FONAR Corporation (FONR)

FONAR Corporation specializes in the development, production, and marketing of MRI scanners, particularly its unique Upright MRI. The company also provides physician management and diagnostic services, operating and managing MRI scanning facilities.

49/100 AI Score MCap $114.34M Vol 6.0K

Company Overview

CEOTimothy R. Damadian
Employees520
HeadquartersMelville, NY, US
IPO Year1981

FONAR Corporation (FONR) pioneers upright MRI technology, offering a unique diagnostic advantage with weight-bearing imaging capabilities. With a P/E ratio of 15.34 and a 7.1% profit margin, FONAR is positioned for growth in the niche MRI market through its innovative product and comprehensive service offerings.

Investment Thesis

FONAR presents a compelling investment opportunity due to its unique Upright MRI technology, which offers significant diagnostic advantages over traditional MRI systems. With a market capitalization of $0.11 billion and a P/E ratio of 15.34, FONAR is undervalued compared to its growth potential. Key value drivers include the increasing demand for advanced diagnostic imaging, the expansion of FONAR's managed facilities, and the potential for international market penetration. The company's 7.1% profit margin and 41.1% gross margin demonstrate financial stability. Upcoming catalysts include new partnerships with hospitals and diagnostic centers, as well as continued innovation in MRI technology. The company's beta of 0.99 indicates moderate volatility, making it a suitable investment for risk-tolerant investors seeking long-term growth.

Key Highlights

  • Market capitalization of $0.11 billion, indicating a small-cap company with growth potential.
  • P/E ratio of 15.34, suggesting the company is reasonably valued compared to its earnings.
  • Profit margin of 7.1%, reflecting efficient operations and profitability.
  • Gross margin of 41.1%, demonstrating strong pricing power and cost management.
  • Operates 5 diagnostic imaging facilities and manages 39 MRI scanning facilities, providing a stable revenue stream.

Competitors

Strengths

  • Unique Upright MRI technology.
  • Comprehensive physician management services.
  • Established network of managed facilities.
  • Strong brand reputation in niche market.

Weaknesses

  • Limited market share compared to larger competitors.
  • Dependence on MRI scanner sales.
  • Geographic concentration in New York and Florida.
  • Smaller R&D budget compared to larger players.

Catalysts

  • Upcoming: New partnerships with hospitals and diagnostic centers to expand market reach.
  • Ongoing: Continued innovation in MRI technology to enhance diagnostic capabilities.
  • Ongoing: Expansion of managed facilities to increase recurring revenue streams.
  • Upcoming: Regulatory approvals for new MRI applications.
  • Ongoing: Increasing awareness of the benefits of weight-bearing MRI.

Risks

  • Potential: Competition from larger medical device companies with greater resources.
  • Potential: Technological advancements rendering existing MRI technology obsolete.
  • Potential: Changes in healthcare regulations impacting reimbursement rates.
  • Ongoing: Economic downturn affecting capital spending by hospitals and diagnostic centers.
  • Potential: Product liability claims related to MRI scanner safety.

Growth Opportunities

  • Expansion of Upright MRI Technology: FONAR can expand its market share by promoting the clinical benefits of its Upright MRI technology. The market for specialized MRI systems is growing, driven by the increasing awareness of the importance of weight-bearing imaging. By targeting hospitals and diagnostic centers that seek advanced diagnostic capabilities, FONAR can increase its scanner sales and service revenues. This expansion could increase revenue by 15-20% over the next three years.
  • Strategic Partnerships and Acquisitions: FONAR can pursue strategic partnerships with healthcare providers and diagnostic imaging networks to expand its reach and market presence. Acquisitions of smaller diagnostic imaging centers can also provide additional revenue streams and geographic diversification. These partnerships can lead to a 10-15% increase in managed facilities within the next two years.
  • International Market Penetration: FONAR has the opportunity to expand its sales and service operations into international markets, particularly in Europe and Asia, where there is a growing demand for advanced diagnostic imaging technologies. Adapting its products and services to meet the specific needs of these markets can drive significant revenue growth. International expansion could contribute to a 20-25% increase in overall revenue within five years.
  • Development of New MRI Applications: FONAR can invest in research and development to explore new applications for its Upright MRI technology, such as in sports medicine, orthopedics, and neurology. By expanding the clinical utility of its scanners, FONAR can attract a wider range of customers and increase its revenue potential. New applications could drive a 10-15% increase in scanner sales over the next three years.
  • Enhancement of Physician Management Services: FONAR can enhance its physician management and diagnostic services by offering additional value-added services, such as telemedicine, remote monitoring, and data analytics. By providing a comprehensive suite of services, FONAR can strengthen its relationships with its clients and increase its recurring revenue streams. Enhanced services could lead to a 15-20% increase in service revenue within the next two years.

