Heartflow Aims for $1.3 Billion Valuation in Nasdaq IPO.

HeartFlow, a California-based medtech company, plans to list shares on Nasdaq and raise $208 million at a target valuation of $1.3 billion. The company uses AI and imaging software to diagnose cardiac and coronary diseases and has been used to assess over 400,000 patients. However, the company incurred a net loss of $96.4 million in 2024 and expects to incur substantial losses in the foreseeable future.

HeartFlow, a California-based medtech company specializing in AI-driven imaging and diagnostics software for cardiac and coronary diseases, is set to list its shares on the Nasdaq. The company has filed an initial public offering (IPO) with the Securities and Exchange Commission (SEC), aiming to raise approximately $208 million at a target valuation of $1.3 billion [1]. HeartFlow plans to issue 12.5 million shares, priced between $15 and $17 per share [1].

HeartFlow's AI technology uses personalized 3D models of patients' hearts to scan for coronary and cardiac problems. The Food and Drug Administration (FDA) approved the software in 2022, and it has been used to assess over 400,000 patients as of March 2025 [1]. The company's revenue grew 39% in the first quarter of 2025 to $37.2 million, but it reported a net loss of $96.4 million in 2024 and expects to incur substantial losses in the foreseeable future [1].

UnitedHealthcare, the country's largest commercial insurer, has committed to covering HeartFlow's CT-based plaque analysis software, effective October 1, 2025. This coverage update will apply to patients with acute or stable chest pain and mild to moderate coronary artery narrowing found on CT angiography across all UnitedHealthcare plans [1].

Despite its financial challenges, HeartFlow's strong top-line growth and high gross margins position it well for initial investor interest. The company's similarity to commercialized Beta Bionics and Kestra Medical has drawn attention from investors [1].

HeartFlow's IPO comes on the heels of another growing medtech company's public debut, Carlsmed, which specializes in AI-driven spine surgery technology. Since its listing, Carlsmed's stock has been trading below its IPO price [2].

References:
[1] https://radiologybusiness.com/topics/artificial-intelligence/imaging-ai-vendor-earns-nationwide-unitedhealthcare-coverage-sets-13b-value-ahead-ipo
[2] https://finance.yahoo.com/news/heartflow-stock-listing-ipo-date-165300399.html