EDAP TMS S.A. (FOCL) — RQD Stock Rating Cockpit

Per the Roarable RQD rating, FOCL scores 28 out of 100 with a letter grade of E, labeled "Roarable Strong Sell — Forensic Risk / Avoid." The fundamental cash engine pillar scores 4 out of 20, reflecting ROIC of -35% and FCF yield of -8.56%, which means the business is currently consuming cash rather than generating it relative to its value. The whale 13F flow pillar scores 8 out of 20 on institutional accumulation and options positioning; the source does not provide the underlying 13F detail, so this score cannot be traced to specific holder activity. The insider conviction pillar scores 3 out of 20 on SEC Form 4 and Congressional PTR cluster flow, the weakest signal in the rating and a point an investor would want to examine directly in filings. The macro regime fit pillar scores 5 out of 20 with a beta of 1.0, meaning the stock moves in line with the broader market while carrying company-specific losses. The forensic balance sheet pillar scores 8 out of 20 on an Altman Z-Score of 0.2, a Piotroski F-Score of 4 out of 9, and a Debt/Equity ratio of 0.82. Taken together, the rating points to a business with negative operating margins, shrinking cash, and weak distress indicators. For a prospective investor, the upside case rests on a turnaround in operating cash flow that the source data does not yet show, while valuation tradeoffs are difficult to assess because earnings-based multiples are unavailable. This is an educational summary of the rating's components, not personalized financial advice.

EDAP TMS S.A. (FOCL) is a NASDAQ-listed issuer in the Health Care sector, operating in the Biotechnology: Electromedical & Electrotherapeutic Apparatus industry, per the company profile. Per the SEC financials, the company reported revenue of $70.5M for FY 2025. Source data does not describe the specific products, customer base, or revenue model. Market capitalization is $0.2B per the profile.

Per the SEC financials, revenue rose slightly from $69.4M to $70.5M while operating losses widened from $-22.2M to $-24.7M and net losses widened from $-20.6M to $-29.2M. Gross margin is 42.5%, operating margin is -35%, and net margin is -41.5% per the market data, and ROIC is -35%. Per the Roarable RQD rating, the Altman Z-Score is 0.2 and the Piotroski F-Score is 4 out of 9. Cash fell from $31.0M to $20.5M while debt rose from $2.2M to $15.9M, and the Debt/Equity ratio is 0.82.

The news wire contains six items, all tagged YELLOW with impact label MARKET WIRE. One item notes that FocalTherics™ will announce third quarter 2026 financial results on November 5, 2026, which is the most concrete dated catalyst in the source. Other items are general market-action reports from Yahoo! Finance Canada, ChartMill, marketscreener.com, and Traders Union, including a gap-up/gap-down session report dated October 23, 2026 and American Depositary Receipt trading summaries. None of the headlines specify a fundamental event beyond the earnings date. Risk watch items per the rating include the negative FCF, negative margins, and low Altman Z-Score. The Butterfly Supply-Chain Graph contains no proprietary signals.

• What drives the gap between revenue stability ($69.4M to $70.5M) and the widening operating and net losses?
• Does the November 5, 2026 third-quarter results release show a path to positive operating cash flow?
• What is the composition and direction of institutional 13F holdings behind the whale pillar score of 8 out of 20?
• What insider Form 4 or Congressional transactions underlie the insider conviction score of 3 out of 20?
• What are the company's products, customers, and key supply-chain dependencies, given that the supply chain graph is empty?