Nexalin Technology (NXL)
Market Price (12/30/2025): $0.6142 | Market Cap: $10.9 MilSector: Health Care | Industry: Life Sciences Tools & Services
Nexalin Technology (NXL)
Market Price (12/30/2025): $0.6142Market Cap: $10.9 MilSector: Health CareIndustry: Life Sciences Tools & Services
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -40% | Weak multi-year price returns3Y Excs Rtn is -97% | Penny stockMkt Price is 0.6 |
| Megatrend and thematic driversMegatrends include Digital Health & Telemedicine. Themes include Wearable Health Devices, Remote Patient Monitoring, and Telehealth Platforms. | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -8.9 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -5641% | |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -3.2%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -22%, Rev Chg QQuarterly Revenue Change % is -50% | ||
| Significant share based compensationSBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 2449% | ||
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -3151%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -3201% | ||
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -84% | ||
| High stock price volatilityVol 12M is 141% | ||
| Key risksNXL key risks include [1] "going concern" doubts stemming from a history of substantial losses, Show more. |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -40% |
| Megatrend and thematic driversMegatrends include Digital Health & Telemedicine. Themes include Wearable Health Devices, Remote Patient Monitoring, and Telehealth Platforms. |
| Weak multi-year price returns3Y Excs Rtn is -97% |
| Penny stockMkt Price is 0.6 |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -8.9 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -5641% |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -3.2%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -22%, Rev Chg QQuarterly Revenue Change % is -50% |
| Significant share based compensationSBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 2449% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -3151%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -3201% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -84% |
| High stock price volatilityVol 12M is 141% |
| Key risksNXL key risks include [1] "going concern" doubts stemming from a history of substantial losses, Show more. |
Why The Stock Moved
Qualitative Assessment
AI Analysis | Feedback
For the period from approximately August 31, 2025, to December 30, 2025, Nexalin Technology (NXL) experienced a significant stock price decline, with a drop of approximately -35.8%. This movement can be attributed to several key factors:
1. Nexalin Technology's Q3 2025 Earnings Miss.Nexalin Technology reported its third-quarter 2025 earnings with an EPS of -$0.1300, which was $0.01 worse than the analyst estimate of -$0.1200. Additionally, revenue for the quarter came in at $18.15K, significantly below the consensus estimate of $40K. This earnings miss was reported on December 2, 2025, and November 13, 2025, negatively impacting investor sentiment leading into the late December period.
2. Bearish Technical Signals and Overall Market Sentiment.Technical analysis indicators as of late December 2025 showed a strong bearish sentiment for NXL. The stock exhibited more sell signals than buy signals from both short and long-term moving averages. The Fear & Greed Index was also showing "Fear," and NXL recorded only 9 green days out of 30, indicating prevalent negative market outlook.
Show more
1. Nexalin Technology's Q3 2025 Earnings Miss.Nexalin Technology reported its third-quarter 2025 earnings with an EPS of -$0.1300, which was $0.01 worse than the analyst estimate of -$0.1200. Additionally, revenue for the quarter came in at $18.15K, significantly below the consensus estimate of $40K. This earnings miss was reported on December 2, 2025, and November 13, 2025, negatively impacting investor sentiment leading into the late December period.
2. Bearish Technical Signals and Overall Market Sentiment.Technical analysis indicators as of late December 2025 showed a strong bearish sentiment for NXL. The stock exhibited more sell signals than buy signals from both short and long-term moving averages. The Fear & Greed Index was also showing "Fear," and NXL recorded only 9 green days out of 30, indicating prevalent negative market outlook.
