Arbe Robotics (ARBE) AI Stock Analysis

• Market Cap: $152.49M
• Dividend Yield: N/A
• Average Volume (3M): 1.16M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.05
• Revenue Growth: -60.93%
• EPS Growth: 10.46%
• Country: US
• Employees: 138
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.09
• Shares Outstanding: 105,163,185
• 10 Day Avg. Volume: 1,216,838
• 30 Day Avg. Volume: 1,157,467
• 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: 1.21
• Enterprise Value/Revenue: 344.81
• Enterprise Value/Gross Profit: -191.92
• Enterprise Value/Ebitda: -3.73
• 1Y Price Target: $1.75
• Price Target Upside: 25.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 41 Neutral
• Price Target: $1.50 ▲(7.14% Upside)

Arbe Robotics' overall stock score is heavily impacted by its poor financial performance, characterized by declining revenues and high operational losses. While there are strategic partnerships and future growth potential, the current financial instability and negative valuation metrics weigh heavily on the score. Technical analysis provides some neutral signals, but the overall outlook remains challenging.

Positive Factors

Strategic Partnerships

Collaborations with industry leaders like NVIDIA enhance Arbe's technological offerings and market reach, supporting long-term growth in the automotive sector.

Expansion into Non-Automotive Sectors

Diversifying into non-automotive markets like defense broadens revenue streams and reduces reliance on the automotive sector, enhancing business resilience.

OEM Engagement

Progress in OEM engagements positions Arbe to secure significant contracts, driving future revenue and solidifying its market position in autonomous vehicle technology.

Negative Factors

Declining Revenue

Continued revenue decline indicates challenges in market penetration and sales growth, potentially affecting long-term financial stability and investment capacity.

High Operational Losses

Persistent high operational losses highlight inefficiencies and cost management issues, which could impede profitability and require strategic restructuring.

Cash Flow Constraints

Negative cash flows limit the company's ability to invest in growth opportunities and meet financial obligations, posing risks to long-term viability.

Arbe Robotics Business Overview & Revenue Model

Company Description

Arbe Robotics Ltd., a semiconductor company, provides 4D imaging radar solutions for tier 1 automotive suppliers and automotive manufacturers in Israel and the United States. It offers 4D imaging radar chipset solutions that address the core issues that have caused autonomous vehicle and autopilot accidents, such as detecting stationary objects, identifying vulnerable road users, and eliminating false alarms without radar ambiguities. The company was founded in 2015 and is headquartered in Tel Aviv-Yafo, Israel.

How the Company Makes Money

Arbe Robotics generates revenue primarily through the sale of its proprietary 4D imaging radar systems to automotive manufacturers and suppliers. The company's key revenue streams include direct sales of radar units and licensing of its technology to partners engaged in developing autonomous and semi-autonomous vehicles. Additionally, Arbe may enter into strategic partnerships with automotive industry leaders to integrate its radar technology into broader vehicle systems, further expanding its market reach and revenue potential. The company's growth is supported by increasing demand for advanced safety features in vehicles and the ongoing shift towards autonomous driving technologies.

Arbe Robotics Financial Statement Overview

Summary

Arbe Robotics is facing significant financial challenges, including declining revenues, negative gross profit, and high operational losses. The balance sheet shows high leverage and low equity, while cash flow constraints highlight liquidity issues. These factors pose substantial risks to financial stability and growth.

Income Statement

Arbe Robotics has been experiencing significant challenges in its income statement. The company has faced declining revenues over recent years, with a notable decrease from $3.5 million in 2022 to $768,000 in 2024. The gross profit has been negative, indicating cost of goods sold exceeds sales revenue. The EBIT and net income margins are also negative, highlighting ongoing operational inefficiencies and high expenses relative to revenue. These factors suggest a difficult path to profitability.

Balance Sheet

Arbe Robotics' balance sheet shows significant leverage with a debt-to-equity ratio that has increased due to a decrease in equity and an increase in debt. The equity ratio is low, indicating a smaller proportion of assets financed by equity. However, the company has maintained a reasonable level of cash and short-term investments, which could provide some financial flexibility. Overall, the balance sheet reflects high financial risk with limited equity buffer.

