Odysightai (ODYS) AI Stock Analysis

• Market Cap: $87.24M
• Dividend Yield: N/A
• Average Volume (3M): 28.76K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.37
• Revenue Growth: 30.70%
• EPS Growth: -1.05%
• Country: US
• Employees: 61
• Sector: Technology
• Sector Strength: 69
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -1.03
• Shares Outstanding: 16,307,322
• 10 Day Avg. Volume: 25,012
• 30 Day Avg. Volume: 28,756
• PEG Ratio: 0.40
• Price to Book (P/B): 4.72
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.81
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $10.00
• Price Target Upside: 86.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Odysightai's overall score is heavily influenced by its strong revenue growth but weighed down by significant profitability challenges and weak technical indicators. The company's strong equity position and governance improvements provide some positive aspects, yet the stock remains unattractive from a valuation perspective due to ongoing losses and lack of dividends.

Positive Factors

Backlog Growth

ODYS grew backlogs from $2.6M at the end of 2023 to $15M at the end of 2024, demonstrating hypergrowth within the Aerospace and Defense customer set.

Contract Wins

ODYS micro cameras and AI predictive maintenance win several contracts for aerospace and defense platforms such as AH-64 helicopters, Safran engines, and drones.

Scalable AI Model

ODYS has a scalable AI model that allows for upselling new AI, subscriptions, and long-term relationships once sensors are embedded in an asset.

Negative Factors

Customer Dependency

ODYS's focus on the Aerospace and Defense market may limit its client base diversification.

Odysightai Business Overview & Revenue Model

Company Description

Odysightai (ODYS) is a cutting-edge technology company operating in the artificial intelligence and machine learning sectors. The company focuses on developing advanced AI-driven solutions for various industries, including healthcare, finance, and logistics. Odysightai's core products and services revolve around predictive analytics, data optimization, and intelligent decision-making systems that help businesses enhance efficiency, improve outcomes, and drive innovation.

How the Company Makes Money

Odysightai generates revenue primarily through the sale and licensing of its AI-powered software solutions to businesses across multiple sectors. The company offers subscription-based pricing models for its software-as-a-service (SaaS) products, ensuring a steady stream of recurring revenue. Additionally, Odysightai engages in strategic partnerships with industry leaders to co-develop customized AI solutions, further expanding its market reach and revenue potential. The company may also offer consulting and implementation services to assist clients in integrating its technologies, providing an additional revenue stream.

Odysightai Financial Statement Overview

Summary

Odysightai exhibits significant revenue growth but remains unprofitable with negative margins and cash flow. Despite a strong equity position and low leverage, the company struggles with sustaining positive cash flow and return on equity, indicating potential risks if profitability does not improve.

Income Statement

The company experienced a significant revenue increase from $303,300 to $3,964,000 (30.7% growth) from 2023 to 2024, indicating strong growth potential. However, substantial losses in EBIT and Net Income margins (-315.6% EBIT Margin and -296.8% Net Profit Margin in 2024) highlight ongoing profitability challenges which weigh heavily on the score.

Balance Sheet

Strong equity position with an equity ratio of 77.1% in 2024, indicating stability. The debt-to-equity ratio is low (0.06), reflecting low leverage and financial safety. However, the negative ROE of -64.5% in 2024 indicates inefficiencies in generating profit from equity.

Cash Flow

The company shows improvement in operating cash flow from -$10,009,000 to -$8,217,000, indicating better cash management. However, the free cash flow remains negative, affecting the overall liquidity. The free cash flow to net income ratio of 0.70 shows improvement but still suggests challenges in covering net losses with cash flow.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.96M	3.03M	665.00K	387.00K	491.00K
	Gross Profit
1.16M	509.00K	-966.00K	-721.00K	-503.00K
	EBIT
-12.51M	-10.63M	-9.44M	-9.11M	-4.71M
	EBITDA
-12.38M	-10.35M	-9.19M	-9.00M	-4.64M
	Net Income Common Stockholders
-11.77M	-9.45M	-9.47M	-8.99M	-4.67M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
18.16M	17.04M	13.15M	19.59M	3.37M
	Total Assets
23.68M	22.83M	16.89M	23.55M	5.89M
	Total Debt
1.05M	1.33M	263.00K	498.00K	107.00K
	Net Debt
-17.12M	-7.62M	-9.84M	-8.08M	-3.27M
	Total Liabilities
5.43M	5.02M	5.11M	3.93M	1.93M
	Stockholders Equity
18.24M	17.81M	11.79M	19.62M	3.96M
Cash Flow		Free Cash Flow
-8.27M	-10.12M	-6.21M	-6.48M	-4.46M
	Operating Cash Flow
-8.22M	-10.01M	-6.09M	-5.89M	-4.19M
	Investing Cash Flow
7.64M	-5.11M	7.88M	-11.60M	-276.00K
	Financing Cash Flow
9.82M	13.81M	0.00	22.56M	4.51M

Odysightai Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.36
• 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 ODYS, the sentiment is Negative. The current price of 5.36 is below the 20-day moving average (MA) of 5.43, below the 50-day MA of 5.95, and below the 200-day MA of 6.53, indicating a bearish trend. The MACD of -0.17 indicates Negative momentum. The RSI at 43.23 is Neutral, neither overbought nor oversold. The STOCH value of 38.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ODYS.

Odysightai Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$11.39B	10.52	-6.21%	2.95%	7.68%	-11.12%
LPTH	51 Neutral	$111.97M	―	-30.42%	―	-1.01%	-72.93%
GNSS	45 Neutral	$81.78M	―	-107.28%	―	-34.41%	-17.56%
WBX	44 Neutral	$103.94M	―	-138.61%	―	20.13%	29.26%
WRAP	43 Neutral	$76.84M	―	-355.35%	―	-26.51%	78.84%
ODYS	41 Neutral	$87.24M	―	-65.28%	―	30.70%	-1.05%

Odysightai Corporate Events

Odysightai Approves CEO Salary Increase and Bonuses

On March 10, 2025, Odysight.ai Inc. announced that its Board of Directors approved a salary increase for CEO Yehu Ofer, raising his monthly base salary from NIS 80,000 to NIS 90,000, effective January 1, 2025. Additionally, Ofer received a cash bonus of $142,500 and 150,000 stock options under the company’s 2024 Stock Incentive Plan. CFO Einav Brenner was also awarded a cash bonus of $95,000. These decisions reflect the company’s commitment to rewarding its executives and could impact its operational dynamics and stakeholder relations.