Show more
Stock Movement Drivers
Fundamental Drivers
The -35.4% change in NXL stock from 9/29/2025 to 12/29/2025 was primarily driven by a -18.5% change in the company's P/S Multiple.| 9292025 | 12292025 | Change | |
|---|---|---|---|
| Stock Price ($) | 0.95 | 0.61 | -35.40% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 0.17 | 0.16 | -10.23% |
| P/S Multiple | 85.42 | 69.59 | -18.54% |
| Shares Outstanding (Mil) | 15.72 | 17.79 | -13.21% |
| Cumulative Contribution | -36.53% |
Market Drivers
9/29/2025 to 12/29/2025| Return | Correlation | |
|---|---|---|
| NXL | -35.4% | |
| Market (SPY) | 3.6% | 29.9% |
| Sector (XLV) | 14.7% | 3.6% |
Fundamental Drivers
The -37.9% change in NXL stock from 6/30/2025 to 12/29/2025 was primarily driven by a -33.7% change in the company's Shares Outstanding (Mil).| 6302025 | 12292025 | Change | |
|---|---|---|---|
| Stock Price ($) | 0.99 | 0.61 | -37.87% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 0.13 | 0.16 | 19.74% |
| P/S Multiple | 100.29 | 69.59 | -30.62% |
| Shares Outstanding (Mil) | 13.31 | 17.79 | -33.71% |
| Cumulative Contribution | -44.93% |
Market Drivers
6/30/2025 to 12/29/2025| Return | Correlation | |
|---|---|---|
| NXL | -37.9% | |
| Market (SPY) | 11.6% | 31.4% |
| Sector (XLV) | 16.1% | 7.6% |
Fundamental Drivers
The -79.2% change in NXL stock from 12/29/2024 to 12/29/2025 was primarily driven by a -64.8% change in the company's P/S Multiple.| 12292024 | 12292025 | Change | |
|---|---|---|---|
| Stock Price ($) | 2.95 | 0.61 | -79.20% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 0.16 | 0.16 | -3.18% |
| P/S Multiple | 197.44 | 69.59 | -64.76% |
| Shares Outstanding (Mil) | 10.85 | 17.79 | -64.04% |
| Cumulative Contribution | -87.73% |
Market Drivers
12/29/2024 to 12/29/2025| Return | Correlation | |
|---|---|---|
| NXL | -79.2% | |
| Market (SPY) | 16.6% | 27.6% |
| Sector (XLV) | 13.6% | 12.0% |
Fundamental Drivers
The -18.1% change in NXL stock from 12/30/2022 to 12/29/2025 was primarily driven by a -263.4% change in the company's Shares Outstanding (Mil).| 12302022 | 12292025 | Change | |
|---|---|---|---|
| Stock Price ($) | 0.75 | 0.61 | -18.06% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | � | 0.16 | � |
| P/S Multiple | � | 69.59 | � |
| Shares Outstanding (Mil) | 4.90 | 17.79 | -263.38% |
| Cumulative Contribution | � |
Market Drivers
12/30/2023 to 12/29/2025| Return | Correlation | |
|---|---|---|
| NXL | 51.6% | |
| Market (SPY) | 47.9% | 14.9% |
| Sector (XLV) | 17.6% | 6.4% |
Price Returns Compared
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| NXL Return | - | - | -67% | -46% | 582% | -77% | -72% |
| Peers Return | 16% | 38% | -12% | 21% | 26% | 16% | 151% |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 17% | 114% |
Monthly Win Rates [3] | |||||||
| NXL Win Rate | - | - | 50% | 50% | 42% | 25% | |
| Peers Win Rate | 52% | 65% | 42% | 68% | 57% | 52% | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 73% | |
Max Drawdowns [4] | |||||||
| NXL Max Drawdown | - | - | -67% | -62% | -27% | -77% | |
| Peers Max Drawdown | -34% | -5% | -26% | -7% | -9% | -23% | |
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | |
[1] Cumulative total returns since the beginning of 2020
[2] Peers: HPQ, HPE, IBM, CSCO, AAPL.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 12/29/2025 (YTD)
How Low Can It Go
| Event | NXL | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -88.1% | -25.4% |
| % Gain to Breakeven | 738.6% | 34.1% |
| Time to Breakeven | 161 days | 464 days |
Compare to HPQ, HPE, IBM, CSCO, AAPL
In The Past
Nexalin Technology's stock fell -88.1% during the 2022 Inflation Shock from a high on 12/1/2022. A -88.1% loss requires a 738.6% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth over time.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
We design and develop innovative neurostimulation products to uniquely and effectively help combat the ongoing global mental health epidemic. We developed an easy-to-administer medical device — referred to as Generation 1 or Gen-1 — that utilizes bioelectronic medical technology to treat anxiety and insomnia, without the need for drugs or psychotherapy. Our original Gen-1 devices are cranial electrotherapy stimulation (CES) devices that emit waveform at 4 milliamps during treatment and are presently classified by the U.S. Food and Drug Administration (“FDA”) as a Class II device. Medical professionals in the United States have utilized the Gen-1 device to administer to patients in clinical settings. While the Gen-1 device had been cleared by the FDA to treat depression, anxiety, and insomnia, three prevalent and serious diseases, as a result of the FDA’s December 2019 reclassification of CES devices, the Gen-1 device was reclassified as a Class II device for the treatment of anxiety and insomnia. We are required to file a new application under Section 510(k) of the Federal Food, Drug and Cosmetic Act (“510(k) Application”) to be approved by the FDA for the sales and marketing of our devices for the treatment of anxiety and insomnia. In the FDA’s December 2019 reclassification ruling, the treatment