Cash Flow

The cash flow statement reveals persistent negative operating cash flows, indicating the company is not generating sufficient cash from operations to cover its expenses. Free cash flow is also negative, suggesting cash outflows exceed inflows. The free cash flow to net income ratio is unfavorable, reinforcing the strain on liquidity. These metrics highlight cash management challenges that may hinder growth and stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	536.00K	768.00K	1.47M	3.52M	2.25M	332.00K
Gross Profit	-963.00K	-785.00K	-38.00K	2.23M	809.00K	-8.00K
EBITDA	-49.56M	-49.07M	-46.33M	-47.25M	-32.94M	-14.73M
Net Income	-48.75M	-49.32M	-43.50M	-33.26M	-82.91M	-16.29M
Balance Sheet
Total Assets	75.83M	60.79M	50.48M	60.83M	105.35M	4.41M
Cash, Cash Equivalents and Short-Term Investments	26.04M	24.28M	44.06M	54.57M	100.81M	2.96M
Total Debt	11.43M	32.62M	1.74M	381.00K	4.92M	4.20M
Total Liabilities	17.85M	38.29M	8.39M	12.08M	25.52M	64.56M
Stockholders Equity	57.98M	22.50M	42.09M	48.75M	79.82M	-60.16M
Cash Flow
Free Cash Flow	-34.30M	-33.12M	-33.76M	-41.28M	-27.20M	-15.44M
Operating Cash Flow	-34.01M	-32.50M	-33.51M	-40.36M	-26.42M	-15.29M
Investing Cash Flow	-35.74M	3.99M	-15.25M	-1.32M	-684.00K	9.70M
Financing Cash Flow	67.36M	13.53M	23.20M	-4.94M	125.08M	1.53M

Arbe Robotics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.40
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ARBE, the sentiment is Neutral. The current price of 1.4 is above the 20-day moving average (MA) of 1.32, above the 50-day MA of 1.39, and below the 200-day MA of 1.69, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.77 is Neutral, neither overbought nor oversold. The STOCH value of 80.77 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ARBE.

Arbe Robotics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HPAI	72 Outperform	148.16M	―	0.00%	―	0.00%	0.00%
PDYN	46 Neutral	303.71M	-3.87	-83.21%	―	-50.07%	40.90%
BKKT	43 Neutral	223.49M	-2.21	-137.66%	―	111.83%	73.52%
ARQQ	42 Neutral	541.65M	-18.92	-461.85%	―	-67.43%	87.17%
ARBE	41 Neutral	$152.49M	―	-116.76%	―	-60.93%	10.46%
AISP	35 Underperform	170.40M	-3.32	0.00%	―	0.00%	0.00%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Arbe Robotics Corporate Events

Arbe Robotics Announces 2025 Annual General Meeting

Arbe Robotics Ltd. has announced its 2025 Annual General Meeting of Shareholders, scheduled for September 17, 2025. Key agenda items include the election and re-election of Class I directors, approval of executive and non-executive compensation, appointment of independent auditors, and an increase in registered share capital. These decisions are expected to impact the company’s governance and financial structure, potentially influencing its market position and shareholder value.

Arbe Robotics Announces 2025 Virtual Annual General Meeting

Arbe Robotics Ltd. announced its 2025 Annual General Meeting of Shareholders, scheduled for September 17, 2025, to be held virtually. Key agenda items include the election of Class I Directors, approval of executive and non-executive directors’ compensation, re-appointment of independent auditors, and an increase in the company’s registered share capital. These proposals aim to strengthen the company’s governance and financial structure, potentially impacting its market position and shareholder value.

Arbe Robotics Reports Q2 2025 Financial Results and Strategic Advances

On August 7, 2025, Arbe Robotics Ltd. announced its financial results for the second quarter ending June 30, 2025. The company reported revenues of $0.3 million, a decrease from $0.4 million in the same quarter of 2024, and a net loss of $10.2 million, an improvement from a $11.7 million loss in Q2 2024. Despite the financial challenges, Arbe made significant progress in the automotive industry, advancing to the final stages of OEM production program selections and securing strategic orders for its chipsets in data collection projects. The company also expanded its non-automotive growth potential with orders from Sensrad and launched a long-range imaging radar system in collaboration with HiRain Technologies. Arbe’s high-definition radar technology positions it to capitalize on new regulatory opportunities in China, enhancing ADAS performance to meet advanced standards.

Arbe Robotics to Discuss Q2 2025 Financial Results on August 7

On July 21, 2025, Arbe Robotics Ltd. announced it will hold a conference call on August 7, 2025, to discuss its financial results for the second quarter of 2025. The announcement highlights the company’s ongoing commitment to transparency with stakeholders and its strategic positioning in the fast-growing automotive radar market. The call will feature key executives and provide insights into the company’s financial performance and future outlook.