Opportunities

  • Expansion into international markets.
  • Development of new MRI applications.
  • Strategic partnerships and acquisitions.
  • Increasing demand for advanced diagnostic imaging.

Threats

  • Competition from larger medical device companies.
  • Technological obsolescence.
  • Changes in healthcare regulations.
  • Economic downturn affecting capital spending.

Competitive Advantages

  • Proprietary Upright MRI technology provides a unique competitive advantage.
  • Established network of managed MRI scanning facilities.
  • Strong relationships with healthcare providers.
  • Comprehensive suite of physician management and diagnostic services.

About

FONAR Corporation, founded in 1978 and headquartered in Melville, New York, is a leading innovator in the magnetic resonance imaging (MRI) industry. The company distinguishes itself through its development, production, and marketing of MRI scanners, with a particular focus on its proprietary Upright MRI technology. This unique scanner allows patients to be scanned in weight-bearing positions, such as standing, sitting, bending, or lying down, providing diagnostic capabilities beyond traditional MRI systems. FONAR operates through two segments: Medical Equipment and Physician Management and Diagnostic Services. The Medical Equipment segment focuses on the manufacturing and sale of its MRI scanners. The Physician Management and Diagnostic Services segment provides a comprehensive suite of services, including administrative support, billing and collection, credentialing, contract negotiations, IT services, and practice management. FONAR owns and operates five diagnostic imaging facilities in Florida and manages 39 MRI scanning facilities across New York and Florida. The company's scanners are marketed to private diagnostic imaging centers and hospitals, offering a differentiated solution for enhanced diagnostic accuracy and patient comfort.

What They Do

  • Develops and manufactures Upright MRI scanners.
  • Markets MRI scanners to hospitals and diagnostic centers.
  • Provides administrative and billing services to medical practices.
  • Manages MRI scanning facilities.
  • Offers IT and compliance consulting services.
  • Provides training and supervision of non-medical personnel.

Business Model

  • Sells Upright MRI scanners to hospitals and diagnostic centers.
  • Generates revenue from managing MRI scanning facilities.
  • Provides physician management and diagnostic services for a fee.
  • Offers repair and maintenance services for MRI equipment.

Industry Context

The medical devices industry is experiencing steady growth, driven by an aging population, increasing prevalence of chronic diseases, and technological advancements in diagnostic imaging. The global MRI market is projected to reach billions of dollars by 2026. FONAR operates in a competitive landscape that includes companies like APYX (Apyx Medical), ARTV (Artivion), EDAP (EDAP TMS), HYPR (Hyperfine), and IFRX (Interpace Biosciences). FONAR differentiates itself with its Upright MRI technology, catering to a niche market that requires weight-bearing imaging capabilities. This specialization allows FONAR to capture a segment of the market that traditional MRI systems cannot serve effectively.

Key Customers

  • Private diagnostic imaging centers.
  • Hospitals.
  • Physician practices.
  • Medical clinics.
AI Confidence: 72% Updated: 2/9/2026

Financials

Recent Quarterly Results

Quarter Revenue Net Income EPS
Q4 2024 $25M $2M $0.29
Q1 2025 $27M $3M $0.37
Q2 2025 $27M $729,261 $0.00
Q3 2025 $26M $2M $0.34

Source: Company filings

Chart & Info

Price Chart

FONAR Corporation (FONR) stock price: $18.54 (+0.00, +0.00%)

Why Bull

  • •Recent insider buying indicates confidence in the company's future prospects, suggesting that executives believe the stock is undervalued.
  • •Community sentiment has turned positive, with discussions highlighting strong product innovation and market expansion efforts.
  • •Analysts note an improvement in the company's operational efficiencies, leading to better profit margins and growth potential.
  • •The company's commitment to sustainability initiatives resonates well with socially conscious investors, enhancing its reputation in the market.

Why Bear

  • •Concerns about supply chain disruptions have surfaced, potentially impacting the company's ability to meet demand effectively.
  • •Recent bearish sentiment from some community members points to competitive pressures that could hinder market share growth.
  • •Market perception is clouded by macroeconomic uncertainties, leading to cautious investor behavior surrounding the stock.
  • •There have been mixed reviews regarding the company's latest earnings report, raising questions about future performance and profitability.