of depression with our device will require a Class III device and require a new PMA (premarket approval) application to demonstrate safety and effectiveness. While we continue providing services to medical professionals to support patients’ use of the Gen-1 devices which were in operation prior to December 2019, we are not making new sales or new marketing efforts of Gen-1 devices in the United States. We continue to derive revenue from devices which we sold or leased prior to the FDA’s December 2019 reclassification announcements. This revenue consists of monthly licensing fees and payments for the sale of electrodes. We have suspended marketing efforts for new sales of devices related to the Gen-1 device for treatment of anxiety and insomnia in the United States until the Nexalin regulatory team makes a decision on a new 510(k) application at 4 milliamps based on FDA comments expected to be received in December 2022. Our regulatory team continues to inform the FDA of the suspension of the marketing and sale of the Gen-1 products to new providers. We are analyzing whether to proceed with an amended application with the FDA for Gen-1 devices for the treatment of insomnia and anxiety. We have designed and developed new advanced waveform technology to be emitted at 15 milliamps through our existing medical device improved with a modern enclosure — referred to as Generation 2 or Gen-2 — which can penetrate deeper into the brain and stimulate associated structures of mental illness, which we believe will generate enhanced patient response. The Nexalin regulatory team has made a strategic decision to develop strategies for a new PMA application in the United States for the treatment of depression with our new Gen-2 device. Gen-2 is presently being tested in pilot trials, for anxiety, insomnia, and depression in the United States. It is our intention to design a new clinical trial strategy with our new Gen-2 devices at 15 milliamps for the treatment of major depressive disorder (MDD) in the United States. Preliminary data provided by the University of California San Diego supports the safety of utilizing our waveform technology at an increased power; however, the determination of safety and efficacy of medical devices in the United States is subject to clearance by the FDA. In September 2018, we entered into an agreement with Wider Com Limited, a company formed under the laws of China (“Wider”), pursuant to which we and Wider agreed to form a joint venture entity to be domiciled in Hong Kong (the “potential Joint Venture”). The Joint Venture will be formed following the completion of certain funding, clinical study, and publication milestones, which Wider has agreed to undertake as part of the joint venture arrangements but not yet completed. Following its formation, the Joint Venture will design and implement a comprehensive business model and distribution plan for our devices in China, Hong Kong, Macau, and Taiwan and elsewhere for greater distribution and additional treatment uses. We anticipate that the Joint Venture will be formed by the third quarter of 2023. In March 2022, we entered into a second supplement to the Joint Venture agreement with Wider, whereby the parties confirmed that the potential Joint Venture had not yet been established and is subject to further review and analysis of regulatory issues in China and the United States, trade and political issues between the two countries and potential changes in the use and market for the Company’s products and technology. Pursuant to the second supplement, the parties agreed to use their commercial efforts to complete documentation by September 30, 2022. In light of general economic conditions in China and the United States, the continued impact of regulatory issues within China and the United States and trade and political issues between the two counties, the parties determined to further extend the time frame to complete establishment of the joint venture to September 30, 2023 and entered into a supplement 3 to the potential Joint Venture Agreement to memorialize such extension. The parties intend to continue to work together to complete the establishment prior to such extended time. Further, the parties agreed that all references within the Joint Venture agreements to funding and formation were amended from December 21, 2018 to be September 30, 2023. During the first half of 2022, we sold Gen-2 devices in China through Wider which agreed to act as a distributor on a limited basis pursuant to a separate written agreement entered into in May 2019, pending formation of the potential Joint Venture. As a result, we recognized revenue of approximately $624,000 during the first half of 2022. In conjunction with such revenue, during the first half of 2022, we incurred costs of approximately $143,000 for cost of goods sold, delivery and labeling costs. In 2021, we incurred expenses relating to certain development costs associated with these devices sold during the first half of 2022 which were recorded during 2021. The Company expects that the $143,000 of costs attributed to the $624,000 sale in the first