Tandem Diabetes Care Inc. Common Stock (TNDM)

FairStock Score: 13/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Tandem as a Graham-style student first: what is proven by the numbers? The company sells diabetes insulin pumps and single-use supplies into a real need, and revenue has grown from $747.7 million in fiscal 2023, the year ended 2023-12-31, to $940.2 million in fiscal 2024, the year ended 2024-12-31, and $1.0 billion in fiscal 2025, the year ended 2025-12-31. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $254.6 million, so the top line is still moving. But I cannot call this a high-quality business yet. It lost $222.6 million in fiscal 2023, the year ended 2023-12-31, $96.0 million in fiscal 2024, the year ended 2024-12-31, and $204.7 million in fiscal 2025, the year ended 2025-12-31; in fiscal Q2 2026, the quarter ended 2026-06-30, net income was negative $21.2 million. Trailing free cash flow was negative $61.7 million, a FairStock-calculated FCF yield of -4.7%. The balance sheet is stretched: FairStock calculations show debt-to-equity 5.67, Altman Z-score -0.10, and Piotroski F-score 2/9. The possible moat is switching cost in automated insulin delivery and recurring infusion sets, but the financials do not yet demonstrate pricing power. At $18.90 on 2026-10-26, FairStock's P/B is 10.05 and P/E is -21.00; its FairStock score is 13/100. For a loss-making, cash-burning company with high leverage, that is not a margin-of-safety price. I would need evidence of durable positive earnings and cash flow before calling it cheap.

In plain English: Tandem makes diabetes equipment and recurring supplies. The company has posted losses in each recent year, burned cash, and carries a stretched balance sheet. At $18.90, the stock looks expensive compared with its weak profits and high debt load.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q4 2025 10-K (period ended 2025-12-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer