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Actelis Networks, Inc. (ASNS)
NASDAQ:ASNS
US Market

Actelis Networks, Inc. (ASNS) AI Stock Analysis

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ASNS

Actelis Networks, Inc.

(NASDAQ:ASNS)

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Neutral 45 (OpenAI - 4o)
Rating:45Neutral
Price Target:
$0.61
▼(-1.94% Downside)
The overall score is primarily impacted by financial instability and bearish technical indicators. However, positive corporate events provide some optimism for future prospects.
Positive Factors
Revenue Growth
The significant revenue growth indicates strong demand for Actelis' products and services, suggesting a robust market position and potential for future expansion.
Strategic Partnerships
Strategic partnerships, such as the one with White Lion Capital, provide financial backing and enhance market reach, supporting Actelis' growth and operational strategies.
Product Innovation
Securing a major cybersecurity order highlights Actelis' innovation and capability to meet stringent industry standards, reinforcing its competitive position in the market.
Negative Factors
Financial Instability
Ongoing financial instability, marked by high leverage and reliance on external funding, poses risks to Actelis' long-term sustainability and operational flexibility.
Negative Cash Flow
Persistent negative free cash flow indicates operational challenges and could limit Actelis' ability to invest in growth opportunities without external financing.
Nasdaq Compliance Risks
Ongoing Nasdaq compliance monitoring suggests potential delisting risks, which could impact investor confidence and limit access to capital markets.

Actelis Networks, Inc. (ASNS) vs. SPDR S&P 500 ETF (SPY)

Actelis Networks, Inc. Business Overview & Revenue Model

Company DescriptionActelis Networks, Inc. (ASNS) is a technology company that specializes in providing high-performance networking solutions primarily for telecom operators, enterprises, and municipalities. The company focuses on delivering advanced Ethernet and broadband solutions over existing copper and fiber infrastructure to enable high-speed data services. Actelis' core products include Ethernet over Copper (EoC) systems, broadband access solutions, and integrated networking hardware that supports various applications such as video surveillance, IoT, and smart city projects.
How the Company Makes MoneyActelis Networks generates revenue through the sale of its networking products and solutions, which include hardware, software, and support services. The primary revenue streams consist of direct sales to telecommunications companies and enterprise clients, as well as recurring revenue from maintenance and support contracts. Additionally, the company often engages in partnerships with other technology providers to enhance its product offerings and reach new markets, which can also contribute to its earnings. By leveraging its advanced technology and establishing key partnerships, Actelis is able to tap into various sectors such as broadband, smart city initiatives, and enterprise networking, thereby diversifying its revenue sources.

Actelis Networks, Inc. Earnings Call Summary

Earnings Call Date:Mar 24, 2025
(Q4-2024)
|
% Change Since: |
Next Earnings Date:Mar 31, 2026
Earnings Call Sentiment Positive
Actelis Networks reported strong financial improvements in 2024 with significant revenue and margin growth, reduction in losses, and success in key markets, particularly in federal/military sectors. However, challenges such as sequential revenue decline in Q4 and cash position concerns persist. The company is optimistic about its growth prospects, focusing on strategic partnerships and operational efficiency improvements.
Q4-2024 Updates
Positive Updates
Substantial Revenue Growth
Actelis Networks achieved a 38% year-over-year revenue growth, reaching $7.8 million in 2024, driven by a 134% increase in North American revenues.
Impressive Gross Margin Improvement
The company's gross margin improved dramatically by 125%, reaching 55% for the full year, up from 34% in 2023.
Reduction in Loss Per Share
Actelis Networks reduced its loss per share by 67%, signaling significant progress towards profitability.
Federal/Military Sector Growth
The company achieved 150% year-over-year growth in new orders in the federal/military sector, with increasing adoption across military bases and federal agencies.
Expansion in Key Markets
Actelis Networks tripled its software and services new orders, and its GigaLine 900 solution gained significant traction in North America and globally.
Negative Updates
Sequential Revenue Decline in Q4
There was a sequential decline in revenue from Q3 to Q4 of 2024, attributed to the lumpiness in order timing and unpredictability of large orders.
Cash Position and Debt Concerns
Cash, cash equivalents, and restricted cash decreased to $2.3 million by year-end, with the company considering potential equity raises and debt facilities to support growth.
Company Guidance
During Actelis Networks' 2024 Annual Results Conference Call, CEO Tuvia Barlev highlighted significant financial improvements, including a 38% revenue growth, 125% gross margin improvement, and a 67% reduction in loss per share. The company achieved 150% year-over-year growth in new orders in the federal/military sector and tripled new software and services orders. Actelis' strategic initiatives for 2025 include the introduction of their MetaShield SaaS offering, strengthening go-to-market execution, and focusing on operational efficiency. Actelis also emphasized its nearly debt-free status and a 13% reduction in operating expenses, with plans to moderate debt to fund growth initiatives. The company plans to leverage its GigaLine product families and MetaShield solution to drive continued growth across federal, IoT, and MDU markets by integrating cybersecurity with network management.