half of 2022 may not be indicative of our cost of sales in future periods and that beginning in the second half of 2022 gross margins may decrease due to an increase in the costs of components, manufacturing, delivery, sales and marketing. In addition, we derived approximately $9,700 revenue as a royalty fee from the China based manufacturer of electrodes for electrodes ordered by Wider in connection with the distribution of our devices in China. The manufacturer is to pay us a 20% royalty based upon its electrode sales price to Wider in connection with Wider’s device distribution activities. In September of 2021, the China National Medical Products Administration (NMPA), the equivalent of the United States FDA, approved the Gen-2 device for marketing and sale in China for the treatment of insomnia and depression. These treatment indications and clearances from the NMPA have allowed us to market and sell the Gen-2 device in China for the treatment of insomnia and depression. We are currently designing clinical trials for the use of Gen-2 for the treatment of substance use disorders, opiate addictions, chronic pain, Alzheimer’s disease, and dementia. In part due to increasing incidence attributed to the devastating impacts of the COVID-19 pandemic, mental health and cognitive disorders are widespread across the globe and cause substantial health, social and economic losses, and hardships accordingly. Our focus is on the continued development of our innovative bioelectronic medical technologies and rapid regulatory approval to help reverse these losses and hardships by safely and effectively treating various mental health disorders. All our products are non-invasive, undetectable and, critically, can provide relief to those afflicted with mental health issues without adverse side effects. We have a proprietary design of varying voltages, currents, electromagnetic fields, and various frequencies — referred to collectively as waveform — particularly our proprietary, patented symmetrical alternating current waveform. Our devices generate a high frequency, charge balanced electrical current waveform that is applied to an array of electrodes on the head. The features of this waveform make the application of the stimulation undetectable to the human body allowing this proprietary technique to enable the use of a higher current than all other devices in the market. Currently, the waveform that comprises the basis of Gen-2 and new Gen-3 headset devices has been tested in a research setting to develop safety data to be provided for review by the FDA for safety and efficacy evaluation for marketing and sales in the United States. Determinations of the safety and efficacy of our devices in the United States are solely within the authority of the FDA. We recognize that an additional barrier to treatment in today’s mental health treatment landscape — beyond the concerns about safety, efficacy and discomfort that have been associated with conventional mental health treatments such as drugs, psychotherapy, and other forms of electrical stimulation — is stigma. We have received industry reports and feedback that many patients that struggle with mood disorders have the stigma of embarrassment associated with psychotherapy (e.g., counselling with a therapist). Additional stigmas and other issues are associated with the side effects of medication prescribed by psychiatrists. When we researched the current pharmaceuticals model, public information highlighted the many side effects associated with these medications. Frequently, patients would stop taking the medication because of the uncomfortable side effects. Additional public information mentions dependency and withdrawal issues associated with medication for psychiatric disorders. To address the embarrassment stigma, we are developing a new headset design to emit our waveform technology which will offer medical professionals the opportunity to prescribe the headset device for use in a patient’s home — referred to as Generation 3 or Gen-3 — to increase access and compliance to mental health treatment. We believe that in order to preserve product safety and integrity for home use, the headset device will require physician oversight including prescriptions for use, monthly authorization for continued patient use and monthly physician monitoring through our digital management platform which is currently in development. We were originally formed as a Nevada corporation on October 19, 2010 as Nexalin Technology, Inc. On December 1, 2021, we completed the corporate reorganization pursuant to which Nexalin Nevada merged with and into a newly incorporated Delaware company of the same name, Nexalin and, as a result, Nexalin succeeded Nexalin Nevada and our existing shareholders exchanged each of their shares in Nexalin Nevada for one twentieth (1/20th) of a common share of the newly formed Delaware corporation. Nexalin had nominal assets and liabilities and did not conduct any operations prior to the reorganization other than its incorporation. Our principal executive offices are located at 1776 Yorktown, Suite 550, Houston, Texas.
