TipRanks
Go Ultimate55% OFF

Clearone Communications (CLRO) AI Stock Analysis

CLRO

Clearone Communications

(NASDAQ:CLRO)

Select Model
Rating:38Underperform
Price Target:$3.00â–¼(-48.98% Downside)
Action:downgraded
Date:10/31/26

The most impactful factor driving the score to the near minimum is ClearOne's severe financial distress, defined by a complete halt in revenue, massive net losses, and a Nasdaq delisting notice. Coupled with a deeply negative P/E ratio, heavy dilution risks, and a strong long-term bearish price trend, the stock presents monumental risks to stakeholders.

Positive Factors
Broad AV Product and Customer OfferingClearOne addresses multiple institutional and commercial use cases with a broad professional AV portfolio spanning audio, video, processing, collaboration, and control. Deployment through channel partners and integrators can support wider market access and recurring relevance across meeting rooms and larger venues.
Negative Factors
Severe Revenue and Earnings DeteriorationRevenue collapsing to zero alongside a roughly $20.1 million TTM net loss indicates that the operating business is not currently generating a meaningful sales base. Persistent negative profitability weakens reinvestment capacity and makes a durable recovery dependent on restoring commercial activity.

Clearone Communications (CLRO) vs. SPDR S&P 500 ETF (SPY)

-100%-50%0%50%100%150%200%CLRO-34.04%SPY+11.79%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
$9.12M
Dividend Yield
―
Average Volume (3M)
4.25M
Price to Earnings (P/E)
-0.3
Beta (1Y)
2.50
Revenue Growth
-100.00%
EPS Growth
-54.46%
Country
US
Employees
80
Sector
Technology
Sector Strength
61
Industry
Communication Equipment

Clearone Communications Business Overview & Revenue Model

Company Description

ClearOne, Inc., established in 1983 and headquartered in Salt Lake City, Utah, specializes in the design, development, and sale of advanced communication solutions. The company provides a comprehensive suite of conferencing, collaboration, and networ...

Clearone Communications Financial Statement Overview

Summary

Financial health is exceptionally weak, characterized by zero revenue, extreme net losses, aggressive cash burn, and negative stockholders' equity. The near-total liquidation of the asset base poses monumental risks.

Income Statement

5Very Negative

Balance Sheet

8Very Negative

Cash Flow

5Very Negative
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue0011.39M18.70M25.20M28.97M
Gross Profit-588.00K-328.00K2.63M6.36M9.46M11.92M
EBITDA-3.55M-4.26M-8.59M1.75M31.45M-3.98M
Net Income-20.08M-26.08M-8.98M-560.00K20.56M-7.69M
Balance Sheet
Total Assets990.00K2.30M26.54M50.69M83.75M66.19M
Cash, Cash Equivalents and Short-Term Investments75.00K220.00K1.42M21.32M984.00K2.86M
Total Debt500.00K513.00K771.00K1.05M4.87M6.67M
Total Liabilities1.37M3.01M5.21M6.01M9.62M14.69M
Stockholders Equity-381.00K-714.00K21.33M44.69M74.13M51.50M
Cash Flow
Free Cash Flow-6.13M-7.52M-6.31M54.25M-4.23M-4.62M
Operating Cash Flow-6.15M-7.52M-6.12M54.63M-4.18M-4.39M
Investing Cash Flow2.94M2.91M4.19M-4.88M2.08M-8.51M
Financing Cash Flow-1.77M3.97M-14.47M-32.89M2.05M10.21M

Clearone Communications Technical Analysis

Technical Analysis SentimentNegative
Last Price5.88

Price Trends

50DMA4.34Negative
100DMA4.98Negative
200DMA4.67Negative

Market Momentum

MACD-0.01Negative
RSI46.53Neutral
STOCH65.62Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLRO, the sentiment is Negative. The current price of 5.88 is above the 20-day moving average (MA) of 3.59, above the 50-day MA of 4.34, and above the 200-day MA of 4.67, indicating a bearish trend. The MACD of -0.01 indicates Negative momentum. The RSI at 46.53 is Neutral, neither overbought nor oversold. The STOCH value of 65.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CLRO.

