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Carbon Revolution (CREV)
NASDAQ:CREV
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Carbon Revolution
(NASDAQ:CREV)
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Rating:46Neutral
Price Target:
$3.50
▲(101.15% Upside)
Carbon Revolution's stock score is primarily impacted by its financial performance, characterized by rapid revenue growth but severe profitability and financial stability challenges. Technical analysis provides some positive signals, but valuation remains uncertain due to missing metrics. Investors should consider the high financial risks and operational inefficiencies.
Positive Factors
Revenue Growth
Strong revenue growth indicates increasing demand and market penetration, suggesting potential for future profitability and expansion.
Innovative Product Offering
The focus on innovative, high-performance products provides a competitive edge in the automotive industry, appealing to luxury and performance vehicle markets.
Strategic Partnerships
Strategic partnerships with leading automotive brands enhance market reach and credibility, supporting sustained revenue streams and growth opportunities.
Negative Factors
Negative Profit Margins
Negative profit margins highlight cost challenges, impacting profitability and necessitating improvements in cost management and operational efficiency.
High Financial Leverage
High leverage and negative equity indicate financial risk, potentially limiting flexibility and increasing vulnerability to economic downturns.
Negative Cash Flow
Negative cash flow from operations stresses financial sustainability, requiring strategic management to improve cash generation and support long-term viability.
Carbon Revolution (CREV) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$3.00M
Dividend YieldN/A
Average Volume (3M)973.20K
Price to Earnings (P/E)―
Beta (1Y)2.58
Revenue GrowthN/A
EPS GrowthN/A
CountryUS
Employees449
SectorConsumer Cyclical
Sector Strength84
IndustryAuto - Parts
Share Statistics
EPS (TTM)N/A
Shares Outstanding1,885,184
10 Day Avg. Volume39,436
30 Day Avg. Volume973,202
Financial Highlights & Ratios
PEG Ratio0.00
Price to Book (P/B)0.00
Price to Sales (P/S)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap37.29
Enterprise Value/Revenue1.94
Enterprise Value/Gross Profit-16.09
Enterprise Value/Ebitda-3.81
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Carbon Revolution Business Overview & Revenue Model
Company DescriptionCarbon Revolution Public Limited Company manufactures and sells carbon fibre wheels to original equipment vehicle manufacturers for the automotive industry worldwide. It also provides associated engineering services; and sells tools. The company was founded in 2007 and is based in Dublin, Ireland.
How the Company Makes MoneyCarbon Revolution makes money primarily through the sale of its carbon fiber wheels to automotive manufacturers and original equipment manufacturers (OEMs). The company's revenue model is based on manufacturing and selling these high-performance wheels either directly or through strategic partnerships with leading automotive brands. Significant partnerships with major car manufacturers enable Carbon Revolution to integrate its products into a wide range of luxury and performance vehicles, contributing to its earnings. Additionally, the company's focus on research and development allows it to innovate and maintain a competitive edge, attracting more business from the automotive sector.
