POET Technologies (POET) AI Stock Analysis

• Market Cap: $522.55M
• Dividend Yield: N/A
• Average Volume (3M): 1.97M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.08
• Revenue Growth: 302.50%
• EPS Growth: -38.64%
• Country: US
• Employees: 53
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.06
• Shares Outstanding: 90,720,260
• 10 Day Avg. Volume: 3,587,952
• 30 Day Avg. Volume: 1,973,799
• 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: 0.68
• Enterprise Value/Revenue: 761.98
• Enterprise Value/Gross Profit: 761.98
• Enterprise Value/Ebitda: -6.95
• 1Y Price Target: $5.50
• Price Target Upside: 0.18% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: $5.50 ▲(0.18% Upside)

POET Technologies' overall stock score is primarily impacted by its poor financial performance, characterized by significant revenue decline and negative profitability metrics. While technical analysis shows some positive momentum, the negative P/E ratio and lack of dividend yield further weigh down the score.

POET Technologies Business Overview & Revenue Model

Company Description

POET Technologies Inc. designs, develops, manufactures, and sells discrete and integrated opto-electronic solutions in Canada, the United States, and Singapore. It offers integration solutions based on the POET Optical Interposer, a novel platform that allows the seamless integration of electronic and photonic devices into a single multi-chip module using advanced wafer-level semiconductor manufacturing techniques and packaging methods. It also develops photonic integrated components. The company serves the data center, telecommunications, Internet of things and industrial sensing, automotive LIDAR, optical coherence tomography for medical devices, virtual reality systems markets. The company was formerly known as Opel Technologies Inc. and changed its name to POET Technologies Inc. in June 2013. POET Technologies Inc. was incorporated in 1972 and is headquartered in Toronto, Canada.

How the Company Makes Money

POET Technologies generates revenue primarily through the sale of its photonic integrated circuits and related technologies to clients in the telecommunications and data center sectors. The company's revenue model is based on direct sales of its products, as well as licensing agreements and partnerships with other technology firms looking to integrate POET's solutions into their offerings. Key revenue streams include product sales, research and development contracts, and potential royalties from intellectual property licenses. Additionally, POET collaborates with industry leaders and research institutions, which not only bolsters its technological capabilities but can also lead to additional funding and joint ventures that contribute to its overall earnings.

POET Technologies Financial Statement Overview

Summary

POET Technologies is experiencing significant financial challenges with ongoing losses and negative cash flows. Despite a manageable debt-to-equity ratio, operational inefficiencies and negative margins highlight the need for strategic restructuring.

Income Statement

POET Technologies has shown a volatile revenue trajectory with a significant decline in recent years. The gross profit margin is positive, but the company struggles with negative EBIT and EBITDA margins, indicating operational inefficiencies. The net profit margin is also negative, reflecting ongoing losses.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, suggesting manageable leverage. However, the negative return on equity indicates that the company is not generating profit from shareholders' equity. The equity ratio is moderate, which implies some financial stability but with room for improvement.

Cash Flow

The cash flow statement shows negative operating and free cash flows, highlighting challenges in generating cash from operations. Although there is a positive cash flow from financing, this may not be sustainable in the long term without operational improvements. The free cash flow to net income ratio is concerning due to consistent negative figures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	467.95K	41.43K	465.78K	552.75K	209.10K	3.89M
Gross Profit	467.95K	41.43K	-1.49M	552.75K	209.10K	2.41M
EBITDA	-51.27M	-28.26M	-18.28M	-18.58M	-14.20M	-14.65M
Net Income	-53.92M	-56.70M	-20.27M	-21.09M	-17.55M	-19.15M
Balance Sheet
Total Assets	89.68M	69.65M	8.78M	15.39M	27.15M	11.64M
Cash, Cash Equivalents and Short-Term Investments	73.05M	53.82M	3.02M	9.23M	21.31M	6.87M
Total Debt	7.33M	7.24M	542.28K	308.78K	391.01K	4.09M
Total Liabilities	40.31M	48.96M	3.85M	3.95M	2.18M	5.82M
Stockholders Equity	49.37M	20.69M	4.93M	11.45M	24.97M	5.81M
Cash Flow
Free Cash Flow	-38.56M	-30.27M	-16.65M	-15.40M	-12.16M	-11.01M
Operating Cash Flow	-30.91M	-23.29M	-15.41M	-12.33M	-11.23M	-9.44M
Investing Cash Flow	-65.91M	-23.66M	-1.25M	3.29M	-7.30M	13.93M
Financing Cash Flow	88.04M	81.90M	10.20M	3.44M	26.55M	1.16M

POET Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.49
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For POET, the sentiment is Positive. The current price of 5.49 is above the 20-day moving average (MA) of 5.41, above the 50-day MA of 5.49, and above the 200-day MA of 4.85, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 50.33 is Neutral, neither overbought nor oversold. The STOCH value of 46.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for POET.

