the rate at which Nano-X Imaging will turn a profit, with the big question being "when will the company breakeven?" In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

Consensus from 3 of the American Healthcare analysts is that Nano-X Imaging is on the verge of breakeven. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$57m in 2026. So, the company is predicted to breakeven approximately 2 years from now. How fast will the company have to grow each year in order to reach the breakeven point by 2026? Working backwards from analyst estimates, it turns out that they expect the company to grow 56% year-on-year, on average, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

We're not going to go through company-specific developments for Nano-X Imaging given that this is a high-level summary, but, take into account that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

Before we wrap up, there's one aspect worth mentioning. The company has managed its capital prudently, with debt making up 1.8% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are key fundamentals of Nano-X Imaging which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Nano-X Imaging, take a look at Nano-X Imaging's company page on Simply Wall St. We've also compiled a list of important aspects you should look at:

1. Historical Track Record: What has Nano-X Imaging's performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Nano-X Imaging's board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com