A2Z Smart Technologies (AZ) AI Stock Analysis

• Market Cap: $228.70M
• Dividend Yield: N/A
• Average Volume (3M): 411.58K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: -1.36%
• EPS Growth: -35.79%
• Country: US
• Employees: 201
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.07
• Shares Outstanding: 42,827,663
• 10 Day Avg. Volume: 334,264
• 30 Day Avg. Volume: 411,576
• PEG Ratio: -0.10
• Price to Book (P/B): 10.17
• Price to Sales (P/S): 19.74
• P/FCF Ratio: -11.94
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 38.22
• Enterprise Value/Gross Profit: 141.03
• Enterprise Value/Ebitda: -11.84
• 1Y Price Target: $20.00
• Price Target Upside: 274.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 40 Underperform
• Price Target: $5.00 ▼(-6.37% Downside)

A2Z Smart Technologies faces significant financial and technical challenges. The company's declining revenues and persistent losses are major concerns, compounded by bearish technical indicators. The negative P/E ratio and lack of dividend yield further weaken the stock's valuation appeal.

Positive Factors

Market Position Strengthening

The $41.2 million raised will enhance smart cart production, potentially strengthening market position and operational capabilities.

Asset Growth

Significant asset growth indicates ongoing investment in R&D and market expansion, supporting long-term strategic goals.

Strategic Focus

Selling A2ZMS allows A2Z Smart Technologies to focus resources on core business areas, potentially improving market positioning.

Negative Factors

Revenue Decline

A significant revenue decline indicates challenges in sales growth and market penetration, affecting long-term financial stability.

Negative Cash Flow

Persistent negative cash flow strains liquidity and increases reliance on external funding, posing risks to financial health.

Increasing Losses

Rising operating losses highlight ongoing profitability challenges, impacting the company's ability to achieve sustainable growth.

A2Z Smart Technologies Business Overview & Revenue Model

Company Description

A2Z Smart Technologies (AZ) is a forward-thinking company specializing in the development and integration of innovative smart technology solutions across various sectors, including home automation, energy management, and industrial IoT. The company focuses on creating user-friendly devices and software that enhance efficiency, sustainability, and convenience for both consumers and businesses. Core offerings include smart home devices, energy monitoring systems, and bespoke IoT solutions tailored to specific industry needs.

How the Company Makes Money

A2Z Smart Technologies generates revenue through multiple channels, including direct sales of smart devices, subscription services for software platforms, and consulting services for IoT implementation. Key revenue streams include the sale of smart home products, such as smart thermostats and security systems, as well as monthly subscriptions for cloud-based services that enable users to monitor and control their devices remotely. Additionally, the company partners with construction firms and energy providers to integrate their technology into new developments and energy management systems, creating a steady income from B2B collaborations. These partnerships not only enhance revenue but also expand the company's market reach and brand visibility.

A2Z Smart Technologies Financial Statement Overview

Summary

A2Z Smart Technologies is facing significant financial challenges, with declining revenues and persistent losses impacting profitability. While the company maintains low leverage and a strong equity base, its inability to generate positive returns and cash flow from operations remains a concern.

Income Statement

A2Z Smart Technologies has faced declining revenue with a negative growth rate of -7.46% in the TTM period. The company struggles with profitability, as evidenced by a negative net profit margin of -4.84% and a negative EBIT margin of -5.20%. Despite a relatively stable gross profit margin of 31.40%, the overall income statement reflects significant challenges in achieving profitability.

Balance Sheet

The balance sheet shows a low debt-to-equity ratio of 0.03, indicating low leverage, which is a positive aspect. However, the return on equity is negative at -83.39%, highlighting inefficiencies in generating returns for shareholders. The equity ratio stands at 88.59%, suggesting a strong equity base relative to total assets, but the negative ROE remains a concern.

Cash Flow

Cash flow analysis reveals a positive free cash flow growth rate of 27.49% in the TTM period, indicating some improvement. However, the operating cash flow to net income ratio is negative at -1.89, reflecting challenges in converting income into cash. The free cash flow to net income ratio is slightly positive at 1.04, suggesting some ability to generate cash relative to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.54M	7.17M	11.38M	9.35M	2.69M	1.07M
Gross Profit	1.77M	1.99M	1.99M	1.83M	656.00K	215.00K
EBITDA	-21.10M	-18.35M	-16.97M	-17.46M	-39.81M	-5.70M
Net Income	-31.62M	-17.00M	-16.06M	-16.56M	-39.16M	-5.95M
Balance Sheet
Total Assets	81.92M	18.88M	8.52M	12.69M	14.13M	8.85M
Cash, Cash Equivalents and Short-Term Investments	70.41M	13.73M	2.34M	2.62M	8.53M	5.40M
Total Debt	2.07M	1.39M	1.99M	2.63M	918.00K	1.04M
Total Liabilities	10.65M	12.03M	10.83M	9.80M	3.22M	10.82M
Stockholders Equity	72.56M	13.91M	2.49M	5.29M	11.51M	-2.49M
Cash Flow
Free Cash Flow	-17.63M	-11.85M	-11.56M	-10.16M	-9.79M	-1.24M
Operating Cash Flow	-16.93M	-11.71M	-11.39M	-9.43M	-9.38M	-1.00M
Investing Cash Flow	-28.59M	-140.00K	-320.00K	-1.56M	-280.00K	-425.00K
Financing Cash Flow	87.21M	22.81M	10.89M	6.10M	12.36M	7.20M

A2Z Smart Technologies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AZ, the sentiment is Negative. The current price of 5.34 is below the 20-day moving average (MA) of 6.08, below the 50-day MA of 7.01, and below the 200-day MA of 8.20, indicating a bearish trend. The MACD of -0.53 indicates Positive momentum. The RSI at 35.46 is Neutral, neither overbought nor oversold. The STOCH value of 45.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AZ.

A2Z Smart Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRAK	70 Outperform	$250.55M	37.99	14.60%	0.54%	11.05%	18.55%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SMRT	53 Neutral	$274.34M	―	-25.48%	―	-24.30%	-181.62%
EGHT	48 Neutral	$263.42M	―	-4.88%	―	0.25%	92.10%
OCFT	47 Neutral	$308.08M	-3.06	-24.21%	―	-48.61%	-2291.48%
ALTS	46 Neutral	$207.95M	―	-46.05%	―	926.05%	68.96%
AZ	40 Underperform	$228.70M	―	-78.92%	―	-1.36%	-35.79%

A2Z Smart Technologies Corporate Events

A2Z Smart Technologies Reports Increased Assets Amid Operating Loss

A2Z Cust2Mate Solutions Corp. released its unaudited condensed consolidated interim financial statements for the three and nine months ended September 30, 2025. The financial report shows a significant increase in total assets from $18.9 million at the end of 2024 to $81.9 million by September 2025, indicating substantial growth. However, the company reported an operating loss of $4.1 million for the three months ended September 30, 2025, compared to a loss of $2.6 million in the same period of the previous year, reflecting increased expenses in research, development, and administration.

A2Z Cust2Mate Announces $41.2 Million Public Offering to Boost Smart Cart Production

On September 16, 2025, A2Z Cust2Mate Solutions Corp. announced an underwritten public offering of 5,625,000 common shares at $8.00 each, expected to close on September 18, 2025. The company aims to raise approximately $41.2 million from this offering to fund the mass manufacturing of smart carts, marketing, sales, and working capital, potentially strengthening its market position and operational capabilities.