tiprankstipranks
Acorn Energy (ACFN)
NASDAQ:ACFN
US Market
Want to see ACFN full AI Analyst Report?

Acorn Energy (ACFN) AI Stock Analysis

905 Followers

Top Page

ACFN

Acorn Energy

(NASDAQ:ACFN)

Select Model
Select Model
Select Model
Outperform 70 (OpenAI - Gpt-5.6Sol)
Rating:70Outperform
Price Target:
$23.00
▲(16.57% Upside)
Action:Upgraded
Date:09/11/26
The score is driven primarily by improved overall financial health (profitability and low leverage) but tempered by clear recent slowing (TTM revenue decline, margin compression, and weaker free cash flow). Technicals add support via an uptrend above major moving averages with healthy, not overstretched momentum, while valuation is a headwind given the higher P/E and lack of dividend support. Corporate actions are modestly positive, pointing to expansion and simpler ownership structure.
Positive Factors
High Gross Margins
An approximately 80% gross margin indicates strong economics in OmniMetrix’s monitoring hardware, software, and services model. If sustained, this provides room to support customer service, product investment, and operating costs while preserving profitability as the installed base develops.
Negative Factors
Revenue Contraction
Recent revenue contraction signals weaker demand or slower customer expansion in the monitoring business after stronger periods. If the decline persists, it could constrain operating leverage, reduce funds available for investment, and make the acquired growth opportunity more important to future performance.
Read all positive and negative factors
Positive Factors
Negative Factors
High Gross Margins
An approximately 80% gross margin indicates strong economics in OmniMetrix’s monitoring hardware, software, and services model. If sustained, this provides room to support customer service, product investment, and operating costs while preserving profitability as the installed base develops.
Read all positive factors

Acorn Energy (ACFN) vs. SPDR S&P 500 ETF (SPY)

Acorn Energy Business Overview & Revenue Model

Company Description
Acorn Energy, Inc., established in 1986 and headquartered in Wilmington, Delaware, specializes in the global development and marketing of wireless remote monitoring and control systems across diverse sectors. Through its subsidiaries, the company'...
How the Company Makes Money
Acorn Energy makes money primarily through OmniMetrix by selling and supporting remote monitoring solutions for backup generators and other critical equipment. Key revenue streams include: (1) recurring monitoring and software/service revenue, whe...

Acorn Energy Earnings Call Summary

Earnings Call Date:May 07, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Neutral
The call presented a mix of positive operational progress and near-term financial pressure. Positive elements include recurring monitoring revenue growth, a very high monitoring gross margin (94%), gross margin expansion to 80.2%, continued profitability at the OmniMetrix subsidiary ($395k operating income), a meaningful backlog ($3.269M with $2.934M expected in 12 months), a debt-free balance sheet with stable cash, ongoing deployment of next-generation products, and an exclusive AIO partnership with two live demo sites and outsized average sale potential (5x–6x). Negative or cautionary points include a 28.1% year-over-year revenue decline driven by a 55.7% drop in hardware revenue, a small consolidated net loss in Q1 2026 driven by higher noncash stock-based compensation, an 11.2% rise in operating expenses, modest operating cash flow ($53k), near-term uncertainty for IS revenues and potentially long sales cycles, and concentration/timing risk from the large customer contract. Overall, the positive operational momentum and growth initiatives are offset by meaningful near-term revenue and expense pressures, leaving the tone balanced.
Positive Updates
Monitoring Revenue Growth and High Margins
Monitoring revenue increased 11.7% year-over-year to $1.417 million in Q1 2026 (a $148,000 increase). Monitoring carried a very high gross margin of 94% in the quarter, reflecting strong recurring, high-margin revenue expansion from the installed base of monitored endpoints.
Negative Updates
Total Revenue Decline
Total revenue for Q1 2026 was $2.227 million, down 28.1% versus $3.098 million in Q1 2025, largely reflecting timing and completion of a material hardware contract.
Read all updates
Q1-2026 Updates
Negative
Monitoring Revenue Growth and High Margins
Monitoring revenue increased 11.7% year-over-year to $1.417 million in Q1 2026 (a $148,000 increase). Monitoring carried a very high gross margin of 94% in the quarter, reflecting strong recurring, high-margin revenue expansion from the installed base of monitored endpoints.
Read all positive updates
Company Guidance
Management's forward-looking guidance emphasized incremental 2026 hardware revenue of $350,000–$500,000 from the large telecom customer (with follow‑on deployments expected to start in Q2 2026), a medium‑term target of ~20% average annual revenue growth over a 3–5 year period, and a capital‑light model that should convert roughly 50% of each incremental revenue dollar from existing businesses into operating income; they expect AIO‑based sales to average about 5×–6× the size of current OmniMetrix sales, do not expect Infrastructure Solutions (IS) revenue in H1 2026, and noted OmniMetrix’s backlog was $3.269 million at quarter‑end with $2.934 million expected to be recognized within 12 months, while also warning that higher noncash stock‑based compensation (50,000 options at a $19.02 grant price vesting over 12 quarters) will impact results through Q3 2028.

