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Audioeye (AEYE)
NASDAQ:AEYE
US Market
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AudioEye (AEYE) AI Stock Analysis

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AEYE

AudioEye

(NASDAQ:AEYE)

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Neutral 62 (OpenAI - 5.2)
Rating:62Neutral
Price Target:
$7.50
▲(5.49% Upside)
Action:Reiterated
Date:07/07/26
The score is driven primarily by improving financial fundamentals—strong gross margins, solid and improving free cash flow, and reduced leverage—plus supportive, margin-expansion guidance from the latest earnings call. Offsetting these positives are continued GAAP losses (negative P/E) and a mixed technical picture, with the stock still below its 200-day moving average and MACD remaining negative.
Positive Factors
Recurring revenue / ARR growth
A $41.2M ARR base with consistent sequential and YoY ARR increases and ~127k customers provides durable revenue visibility. Recurring subscriptions and a large customer footprint support predictable cashflows, easier forecasting, and scalable upsell/expansion over the next 2–6 months.
Negative Factors
Persistent GAAP losses
GAAP operating and net losses persist, keeping ROE deeply negative. Over several quarters this can erode equity cushions and constrain reinvestment unless adjusted EBITDA gains translate into sustained GAAP profitability, making continued loss reduction vital for long-term stability.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring revenue / ARR growth
A $41.2M ARR base with consistent sequential and YoY ARR increases and ~127k customers provides durable revenue visibility. Recurring subscriptions and a large customer footprint support predictable cashflows, easier forecasting, and scalable upsell/expansion over the next 2–6 months.
Read all positive factors

AudioEye (AEYE) vs. SPDR S&P 500 ETF (SPY)

AudioEye Business Overview & Revenue Model

Company Description
AudioEye, Inc. provides patented, Internet content publication and distribution software and related services to Internet and other media to people regardless of their device, location, or disabilities in the United States. Its software and servic...
How the Company Makes Money
AudioEye primarily makes money by selling website and digital accessibility solutions to businesses and organizations, generally under recurring subscription arrangements for access to its accessibility software/platform and ongoing monitoring. A ...

AudioEye Earnings Call Summary

Earnings Call Date:May 12, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Aug 06, 2026
Earnings Call Sentiment Positive
The call emphasized multiple strong operational and financial improvements: continued record revenue growth (41 consecutive quarters), ARR expansion, improved adjusted EBITDA and free cash flow, clear product leadership, and supportive regulatory and market tailwinds (WebAIM trends and DOJ timing). Offsetting these positives are higher operating and litigation costs that widened the GAAP net loss, small customer count fluctuation from a partner realignment, modest gross margin compression, and slower near-term traction in the EU. Management provided constructive guidance and aggressive margin targets for 2026, and the firm has manageable leverage. Overall, the positives — recurring revenue momentum, improving profitability metrics, product differentiation and favorable market dynamics — outweigh the near-term cost and litigation headwinds.
Positive Updates
Record Revenue Streak and Q1 Revenue Growth
Q1 2026 revenue of $10.6 million, an 8% increase year-over-year, marking the company's 41st consecutive quarter of record revenue.
Negative Updates
Wider Net Loss and Increased Operating Expenses
Net loss increased to $2.1M ($0.17 per share) in Q1 2026 from $1.5M ($0.12 per share) year-over-year, driven by higher litigation costs, depreciation & amortization, and additional sales & marketing investments; operating expenses rose to $10.1M from $8.7M.
Read all updates
Q1-2026 Updates
Negative
Record Revenue Streak and Q1 Revenue Growth
Q1 2026 revenue of $10.6 million, an 8% increase year-over-year, marking the company's 41st consecutive quarter of record revenue.
Read all positive updates
Company Guidance
Management guided Q2 2026 revenue of $10.65–$10.75M, adjusted EBITDA of $2.6–$2.7M (≈25% adjusted EBITDA margin at the midpoint) and adjusted EPS of $0.21–$0.22; for full‑year 2026 they narrowed revenue to $43.25–$44.25M, expect adjusted EBITDA of at least $12M (≈27% margin at the midpoint) and adjusted EPS of at least $0.96, and are targeting a $15M run‑rate adjusted EBITDA by year‑end—management said this implies at least ~33% growth in adjusted EBITDA and adjusted EPS versus 2025, that compounding ARR (ARR was $41.2M as of 3/31/26) should drive notable sequential revenue growth in Q3–Q4, and that net debt-to-adjusted-EBITDA using 2026 guidance is roughly 0.7x.

