Katapult Holdings (KPLT) AI Stock Analysis

• Market Cap: $57.35M
• Dividend Yield: N/A
• Average Volume (3M): 110.33K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.07
• Revenue Growth: 13.23%
• EPS Growth: -1.78%
• Country: US
• Employees: 94
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -1.18
• Shares Outstanding: 4,569,546
• 10 Day Avg. Volume: 80,643
• 30 Day Avg. Volume: 110,330
• 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: 2.48
• Enterprise Value/Revenue: 0.53
• Enterprise Value/Gross Profit: 2.74
• Enterprise Value/Ebitda: 2.32
• 1Y Price Target: $11.00
• Price Target Upside: -0.81% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 46 Neutral
• Price Target: $12.00 ▲(8.21% Upside)

Katapult Holdings' overall stock score is primarily impacted by its financial instability, with negative profitability and high leverage being major concerns. Despite strong growth and positive sentiment from the earnings call, the technical indicators and valuation metrics suggest caution.

Katapult Holdings Business Overview & Revenue Model

Company Description

Katapult Holdings, Inc., an e-commerce focused financial technology company, provides e-commerce point-of-sale lease-purchase options for nonprime consumers in the United States. The company's technology platform provides nonprime consumers with a lease purchase option to enable them to obtain durable goods from its network of e-commerce merchants. The company was formerly known as Cognical Holdings, Inc. and changed its name to Katapult Holdings, Inc. in February 2020. The company is headquartered in Plano, Texas.

How the Company Makes Money

Katapult generates revenue primarily through its lease-to-own financing model, where it earns money from the fees charged to consumers for financing options. These fees can include transaction fees, late payment fees, and interest charges, depending on the specific terms of the lease agreements. Additionally, Katapult earns revenue from its retail partners through partnership agreements that often include a percentage of the financing fees generated from customer transactions. The company also benefits from increased sales volume for its retail partners, creating a symbiotic relationship that enhances both parties' earnings. Significant partnerships with various e-commerce platforms and brick-and-mortar retailers further bolster Katapult's revenue streams, as these collaborations expand its reach to a broader customer base.

Katapult Holdings Financial Statement Overview

Summary

Katapult Holdings faces significant financial challenges, with negative profitability and high leverage. Despite some revenue growth and improved free cash flow, the negative equity and financial instability are major concerns.

Income Statement

Katapult Holdings has shown some revenue growth, with a 5.13% increase in the TTM period. However, the company is struggling with profitability, as evidenced by negative net profit and EBIT margins. The gross profit margin is relatively low at 19.49%, indicating challenges in cost management. The EBITDA margin is healthier at 22.99%, suggesting some operational efficiency, but overall profitability remains a concern.

Balance Sheet

The balance sheet reveals significant financial leverage, with a negative debt-to-equity ratio due to negative stockholders' equity. This indicates potential financial instability. The return on equity is positive at 66.35%, but this is skewed by the negative equity base. The equity ratio is negative, reflecting a precarious financial position.

Cash Flow

Cash flow analysis shows a negative operating cash flow, indicating challenges in generating cash from operations. However, free cash flow has improved by 17.94% in the TTM period, which is a positive sign. The free cash flow to net income ratio is above 1, suggesting that the company is generating more cash than its reported net income, which is a positive aspect.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	267.10M	247.19M	221.59M	209.50M	303.11M	247.20M
Gross Profit	52.05M	45.77M	41.71M	48.81M	88.99M	79.79M
EBITDA	61.40M	161.48M	137.12M	106.34M	145.65M	165.42M
Net Income	-31.98M	-25.91M	-36.67M	-40.47M	21.21M	22.53M
Balance Sheet
Total Assets	90.58M	93.17M	100.86M	130.05M	166.16M	139.83M
Cash, Cash Equivalents and Short-Term Investments	3.66M	3.46M	21.41M	65.43M	92.49M	65.62M
Total Debt	112.92M	113.25M	86.76M	106.52M	101.90M	110.73M
Total Liabilities	144.65M	139.97M	128.85M	132.12M	125.36M	140.78M
Stockholders Equity	-54.06M	-46.79M	-27.99M	7.13M	40.80M	-949.00K
Cash Flow
Free Cash Flow	-38.11M	-32.62M	-18.39M	-22.35M	730.00K	-2.58M
Operating Cash Flow	-37.12M	-32.57M	-17.41M	-20.85M	2.17M	-2.14M
Investing Cash Flow	-1.63M	-1.30M	-974.00K	-1.50M	-1.44M	-402.00K
Financing Cash Flow	9.36M	21.61M	-22.64M	-4.24M	26.10M	59.90M

Katapult Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.09
• 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 KPLT, the sentiment is Negative. The current price of 11.09 is below the 20-day moving average (MA) of 12.67, below the 50-day MA of 15.71, and below the 200-day MA of 11.23, indicating a bearish trend. The MACD of -1.09 indicates Negative momentum. The RSI at 37.15 is Neutral, neither overbought nor oversold. The STOCH value of 31.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KPLT.

