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Flux Power Holdings (FLUX)
NASDAQ:FLUX
US Market
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Flux Power Holdings (FLUX) AI Stock Analysis

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FLUX

Flux Power Holdings

(NASDAQ:FLUX)

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Neutral 55 (OpenAI - 4o)
Rating:55Neutral
Price Target:
$2.50
▼(-33.16% Downside)
Flux Power Holdings' stock score is primarily impacted by its financial instability and negative valuation metrics. Despite positive technical indicators and promising strategic initiatives, the company's high leverage and ongoing losses present significant risks. The earnings call provided some optimism with revenue growth and operational improvements, but macroeconomic challenges and increased expenses remain concerns.
Positive Factors
Revenue Growth
Consistent revenue growth indicates strong market demand and effective sales strategies, enhancing long-term business sustainability.
Gross Margin Improvement
Improved gross margins suggest better cost management and pricing power, contributing to potential profitability and competitive edge.
SkyEMS AI Platform Progress
Advancements in the SkyEMS platform could drive recurring revenue and deepen customer integration, supporting long-term growth.
Negative Factors
High Leverage
High leverage poses risks to financial stability, limiting flexibility and increasing vulnerability to economic downturns.
Low Cash Position
A low cash reserve may constrain operational capabilities and investment in growth initiatives, impacting long-term viability.
Higher Operating Expenses
Rising operating expenses can erode profitability, challenging the company's ability to achieve sustainable financial performance.

Flux Power Holdings (FLUX) vs. SPDR S&P 500 ETF (SPY)

Flux Power Holdings Business Overview & Revenue Model

Company DescriptionFlux Power Holdings, Inc. (FLUX) is a publicly traded company specializing in the design, development, and sale of advanced lithium-ion energy storage solutions. The company's core sectors include material handling, airport ground support, and other industrial applications. Flux Power's primary products are lithium-ion battery packs that power a range of electric equipment such as forklifts, electric pallet jacks, and airport ground support equipment. The company is headquartered in Vista, California, and aims to provide environmentally friendly, cost-effective, and reliable energy storage solutions to its diverse clientele.
How the Company Makes MoneyFlux Power Holdings generates revenue primarily through the sale of its lithium-ion battery packs to industrial customers. These battery packs replace traditional lead-acid batteries, offering a more efficient and longer-lasting energy solution. Key revenue streams include direct sales to equipment manufacturers and end-users in the material handling and airport ground support sectors. The company also benefits from partnerships with major equipment manufacturers and distributors, which help expand its market reach. Additionally, Flux Power offers repair and maintenance services for its battery systems, providing another source of income. The company's focus on innovation and meeting the growing demand for sustainable energy solutions are significant factors contributing to its earnings.

Flux Power Holdings Earnings Call Summary

Earnings Call Date:Sep 16, 2025
(Q4-2025)
|
% Change Since: |
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Positive
Flux Power demonstrated strong revenue and gross margin growth, significant progress with their SkyEMS platform, and positive adjusted EBITDA, overshadowed by increased operating expenses due to onetime costs and macroeconomic factors impacting customer spending. Efforts to improve operational efficiency and strategic sales initiatives indicate potential for future growth.
Q4-2025 Updates
Positive Updates
Strong Revenue Growth
Fourth quarter revenue reached $16.7 million, an increase from $13.4 million in the same quarter of the prior year. Full year 2025 revenue grew to $66.4 million from $60.8 million in the prior year.
Gross Margin Improvement
Gross margin in the fourth quarter improved to 34.5% from 26.8% during the same quarter of the prior year. The full year gross margin increased to 32.7% from 28.3% in the prior year.
Significant Purchase Orders in Airline Sector
Received a $2 million order for 120 units of the redesigned G80-420 lithium-ion battery pack from a major North American airline, and an additional $1.2 million order including the SkyEMS software platform.
SkyEMS AI Platform Progress
Beta testing access of SkyEMS version 2.0 provided to an airline customer, with plans to roll it out to additional customers. Expected to generate recurring revenue and foster integration in customer fleets.
Reduction in Net Loss
Net loss for the fourth quarter was reduced to $1.2 million or $0.07 per share from $2.2 million or $0.13 in the fourth quarter of 2024.
Positive Adjusted EBITDA
Adjusted EBITDA for the fourth quarter was positive $600,000 compared to negative $1.2 million in the same quarter a year ago.
Operational Efficiency Initiatives
Implemented cost-reduction strategies including a 15% reduction in headcount, renegotiation with vendors, and product design simplifications.
Negative Updates
Higher Operating Expenses
Operating expenses increased to $6.5 million in the fourth quarter from $5.4 million in the prior year, driven by $2.9 million of onetime costs associated with financial statement restatements.
Cash Position
Ended the quarter with cash and cash equivalents of $1.3 million compared to $600,000 a year ago, indicating a low cash reserve.
Tariff and Macroeconomic Challenges
Current tariffs and macroeconomic environment create uncertainty and near-term caution for certain customers.
Company Guidance
During the Flux Power Fourth Quarter and Fiscal Year 2025 Earnings Conference Call, the company provided several key metrics and strategic initiatives guiding its performance. Flux Power achieved year-over-year revenue growth, with Q4 revenue at $16.7 million and full-year revenue at $66.4 million, representing increases from the prior year's $13.4 million and $60.8 million, respectively. The gross margin improved to 34.5% in Q4 from 26.8% a year earlier, and for the full year, it rose to 32.7% from 28.3%. Operating expenses increased to $6.5 million for Q4 and $26.8 million for the full year, partly due to onetime costs of $2.9 million. The net loss was reduced to $1.2 million for Q4 and $6.7 million for the year. The company emphasized its strategic initiatives, including profitable growth, operational efficiencies, and a solution-selling approach. Additionally, Flux Power is advancing its SkyEMS software platform, with beta testing underway, and noted significant purchase orders, including a $2 million order from a major North American airline. The company ended the quarter with $1.3 million in cash and cash equivalents.