AudioEye Financial Statement Overview

Summary
Revenue growth and consistently high gross margins support the model, and cash flow is a key strength with operating cash flow and free cash flow solidly positive and improving. Balance-sheet leverage is low and equity is positive. The main offset is that GAAP operating profit and net income remain negative, with returns on equity still deeply negative despite narrowing losses.
Income Statement
48
Neutral
Balance Sheet
67
Positive
Cash Flow
78
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue41.13M40.31M35.20M31.32M29.91M24.50M
Gross Profit32.07M31.56M27.94M24.34M22.69M18.38M
EBITDA420.00K1.44M-635.00K-3.25M-7.76M-12.61M
Net Income-3.72M-3.08M-4.25M-5.87M-10.43M-14.21M
Balance Sheet
Total Assets35.10M32.23M29.77M25.50M24.43M29.31M
Cash, Cash Equivalents and Short-Term Investments8.56M5.29M5.65M9.24M6.90M18.97M
Total Debt16.94M13.20M7.24M7.46M1.26M967.00K
Total Liabilities31.92M27.43M20.33M18.79M13.84M11.72M
Stockholders Equity3.18M4.80M9.44M6.71M10.59M17.60M
Cash Flow
Free Cash Flow6.01M4.70M790.00K-1.84M-6.25M-6.55M
Operating Cash Flow6.06M4.75M2.73M318.00K-5.00M-4.98M
Investing Cash Flow-4.13M-4.20M-7.21M-2.16M-5.73M-1.62M
Financing Cash Flow-1.63M-920.00K898.00K4.17M-1.33M16.48M

AudioEye Technical Analysis

Technical Analysis Sentiment
Positive
Last Price7.11
Price Trends
50DMA
7.03
Positive
100DMA
6.76
Positive
200DMA
9.25
Negative
Market Momentum
MACD
0.04
Negative
RSI
56.45
Neutral
STOCH
76.28
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AEYE, the sentiment is Positive. The current price of 7.11 is above the 20-day moving average (MA) of 6.45, above the 50-day MA of 7.03, and below the 200-day MA of 9.25, indicating a neutral trend. The MACD of 0.04 indicates Negative momentum. The RSI at 56.45 is Neutral, neither overbought nor oversold. The STOCH value of 76.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AEYE.

AudioEye Risk Analysis

AudioEye disclosed 43 risk factors in its most recent earnings report. AudioEye 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

AudioEye Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$88.70M-23.71-70.95%11.61%25.96%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
56
Neutral
$112.05M-7.39-20.76%-4.78%-90.32%
55
Neutral
$182.27M-8.52-15.26%-1.25%-109.14%
50
Neutral
$61.27M28.682.62%-6.00%-82.74%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AEYE
AudioEye
7.10
-4.49
-38.74%
SSTI
SoundThinking Inc
8.65
-4.19
-32.63%
MAPS
WM Technology
0.38
-0.58
-60.25%
EXFY
Expensify
1.89
-0.30
-13.70%

AudioEye Corporate Events

Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
AudioEye names new CFO to support growth
Positive
Jun 18, 2026
AudioEye has appointed Matthew Domeyer as Chief Financial Officer, effective July 20, 2026, following a board decision on June 17, 2026 and as part of a broader leadership transition that saw former CFO Kelly Georgevich become CEO on May 4, 2026. ...
Business Operations and StrategyExecutive/Board Changes
AudioEye Names New CEO in Leadership Realignment
Positive
May 7, 2026
On May 4, 2026, AudioEye’s board promoted Chief Financial Officer Kelly Georgevich to Chief Executive Officer and corporate secretary, while she temporarily retains her CFO duties as the company searches for a successor, and appointed her to...
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: Jul 07, 2026