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A2Z Smart Technologies (AZ) Risk Analysis

Public companies are required to disclose risks that can affect the business and impact the stock. These disclosures are known as “Risk Factors”. Companies disclose these risks in their yearly (Form 10-K), quarterly earnings (Form 10-Q), or “foreign private issuer” reports (Form 20-F). Risk factors show the challenges a company faces. Investors can consider the worst-case scenarios before making an investment. TipRanks’ Risk Analysis categorizes risks based on proprietary classification algorithms and machine learning. A2Z Smart Technologies disclosed 59 risk factors in its most recent earnings report. A2Z Smart Technologies reported the most risks in the “Finance & Corporate” category.

Risk Overview Q4, 2025

Source: the company's latest filing for the period ended Dec 31, 2025, filed Mar 31, 2026

Risk Distribution
59Risks
Sector Avg.Finance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Risk Change Over Time

A2Z Smart Technologies disclosed risks per quarterNo. of Risks59Q4Showing: Q4, 2025
Risks removedRisks addedRisks changedA2Z Smart Technologies Risk Factors
No changes from previous report

Risk Highlights Q4, 2025

Main Risk Category
Finance & Corporate
With 17 Risks
Number of Disclosed Risks
59
S&P 500 Average: 32
Recent Changes
0Risks added
0Risks removed
0Risks changed
Since Dec 2025
Number of Risk Changed
0
S&P 500 Average: 1

Risk Word Cloud

the company's contracts may contain performance obligations that require innovative design capabilities, are technologically complex, require state-of-the-art manufacturing expertise or are dependent upon factors not wholly within the company's control. failure to meet the contractual obligations could adversely affect the company's profitability, reputation and future prospects.require innovative design capabilitiesfailure to adhere to our financial reporting obligations and other public company requirements could adversely affect the market price of our common shares.price of our common sharesthe technology markets in which the company competes are both subject to rapid technological change and, to compete, the company must continually enhance its products and services.subject to rapid technological changeour products and services are complex and could have unknown defects or errors, which may give rise to legal claims against us, diminish our brand or divert our resources from other purposes.give rise to legal claimswe expect that we may become profitable from sales of our products, however we may still need to invest significant time and capital before achieving such profitability. certain capital has been made available from our recent capital raising. failure to become profitable before this capital is expended and failure to obtain additional necessary capital, when needed, may force us to delay, limit or terminate our product development efforts or other operations.terminate our product development effortsthe company's contracts may contain performance obligations that require innovative design capabilities, are technologically complex, require state-of-the-art manufacturing expertise or are dependent upon factors not wholly within the company's control. failure to meet the contractual obligations could adversely affect the company's profitability, reputation and future prospects.require state-of-the-art manufacturing expertisewe are subject to certain israeli, u.s. and foreign anti-corruption anti-money laundering and other trade laws and regulations. we can face serious consequences for violations.foreign anti-corruption anti-money launderingobtaining and maintaining our patent protection depends on compliance with various procedural, document submission, fee payment, and other requirements imposed by governmental patent agencies, and our patent protection could be reduced or eliminated for non-compliance with these requirements.maintaining our patent protection dependswe may experience adverse effects on our reported results of operations as a result of adopting new accounting standards or interpretations.our reported results of operationsissues related to the development and use of artificial intelligence ("ai") could give rise to legal and/or regulatory action, damage our reputation or otherwise materially harm our business.give rise to legal

Risk Factors Full Breakdown - Total Risks 59

Share Price & Shareholder Rights6 | 10.2%
  • Share Price & Shareholder Rights - Risk 1
    We are an emerging growth company as defined in the JOBS Act and the reduced disclosure requirements applicable to emerging growth companies may make our common shares less attractive to investors and, as a result, adversely affect the price of our common shares and result in a less active trading market for our common shares.

    We are an emerging growth company as defined in the JOBS Act, and we may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies. For example, we have elected to rely on an exemption from the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act relating to internal control over financial reporting, and we will not provide such an attestation from our auditors for so long as we qualify as an emerging growth company. We may avail ourselves of these disclosure exemptions until we are no longer an emerging growth company. We cannot predict whether investors will find our common shares less attractive because of our reliance on some or all of these exemptions. If investors find our common shares less attractive, it may cause the trading price of the common shares to decline and there may be a less active trading market for our common shares. We will cease to be an emerging growth company upon the earliest of: - the last day of the fiscal year in which we have more than $1.235 billion in annual revenue;         - the last day of the fiscal year in which we qualify as a "large accelerated filer";         - the date on which we have, during the previous three-year period, issued more than $1.0 billion in non-convertible debt securities; and         - the last day of the fiscal year in which the fifth anniversary (June 2028) of the completion of our first sale of common equity securities pursuant to an effective registration statement under the Securities Act.

