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Polar Power
(NASDAQ:POLA)
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Rating:42Neutral
Price Target:
$1.00
▼(-30.07% Downside)
Action:Reiterated
Date:09/30/26
The score is held down primarily by very weak financial performance (shrinking revenue, deeply negative margins, ongoing cash burn, and strained/volatile equity) and bearish technicals (price below key moving averages with negative MACD). Corporate events provide some offset via liquidity steps and a potentially meaningful trial order, but dilution and Nasdaq compliance risk limit the benefit; valuation support is limited due to losses and no dividend.
Positive Factors
Energy-efficient DC generator technology
Polar’s DC systems are differentiated by reported fuel and maintenance savings versus conventional diesel generators. These operating-cost benefits can support customer adoption in remote telecom sites, strengthen the company’s competitive proposition, and remain relevant as operators seek more efficient backup power.
Negative Factors
Severe revenue and profitability deterioration
The sharp decline in revenue alongside deeply negative gross, operating, and net margins indicates that Polar is not currently covering product and operating costs. Sustained weak pricing power and cost absorption could limit reinvestment, impair scale benefits, and make recovery dependent on a material improvement in demand or execution.
Read all positive and negative factors
Positive Factors
Negative Factors
Energy-efficient DC generator technology
Polar’s DC systems are differentiated by reported fuel and maintenance savings versus conventional diesel generators. These operating-cost benefits can support customer adoption in remote telecom sites, strengthen the company’s competitive proposition, and remain relevant as operators seek more efficient backup power.
Read all positive factors
Polar Power (POLA) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$4.74M
Dividend YieldN/A
Average Volume (3M)154.27K
Price to Earnings (P/E)―
Beta (1Y)1.49
Revenue Growth-61.39%
EPS Growth-93.53%
CountryUS
Employees67
SectorIndustrials
Sector Strength72
IndustryElectrical Equipment & Parts
Share Statistics
EPS (TTM)-3.53
Shares Outstanding4,309,319
10 Day Avg. Volume265,875
30 Day Avg. Volume154,268
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)29.46
Price to Sales (P/S)0.67
P/FCF Ratio-4.00
Enterprise Value/Market Cap2.21
Enterprise Value/Revenue2.27
Enterprise Value/Gross Profit-2.91
Enterprise Value/Ebitda-1.26
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Polar Power Business Overview & Revenue Model
Company Description
Polar Power, Inc., originally established in 1979 as Polar Products, Inc. before its name change in October 1991, is headquartered in Gardena, California. The company specializes in the engineering, manufacturing, and distribution of direct curren...
How the Company Makes Money
Polar Power primarily makes money by selling power equipment—most notably DC generators and integrated DC power systems—used as standby/backup or remote/off-grid power for telecom networks and other mission-critical sites. Revenue is generated fro...
Polar Power Financial Statement Overview
Summary
Income Statement
12
Very Negative
Balance Sheet
18
Very Negative
Cash Flow
14
Very Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Mar 2024 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 4.62M | 6.30M | 13.97M | 15.29M | 16.06M | 16.90M |
| Gross Profit | -3.60M | -3.16M | 1.31M | 695.00K | 2.13M | 3.44M |
| EBITDA | -8.34M | -8.35M | -3.86M | -5.60M | -5.02M | -805.00K |
| Net Income | -9.61M | -9.13M | -4.68M | -6.55M | -5.58M | -1.41M |
Balance Sheet | ||||||
| Total Assets | 10.20M | 10.44M | 17.55M | 25.26M | 24.19M | 27.18M |
| Cash, Cash Equivalents and Short-Term Investments | 183.00K | 200.00K | 498.00K | 549.00K | 211.00K | 5.10M |
| Total Debt | 3.94M | 5.56M | 6.92M | 7.54M | 2.42M | 1.50M |
| Total Liabilities | 9.35M | 10.29M | 9.03M | 12.07M | 6.01M | 3.93M |
| Stockholders Equity | 857.00K | 144.00K | 8.51M | 13.19M | 18.18M | 23.25M |
Cash Flow | ||||||
| Free Cash Flow | -2.24M | -1.06M | -555.00K | -3.62M | -6.53M | -9.45M |
| Operating Cash Flow | -2.24M | -1.06M | -536.00K | -3.43M | -6.51M | -9.38M |
| Investing Cash Flow | 0.00 | 0.00 | -19.00K | -194.00K | -25.00K | -71.00K |
| Financing Cash Flow | 2.25M | 763.00K | 504.00K | 3.96M | 1.64M | 12.91M |
Polar Power Technical Analysis
Negative
1.43
Price Trends
1.42
Negative
1.59
Negative
1.65
Negative
Market Momentum
-0.08
Positive
34.54
Neutral
23.75
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For POLA, the sentiment is Negative. The current price of 1.43 is above the 20-day moving average (MA) of 1.21, above the 50-day MA of 1.42, and below the 200-day MA of 1.65, indicating a bearish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 34.54 is Neutral, neither overbought nor oversold. The STOCH value of 23.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for POLA.
