Key Findings
The AI model raised its Q2 FY26 EPS estimate from -$0.18 to -$0.13, compared to consensus of -$0.10. While still below Street expectations, the improvement reflects anticipated cost discipline.
Thesis
GPT's thesis is that 'ANGO's near-term earnings are still dominated by whether SG&A meaningfully steps down from Q1's $40.7M level.' The model projects SG&A normalizing toward ~$36-37M, which would drive the earnings improvement. Revenue is expected to remain in the mid-$70M band, supported by NanoKnife/Oncology growth offsetting softer legacy product lines.
What This Means
This forecast highlights the importance of cost control for smaller medical device companies. GPT's 46% confidence—one of its lowest conviction levels—reflects genuine uncertainty about whether the SG&A step-down will materialize. The specific $40.7M vs $36.8M SG&A comparison provides a clear metric for evaluating the thesis.