Actelis Networks, Inc. Financial Statement Overview

Summary
Actelis Networks shows revenue growth and improved gross profit margins, but faces significant profitability challenges, high leverage, and reliance on external funding. The financial health remains fragile.
Income Statement
40
Negative
Actelis Networks has shown a mixed performance in recent years. The revenue in 2024 increased by 38.5% compared to 2023, which is a positive indicator. However, the company has struggled with profitability, consistently reporting negative net income and EBIT. The gross profit margin improved significantly from 33.9% in 2023 to 55% in 2024, indicating better cost management. Despite these improvements, the persistent losses and negative EBITDA margins indicate financial instability.
Balance Sheet
30
Negative
The balance sheet reveals high leverage, with the debt-to-equity ratio being unfavorable due to substantial liabilities compared to equity. The equity ratio improved in 2024, although it remains low, indicating potential financial risk. Positive equity in 2024 compared to previous negative figures is a step in the right direction, but the overall financial health remains fragile.
Cash Flow
35
Negative
Cash flow analysis shows continued negative free cash flow, although the operating cash flow improved slightly in 2024. The high operating cash outflows compared to net income reflect ongoing operational challenges. The improvement in financing cash flow suggests reliance on external funding to support operations, which could pose risks if not managed properly.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue3.37M7.76M5.61M8.83M8.54M8.53M
Gross Profit1.10M4.27M1.90M4.11M3.97M4.98M
EBITDA-7.40M-3.73M-5.49M-10.13M-4.52M-1.20M
Net Income-7.54M-4.37M-6.29M-10.98M-5.25M-1.50M
Balance Sheet
Total Assets6.93M8.22M11.22M14.82M4.68M3.77M
Cash, Cash Equivalents and Short-Term Investments1.45M1.97M817.00K5.57M693.00K569.00K
Total Debt771.00K1.34M5.39M6.54M11.14M6.58M
Total Liabilities3.97M5.24M10.84M11.55M18.70M12.58M
Stockholders Equity2.96M2.98M388.00K3.27M-14.01M-8.81M
Cash Flow
Free Cash Flow-7.41M-6.55M-6.59M-7.77M-2.78M-364.00K
Operating Cash Flow-7.41M-6.55M-6.58M-7.77M-2.73M-343.00K
Investing Cash Flow-4.00K197.00K3.82M-4.03M-54.00K-21.00K
Financing Cash Flow6.59M3.09M3.76M15.29M2.90M356.00K

Actelis Networks, Inc. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.62
Price Trends
50DMA
3.45
Negative
100DMA
4.14
Negative
200DMA
5.50
Negative
Market Momentum
MACD
-0.86
Positive
RSI
22.25
Positive
STOCH
2.38
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASNS, the sentiment is Negative. The current price of 0.62 is below the 20-day moving average (MA) of 1.96, below the 50-day MA of 3.45, and below the 200-day MA of 5.50, indicating a bearish trend. The MACD of -0.86 indicates Positive momentum. The RSI at 22.25 is Positive, neither overbought nor oversold. The STOCH value of 2.38 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ASNS.

Actelis Networks, Inc. Risk Analysis

Actelis Networks, Inc. disclosed 54 risk factors in its most recent earnings report. Actelis Networks, Inc. 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

Actelis Networks, Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
51
Neutral
$47.83M-7.79-19.65%-1.53%55.08%
49
Neutral
$23.68M-3.77-13.41%-34.53%-50.58%
45
Neutral
$917.62K-0.06-260.09%-56.36%32.37%
44
Neutral
$140.15M-2.04-7.88%-1.89%76.61%
42
Neutral
$39.21M-23.30-6.86%9.55%65.17%
41
Neutral
$41.52M-0.42
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ASNS
Actelis Networks, Inc.
0.52
-12.48
-96.00%
CMTL
Comtech Telecommunications
4.73
0.47
11.03%
OCC
Optical Cable
4.42
0.55
14.21%
UTSI
UTStarcom
2.50
-0.20
-7.41%
AIRG
Airgain
4.00
-3.27
-44.98%
CMBM
Cambium Networks
1.47
0.67
83.75%

Actelis Networks, Inc. Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
Actelis Networks Announces $5 Million Public Offering Pricing
Positive
Dec 19, 2025

On December 17, 2025, Actelis Networks priced a $5 million public offering of 6,250,000 shares of common stock, or pre-funded warrants in lieu thereof, together with an equal number of common warrants, at a combined price of $0.80 per share or pre-funded warrant and associated warrant, with closing expected on or about December 19, 2025, subject to customary conditions. The transaction, conducted on a best-efforts basis with H.C. Wainwright & Co. as exclusive placement agent, includes warrant structures that limit individual investors’ post-exercise ownership to 4.99% or 9.99% and provides the agent additional compensation via cash fees, expense reimbursements and placement agent warrants, leaving Actelis with approximately $4.46 million in net proceeds that it plans to use for general corporate purposes and to advance its development activities, bolstering its liquidity and financial flexibility while imposing short-term standstill and longer-term restrictions on certain variable-rate financings.