Clearone Communications Risk Analysis

Clearone Communications disclosed 22 risk factors in its most recent earnings report. Clearone Communications reported the most risks in the "Finance & Corporate" category.

Higher RiskSector Avg.Lower RiskFinance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

3 New Risks
1.Our Nevada Reincorporation may affect the rights of our stockholders with respect to certain corporation actions.Q2, 2026
2.Combining the two companies may be more difficult, costly or time consuming than expected, and the combined company may not realize all of the anticipated benefits of the Merger.Q2, 2026
3.The Merger and the Financing may not be completed, which would have a material adverse effect on us.Q2, 2026

Clearone Communications Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

CLRO against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
CSCOCSCO81Outperform$411.45B31.1027.39%1.60%11.77%27.65%
UIUI72Outperform$34.11B35.5385.62%0.60%27.22%34.82%
Sector *61Neutral$37.18B12.37-10.20%1.83%8.50%-7.62%
LTRXLTRX59Neutral$281.75M-56.80-4.88%―-1.65%64.15%
AUDCAUDC49Neutral$266.92M43.014.38%3.59%2.47%-43.89%
NTGRNTGR41Neutral$614.25M-15.59-8.42%―-0.70%-141.66%
CLROCLRO38Underperform$9.12M-0.31-2771.43%―-100.00%-54.46%

* Technology Sector Average

Performance Comparison

-50%0%50%100%150%CLROAUDCCSCOLTRXNTGRUIDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
CLRO and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
CLROClearone Communications3.41-2.04-37.43%
AUDCAudiocodes11.142.7332.43%
CSCOCisco104.5131.4142.98%
LTRXLantronix6.011.0922.15%
NTGRNetgear22.60-9.05-28.59%
UIUbiquiti Networks Inc563.81-206.13-26.77%

Clearone Communications Corporate Events

Business Operations and StrategyPrivate Placements and Financing

ClearOne Communications Secures Favorable Short-Term Liquidity Loan

Positive
Oct 15, 2026

On October 14, 2026, ClearOne, Inc. entered into a loan agreement with First Finance Ltd., effective October 7, 2026, under which First Finance will provide a non-interest-bearing loan of $200,000 to the company. The loan carries customary default pr...

Delistings and Listing ChangesRegulatory Filings and Compliance

ClearOne Faces Nasdaq Delisting, Plans Compliance Hearing

Negative
Oct 13, 2026

On April 7, 2026, ClearOne received notice from Nasdaq that it no longer met the continued listing requirements, specifically the $2.5 million minimum stockholders’ equity threshold under Listing Rule 5550(b)(1). After Nasdaq granted an excepti...

Private Placements and FinancingRegulatory Filings and Compliance

ClearOne Communications Approves Major Below-Market Equity Financing

Negative
Aug 26, 2026

On August 25, 2026, ClearOne, Inc. obtained written consent from majority stockholder First Finance, Ltd. to approve the issuance of units composed of common stock and warrants for up to $15 million in gross proceeds at a price below the Nasdaq-defin...

Business Operations and StrategyM&A TransactionsPrivate Placements and Financing

ClearOne Grants Equity to Advisors for Merger Support

Neutral
Aug 11, 2026

On August 7, 2026, ClearOne, Inc. entered into advisor agreements with First Finance Ltd., Betelgeuse Capital Advisors Inc., Gang3 Capital Ltd. and JJK Holdings Ltd., formalizing compensation for past and ongoing advisory services through the issuanc...

Business Operations and StrategyM&A TransactionsRegulatory Filings and Compliance

ClearOne streamlines capital structure amid pending merger

Positive
Aug 5, 2026

On August 4, 2026, ClearOne, Inc. entered into a warrant cancellation agreement with First Finance Ltd., cancelling warrants to purchase up to 437,500 shares of ClearOne common stock at an exercise price of $5.00 per share that were exercisable for t...

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: Oct 31, 2026