Polar Power Risk Analysis
Polar Power disclosed 38 risk factors in its most recent earnings report. Polar Power reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Polar Power Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
45 Neutral | $57.69M | -3.31 | -60.76% | ― | 57.22% | 13.79% | |
44 Neutral | $6.33M | -0.09 | -338.44% | ― | -25.83% | -50.97% | |
44 Neutral | $4.13M | -0.56 | -102.32% | ― | -2.45% | 97.59% | |
42 Neutral | $4.74M | -0.31 | -618.35% | ― | -61.39% | -93.53% | |
39 Underperform | $2.09M | -0.03 | 256.59% | ― | ― | 67.65% |
* Industrials Sector Average
POLA
Polar Power
1.10
-3.46
-75.88%
OPTT
Ocean Power Technologies
0.70
-15.43
-95.69%
IPWR
Ideal Power
3.51
-1.42
-28.73%
SDST
Stardust Power
0.05
-5.09
-99.01%
XPON
Expion360, Inc.
4.08
-16.20
-79.88%
RAYA
Erayak Power Solution Group Incorporation Class A
1.63
-63.27
-97.49%
Polar Power Corporate Events
Business Operations and StrategyProduct-Related Announcements
Polar Power Wins Trial LPG Telecom Generator Order
Positive
Sep 29, 2026
On September 29, 2026, Polar Power announced it had received a trial order for 50 propane-fueled DC generators from a major Tier 1 telecom operator in Southeast Asia. The units are intended to power off-grid and bad-grid cell sites, reflecting a p...
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Polar Power CEO Converts Debt to Preferred Equity
Positive
Sep 28, 2026
On Sept. 24, 2026, Polar Power announced that founder, president and CEO Arthur D. Sams agreed to convert $614,700 of debt owed to him by the company into 683 shares of Series A Convertible Preferred stock. The move removes that debt from the bala...
Executive/Board ChangesPrivate Placements and Financing
Polar Power Raises Capital Through Convertible Notes Financing
Neutral
Aug 28, 2026
On August 28, 2026, Polar Power issued two convertible promissory notes with a total principal of $165,000 to LU2 Holdings and CL Investment Group for $150,000 in cash, carrying interest of 1% per month and maturing on November 26, 2026, when any ...
Business Operations and StrategyExecutive/Board Changes
Polar Power Appoints New Independent Directors to Board
Positive
Aug 24, 2026
On August 17, 2026, Polar Power’s Board of Directors filled two vacancies by appointing Jim Ahern and Menachem “Menny” Shalom as independent directors, with both joining the Audit, Compensation, and Nominating and Corporate Gover...
Business Operations and StrategyPrivate Placements and Financing
Polar Power Completes New Preferred Stock Financing Round
Positive
Aug 11, 2026
On July 29, 2026, Polar Power, Inc. entered into new financing agreements with CL Investment Group LLC and LU2 Holdings LLC to issue Series A Convertible Preferred Stock and common stock purchase warrants, with closing completed on August 5, 2026....
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Polar Power Updates Preferred Share Conversion Terms Clarification
Neutral
Jul 28, 2026
On July 23, 2026, Polar Power terminated its at-the-market equity sales agreement with ThinkEquity LLC, ending the arrangement under which it could periodically issue common stock through the sales agent without incurring any termination fees or p...
Business Operations and StrategyPrivate Placements and Financing
Polar Power Establishes New Equity Financing Facility
Positive
Jul 28, 2026
On July 27, 2026, Polar Power entered into a committed equity facility with Roth Principal Investments that allows, but does not obligate, the company to sell up to $25 million of newly issued common stock over a 36‑month period, subject to ...
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Polar Power Establishes Series A Convertible Preferred Stock
Neutral
Jul 17, 2026
Polar Power, Inc. has created a new class of equity securities, establishing a Series A Convertible Preferred Stock with a stated value of $1,000 per share and reserving 25,000 shares for potential issuance. The preferred stock carries a 10% annua...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.