Carbon Revolution Financial Statement Overview
Summary
Carbon Revolution exhibits strong revenue growth but faces severe financial risks, including negative profit margins, high leverage, and negative equity. These issues highlight critical challenges in achieving profitability and financial stability.Income Statement
Carbon Revolution has shown significant revenue growth, exceeding 86% from 2023 to 2024, yet it continues to grapple with pronounced losses. The gross profit margin and net profit margin are both negative, indicating significant cost challenges relative to revenue. The EBIT and EBITDA margins also remain in negative territory, underscoring ongoing operational inefficiencies and cost management issues.20
Very Negative
Balance Sheet
The company's balance sheet reveals a high debt-to-equity ratio, as stockholders' equity is negative, reflecting significant financial leverage and risk. The equity ratio is negative due to liabilities exceeding assets, highlighting potential solvency concerns. These factors suggest a precarious financial position requiring careful management.15
Very Negative
Cash Flow
Cash flow analysis shows a negative free cash flow, with a deteriorating trend from 2023 to 2024. The operating cash flow to net income ratio is negative, indicating that cash outflows from operations exceed net income, further stressing financial sustainability. Despite financing inflows, the company struggles with cash generation from core operations.25
Negative
| Breakdown | Dec 2023 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 38.26M | 71.46M | 40.34M | 34.94M | 26.88M |
| Gross Profit | -16.83M | -110.81M | -17.11M | -14.29M | -7.99M |
| EBITDA | -29.71M | -194.97M | -41.81M | -29.93M | -17.12M |
| Net Income | -79.22M | -221.08M | 6.22M | -36.00M | -78.71M |
Balance Sheet | |||||
| Total Assets | 158.34M | 64.90M | 215.21M | 183.69M | 130.07M |
| Cash, Cash Equivalents and Short-Term Investments | 19.58M | 3.71M | 1.71M | 87.26M | 33.86M |
| Total Debt | 92.67M | 111.19M | 31.06M | 27.12M | 28.19M |
| Total Liabilities | 142.61M | 251.86M | 16.40M | 46.97M | 52.74M |
| Stockholders Equity | 15.73M | -186.96M | 198.82M | 136.73M | 77.33M |
Cash Flow | |||||
| Free Cash Flow | -18.64M | -101.92M | -22.80M | -30.79M | -31.48M |
| Operating Cash Flow | -34.96M | -76.84M | -1.16M | -14.23M | -21.38M |
| Investing Cash Flow | -11.96M | -25.08M | -213.09M | -16.56M | -18.58M |
| Financing Cash Flow | 44.27M | 85.11M | 215.96M | 88.95M | 31.55M |
Carbon Revolution Technical Analysis
Negative
1.74
Price Trends
1.76
Negative
3.01
Negative
3.30
Negative
Market Momentum
-0.09
Negative
40.99
Neutral
26.27
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CREV, the sentiment is Negative. The current price of 1.74 is above the 20-day moving average (MA) of 1.69, below the 50-day MA of 1.76, and below the 200-day MA of 3.30, indicating a bearish trend. The MACD of -0.09 indicates Negative momentum. The RSI at 40.99 is Neutral, neither overbought nor oversold. The STOCH value of 26.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CREV.
Carbon Revolution Risk Analysis
Carbon Revolution disclosed 92 risk factors in its most recent earnings report. Carbon Revolution 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 3 New Risks
1.
The business combination with Carbon Revolution may be delayed or ultimately prohibited since such initial business combination may be subject to regulatory review and approval, including pursuant to foreign investment regulations and review by governmental entities such as the Committee on Foreign Investment in the United States ("CFIUS"). Q4, 2022
2.
Recent increases in inflation and interest rates in the United States and elsewhere could make it more difficult for us to consummate an initial business combination. Q4, 2022
3.
Recent increases in inflation and interest rates in the United States and elsewhere could make it more difficult for us to consummate an initial business combination. Q4, 2022
Carbon Revolution Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
52 Neutral | $80.60M | -33.43 | -12.14% | ― | -13.01% | 21.49% | |
49 Neutral | $18.16M | -0.50 | -95.07% | ― | 123.37% | 44.08% | |
48 Neutral | $55.10M | -0.92 | -31.07% | ― | -23.26% | -259.03% | |
46 Neutral | $3.00M | ― | ― | ― | ― | ― | |
45 Neutral | $184.35M | -5.70 | -12.26% | ― | -4.91% | -331.53% | |
43 Neutral | $10.08M | -3.96 | ― | ― | 8.54% | -178.36% |
* Consumer Cyclical Sector Average
CREV
Carbon Revolution
1.59
-2.37
-59.85%
CVGI
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1.50
-0.57
-27.54%
SRI
Stoneridge
6.58
2.20
50.23%
SYPR
Sypris
3.50
1.34
62.04%
WKSP
Worksport
1.85
-7.28
-79.74%
INEO
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0.61
-1.69
-73.52%
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.