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Getaround, Inc. (GETR)
OTHER OTC:GETR
US Market

Getaround (GETR) AI Stock Analysis

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Getaround

(OTC:GETR)

Rating:44Neutral
Price Target:
Getaround, Inc. presents a challenging investment case. While there is positive revenue growth, significant risks stem from negative profitability, high leverage, and liquidity issues. Technical analysis shows some upward momentum, but valuation metrics highlight profitability concerns. The stock requires careful consideration given its financial instability and mixed technical signals.

Getaround (GETR) vs. SPDR S&P 500 ETF (SPY)

Getaround Business Overview & Revenue Model

Company DescriptionGetaround, Inc. (GETR) is a peer-to-peer car sharing platform that operates in the transportation sector. The company provides a digital marketplace where car owners can rent out their vehicles to individuals seeking temporary transportation solutions. Getaround aims to offer a convenient and cost-effective alternative to traditional car rental services by leveraging technology to manage bookings, payments, and vehicle access seamlessly.
How the Company Makes MoneyGetaround makes money through a commission-based revenue model. The company charges a percentage fee on each rental transaction facilitated through its platform. This fee is deducted from the total rental cost paid by the renter. Additionally, Getaround may offer optional insurance and protection plans for renters, which can also contribute to its revenue. Key partnerships with automotive and technology companies can enhance its service offerings and provide strategic advantages in expanding its market presence, although specific partnership details are null.

Getaround Earnings Call Summary

Earnings Call Date:May 08, 2025
(Q2-2024)
|
% Change Since: -50.00%|
Next Earnings Date:Aug 18, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant improvements in margins and EBITDA, showing positive momentum despite flat revenue and operational challenges like exiting the New York market. The acquisition of HyreCar and enhancements in technology platforms were notable positive aspects. However, the persistent challenge of maintaining revenue growth and the complications with stock exchange listings were key concerns.
Q2-2024 Updates
Positive Updates
Improved Trip Contribution Margin
Year-over-year Q2 Trip Contribution Margin improved from 43% to 53%, reflecting a focus on controlling Trip support costs.
Significant EBITDA Improvement
Adjusted EBITDA loss improved by 49% to $11.4 million year-over-year.
HyreCar Acquisition Benefits
The acquisition of HyreCar assets contributed positively, expanding the Drive with Uber program and integrating operational leadership.
Global Technology Platform and New Features
Updates to the gig and global technology platform, including the launch of new features such as Key Exchange, are expected to drive top line growth.
Gross Margin Improvement
Gross margin from Service revenue reached 88% in Q2 2024, an improvement of 300 basis points year-over-year.
Negative Updates
Flat Top Line Revenue
Total net revenue remained consistent with the previous year at $18.6 million, with no year-over-year growth.
Decline in Trips Due to New York Market Exit
Trips for the second quarter were down from 257,000 in Q2 2023 to 235,000, largely attributed to suspending operations in New York.
Stock Exchange Listing Issues
The company withdrew its appeal to the NYSE due to non-compliance with listing requirements, impacting its exchange listing status.
Company Guidance
During Getaround's Q2 2024 earnings call, the management team provided detailed guidance on various financial and operational metrics. The company's Trip Contribution Margin improved substantially from 43% to 53% year-over-year, reflecting efforts in controlling trip support costs. Despite suspending operations in New York, Getaround maintained consistent net revenue at $18.6 million, though gross booking value saw a slight decline to $53 million. Adjusted EBITDA loss improved by 49% to $11.4 million, compared to the previous year. Additionally, the gross margin from service revenue increased by 300 basis points, reaching 88% in Q2 2024. Operational expenses decreased by $6.6 million due to optimized marketing, support, and general administrative costs, and the company ended the quarter with a cash position of $30.9 million, bolstered by a $20 million addition from the Mudrick Capital debt facility. The management emphasized ongoing initiatives to enhance profitability and growth, including expanding their gig business and leveraging AI for improved customer experience and risk management.