Katapult Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
JG	―	$44.84M	-52.02	-9.11%	―	18.99%	77.96%
SOS	―	$56.53M	-87.79	-3.89%	―	134.43%	30.90%
KPLT	―	$57.35M	-1.79	―	―	13.23%	-1.78%
SNCR	―	$60.33M	-2.50	-53.05%	―	-6.32%	6.80%
XBP	―	$67.18M	―	―	―	―	―

Katapult Holdings Corporate Events

Katapult Holdings Secures Fourth Limited Waiver Agreement

On October 20, 2025, Katapult Holdings entered into a Fourth Limited Waiver to their Amended and Restated Loan and Security Agreement due to failing to maintain Minimum Trailing Three-Month Originations for August and September 2025. This waiver temporarily addresses the existing default until October 27, 2025, allowing Class B Lenders to convert outstanding term loan amounts into common stock based on the 20-day volume weighted average price, which was approximately $14.49 as of October 17, 2025.

The most recent analyst rating on (KPLT) stock is a Hold with a $12.00 price target. To see the full list of analyst forecasts on Katapult Holdings stock, see the KPLT Stock Forecast page.

Katapult Holdings Secures Waiver Amid Loan Agreement Default

On October 13, 2025, Katapult Holdings entered into a Third Limited Waiver to their Loan and Security Agreement due to failing to maintain required minimum originations for August and September 2025. This waiver temporarily addresses the default until October 20, 2025, allowing Class B Lenders the right to convert outstanding loan amounts into company stock, potentially impacting the company’s financial structure.

The most recent analyst rating on (KPLT) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Katapult Holdings stock, see the KPLT Stock Forecast page.

Katapult Holdings Secures Second Limited Waiver Agreement

Katapult Holdings, Inc. entered into a Second Limited Waiver on September 29, 2025, to address their failure to maintain Minimum Trailing Three-Month Originations as required by their Loan Agreement. This waiver extends the temporary waiver of the existing default until October 13, 2025, allowing Class B Lenders the right to convert the outstanding term loan into common stock based on the 20-day VWAP, which was approximately $19.52 as of September 26, 2025.

The most recent analyst rating on (KPLT) stock is a Hold with a $20.50 price target. To see the full list of analyst forecasts on Katapult Holdings stock, see the KPLT Stock Forecast page.

Katapult Holdings Secures Limited Waiver for Loan Default

On September 15, 2025, Katapult Holdings, Inc. entered into a Limited Waiver agreement to address a failure to maintain Minimum Trailing Three-Month Origination as required by their Loan Agreement. This waiver temporarily resolves the existing default until September 29, 2025, impacting the company’s financial obligations and stability.

The most recent analyst rating on (KPLT) stock is a Hold with a $19.50 price target. To see the full list of analyst forecasts on Katapult Holdings stock, see the KPLT Stock Forecast page.

Katapult Holdings Reports Strong Growth Amid Challenges

The latest earnings call from Katapult Holdings, Inc. painted a picture of robust growth and strategic financial maneuvers, tempered by some challenges in specific areas. The company reported impressive increases in gross originations, revenue, and consumer engagement, alongside positive adjusted EBITDA and successful debt refinancing efforts. However, concerns were raised regarding lease depreciation impacts on profit margins, challenges in certain product categories, and an uptick in charge-off rates.

Katapult Holdings Reports Strong Q2 2025 Results

Katapult Holdings, Inc. is a financial technology company specializing in e-commerce, offering lease-to-own solutions for non-prime consumers in the United States. The company integrates with retailers and e-commerce platforms to facilitate purchases of durable goods.

Katapult Holdings Approves Key Nasdaq Compliance Proposal

On August 6, 2025, Katapult Holdings, Inc. held a virtual special meeting of stockholders to vote on proposals outlined in their proxy statement. The meeting achieved a quorum with approximately 68.48% of shares represented. The key proposal to comply with Nasdaq Listing Rules regarding the issuance of shares upon exercise of warrants and term loan conversion was approved, rendering further adjournment unnecessary.

The most recent analyst rating on (KPLT) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on Katapult Holdings stock, see the KPLT Stock Forecast page.

Katapult Holdings Secures Waiver to Avoid Default

On August 5, 2025, Katapult Holdings entered into a Limited Waiver agreement related to their Refinancing Agreement, addressing a failure to meet certain financial requirements as of July 31, 2025. This waiver prevents a default event under the agreement, and the company is seeking stockholder approval for a related equity issuance, with important documents filed with the SEC.

The most recent analyst rating on (KPLT) stock is a Hold with a $15.00 price target. To see the full list of analyst forecasts on Katapult Holdings stock, see the KPLT Stock Forecast page.