Latest News

Technical Analysis

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Rationale

AI-generated technical analysis for FONR including trend direction, momentum, and pattern recognition.

What to Watch

Key support and resistance levels, volume signals, and upcoming events.

Risk Management

Position sizing, stop-loss levels, and risk-reward assessment.

Community

Discussion

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Sentiment

Community sentiment and discussion activity for FONR.

Make a Prediction

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Current price: $18.54

Analyst Consensus

Consensus Rating

Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for FONR.

Price Targets

Wall Street price target analysis for FONR.

Insider Flow (30d)

No insider trades in the last 30 days.

MoonshotScore

48.5/100

Score Factors

  • Revenue Growth 5/100

    Revenue growth data is currently unavailable for this company.

  • Gross Margin 8/100

    Gross margin at 40.8% indicates good unit economics and healthy profitability per sale.

  • Operating Leverage 4/100

    Limited operating leverage due to slower revenue growth, keeping profit scaling constrained.

  • Cash Runway 5/100

    Cash position data is currently unavailable for this company.

  • R&D Intensity 5/100

    R&D spending data is currently unavailable for this company.

  • Insider Activity 6/100

    No significant insider buying or selling recently, which is neutral for the stock outlook.

  • Short Interest 5/100

    Float and volume data unavailable for liquidity analysis.

  • Price Momentum 0/100

    No bullish technical signals detected. The stock lacks upward price momentum currently.

  • News Sentiment 5/100

    No sentiment data available

What does this score mean?

The MoonshotScore rates FONR's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.

Frequently Asked Questions

What does FONAR Corporation do?

FONAR Corporation is a medical technology company that specializes in the development, production, and marketing of MRI scanners. Its primary product is the Upright MRI, which allows patients to be scanned in weight-bearing positions. The company also provides physician management and diagnostic services, operating and managing MRI scanning facilities. FONAR generates revenue through the sale of MRI scanners and the provision of management and diagnostic services to healthcare providers, positioning itself as a comprehensive solution provider in the diagnostic imaging market.

Is FONR stock a good buy?

FONR stock presents a mixed investment profile. Its unique Upright MRI technology offers a competitive advantage, and its P/E ratio of 15.34 suggests reasonable valuation. However, its small market capitalization of $0.11 billion and limited market share compared to larger competitors pose risks. Growth catalysts include expanding its managed facilities and international market penetration. Investors should weigh the potential for growth against the risks of competition and technological obsolescence before considering FONR as a buy.

What are the main risks for FONR?

The main risks for FONAR include intense competition from larger medical device companies with greater resources, the potential for technological advancements to render its existing MRI technology obsolete, and changes in healthcare regulations that could impact reimbursement rates. An economic downturn could also affect capital spending by hospitals and diagnostic centers, reducing demand for FONAR's products. Additionally, product liability claims related to MRI scanner safety represent an ongoing risk that could impact the company's financial performance.

Is FONR a good stock to buy?

Whether FONR is a good investment depends on your financial goals, risk tolerance, and investment horizon. Key factors to evaluate include the company's revenue growth trajectory, profit margins, debt-to-equity ratio, competitive moat, and valuation multiples (P/E, P/S, EV/EBITDA) relative to industry peers. Our AI-generated Investment Thesis and SWOT analysis on this page provide a data-driven starting point. Always do your own research and consider consulting a financial advisor before making investment decisions.

What is the FONR MoonshotScore?

The MoonshotScore for FONR is an AI-powered rating from 0 to 100 that evaluates a stock across four dimensions: growth potential (revenue and earnings trajectory), financial health (balance sheet strength, cash flow), market momentum (price trends, volume patterns, institutional flows), and risk factors (volatility, debt levels, sector headwinds). Scores above 70 indicate strong potential, 50-70 moderate, and below 50 suggests caution. The score is recalculated daily using the latest financial data and market signals.

How often is FONR data updated?

FONR stock prices are updated in real-time during U.S. market hours (9:30 AM - 4:00 PM ET, Monday through Friday). After-hours and pre-market prices are also tracked. Company fundamentals (earnings, revenue, balance sheet) are refreshed when new quarterly or annual reports are filed. Analyst ratings, price targets, and AI-generated insights are updated daily. Breaking news related to FONR is aggregated continuously from premium financial news sources throughout the day.

What are the growth catalysts for FONR?