Getaround Financial Statement Overview

Summary
Getaround, Inc. is experiencing revenue growth, but faces significant profitability, liquidity, and leverage challenges. With negative equity and margins, the company needs strategic improvements to enhance financial stability.
Income Statement
45
Neutral
Getaround, Inc. shows a consistent increase in revenue over the years, with a 5.76% revenue growth from the previous year, indicating a positive growth trajectory. However, the company is struggling with profitability, as evidenced by negative EBIT and net income. The gross profit margin is low at 2.78% for the TTM, reflecting challenges in cost management or pricing strategy. The net profit margin remains negative, indicating that despite revenue growth, the company is not achieving profitability.
Balance Sheet
30
Negative
The balance sheet reflects a concerning financial position with negative stockholders' equity, indicative of accumulated losses exceeding shareholder investments. The debt-to-equity ratio cannot be calculated due to negative equity, posing a risk if creditors demand repayment. The equity ratio is negative, further emphasizing the company's high leverage and financial instability.
Cash Flow
40
Negative
The cash flow statement highlights significant challenges, with a negative free cash flow indicating that operating cash flows are insufficient to cover capital expenditures. However, there is a slight improvement in operating cash flow to net income ratio, suggesting potential efficiency improvements in operations. The free cash flow to net income ratio remains negative, pointing to ongoing liquidity concerns.
BreakdownTTMDec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue76.87M72.68M59.45M63.07M58.73M
Gross Profit2.14M7.19M53.88M57.02M51.43M
EBITDA-75.78M-85.35M-120.75M-100.35M-150.09M
Net Income-92.05M-113.95M-136.06M-120.06M-165.06M
Balance Sheet
Total Assets182.90M161.14M205.42M226.94M247.99M
Cash, Cash Equivalents and Short-Term Investments40.94M15.62M64.29M62.52M49.88M
Total Debt77.56M80.61M81.55M118.64M35.27M
Total Liabilities131.44M158.02M135.92M628.16M525.49M
Stockholders Equity51.46M3.12M69.50M-401.22M-277.50M
Cash Flow
Free Cash Flow-59.11M-61.33M-135.88M-82.55M-150.30M
Operating Cash Flow-56.99M-56.12M-132.53M-81.05M-149.93M
Investing Cash Flow-2.09M-12.92M-3.35M-1.09M416.00K
Financing Cash Flow63.74M16.59M138.16M85.97M150.53M

Getaround Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.01
Price Trends
50DMA
0.02
Negative
100DMA
0.02
Negative
200DMA
0.03
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
43.96
Neutral
STOCH
31.75
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GETR, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.03, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.96 is Neutral, neither overbought nor oversold. The STOCH value of 31.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GETR.

Getaround Risk Analysis

Getaround disclosed 92 risk factors in its most recent earnings report. Getaround 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

Getaround Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
85
Outperform
$195.80B16.3374.39%17.60%758.07%
71
Outperform
$1.01T173.429.16%1.03%-53.71%
71
Outperform
$6.79B118.928.56%27.32%
63
Neutral
$34.07B6.13-11.73%1.80%5.33%-18.31%
CACAR
59
Neutral
$6.38B8.2678.26%-2.78%-296.07%
CACAR
59
Neutral
$6.38B8.2678.26%-2.78%-296.07%
HTHTZ
50
Neutral
$2.25B-244.63%-6.61%-1516.07%
44
Neutral
$1.37M275.16%12.43%23.50%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GETR
Getaround
0.01
-0.13
-92.86%
CAR
Avis Budget
181.31
79.29
77.72%
CAR
Avis Budget
181.31
79.29
77.72%
TSLA
Tesla
315.35
62.41
24.67%
LYFT
Lyft
16.15
2.67
19.81%
UBER
Uber Technologies
93.63
22.38
31.41%
HTZ
Hertz Global
7.29
3.69
102.50%
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: Jan 15, 2025