Acorn Energy Financial Statement Overview

Summary
Financials reflect a meaningful turnaround to profitability with strong gross margins (~80%) and a repaired, low-leverage balance sheet (debt-to-equity ~0.11). However, the latest TTM period shows cooling fundamentals: revenue is down ~9.8%, EBIT margin has compressed (~7.5% vs ~17–18% in 2024–2025), and free cash flow declined ~21%, limiting the score despite solid ROE (~19%).
Income Statement
73
Positive
Balance Sheet
78
Positive
Cash Flow
64
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue9.57M11.48M10.99M8.06M7.00M6.78M
Gross Profit7.68M8.81M8.00M6.00M5.07M4.90M
EBITDA847.00K2.10M2.13M302.00K-383.00K184.00K
Net Income1.54M2.51M6.29M119.00K-633.00K-21.00K
Balance Sheet
Total Assets13.39M13.33M10.60M5.45M5.98M6.04M
Cash, Cash Equivalents and Short-Term Investments4.48M4.45M2.33M1.45M1.45M1.72M
Total Debt959.00K1.04M98.00K221.00K336.00K443.00K
Total Liabilities4.54M5.02M5.02M6.28M7.00M6.50M
Stockholders Equity8.77M8.25M5.54M-838.00K-1.02M-469.00K
Cash Flow
Free Cash Flow1.44M2.06M849.00K-4.00K-261.00K-192.00K
Operating Cash Flow1.47M2.09M905.00K72.00K31.00K132.00K
Investing Cash Flow-275.00K-33.00K-56.00K-78.00K-308.00K-324.00K
Financing Cash Flow33.00K71.00K28.00K5.00K5.00K-149.00K

Acorn Energy Technical Analysis

Technical Analysis Sentiment
Positive
Last Price19.73
Price Trends
50DMA
19.06
Positive
100DMA
18.15
Positive
200DMA
17.94
Positive
Market Momentum
MACD
0.20
Positive
RSI
59.77
Neutral
STOCH
53.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACFN, the sentiment is Positive. The current price of 19.73 is above the 20-day moving average (MA) of 19.59, above the 50-day MA of 19.06, and above the 200-day MA of 17.94, indicating a bullish trend. The MACD of 0.20 indicates Positive momentum. The RSI at 59.77 is Neutral, neither overbought nor oversold. The STOCH value of 53.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ACFN.

Acorn Energy Risk Analysis

Acorn Energy disclosed 21 risk factors in its most recent earnings report. Acorn Energy reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Acorn Energy Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$73.24M33.6310.54%4.04%44.65%
70
Outperform
$47.67M33.8618.95%7635.60%-27.50%-78.54%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
50
Neutral
$14.59M1.6834.15%-21.65%
44
Neutral
$70.86M-3.12-78.20%-78.30%-4.48%
41
Neutral
$13.68M-5.83-168.53%-46.47%-26.00%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ACFN
Acorn Energy
20.97
-8.79
-29.54%
NEON
Neonode
0.82
-3.49
-80.95%
REFR
Research Frontiers
0.39
-0.87
-69.20%
ODYS
Odysightai
3.46
-0.53
-13.22%
SOTK
Sono-Tek
4.51
0.60
15.35%
HOLO
MicroCloud Hologram
1.60
-3.26
-67.08%

Acorn Energy Corporate Events

Business Operations and StrategyM&A Transactions
OmniMetrix expands generator monitoring via Gen-Tracker acquisition
Positive
Sep 10, 2026
On September 9, 2026, OmniMetrix acquired all assets of Generator Solutions, Inc.’s Gen-Tracker standby generator monitoring business for $3.5 million, including customer accounts, dealer relationships, intellectual property, technology, rec...
Business Operations and StrategyM&A Transactions
Acorn Energy Gains Full Ownership of OmniMetrix Subsidiary
Positive
Aug 18, 2026
On August 17, 2026, Acorn Energy entered into an agreement with former OmniMetrix CEO Walter Czarnecki to exchange his 100 shares of Series A preferred stock in OMX Holdings, Inc., representing 1% of OMX’s outstanding shares, for 25,096 newl...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 11, 2026