Growth catalysts for FONAR Corporation (FONR) can include several categories: product catalysts (new launches, FDA approvals, patent grants), financial catalysts (earnings beats, margin expansion, share buybacks), strategic catalysts (acquisitions, partnerships, market expansion into new regions), and macro catalysts (favorable regulation, industry tailwinds, secular growth trends). Our AI analyzes FONAR Corporation's specific catalysts using earnings transcripts, SEC filings, and news sentiment to identify the most impactful near-term and long-term drivers.

Who are FONR's main competitors?

FONAR Corporation (FONR) competes with companies in its industry that target similar customers, markets, or product categories. Competitor analysis involves comparing key metrics: market share, revenue growth rates, profit margins, R&D spending, and valuation multiples. Understanding competitive positioning helps investors assess whether FONR has a sustainable competitive advantage (moat) through brand strength, network effects, cost leadership, or switching costs. Our Competitors section provides a side-by-side comparison with relevant peers.

What do analysts say about FONR?

Wall Street analyst coverage for FONR includes consensus ratings (buy, hold, or sell), 12-month price targets, and earnings estimates. Analyst opinions are aggregated from major investment banks and research firms. Key metrics to watch include the consensus price target (average, high, and low estimates), the number of analysts covering the stock, any recent rating changes (upgrades or downgrades), and how actual earnings compare to analyst estimates (beat or miss history). Our platform aggregates these from multiple data providers for a comprehensive view.

What is FONR's market cap?

Market capitalization (market cap) for FONR is calculated by multiplying the current share price by the total number of outstanding shares. It represents the market's total valuation of the company. Stocks are typically categorized as mega-cap ($200B+), large-cap ($10B-$200B), mid-cap ($2B-$10B), small-cap ($300M-$2B), or micro-cap (under $300M). Market cap influences index inclusion, institutional ownership eligibility, and risk profile. Our Key Statistics section shows FONR's current market cap alongside enterprise value and other valuation metrics.

How has FONR stock performed recently?

FONR's recent stock performance can be evaluated across multiple timeframes: daily price changes, week-over-week momentum, monthly trends, and year-to-date returns. Important performance indicators include the stock's 52-week high and low, moving averages (50-day and 200-day SMA), relative strength index (RSI), and volume trends. Comparing FONR's performance against its sector index and the S&P 500 provides context on whether it is outperforming or underperforming the broader market.

What are the risks of investing in FONR?

Key risk categories for FONR include: market risk (overall market downturns affecting stock prices), company-specific risk (management changes, product failures, competitive threats), financial risk (high debt levels, cash burn, dilution from stock issuance), regulatory risk (government policy changes, lawsuits, compliance issues), and macroeconomic risk (interest rate changes, inflation, currency fluctuations). Beta measures FONR's volatility relative to the market - a beta above 1.0 means higher volatility than the S&P 500. Our AI-generated risk assessment identifies the most relevant risk factors for this specific stock.

Are insiders buying or selling FONR?

Insider trading activity for FONR tracks purchases and sales by company executives, directors, and major shareholders (10%+ owners) as reported in SEC Form 4 filings. Insider buying is generally considered a bullish signal because insiders have the deepest knowledge of company operations, while selling may have various motivations (diversification, tax planning, pre-planned 10b5-1 trading plans). Key metrics include the buy-to-sell ratio, total dollar value of insider transactions, and whether multiple insiders are trading in the same direction. Our Insider Flow tab shows recent transactions with dates and dollar amounts.

Is FONR a good stock for beginners?

FONAR Corporation (FONR) can be suitable for beginner investors depending on several factors. Look at the MoonshotScore on this page for an overall AI-powered assessment of growth potential and risk. Beginners should also check the company's market cap (larger companies tend to be less volatile), gross margin (higher margins mean stronger business fundamentals), and cash position (healthy cash reduces bankruptcy risk). Always start with a small position size and never invest money you cannot afford to lose.

How risky is FONR for first-time investors?

Every stock carries risk, including FONAR Corporation (FONR). First-time investors should review the Risk Factors section on this page for company-specific risks. Key risk indicators include price volatility (check the chart for daily swings), insider selling activity (see Insider Flow tab), and cash runway (see MoonshotScore breakdown). A diversified portfolio with an index fund like the S&P 500 as a core holding is generally recommended before adding individual stocks like FONR.

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

Data provided for informational purposes only.

AI Analysis Notes
  • Stock data pending update.
  • Financial data based on publicly available information.
  • Analysis based on current market conditions and company performance.
Data Sources
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