Flux Power Holdings Financial Statement Overview

Summary
Flux Power Holdings is experiencing ongoing profitability challenges with negative net income and negative equity, despite some revenue growth and improved cash flow.
Income Statement
45
Neutral
The company has shown some revenue growth, with TTM revenue increasing from the previous year. However, persistent negative net income and EBIT indicate ongoing profitability challenges. The gross profit margin has improved to 30.3% in TTM, but the net profit margin remains negative, reflecting continued losses. EBITDA margin also remains negative, indicating insufficient operating efficiency.
Balance Sheet
30
Negative
Flux Power Holdings exhibits high financial leverage, with a negative stockholders' equity in the TTM period, indicating potential solvency issues. The debt-to-equity ratio is not calculable due to negative equity, posing significant financial risk. The equity ratio has deteriorated to negative, further highlighting financial instability.
Cash Flow
40
Negative
The company's cash flow position shows improvement, with a positive free cash flow in the TTM period. However, the operating cash flow to net income ratio suggests that cash operations are not yet fully covering net losses. Despite improved free cash flow, the company still faces challenges in sustaining positive cash flows over time.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue62.92M66.43M60.82M66.34M42.33M26.26M
Gross Profit19.09M21.74M17.23M17.10M6.29M5.79M
EBITDA-5.59M-5.03M-5.57M-4.50M-15.65M-11.50M
Net Income-8.26M-6.67M-8.33M-6.74M-16.47M-12.79M
Balance Sheet
Total Assets30.57M34.75M32.30M35.70M30.88M26.26M
Cash, Cash Equivalents and Short-Term Investments505.00K1.33M643.00K2.38M485.00K4.71M
Total Debt12.52M14.95M16.16M13.03M7.75M3.30M
Total Liabilities34.94M40.16M32.11M26.16M16.95M13.26M
Stockholders Equity-4.37M-5.40M4.40M9.55M13.93M13.01M
Cash Flow
Free Cash Flow2.97M610.00K-5.65M-4.61M-24.69M-19.46M
Operating Cash Flow3.15M610.00K-4.80M-3.57M-23.89M-18.36M
Investing Cash Flow-763.00K-653.00K-853.00K-1.02M-797.00K-1.10M
Financing Cash Flow-1.67M734.00K3.92M6.49M20.46M23.45M

Flux Power Holdings Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.74
Price Trends
50DMA
2.08
Positive
100DMA
1.91
Positive
200DMA
1.78
Positive
Market Momentum
MACD
0.58
Negative
RSI
68.35
Neutral
STOCH
71.10
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FLUX, the sentiment is Positive. The current price of 3.74 is above the 20-day moving average (MA) of 2.65, above the 50-day MA of 2.08, and above the 200-day MA of 1.78, indicating a bullish trend. The MACD of 0.58 indicates Negative momentum. The RSI at 68.35 is Neutral, neither overbought nor oversold. The STOCH value of 71.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FLUX.

Flux Power Holdings Risk Analysis

Flux Power Holdings disclosed 33 risk factors in its most recent earnings report. Flux Power Holdings 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

Flux Power Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
59
Neutral
$48.60M-6.3699.63%
57
Neutral
$28.73M-2.89-85.95%-14.52%-4.40%
55
Neutral
$75.26M-1582.76%9.22%20.66%
50
Neutral
$2.18B-13.2460.04%52.49%
47
Neutral
$43.08M-4.14-58.35%-86.56%20.19%
46
Neutral
$23.47M-0.25-2271.61%-16.98%2.43%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FLUX
Flux Power Holdings
4.03
1.09
37.07%
OESX
Orion Energy Systems
8.16
-0.29
-3.43%
IPWR
Ideal Power
5.07
-2.82
-35.74%
PPSI
Pioneer Power Solutions
4.38
0.86
24.43%
GWH
ESS Tech
1.55
-4.81
-75.63%
ENVX
Enovix
11.11
0.81
7.86%

Flux Power Holdings Corporate Events

Delistings and Listing ChangesPrivate Placements and Financing
Flux Power Faces Nasdaq Delisting Due to Equity Deficit
Negative
Aug 1, 2025

Flux Power Holdings, Inc. has been notified by Nasdaq that it does not meet the minimum stockholders’ equity requirement for continued listing, with a deficit of $4,372,000 as of March 31, 2025. The company plans to appeal this decision and is taking steps to raise equity capital, including a private placement and workforce reduction, to regain compliance and avoid suspension of its stock on August 11, 2025.