  • Share Price & Shareholder Rights - Risk 2
    An investment in the Company's common shares is speculative and there can be no assurance of any return on any such investment.

    An investment in the Company's common shares is speculative, and there is no assurance that investors will obtain any return on their investment. Investors will be subject to substantial risks involved in an investment in the Company, including the risk of losing their entire investment.

  • Share Price & Shareholder Rights - Risk 3
    The trading price of our common shares is likely to be volatile, which could result in substantial losses to investors..

    The trading price of our common shares is likely to be volatile and could fluctuate widely due to factors beyond our control. This may happen because of broad market and industry factors, including the performance and fluctuation of the market prices of other companies with business operations located outside of the United States that have listed their securities in the United States. In addition to market and industry factors, the price and trading volume for the common shares may be highly volatile for factors specific to our own operations. Furthermore, the stock market is subject to significant price and volume fluctuations, and the price of the common shares could fluctuate widely in response to several factors, including: - the Company's quarterly or annual operating results;         - changes in the Company's earnings estimates;         - investment recommendations by securities analysts following the Company's business or the industry;         - additions or departures of key personnel;         - changes in the business, earnings estimates or market perceptions of the Company's competitors;         - the Company's failure to achieve operating results consistent with securities analysts' projections;         - changes in industry, general market or economic conditions;         - announcements of legislative or regulatory changes; and         - natural disasters and political and economic instability, including wars, terrorism, political unrest, results of certain elections and votes, emergence of a pandemic, or other widespread health emergencies (or concerns over the possibility of such an emergency), boycotts, adoption or expansion of government trade restrictions, and other business restrictions. The stock market has experienced extreme price and volume fluctuations in recent years that have significantly affected the prices of the securities of many companies. The changes often appear to occur without regard to specific operating performance. The price of the common shares could fluctuate based upon factors that have little or nothing to do with the Company and these fluctuations could materially reduce the share price.

  • Share Price & Shareholder Rights - Risk 4
    If we are not able to comply with the applicable continued listing requirements or standards of the Nasdaq Capital Market, then Nasdaq could delist our common shares.

    In order to maintain the listing of our common shares on the Nasdaq Capital Market, we must satisfy minimum financial and other continued listing requirements and standards, including those regarding director independence and independent committee requirements, minimum stockholders' equity, minimum share price, and certain corporate governance requirements. There can be no assurances that we will be able to comply with such applicable listing standards. On January 13, 2026, we received a letter from Nasdaq indicating that, since we had not yet held an annual meeting of shareholders within twelve months of the prior fiscal year end, we were no longer in compliance with Nasdaq Listing Rules 5620(a) and 5810(c)(2)(G). In accordance with Nasdaq Listing Rules we submitted the plan to regain compliance, based on which Nasdaq granted 180 days or until June 29, 2026, to regain compliance. Company indicated to Nasdaq that it will hold the annual meeting on March 31, 2026. If the Nasdaq Stock Market determines to delist our Common Shares from trading on its exchange and we are unable to obtain listing on another national securities exchange, a reduction in some or all of the following may occur, each of which could have a material adverse effect on our shareholders: - the liquidity of our Common Shares; - the market price of our Common Shares; - our ability to obtain financing for the continuation of our operations; - the number of investors that will consider investing in our Common Shares; - the number of market makers in our Common Shares; - the availability of information concerning the trading prices and volume of our Common Shares; and - the number of broker-dealers willing to execute trades in our Common Shares. Further, if we were to be delisted from Nasdaq and we are unable to obtain listing on another national securities exchange, our Common Shares would cease to be recognized as covered securities and we would be subject to regulation in each state in which we offer our securities.

  • Share Price & Shareholder Rights - Risk 5
    Sales by the Company's shareholders of a substantial number of the common shares in the public market could adversely affect the market price of the common shares.

    A substantial portion of the total outstanding shares may be sold into the market at any time. If a significant shareholder was to decide to sell large amounts of common shares over a short period of time (presuming such sales were permitted) such sales could cause the market price of the common shares to drop significantly, even if the business is doing well. Further, the market price of the common shares could decline as a result of the perception that such sales could occur. These sales, or the possibility that these sales may occur, also might make it more difficult for the Company to sell equity securities in the future at a time and price that the Company deems appropriate.

  • Share Price & Shareholder Rights - Risk 6
    The exercise of outstanding warrants and options will have a dilutive effect on the percentage ownership of the common shares by existing shareholders.