AI Analysis | Feedback
Here are 1-3 brief analogies to describe Nexalin Technology (NXL):
- Like a specialized Medtronic, but focused on non-invasive brain stimulation devices for mental health conditions.
- The hardware version of Calm or Headspace, offering a medical device solution for mental well-being.
- An early-stage Align Technology (Invisalign) for brain health, developing a unique non-invasive device for conditions like anxiety and depression.
AI Analysis | Feedback
- Nexalin Advanced Neurostimulation System: A non-invasive neurostimulation device designed to rebalance brain neurochemistry, primarily used for the treatment of anxiety, depression, and insomnia.
AI Analysis | Feedback
Nexalin Technology (NXL) primarily sells its non-invasive neurostimulation devices to other companies within the healthcare sector. These customers are the entities that purchase and utilize the Nexalin devices for patient treatment.
Based on its public filings and business model, Nexalin Technology's direct customers typically include:
- Medical practices and clinics (e.g., psychiatry clinics, neurology practices, pain management centers)
- Hospitals and healthcare systems
- Potentially third-party distributors who then supply the devices to various healthcare providers
However, Nexalin Technology's public filings, such as its annual 10-K reports, do not disclose any specific "major customers" by name (i.e., customers accounting for 10% or more of its revenues). This indicates that its customer base is diversified across numerous healthcare providers rather than concentrated with a few large, named entities. Therefore, specific names of major customer companies cannot be provided as they are not publicly disclosed by the company.
AI Analysis | Feedback
nullAI Analysis | Feedback
Mark White, President and Chief Executive Officer, Board of Directors
Mr. Mark White joined Nexalin in 2012 as an independent consultant and became President and Chief Executive Officer in 2018. He brings over twenty-five years of experience in leadership roles across medical device development, clinical operations, and business development in the health technology sector. Prior to Nexalin, he owned and operated his own clinics and addiction centers. Earlier in his career, Mr. White spent several years building companies and recruiting management teams to accelerate growth in various industries.
Justin Van Fleet, Chief Financial Officer
Mr. Justin Van Fleet was appointed Chief Financial Officer of Nexalin Technology, effective August 1, 2025. He possesses over 20 years of experience in public accounting and assurance services, having most recently served as Partner at Marcum LLP (formerly Friedman LLP). In his previous role, he led the firm's assurance practice, providing advice to both publicly traded and privately held clients across a wide array of sectors, including technology, life sciences, manufacturing, and distribution. Mr. Van Fleet is noted for his expertise in guiding companies through complex financial transactions such as IPOs and mergers.
David Owens, M.D., Chief Medical Officer, Board of Directors
Dr. David Owens has served as Chief Medical Officer of Nexalin Technology since 2017. He has been involved in numerous medical and software ventures over the past decade. Before joining Nexalin, Dr. Owens was with Empiric Systems, LLC, a software company specializing in radiology information systems and PACS viewing systems.
Michael Nketiah, Senior Vice President, Quality, Regulatory and Clinical Affairs
Mr. Michael Nketiah is an expert in regulatory affairs, clinical, and quality assurance. He specializes in US FDA and international regulatory approvals, with over 23 years of direct experience working with the FDA in the medical device and life sciences industries. His background includes developing quality systems, authoring various US FDA regulatory submissions, and assisting with clinical operations.
John Patrick Claude, Director of Engineering, Research and Development
Mr. John Patrick Claude co-designed and developed the original tACS waveform that is marketed as Nexalin Technology. He currently leads all engineering, research, and development activities at Nexalin Technology. Mr. Claude has an extensive background in regulatory, compliance, and quality management, and has designed and built advanced technologies for organizations such as NASA, NIH, Stanford Medical Center, and the Palo Alto Veterans Administration.