The most recent analyst rating on (FLUX) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on Flux Power Holdings stock, see the FLUX Stock Forecast page.

Private Placements and FinancingBusiness Operations and Strategy
Flux Power Holdings Amends Financial Agreements for Flexibility
Positive
Jul 22, 2025

On July 16, 2025, Flux Power Holdings, Inc. amended its financial agreements with Cleveland Capital, L.P. and Gibraltar Business Capital, LLC. The amendments extended the due date of a promissory note with Cleveland Capital and adjusted the maturity date of a loan agreement with Gibraltar Business Capital, potentially extending it to July 31, 2027, under certain conditions. These changes reflect strategic financial management aimed at enhancing the company’s liquidity and operational flexibility.

The most recent analyst rating on (FLUX) stock is a Buy with a $4.00 price target. To see the full list of analyst forecasts on Flux Power Holdings stock, see the FLUX Stock Forecast page.

Private Placements and Financing
Flux Power Holdings Enters $2.9M Securities Purchase Agreement
Neutral
Jul 21, 2025

On July 18, 2025, Flux Power Holdings, Inc. entered into a Securities Purchase Agreement with accredited investors for an initial amount of approximately $2.9 million, with plans to sell up to $5 million in Prefunded Warrants. The proceeds from this private placement will be used for general corporate purposes and growth capital. The agreement includes the issuance of Series A Convertible Preferred Stock and Common Warrants, with specific rights and preferences, including conversion rights, voting rights, and dividend provisions. The closing of the private placement is contingent upon customary conditions, including shareholder approval to amend the company’s articles of incorporation.

The most recent analyst rating on (FLUX) stock is a Buy with a $4.00 price target. To see the full list of analyst forecasts on Flux Power Holdings stock, see the FLUX Stock Forecast page.

Legal Proceedings
Flux Power Holdings Settles Class Action Lawsuit
Negative
Jul 16, 2025

On July 11, 2025, Flux Power Holdings, Inc. reached a settlement to resolve a class action lawsuit involving the company and its former executives. The settlement involves a $1.75 million escrowed fund to cover payments to the settlement class, with the company’s liability insurers expected to fund $1.15 million and the company contributing approximately $600,000. The settlement class includes individuals who purchased the company’s stock between November 15, 2021, and February 14, 2025. The settlement is subject to court approval, and if not approved, the settlement class will be decertified.

The most recent analyst rating on (FLUX) stock is a Buy with a $4.00 price target. To see the full list of analyst forecasts on Flux Power Holdings stock, see the FLUX Stock Forecast page.

Shareholder Meetings
Flux Power Holdings Concludes Annual Stockholder Meeting
Neutral
May 30, 2025

On May 28, 2025, Flux Power Holdings held its 2025 Annual Stockholder Meeting (ASM) where 81.5% of the company’s common stock was represented. During the meeting, all director nominees were elected, and most proposals passed, except for the amendment to increase preferred stock, which did not receive enough votes. The meeting also approved the 2025 Equity Incentive Plan, an increase in authorized common stock, and the ratification of Haskell & White LLP as the independent accounting firm for the fiscal year ending June 30, 2025.

The most recent analyst rating on (FLUX) stock is a Buy with a $4.00 price target. To see the full list of analyst forecasts on Flux Power Holdings stock, see the FLUX Stock Forecast page.

Product-Related AnnouncementsExecutive/Board ChangesBusiness Operations and StrategyFinancial Disclosures
Flux Power Holdings Reports 16% Revenue Increase
Positive
May 8, 2025

On May 8, 2025, Flux Power Holdings reported a 16% increase in revenue for the third fiscal quarter of 2025, reaching $16.7 million, driven by strong demand for its lithium-ion solutions. The company launched new products, including the G-Series G96 High Voltage lithium-ion energy solution for the airline industry’s ground support equipment, and introduced the SkyEMS software platform to enhance battery life management. Flux Power also received significant orders from airlines and medical equipment suppliers, and announced leadership changes with Krishna Vanka as the new CEO. The company’s strategic focus on software-driven energy solutions and AI-based innovations positions it for sustainable growth and recurring revenue streams.

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: Sep 19, 2025