    As of the date of this Annual Report, the Company had outstanding warrants to acquire 1,033,841 common shares and options to purchase 4,228,170 common shares. Warrants and options are exercisable for prices ranging between $1.88 and $22.75. The expiration of the term of such options and warrants ranges from January 4, 2026, to March 27, 2036. If a significant number of such warrants and stock options are exercised by the holders, the percentage of common shares owned by the Company's existing shareholders will be diluted.

Accounting & Financial Operations6 | 10.2%
Debt & Financing2 | 3.4%
Corporate Activity and Growth3 | 5.1%

See a full breakdown of risk according to category and subcategory. The list starts with the category with the most risk. Click on subcategories to read relevant extracts from the most recent report.

FAQ

What are “Risk Factors”?
Risk factors are any situations or occurrences that could make investing in a company risky. The Securities and Exchange Commission (SEC) requires that publicly traded companies disclose their most significant risk factors. This is so that potential investors can consider any risks before they make an investment. They also offer companies protection, as a company can use risk factors as liability protection. This could happen if a company underperforms and investors take legal action as a result. It is worth noting that smaller companies, that is those with a public float of under $75 million on the last business day, do not have to include risk factors in their 10-K and 10-Q forms, although some may choose to do so.
How do companies disclose their risk factors?
Publicly traded companies initially disclose their risk factors to the SEC through their S-1 filings as part of the IPO process. Additionally, companies must provide a complete list of risk factors in their Annual Reports (Form 10-K) or (Form 20-F) for “foreign private issuers”. Quarterly Reports also include a section on risk factors (Form 10-Q) where companies are only required to update any changes since the previous report. According to the SEC, risk factors should be reported concisely, logically and in “plain English” so investors can understand them.
How can I use TipRanks risk factors in my stock research?
Use the Risk Factors tab to get data about the risk factors of any company in which you are considering investing. You can easily see the most significant risks a company is facing. Additionally, you can find out which risk factors a company has added, removed or adjusted since its previous disclosure. You can also see how a company’s risk factors compare to others in its sector. Without reading company reports or participating in conference calls, you would most likely not have access to this sort of information, which is usually not included in press releases or other public announcements. A simplified analysis of risk factors is unique to TipRanks.
What are all the risk factor categories?
TipRanks has identified 6 major categories of risk factors and a number of subcategories for each. You can see how these categories are broken down in the list below. 1. Financial & Corporate Accounting & Financial Operations - risks related to accounting loss, value of intangible assets, financial statements, value of intangible assets, financial reporting, estimates, guidance, company profitability, dividends, fluctuating results. Share Price & Shareholder Rights – risks related to things that impact share prices and the rights of shareholders, including analyst ratings, major shareholder activity, trade volatility, liquidity of shares, anti-takeover provisions, international listing, dual listing. Debt & Financing – risks related to debt, funding, financing and interest rates, financial investments. Corporate Activity and Growth – risks related to restructuring, M&As, joint ventures, execution of corporate strategy, strategic alliances. 2. Legal & Regulatory Litigation and Legal Liabilities – risks related to litigation/ lawsuits against the company. Regulation – risks related to compliance, GDPR, and new legislation. Environmental / Social – risks related to environmental regulation and to data privacy. Taxation & Government Incentives – risks related to taxation and changes in government incentives. 3. Production Costs – risks related to costs of production including commodity prices, future contracts, inventory. Supply Chain – risks related to the company’s suppliers. Manufacturing – risks related to the company’s manufacturing process including product quality and product recalls. Human Capital – risks related to recruitment, training and retention of key employees, employee relationships & unions labor disputes, pension, and post retirement benefits, medical, health and welfare benefits, employee misconduct, employee litigation. 4. Technology & Innovation Innovation / R&D – risks related to innovation and new product development. Technology – risks related to the company’s reliance on technology. Cyber Security – risks related to securing the company’s digital assets and from cyber attacks. Trade Secrets & Patents – risks related to the company’s ability to protect its intellectual property and to infringement claims against the company as well as piracy and unlicensed copying. 5. Ability to Sell Demand – risks related to the demand of the company’s goods and services including seasonality, reliance on key customers. Competition – risks related to the company’s competition including substitutes. Sales & Marketing – risks related to sales, marketing, and distribution channels, pricing, and market penetration. Brand & Reputation – risks related to the company’s brand and reputation. 6. Macro & Political Economy & Political Environment – risks related to changes in economic and political conditions. Natural and Human Disruptions – risks related to catastrophes, floods, storms, terror, earthquakes, coronavirus pandemic/COVID-19. International Operations – risks related to the global nature of the company. Capital Markets – risks related to exchange rates and trade, cryptocurrency.