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USBC (USBC) AI Stock Analysis

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USBC

USBC

(NYSE MKT:USBC)

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Underperform 28 (OpenAI - 4o)
Rating:28Underperform
Price Target:
Know Labs faces significant financial and operational challenges, reflected in a low overall score. Key factors include negative financial performance due to substantial losses and high leverage, alongside weak technical indicators. Valuation metrics further underscore the stock's unattractiveness given its negative P/E ratio and absence of dividends. Without any positive earnings call or corporate events to offset these issues, the stock remains a high-risk investment at this time.

USBC (USBC) vs. SPDR S&P 500 ETF (SPY)

USBC Business Overview & Revenue Model

Company DescriptionKnow Labs (KNWN) is a biotechnology company specializing in the development and commercialization of non-invasive medical diagnostic technology. The company's core product leverages its patented Bio-RFID™ technology, which uses radiofrequency spectroscopy to analyze molecular signatures in the human body. This technology is primarily applied to glucose monitoring, providing an alternative to traditional invasive blood glucose tests.
How the Company Makes MoneyKnow Labs makes money by developing and licensing its proprietary Bio-RFID™ technology. The company's revenue streams include technology licensing fees, partnerships with medical device manufacturers, and potential direct sales of its diagnostic devices. Significant partnerships with healthcare firms and medical technology companies contribute to its earnings by facilitating the integration of its technology into existing and new medical platforms. Additionally, Know Labs may generate revenue through collaborations for research and development, as well as through potential future regulatory approvals that could lead to broader market adoption.

USBC Earnings Call Summary

Earnings Call Date:Aug 05, 2025
(Q2-2024)
|
% Change Since: |
Next Earnings Date:Dec 23, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of promising technological advancements and clinical results, coupled with financial challenges and a need for further capital. The company is making significant strides in product development and intellectual property, but faces issues with cash reserves and shareholder equity.
Q2-2024 Updates
Positive Updates
Gen 2 Device Development - KnowU
The KnowU, a wearable noninvasive continuous glucose monitoring device, was announced on February 27. It is significantly smaller, lighter, includes onboard computing power, and built-in machine learning capabilities.
Positive Clinical Trial Results
An internal trial with more than 30 participants showed a mean absolute relative difference (MARD) of 11.1%, indicating promising accuracy of the glucose monitoring technology.
Significant Intellectual Property Growth
Over 300 patents issued, pending, and in process, reflecting innovation in radio frequency spectroscopy technology.
Funding Agreement Secured
Entered into a funding agreement for an investment of up to $12 million with Lind Global Fund II LP to accelerate development.
Engagement with Diabetes Community
Participated in significant conferences like ATTD, where the KnowU was displayed, and received an emerging technology grant as an outstanding startup.
Reduction in Operating Loss
Operating loss decreased by 1.7% from $4.81 million in Q2 fiscal 2023 to $4.73 million in Q2 fiscal 2024.
Negative Updates
Negative Shareholder Equity
Shareholder equity for Q2 fiscal 2024 was a negative $1.75 million versus $3.74 million in fiscal '23 ending September 30, 2023.
Cash and Cash Equivalents Decrease
Cash and cash equivalents decreased to $4.71 million compared to $8.02 million at the end of September 30, 2023.
Increased SG&A Expenses
Selling, general and administrative expenses increased by 13.7% year-over-year, mainly due to key hires and legal expenses.
High Burn Rate and Need for Additional Financing
Net cash used in operations was $7.05 million for the first 6 months, indicating a need for further capital raising.
Company Guidance
During the Know Labs Q2 2024 earnings call, the company provided several updates and guidance on its progress across key work streams. The company highlighted the development of its Generation 1 and Generation 2 (KnowU) noninvasive continuous glucose monitoring devices, with the latter being smaller, lighter, and equipped with built-in machine learning capabilities. Clinical trials have been promising, with a mean absolute relative difference (MARD) of 11.1% achieved, and plans to improve this to 10% or less. Financially, Know Labs reported an operating loss of $4.73 million, a slight improvement from the previous year, and maintained a cash balance of $4.71 million as of March 31, 2024. The company has secured up to $12 million in funding to support its core work streams and plans to raise additional funds through equity offerings to address its negative shareholder equity of $1.75 million. Know Labs is also actively expanding its intellectual property portfolio, with over 300 patents issued or pending globally. The company is positioning itself to achieve FDA clearance and commercialize its innovative glucose monitoring technology while exploring international opportunities.

USBC Financial Statement Overview

Summary
Income Statement
10
Very Negative
Balance Sheet
20
Very Negative
Cash Flow
15
Very Negative
Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

USBC Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.29
Price Trends
50DMA
1.61
Negative
100DMA
1.69
Negative
200DMA
2.58
Negative
Market Momentum
MACD
-0.13
Negative
RSI
57.26
Neutral
STOCH
89.99
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For USBC, the sentiment is Negative. The current price of 1.29 is above the 20-day moving average (MA) of 0.88, below the 50-day MA of 1.61, and below the 200-day MA of 2.58, indicating a neutral trend. The MACD of -0.13 indicates Negative momentum. The RSI at 57.26 is Neutral, neither overbought nor oversold. The STOCH value of 89.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for USBC.

USBC Risk Analysis

USBC disclosed 33 risk factors in its most recent earnings report. USBC 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

USBC Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
66
Neutral
66.70M15.3718.56%27.70%
58
Neutral
1.61B-15.38-41.60%26.37%38.13%
49
Neutral
354.90M-473.99-0.36%0.99%8.33%99.75%
46
Neutral
109.73M-3.88-889.21%8.95%14.34%
28
Underperform
$446.37M42.75%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
USBC
USBC
1.29
-11.51
-89.92%
GNSS
Genasys
2.53
-1.01
-28.53%
MLAB
Mesa Laboratories
64.51
-62.39
-49.16%
MIND
MIND Technology
8.47
4.44
110.17%
SOBR
SOBR Safe
3.48
-86.72
-96.14%
OUST
Ouster
27.83
21.47
337.58%
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.Date of analysis: Apr 23, 2025