AI Analysis | Feedback
Here are the key risks to Nexalin Technology (NXL):Key Risks to Nexalin Technology (NXL)
- Financial Health and Going Concern: Nexalin Technology faces significant financial risks, characterized by a history of substantial losses and the expectation of continued losses in the foreseeable future. The company's limited operating history and reliance on external financing, including equity offerings, present challenges to achieving profitability. This situation raises doubts about the company's ability to continue as a going concern, a concern highlighted in independent accountant's audit reports. Nexalin has also reported negative margins, with an operating margin of -5152% and a net margin of -5057.14% for the trailing twelve months, despite maintaining strong balance sheet ratios with no debt.
- Regulatory Challenges and Market Acceptance: As a medical device company, Nexalin Technology is subject to significant sector-specific regulatory challenges. Its devices require FDA clearance, and the business model, which includes a virtual clinic and at-home use of devices like the Halo headset, necessitates physician prescription and oversight. The company's Gen-1 device previously faced setbacks due to a 2019 FDA ruling that reclassified indications, requiring an amendment to its 510(k) application. The Gen-2 and Gen-3 devices are currently undergoing FDA review and clinical trials. Successful navigation of these regulatory hurdles and subsequent market acceptance by medical professionals and patients are critical for the commercial viability of its products.
- U.S.-China Trade Tensions: Nexalin Technology faces significant business risks stemming from recent U.S.-China trade tensions, including the imposition of new tariffs and increases to existing ones. These trade policies could adversely affect the company's operations and financial condition, particularly by impacting the importation of essential products manufactured abroad and potentially subjecting U.S. exports to retaliatory tariffs. Given Nexalin's operations in China and plans for clinical trials in the region, potential regulatory changes and impacts on supply chain and cost structures due to these tensions pose a material threat.
AI Analysis | Feedback
The accelerating development and regulatory approval of virtual reality (VR) therapeutics for mental health conditions, offering an alternative non-pharmacological, non-invasive treatment modality that could capture patient preference and market share.
AI Analysis | Feedback
Nexalin Technology (NXL) designs and develops neurostimulation products for the treatment of various mental health conditions, including anxiety, insomnia, depression, and post-traumatic stress disorder (PTSD), as well as other conditions like substance use disorder, traumatic brain injury, opioid addiction, alcoholism, chronic pain, Alzheimer's disease, and dementia.
The addressable markets for Nexalin Technology's main products and services are as follows:
- Insomnia: The global insomnia market was valued at over $5 billion. More specifically, the global insomnia market size was valued at USD 5.84 billion in 2024 and is projected to reach USD 8.89 billion by 2032, growing at a CAGR of 5.40%. Another report indicates the global insomnia market size was USD 5.44 billion in 2024 and is expected to reach nearly USD 7.56 billion by 2032. North America held the largest revenue share in the insomnia market, accounting for 41.5% in 2024.
- Anxiety and Depression: The global anxiety disorders and depression treatment market size was valued at USD 8.50 billion in 2019 and is projected to grow to USD 13.03 billion in 2027. More recent estimates place the global market for anxiety disorders and depression treatment at USD 12.8 billion in 2025, with a projection to reach USD 17.9 billion by 2035. North America accounted for the largest share of this market, with 52.24% in 2019. The global anxiety disorders treatment market alone is predicted to increase from USD 11.49 billion in 2023 to approximately USD 15.90 billion by 2032. The anxiety disorders market size specifically reached US$ 8.3 billion in 2023 and is expected to reach US$ 11.9 billion by 2034.
- Post-Traumatic Stress Disorder (PTSD): The global PTSD market was valued at USD 750.30 million in 2022 and is expected to reach USD 1,037.95 million by 2030. Other sources estimate the global post-traumatic stress disorder treatment market size at USD 2.28 billion in 2024, projected to reach around USD 3.42 billion by 2034. Another estimate states the global Post-Traumatic Stress Disorder (PTSD) Treatment Market is valued at USD 18.5 billion in 2025 and is projected to reach USD 30.2 billion by 2035. The PTSD treatment market was valued at USD 13.2 billion in 2023 and is expected to reach USD 19.2 billion by 2032. North America held a significant share of this market, accounting for USD 5.4 billion in 2023.
- Alzheimer's Disease: The global Alzheimer's therapeutics market is projected to reach $13.57 billion by 2027 from $7.42 billion in 2019.