Business Operations and Strategy
Actelis Networks Unveils Strategic Investor Presentation
Positive
Dec 15, 2025

On December 15, 2025, Actelis Networks, Inc. released a corporate presentation on its website intended for use in investor and analyst meetings. The presentation highlights the company’s focus on edge networking and cyber safety, emphasizing the need for secure and efficient connectivity solutions. Actelis aims to address the challenges of slow and expensive fiber deployment by offering resilient and cybersafe networking options that perform like fiber. This strategic move is expected to strengthen Actelis’ position in the market by addressing critical networking bottlenecks and leveraging geopolitical forces to modernize defense and industrial applications.

Delistings and Listing ChangesRegulatory Filings and Compliance
Actelis Networks Regains Nasdaq Compliance Status
Positive
Dec 9, 2025

On December 9, 2025, Actelis Networks, Inc. announced it has regained compliance with the Nasdaq bid price requirement, having received formal notice from Nasdaq confirming this status. This development closes the previously disclosed listing matter, although the company will remain under a one-year panel monitor until December 5, 2026, during which failure to meet listing criteria could lead to a delist determination.

Delistings and Listing ChangesStock Split
Actelis Networks Announces Reverse Stock Split
Neutral
Nov 14, 2025

On November 14, 2025, Actelis Networks announced a one-for-ten reverse stock split of its common stock, effective before trading on November 18, 2025. This move aims to increase the stock’s per share and bid price to comply with Nasdaq’s listing requirements and attract institutional investors. The reverse split will reduce outstanding shares from approximately 17.5 million to 1.75 million without changing the ownership percentage of stockholders, except for rounding up fractional shares.

Delistings and Listing ChangesStock SplitRegulatory Filings and Compliance
Actelis Networks Maintains Nasdaq Listing Compliance
Neutral
Oct 31, 2025

On October 28, 2025, Actelis Networks, Inc. received a decision from Nasdaq confirming compliance with the stockholders’ equity requirement, allowing continued listing on The Nasdaq Capital Market. The company has until December 5, 2025, to meet the bid price requirement, for which it plans a reverse stock split pending shareholder approval. Actelis will be under a one-year Panel Monitor through October 28, 2026, to ensure continued compliance, with potential delisting if criteria are not met.

Delistings and Listing ChangesPrivate Placements and FinancingRegulatory Filings and Compliance
Actelis Networks Secures Funding Amid Nasdaq Compliance Efforts
Neutral
Oct 16, 2025

On August 19, 2025, Actelis Networks, Inc. received a notice from Nasdaq regarding non-compliance with the $2.5 million stockholders’ equity requirement, risking delisting. The company recently presented a compliance plan to Nasdaq’s Hearing Panel, but the outcome is uncertain. On September 29, 2025, Actelis completed a private placement with White Lion Capital LLC, raising approximately $850,000 and securing an equity line of credit for up to $30 million. Actelis believes it now meets the equity requirement but awaits Nasdaq’s confirmation.

Private Placements and FinancingRegulatory Filings and Compliance
Actelis Networks Enters Stock Purchase Agreement with White Lion
Neutral
Oct 2, 2025

On September 27, 2025, Actelis Networks, Inc. entered into a common stock purchase agreement with White Lion Capital LLC, allowing for the sale of up to $30 million in newly issued shares, subject to certain conditions. The agreement includes provisions for shareholder approval to exceed a 19.99% issuance cap, with penalties for non-compliance. Additionally, a private placement agreement was made with White Lion for shares and pre-funded warrants, raising approximately $850,000.

Product-Related AnnouncementsBusiness Operations and StrategyRegulatory Filings and Compliance
Actelis Networks Secures Major Cybersecurity Order in Europe
Positive
Oct 1, 2025

On October 1, 2025, Actelis Networks announced a significant order valued at approximately $0.3 million from a major telecommunications carrier in Southern Europe, part of a global telecommunications group. This order, which focuses on cybersecurity enhancements, involves upgrades to the carrier’s MetaAssist EMS software, embedded software security features, and comprehensive support services. The agreement expands on one of Actelis’ larger installations worldwide and underscores the trust placed in their technology by major telecommunications providers. The order is partly driven by new cybersecurity standards imposed across the carrier’s parent group, highlighting Actelis’ role in ensuring compliance and security for critical networks.

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: Dec 20, 2025