Fluent (FLNT) AI Stock Analysis

• Market Cap: $58.70M
• Dividend Yield: N/A
• Average Volume (3M): 1.40M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.43
• Revenue Growth: -12.84%
• EPS Growth: 63.95%
• Country: US
• Employees: 208
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): -0.24
• Shares Outstanding: 28,496,870
• 10 Day Avg. Volume: 68,711
• 30 Day Avg. Volume: 1,398,608
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.16
• Enterprise Value/Revenue: 0.30
• Enterprise Value/Gross Profit: 1.33
• Enterprise Value/Ebitda: -4.52
• 1Y Price Target: $3.00
• Price Target Upside: 44.23% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 45 Neutral
• Price Target: $2.00 ▼(-3.85% Downside)

Fluent's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues, high leverage, and poor cash flow generation. While the earnings call provided some positive insights into the growth of the commerce media segment and strategic partnerships, these are overshadowed by significant revenue declines and challenges in other areas. The technical analysis and valuation metrics also do not provide strong support for the stock, resulting in a low overall score.

Positive Factors

Commerce Media Solutions Growth

The rapid growth in Commerce Media Solutions indicates a strong potential revenue driver. As this segment becomes a larger part of Fluent's business, it could offset declines in other areas and drive future profitability.

Strategic Partnerships

New partnerships, including with Authentic Brands and Rebuy Engine, expand Fluent's market reach and enhance its service offerings, potentially leading to increased revenue and market share.

Equity Financing

The equity financing strengthens Fluent's balance sheet, providing capital to support growth initiatives and improve financial stability, which is crucial for long-term business expansion.

Negative Factors

Revenue Decline

Significant revenue decline indicates challenges in maintaining market position and competitiveness, which could hinder Fluent's ability to invest in growth and innovation.

High Leverage

High leverage limits financial flexibility and increases risk, potentially impacting Fluent's ability to navigate economic downturns or invest in growth opportunities.

Cash Flow Challenges

Poor cash generation limits Fluent's ability to fund operations and strategic initiatives, posing a risk to its long-term financial health and sustainability.

Fluent Business Overview & Revenue Model

Company Description

Fluent (FLNT) is a data-driven digital marketing company specializing in performance marketing and customer acquisition. The company operates primarily in the online advertising sector, leveraging its proprietary technology and data analytics to connect brands with their target audiences across various digital channels. Fluent's core products include lead generation services, customer engagement solutions, and a suite of marketing technology tools that enhance the effectiveness of its clients' marketing campaigns.

How the Company Makes Money

Fluent generates revenue primarily through its performance marketing services, which involve charging clients based on successful customer acquisitions or leads generated. Key revenue streams include cost-per-lead (CPL) and cost-per-acquisition (CPA) models, where clients pay for each lead or customer that Fluent successfully delivers. Additionally, Fluent benefits from partnerships with various brands and advertisers, which enhance its reach and effectiveness in campaign execution. The company's investment in data analytics and technology also allows it to optimize campaigns, leading to higher conversion rates and increased client satisfaction, further driving revenue growth.

Fluent Financial Statement Overview

Summary

Fluent is facing substantial financial challenges across all verticals. The income statement reflects declining revenues and persistent losses, while the balance sheet shows high leverage and negative returns on equity. The cash flow statement indicates poor cash generation, with negative growth in free cash flow. The company needs to address these issues to improve its financial health and stability.

Income Statement

Fluent's income statement shows a declining trend in revenue and profitability. The TTM data indicates a negative revenue growth rate of -5.75% and a net profit margin of -12.82%, reflecting ongoing challenges in achieving profitability. The gross profit margin has decreased from previous years, indicating pressure on cost management. Overall, the company is struggling with declining revenues and negative margins, which are significant concerns.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.22 in the TTM period, indicating significant leverage. Return on equity is negative, reflecting ongoing losses. The equity ratio is relatively low, suggesting limited financial stability. While the company has managed to reduce its debt levels compared to previous years, the high leverage and negative equity returns are concerning.