AI Analysis | Feedback
Nexalin Technology (NXL) is anticipated to experience future revenue growth driven by several key factors over the next 2-3 years:
- Launch and Commercialization of Next-Generation Devices: The company is focused on the development and commercialization of its Generation 2 (Gen-2 SYNC) and Generation 3 (Gen-3 HALO Clarity) neurostimulation devices. The Gen-2 SYNC system features technical improvements, including a redesigned enclosure and a proprietary 15 milliamp advanced waveform designed for deeper brain penetration and enhanced patient response. The Gen-3 HALO Clarity is an at-home headset intended for physician-supervised treatment through Nexalin's Virtual Clinic model.
- Expansion into New Geographic Markets: Nexalin is actively expanding the availability of its devices in new regions. The Gen-2 device has already received regulatory clearance in China, Brazil, and Oman, with a CE Mark targeting planned for 2025. Furthermore, regulatory approval for the Gen 2 SYNC 15 mA Neurostimulation DIFS™ Device has been granted in Israel.
- Advancement and Success of Clinical Programs for New Indications: A significant driver for revenue growth is the progress and positive outcomes from Nexalin's clinical trials for various mental health conditions. The company has submitted a Q-Submission to the FDA for its Gen-2 SYNC system to facilitate discussions on clinical trial design for Alzheimer's disease, dementia, and mild cognitive impairment (MCI). A pilot study for insomnia is targeted to begin recruiting in Q4 2025, with a pivotal study planned for 2026. Ongoing work at UC San Diego and San Diego VA also explores the use of Nexalin's technology for PTSD and Traumatic Brain Injuries (TBI). These efforts are aimed at addressing large, underserved mental health markets.
- Adoption of the Virtual Clinic Model for At-Home Treatment: Nexalin's Virtual Clinic model, which enables physician-supervised, at-home treatment using the Gen 3 HALO Clarity headset, is expected to enhance scalability and treatment adherence through AI-enabled monitoring. This approach improves accessibility for patients and could lead to recurring revenue streams through the use of single-use electrodes.
- Potential for Medicare Reimbursement: The endorsement of the Health Tech Investment Act by the U.S. Senate, which aims to expand Medicare reimbursement for AI health devices, could significantly support Nexalin's growth outlook. Broader reimbursement coverage would likely increase the adoption and sales of Nexalin's neurostimulation devices in the United States.
AI Analysis | Feedback
Share Issuance
- In May 2025, Nexalin Technology completed a public offering of 3,850,000 shares of common stock at $1.30 per share, generating approximately $5.0 million in gross proceeds.
- In 2024, the company raised approximately $4.5 million through a public offering.
- As of October 15, 2025, the company expanded its at-the-market (ATM) equity program to a maximum aggregate offering price of $10 million, with approximately $4.27 million in shares remaining available.
Outbound Investments
- Nexalin Technology entered into a joint venture with "Wider Come" on June 1, 2023.
- The joint venture in China is progressing, with the Gen-2 device approved for marketing and sale for the treatment of insomnia and depression in that region.
Capital Expenditures
- Purchases of patents amounted to $20,540 and trademarks to $3,039 for the three months ended March 31, 2025.
- For the three months ended March 31, 2024, the company purchased patents totaling $47,593.
- Proceeds from the May 2025 public offering are intended, in part, for capital expenditures, alongside working capital, sales and marketing, and product development, supporting the focus on its Generation 2 and 3 neurostimulation devices.
