Advanced Exoskeleton Devices Will Broaden Rehabilitation Market Access

Key Takeaways

• Accelerated adoption and revenue growth are expected from improved reimbursement, regulatory changes, and expanded distribution partnerships.
  
• Ongoing AI-driven innovation and recovery of delayed sales position Ekso Bionics for enhanced margins and future earnings stability.
  
• Revenue pressure, margin compression, persistent losses, concentrated product risk, and uncertain adoption challenge near-term stability and long-term growth prospects.

Catalysts

Designs, develops, sells, and rents exoskeleton products in the Americas, Germany, Europe, the Middle East, Africa, the Asia Pacific, and internationally.

• Growing demand for advanced rehabilitation devices due to an aging global population and the rising prevalence of chronic diseases (like stroke and spinal cord injuries) is expected to increase Ekso Bionics' addressable market, supporting higher long-term revenue potential.
  
• Recent regulatory changes (e.g., new established CMS pricing for the Indego Personal exoskeleton) and a ramp-up in Medicare reimbursement pipelines are removing previous barriers to adoption for personal exoskeletons, likely driving accelerated revenue and improved customer access in the coming years.
  
• Strategic partnerships with key distribution and market access partners (such as PRIA Healthcare, National Seating & Mobility, and Bionic P&O) are facilitating scalable go-to-market strategies and expanding penetration into underserved channels, potentially boosting both revenue and stability of earnings via recurring sales growth.
  
• Continued innovation through integration of AI capabilities (aided by NVIDIA Connect program participation and proprietary patient data) positions Ekso to deliver next-generation, differentiated solutions in exoskeleton rehabilitation, supporting potential margin expansion and defending against technology commoditization.
  
• Short-term revenue and margin weakness appears to be driven by temporary, delayed multi-device Enterprise Health sales-not actual demand deterioration-creating a potential for non-recurring revenue rebound as deferred orders are realized, directly impacting revenue and net earnings recovery in the upcoming periods.

Ekso Bionics Holdings Future Earnings and Revenue Growth

Assumptions

• Analysts are assuming Ekso Bionics Holdings's revenue will grow by 44.0% annually over the next 3 years.
• Analysts are not forecasting that Ekso Bionics Holdings will become profitable in next 3 years. To represent the Analyst Price Target as a Future PE Valuation we will estimate Ekso Bionics Holdings's profit margin will increase from -77.2% to the average US Medical Equipment industry of 12.3% in 3 years.
• If Ekso Bionics Holdings's profit margin were to converge on the industry average, you could expect earnings to reach $5.4 million (and earnings per share of $1.8) by about August 2028, up from $-11.3 million today.
• In order for the above numbers to justify the analysts price target, the company would need to trade at a PE ratio of 24.9x on those 2028 earnings, up from -0.7x today. This future PE is lower than the current PE for the US Medical Equipment industry at 29.3x.
• Analysts expect the number of shares outstanding to grow by 7.0% per year for the next 3 years.
• To value all of this in today's terms, we will use a discount rate of 8.89%, as per the Simply Wall St company report.

Ekso Bionics Holdings Future Earnings Per Share Growth

Risks

• Ekso Bionics experienced a 58% year-over-year drop in second quarter revenue (from $5 million in Q2 2024 to $2.1 million in Q2 2025), and management attributes this to short-term sales delays and economic uncertainties-continued budget constraints at hospitals or further grant losses could suppress revenue growth and pipeline conversion in future quarters.
  
• Gross margin fell sharply from 53% to 40% year-over-year due to lower enterprise sales volumes, higher distribution/shipping costs, and fixed costs-persistent margin compression would pressure net margins and could prolong the company's path to profitability.
  
• The company continues to incur net losses ($2.7 million in Q2 2025 vs. $2.4 million in Q2 2024) with only $5.2 million in cash and restricted cash as of June 30, 2025; ongoing negative cash flows and high R&D/operating expenses relative to revenue could necessitate dilutive capital raises or threaten operational continuity.
  
• Execution risk is elevated given Ekso's reliance on a narrow suite of exoskeleton products-any demand fluctuation, regulatory setback in Enterprise Health or Personal Health, or supply chain/logistics issue may cause high revenue volatility and limit potential earnings stability.
  
• While broader reimbursement (e.g., recent CMS pricing) has potential to boost Personal Health-adoption remains highly dependent on successful navigation of complex appeals, education, and partner-driven pipelines, introducing risk of delayed or partial adoption that could constrain top-line growth and earnings over the long term.

Valuation

• The analysts have a consensus price target of $34.75 for Ekso Bionics Holdings based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $60.0, and the most bearish reporting a price target of just $9.5.
  
• In order for you to agree with the analyst's consensus, you'd need to believe that by 2028, revenues will be $43.7 million, earnings will come to $5.4 million, and it would be trading on a PE ratio of 24.9x, assuming you use a discount rate of 8.9%.
  
• Given the current share price of $3.14, the analyst price target of $34.75 is 91.0% higher.
  
• We always encourage you to reach your own conclusions though. So sense check these analyst numbers against your own assumptions and expectations based on your understanding of the business and what you believe is probable.