POET Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VCM	68 Neutral	C$252.14M	-14.20	―	2.12%	-1.78%	-191.59%
STC	60 Neutral	C$235.64M	-33.78	―	―	-1.46%	40.89%
QNC	51 Neutral	C$303.93M	-38.56	―	―	―	-106.91%
POET	47 Neutral	$522.55M	―	-145.35%	―	302.50%	-38.64%
MRM	27 Underperform	C$36.37M	-7.50	―	―	―	-310.53%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

POET Technologies Corporate Events

POET Technologies Secures Major Order and Prepares for ECOC 2025

On September 23, 2025, POET Technologies announced its participation in the 2025 ECOC Exhibition in Copenhagen, Denmark, where it will present its optical engine technologies and compete for an innovation award. The company also revealed it received an initial production order exceeding US$500,000 from a key customer for its optical engines, with shipments scheduled for early 2026. This development signifies POET’s transition into volume production and highlights its growing influence in the optical technology market.

POET Technologies Reports Material Change in September 2025

POET Technologies Inc. filed a material change report with the Canadian Securities Regulatory Authorities on September 4, 2025. This report, which includes a press release issued on August 25, 2025, was also filed with the U.S. Securities and Exchange Commission on August 26, 2025, indicating significant developments within the company.

POET Technologies Unveils Optical Innovations at CIOE 2025

On September 4, 2025, POET Technologies announced its participation in the China International Optoelectronic Expo (CIOE) 2025, where it will showcase its latest optical products, including the POET Blazar and POET Teralight, designed for AI scale-up networks and hyperscale data centers. The company’s demonstrations and executive presence at the event highlight its innovation in photonic integration and its strategic focus on addressing the growing demands of AI and cloud-scale connectivity, potentially strengthening its market position and stakeholder interest.

POET Technologies Partners with NTT for Next-Gen AI Mobile Networking

On August 29, 2025, POET Technologies announced a partnership with NTT Innovative Devices to develop advanced optical engines for next-generation mobile networks, supporting AI applications. This collaboration aims to create a 100G Bidirectional Optical Engine, offering four times more bandwidth efficiency than current devices, potentially disrupting the mobile network industry. The partnership highlights POET’s strategic move into new markets, leveraging its Optical Interposer platform to meet the growing demand for high-performance, scalable solutions in AI-driven mobile networking. The development work is set to begin this year, with prototypes expected in 2026 and high-volume production anticipated by 2027.

POET Technologies Completes $25M Public Offering to Strengthen Market Position

On July 17, 2025, POET Technologies Inc. announced the completion of a non-brokered public offering, raising US$25 million through the sale of 5,000,000 units. The funds are intended for working capital and general corporate purposes. This move is expected to bolster POET’s financial position and support its continued innovation in optical engine technology, potentially enhancing its market presence in the AI systems and data center sectors.

POET Technologies Appoints Sohail Khan as New Director

On July 8, 2025, POET Technologies announced the appointment of Sohail Khan as a director and member of the Corporate Governance & Nominating Committee, effective July 7, 2025. Khan, a seasoned executive with extensive experience in high technology firms, is expected to contribute significantly to POET’s strategic initiatives and growth opportunities in AI and other markets. This appointment follows the retirement of Chris Tsiofas, reducing the board size to five members before Khan’s addition. Khan’s appointment and the associated RSU grant reflect POET’s commitment to strengthening its leadership as it continues to innovate in the photonics industry.

POET Technologies Launches $25 Million Offering to Boost AI Solutions

On July 7, 2025, POET Technologies announced a non-brokered public offering of 5,000,000 units at US$5.00 per unit, aiming to raise US$25 million. The offering, expected to be fully subscribed by an institutional investor in Canada, will support working capital and general corporate purposes. This move reflects the company’s strong market interest and aligns with its strategy to capitalize on opportunities in AI networks and systems, having already raised over US$100 million in equity capital over the past year.