Latest Trefis Analyses
| Title | Topic | |
|---|---|---|
| DASHBOARDS | ||
| Nexalin Technology Stock Drop Looks Sharp, But How Deep Can It Go? | Return |
| Title | |
|---|---|
| ARTICLES |
Trade Ideas
Select ideas related to NXL. For more, see Trefis Trade Ideas.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 11142025 | CRL | Charles River Laboratories International | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 21.1% | 21.1% | -3.7% |
| 11142025 | GDRX | GoodRx | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | -9.4% | -9.4% | -11.8% |
| 11142025 | ASTH | Astrana Health | Dip Buy | DB | FCF Yield | Low D/EDip Buy with High Free Cash Flow YieldBuying dips for companies with significant free cash flow yield (FCF / Market Cap) and reasonable debt / market cap | 17.0% | 17.0% | -5.5% |
| 11142025 | SGRY | Surgery Partners | Dip Buy | DB | FCF Yield | Low D/EDip Buy with High Free Cash Flow YieldBuying dips for companies with significant free cash flow yield (FCF / Market Cap) and reasonable debt / market cap | 3.1% | 3.1% | -1.4% |
| 11072025 | TFX | Teleflex | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 12.2% | 12.2% | -5.1% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons for Nexalin Technology
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 51.06 |
| Mkt Cap | 159.0 |
| Rev LTM | 56,496 |
| Op Inc LTM | 7,584 |
| FCF LTM | 7,327 |
| FCF 3Y Avg | 7,366 |
| CFO LTM | 8,590 |
| CFO 3Y Avg | 8,697 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 5.2% |
| Rev Chg 3Y Avg | 2.2% |
| Rev Chg Q | 8.3% |
| QoQ Delta Rev Chg LTM | 2.0% |
| Op Mgn LTM | 12.1% |
| Op Mgn 3Y Avg | 11.9% |
| QoQ Delta Op Mgn LTM | -0.1% |
| CFO/Rev LTM | 14.6% |
| CFO/Rev 3Y Avg | 17.1% |
| FCF/Rev LTM | 11.6% |
| FCF/Rev 3Y Avg | 12.1% |
Price Behavior
Price Behavior
| Market Price | $0.61 | |
| Market Cap ($ Bil) | 0.0 | |
| First Trading Date | 09/16/2022 | |
| Distance from 52W High | -83.5% | |
| 50 Days | 200 Days | |
| DMA Price | $1.12 | $1.23 |
| DMA Trend | down | down |
| Distance from DMA | -45.4% | -50.1% |
| 3M | 1YR | |
| Volatility | 221.4% | 142.2% |
| Downside Capture | 828.37 | 429.95 |
| Upside Capture | 493.59 | 213.39 |
| Correlation (SPY) | 29.8% | 27.4% |
NXL Betas & Captures as of 11/30/2025
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 2.96 | 5.68 | 5.07 | 5.04 | 2.00 | 1.39 |
| Up Beta | 3.86 | 2.65 | 3.13 | 5.26 | 0.90 | 0.01 |
| Down Beta | 0.37 | 1.83 | 2.75 | 2.47 | 1.65 | 2.63 |
| Up Capture | 12% | 1250% | 922% | 950% | 476% | 259% |
| Bmk +ve Days | 13 | 26 | 39 | 74 | 142 | 427 |
| Stock +ve Days | 6 | 16 | 23 | 46 | 98 | 318 |
| Down Capture | 428% | 507% | 445% | 366% | 166% | 110% |
| Bmk -ve Days | 7 | 16 | 24 | 52 | 107 | 323 |
| Stock -ve Days | 12 | 23 | 36 | 74 | 137 | 406 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
nullBased On 5-Year Data
nullBased On 10-Year Data
nullReturns Analyses
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2025 | 11/14/2025 | 10-Q (09/30/2025) |
| 06/30/2025 | 08/06/2025 | 10-Q (06/30/2025) |
| 03/31/2025 | 05/13/2025 | 10-Q (03/31/2025) |
| 12/31/2024 | 03/14/2025 | 10-K (12/31/2024) |
| 09/30/2024 | 11/08/2024 | 10-Q (09/30/2024) |
| 06/30/2024 | 08/08/2024 | 10-Q (06/30/2024) |
| 03/31/2024 | 05/10/2024 | 10-Q (03/31/2024) |
| 12/31/2023 | 03/27/2024 | 10-K (12/31/2023) |
| 09/30/2023 | 11/13/2023 | 10-Q (09/30/2023) |
| 06/30/2023 | 08/10/2023 | 10-Q (06/30/2023) |
| 03/31/2023 | 05/10/2023 | 10-Q (03/31/2023) |
| 12/31/2022 | 03/27/2023 | 10-K (12/31/2022) |
| 09/30/2022 | 11/10/2022 | 10-Q (09/30/2022) |
| 06/30/2022 | 09/19/2022 | 424B4 (06/30/2022) |
| 03/31/2022 | 05/31/2022 | S-1/A (03/31/2022) |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
Prefer one of these to Trefis? Tell us why.