KORE Group Holdings (KORE) AI Stock Analysis

• Market Cap: $39.01M
• Dividend Yield: N/A
• Average Volume (3M): 10.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.24
• Revenue Growth: 0.24%
• EPS Growth: 68.22%
• Country: US
• Employees: 539
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -0.92
• Shares Outstanding: 17,493,073
• 10 Day Avg. Volume: 10,334
• 30 Day Avg. Volume: 10,396
• 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: 12.15
• Enterprise Value/Revenue: 1.68
• Enterprise Value/Gross Profit: 3.01
• Enterprise Value/Ebitda: -19.07
• 1Y Price Target: $6.00
• Price Target Upside: 169.06% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 46 Neutral
• Price Target: $2.50 ▲(12.11% Upside)

KORE's overall stock score is primarily impacted by its weak financial performance and valuation concerns. The company's negative profit margins and financial instability are significant risks. However, the positive earnings call, with strong guidance and strategic wins, provides some optimism. Technical analysis suggests mixed signals, with no clear trend direction.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding market reach and product adoption, which is crucial for long-term business sustainability and competitiveness.

Strategic Market Wins

Strategic wins in key markets enhance KORE's competitive position and demonstrate its capability to innovate and meet diverse customer needs.

Positive Free Cash Flow

Sustained positive free cash flow indicates improved financial health and operational efficiency, supporting long-term growth and investment potential.

Negative Factors

Negative Profit Margins

Negative profit margins reflect operational inefficiencies and financial instability, posing risks to long-term profitability and sustainability.

Financial Instability

Negative equity suggests liabilities exceed assets, indicating potential insolvency risks and limiting financial flexibility for future growth.

Declining Revenue

Declining revenue growth can hinder the company's ability to invest in new opportunities and maintain competitive advantage in the long term.

KORE Group Holdings Business Overview & Revenue Model

Company Description

KORE Group Holdings, Inc. provides Internet of Things (IoT) services and solutions worldwide. It offers connectivity, location-based, device solutions, and managed and professional services that are used in the development and support of IoT technology for the Machine-to-Machine market. The company provides Connectivity-as-a-Service; IoT solutions and analytics to fleet tracking companies; and asset monitoring, communications, and industrial IoT services. It serves customers operating in a range of sectors, including healthcare, fleet and vehicle management, asset management, communication services, and industrial/manufacturing. The company was founded in 2002 and is headquartered in Alpharetta, Georgia.

How the Company Makes Money

KORE Group Holdings generates revenue primarily through its IoT connectivity services and managed solutions. The company's revenue model is based on recurring subscription fees for its connectivity services, which provide businesses with reliable and secure network connections for their IoT devices. Additionally, KORE earns money by offering managed IoT services, including device management, application enablement, and data analytics, which help organizations optimize their IoT deployments. Strategic partnerships with telecom carriers, hardware manufacturers, and technology providers also play a crucial role in extending KORE's market reach and enhancing its service offerings.

KORE Group Holdings Financial Statement Overview

Summary

KORE Group Holdings faces significant financial challenges with deeply negative profit margins and declining revenue. The balance sheet shows financial instability with negative equity, and while there are signs of cash flow improvement, they are insufficient to offset broader financial concerns.

Income Statement

KORE Group Holdings' income statement reveals significant weaknesses. The TTM (Trailing-Twelve-Months) data shows a gross profit margin of 55.7%, which is solid. However, the net profit margin is deeply negative at -43.9%, indicating substantial losses. The company has seen inconsistent revenue growth, with a slight decline of 1.3% from the previous year. Additionally, the EBIT margin is -22.8% and the EBITDA margin is -8.8%, both reflecting operational inefficiencies.

Balance Sheet

The balance sheet of KORE Group Holdings presents concerning figures. The debt-to-equity ratio is not meaningful due to negative stockholders' equity, signaling financial distress. The equity ratio is also negative, further underscoring the company's liabilities exceeding its assets. Return on equity is not calculable due to negative equity, hinting at potential insolvency risks.

Cash Flow

Cash flow analysis shows some positive aspects. The operating cash flow to net income ratio is negative, indicating inefficiency in translating profits into cash. However, the free cash flow to net income ratio is more favorable at 0.02, suggesting some capacity to generate cash. The free cash flow growth rate is positive, marking a recovery from previous negative levels, but overall cash flow sustainability remains a challenge.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	282.25M	286.09M	276.61M	268.45M	248.22M	213.76M
Gross Profit	157.28M	159.93M	148.05M	139.29M	125.99M	115.83M
EBITDA	-24.84M	-41.99M	-67.27M	-28.07M	40.04M	35.46M
Net Income	-124.06M	-146.08M	-167.04M	-105.42M	-24.45M	-35.20M
Balance Sheet
Total Assets	445.13M	455.83M	586.98M	689.91M	759.60M	700.02M
Cash, Cash Equivalents and Short-Term Investments	19.66M	19.41M	27.14M	34.65M	85.98M	10.32M
Total Debt	11.44M	307.22M	309.52M	430.34M	402.90M	302.93M
Total Liabilities	560.03M	555.43M	550.01M	508.46M	487.46M	679.80M
Stockholders Equity	-114.90M	-99.60M	36.97M	181.45M	272.14M	20.22M
Cash Flow
Free Cash Flow	1.98M	-3.55M	-26.65M	-189.00K	-28.18M	14.50M
Operating Cash Flow	10.88M	9.91M	-6.42M	16.36M	-14.76M	26.47M
Investing Cash Flow	-11.05M	-13.46M	-20.23M	-62.55M	-13.42M	-11.60M
Financing Cash Flow	-3.11M	-3.78M	18.91M	-4.69M	104.05M	-12.72M

KORE Group Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.23
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KORE, the sentiment is Neutral. The current price of 2.23 is below the 20-day moving average (MA) of 2.27, below the 50-day MA of 2.37, and below the 200-day MA of 2.31, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 48.18 is Neutral, neither overbought nor oversold. The STOCH value of 48.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KORE.

KORE Group Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNREY	69 Neutral	156.62M	―	-8.39%	6.50%	0.00%	0.00%
UCL	68 Neutral	95.25M	48.55	21.08%	―	3.83%	-55.18%
KORE	46 Neutral	$39.01M	―	174.77%	―	0.24%	68.22%
FNGR	46 Neutral	95.65M	-16.08	-37.45%	―	11.55%	-26.87%
IQST	41 Neutral	21.39M	-2.33	-70.68%	―	30.35%	-45.94%
ANTE	25 Underperform	104.82M	-1.39	0.00%	―	2482.80%	-169.59%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

KORE Group Holdings Corporate Events

KORE Group Holdings Stockholders Approve Board Proposals

At the 2025 annual meeting of stockholders held on June 10, 2025, KORE Group Holdings‘ stockholders approved all proposals recommended by the Board of Directors. The election of four Class I directors to serve until 2028 was confirmed, and BDO USA, P.C. was ratified as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2025.