Cash Flow

Fluent's cash flow statement highlights significant challenges, with a negative free cash flow growth rate of -96.76% in the TTM period. The operating cash flow to net income ratio is negative, indicating inefficiencies in converting income into cash. Although the free cash flow to net income ratio is positive, it is primarily due to negative net income, which is not a positive indicator. Overall, the cash flow situation is weak, with limited cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	229.84M	254.62M	298.40M	361.13M	329.25M	310.72M
Gross Profit	51.27M	60.80M	78.52M	80.43M	85.53M	95.58M
EBITDA	-15.05M	-16.41M	-49.25M	-106.38M	5.54M	23.68M
Net Income	-26.87M	-29.28M	-63.22M	-123.33M	-10.06M	2.21M
Balance Sheet
Total Assets	74.47M	93.62M	111.87M	183.97M	318.18M	310.22M
Cash, Cash Equivalents and Short-Term Investments	4.93M	9.44M	15.80M	25.55M	34.47M	21.09M
Total Debt	26.60M	37.42M	34.48M	46.73M	53.25M	50.16M
Total Liabilities	55.35M	68.66M	77.46M	90.01M	104.77M	93.33M
Stockholders Equity	19.12M	24.95M	34.40M	93.95M	213.41M	216.88M
Cash Flow
Free Cash Flow	-558.00K	-20.32M	2.27M	-2.44M	9.43M	17.45M
Operating Cash Flow	2.14M	-14.10M	8.14M	1.96M	12.42M	20.30M
Investing Cash Flow	-5.90M	-6.21M	-7.11M	-5.44M	-2.99M	-4.27M
Financing Cash Flow	4.63M	15.21M	-10.77M	-5.45M	2.47M	-13.62M

Fluent Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FLNT, the sentiment is Negative. The current price of 2.08 is below the 20-day moving average (MA) of 2.12, below the 50-day MA of 2.19, and below the 200-day MA of 2.35, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 48.37 is Neutral, neither overbought nor oversold. The STOCH value of 50.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FLNT.

Fluent Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SWAG	61 Neutral	33.31M	-14.06	-13.08%	―	38.49%	-558.25%
INUV	46 Neutral	61.01M	-12.76	-38.61%	―	21.45%	41.21%
FLNT	45 Neutral	$58.70M	―	-115.36%	―	-12.84%	63.95%
HHS	45 Neutral	26.77M	-8.80	-13.57%	―	-6.49%	89.87%
MCHX	45 Neutral	85.27M	-18.04	-15.16%	―	-2.64%	6.48%
CDLX	39 Underperform	140.55M	-0.73	-312.30%	―	-12.84%	5.09%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Fluent Corporate Events

Fluent Announces $10.3M Private Placement Agreement

On August 19, 2025, Fluent, Inc. announced a private placement agreement to issue and sell 5,871,427 shares of its common stock and pre-funded warrants, generating approximately $10.3 million in gross proceeds. The funds raised are intended for working capital and general corporate purposes, with the transaction expected to bolster Fluent’s balance sheet and support its growth plans in the commerce media sector. The placement involves both institutional investors and company insiders, and the company has committed to filing a registration statement with the SEC to cover the resale of the shares.

Fluent Holds 2025 Annual Stockholders Meeting Virtually

On June 18, 2025, Fluent, Inc. held its 2025 Annual Meeting of Stockholders virtually, with 13,987,707 shares represented out of 20,643,660 outstanding shares. During the meeting, several key decisions were made, including the election of seven directors, approval of executive compensation for 2024, ratification of Grant Thornton LLP as the independent accounting firm for 2024, and various approvals related to securities purchase agreements and equity incentive plans. These decisions are expected to influence the company’s governance and financial strategies moving forward.

Fluent Prepares Presentation Materials for Business Discussions

Fluent, Inc. has prepared presentation materials to be used in discussions about the company’s business starting June 10, 2025. These materials are intended to provide summary information and will be used alongside the company’s filings with the SEC and other public announcements. The company has no obligation to update these materials after the date of the current report.