iLearningEngines Holdings (AILEQ) AI Stock Analysis

• Market Cap: $141.00
• Dividend Yield: N/A
• Average Volume (3M): 39.16K
• Price to Earnings (P/E): ―
• Beta (1Y): 108106.05
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 101
• Sector: Technology
• Sector Strength: 88
• Industry: Software
• EPS (TTM): -3.49
• Shares Outstanding: 141,173,280
• 10 Day Avg. Volume: 17,717
• 30 Day Avg. Volume: 39,161
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 6.91M
• Enterprise Value/Revenue: 2.59
• Enterprise Value/Gross Profit: 3.75
• Enterprise Value/Ebitda: -3.15
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.28
• Revenue Forecast (FY): $849.28M

• Rating: 44 Neutral
• Price Target: ―
• Action: N/A Date: 01/18/25
• Date: Action: N/A 01/18/25

The overall stock score reflects significant financial instability, marked by high debt, negative cash flows, and recent bankruptcy filing. These factors overshadow strong revenue growth, with technical indicators and valuation metrics pointing to continued challenges and high risk for investors.

Positive Factors

Revenue Growth

Strong revenue growth indicates a robust demand for the company's offerings, suggesting potential for market expansion and increased market share over time.

Gross Profit Margins

Sustained gross profit margins reflect effective cost control, which supports profitability and competitive pricing strategies in the long term.

Operational Continuity

Court approval to continue operations during bankruptcy ensures business continuity, allowing the company to stabilize and restructure for future viability.

Negative Factors

High Debt Levels

Elevated debt levels increase financial risk and limit flexibility, potentially hindering investment in growth opportunities and impacting long-term sustainability.

Negative Cash Flows

Persistent negative cash flows indicate liquidity issues, which could constrain the company's ability to finance operations and meet obligations without external funding.

Bankruptcy Filing

The bankruptcy filing reflects significant financial instability, raising concerns about the company's ability to recover and maintain stakeholder confidence in the long term.

iLearningEngines Holdings Business Overview & Revenue Model

Company Description

Arrowroot Acquisition Corp is a blank check company.

How the Company Makes Money

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iLearningEngines Holdings Financial Statement Overview

Summary

iLearningEngines Holdings has demonstrated strong revenue growth, but struggles with profitability and cash flow management. High debt levels and decreasing equity pose concerns about financial stability and leverage.

Income Statement

iLearningEngines Holdings has exhibited positive revenue growth over the years, with a significant increase in total revenue from $141.75 million in 2020 to $420.58 million in 2023, representing strong growth. However, the net profit margin has been a concern, with a negative net income of $4.41 million in 2023, indicating struggles with profitability. Gross profit margins have remained healthy, suggesting efficient cost management at the production level.

Balance Sheet

The company has a high debt-to-equity ratio, primarily due to an increase in total debt to $101.91 million in 2023, which raises concerns about leverage and financial stability. Stockholders' equity has significantly decreased from $264.32 million in 2021 to $22.26 million in 2023, reflecting potential erosion of shareholder value. The equity ratio has also been impacted negatively, indicating potential risk from a balance sheet perspective.

Cash Flow

Cash flow analysis indicates challenges, with negative operating cash flow consistently over the years, culminating in -$16.17 million in 2023. The free cash flow has been negative, suggesting issues with liquidity and cash generation. The company has relied on financing activities to support cash flows, which could be a concern if this trend continues without an improvement in operating cash flows.

Breakdown	TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	376.14M	420.58M	309.17M	217.87M	141.75M
Gross Profit	260.13M	288.43M	215.28M	153.03M	100.09M
EBITDA	-309.21M	19.11M	12.01M	-3.86M	0.00
Net Income	-317.04M	-4.41M	11.47M	4.84M	6.86M
Balance Sheet
Total Assets	156.69M	47.00M	290.96M	288.30M	116.53K
Cash, Cash Equivalents and Short-Term Investments	39.24M	4.76M	145.98K	262.67K	21.96K
Total Debt	109.67M	101.91M	1.50M	750.00K	0.00
Total Liabilities	153.76M	24.74M	13.12M	23.98M	88.26K
Stockholders Equity	2.92M	22.26M	277.84M	264.32M	28.73K
Cash Flow
Free Cash Flow	-10.75M	-16.19M	-1.60M	-2.45M	-683.00
Operating Cash Flow	-10.71M	-16.17M	-1.60M	-2.44M	-683.00
Investing Cash Flow	-528.40K	-24.00K	731.21K	-287.50M	0.00
Financing Cash Flow	43.56M	22.10M	750.00K	290.18M	22.65K

iLearningEngines Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.49
• 50DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AILEQ, the sentiment is Positive. The current price of 0.49 is above the 20-day moving average (MA) of 0.08, above the 50-day MA of 0.08, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 79.27 is Negative, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AILEQ.

iLearningEngines Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SPRU	62 Neutral	$69.95M	-2.81	-18.23%	―	37.59%	72.94%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
GMM	61 Neutral	$57.99M	3.16	15.52%	―	41.74%	-75.97%
YXT	49 Neutral	$35.56M	0.76	―	―	―	―
AILEQ	44 Neutral	$141.00	―	-19.80%	―	―	―
JZ	40 Underperform	$6.92M	-0.20	-238.22%	―	-87.12%	74.35%