Aware (AWRE) AI Stock Analysis

• Market Cap: $47.25M
• Dividend Yield: N/A
• Average Volume (3M): 61.22K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.18
• Revenue Growth: -9.72%
• EPS Growth: 25.68%
• Country: US
• Employees: 64
• Sector: Technology
• Sector Strength: 92
• Industry: Software - Application
• EPS (TTM): -0.07
• Shares Outstanding: 21,091,532
• 10 Day Avg. Volume: 57,977
• 30 Day Avg. Volume: 61,218
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $2.00
• Price Target Upside: -10.71% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 57 Neutral
• Price Target: $2.50 ▲(11.61%Upside)

Aware's overall stock score is primarily impacted by financial performance challenges, with profitability and growth hurdles. Positive technical momentum offers a counterbalance, while weak valuation metrics and mixed earnings call sentiment reflect ongoing risks and transformation efforts.

Aware Business Overview & Revenue Model

Company Description

Aware, Inc. (AWRE) is a leading provider of biometrics software and solutions. The company specializes in offering a comprehensive range of biometric products that enhance security and identity verification across various sectors, including government, law enforcement, and commercial enterprises. Aware's core offerings include fingerprint, face, and iris recognition technologies, as well as advanced analytics and data management solutions that help organizations improve their identity verification processes.

How the Company Makes Money

Aware makes money primarily through the sale of its biometric software products and solutions. The company's revenue model is built on licensing fees from its software products, which are used by clients to enhance their security and identity verification systems. Aware also generates income through professional services, such as consulting, training, and support, which help clients effectively implement and utilize their biometric technologies. Additionally, Aware may engage in partnerships and collaborations with government agencies and private sector organizations to deploy its solutions in large-scale identity management projects, contributing to its revenue streams.

Aware Financial Statement Overview

Summary

Aware faces significant profitability challenges with negative EBIT and declining revenues. Despite a strong cash position and no net debt, the company struggles with cash flow sustainability due to negative operating and free cash flow.

Income Statement

Aware's income statement shows persistent challenges, with negative EBIT and net income for the past several years, indicating profitability issues. The gross profit margin is decent at 100% for the latest period, but the company has experienced a decline in revenue compared to previous years, indicative of growth challenges.

Balance Sheet

The balance sheet reflects a strong cash position with no net debt due to substantial cash and short-term investments. However, the debt-to-equity ratio increased due to higher relative liabilities, and total assets have been declining. The equity ratio remains robust, showing a strong equity base.

Cash Flow

Cash flows are under pressure with negative operating and free cash flow in the latest period, though the company had positive operating cash flow in the prior year. The lack of consistent free cash flow generation is a concern for sustainability.

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

Aware Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.24
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AWRE, the sentiment is Positive. The current price of 2.24 is above the 20-day moving average (MA) of 2.17, above the 50-day MA of 1.91, and above the 200-day MA of 1.70, indicating a bullish trend. The MACD of 0.15 indicates Positive momentum. The RSI at 55.72 is Neutral, neither overbought nor oversold. The STOCH value of 37.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AWRE.

Aware Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MNDO	71 Outperform	$29.12M	7.81	18.26%	15.38%	-5.54%	-27.40%
NTWK	67 Neutral	$51.99M	212.44	0.75%	―	9.18%	―
AWRE	57 Neutral	$47.25M	―	-16.05%	―	-9.72%	25.68%
Sector *	57 Neutral	HK$14.24B	5.65	-5.77%	5.08%	9.65%	-43.80%
IDN	51 Neutral	$102.60M	―	-4.57%	―	5.78%	54.19%
CNTM	28 Underperform	$1.46M	―	-108.59%	―	―	-85.24%

Aware Corporate Events

Aware Holds Annual Meeting with Key Shareholder Votes

On June 11, 2025, Aware held its Annual Meeting where shareholders voted on several key issues. Brent P. Johnstone and John S. Stafford, III were re-elected as Class II directors for three-year terms. Additionally, an advisory proposal on executive compensation was approved, and RSM US LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025.