Gorilla Technology Group Inc. (GRRR) AI Stock Analysis

• Market Cap: $392.85M
• Dividend Yield: N/A
• Average Volume (3M): 1.76M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.68
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 142
• Sector: Technology
• Sector Strength: 94
• Industry: Software - Infrastructure
• EPS (TTM): 0.17
• Shares Outstanding: 22,669,016
• 10 Day Avg. Volume: 874,853
• 30 Day Avg. Volume: 1,759,405
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $26.17
• Price Target Upside: 55.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 46 Neutral
• Price Target: $16.50 ▼(-1.79% Downside)

The overall stock score is primarily influenced by financial performance and technical analysis. Despite strong revenue growth, the company faces significant profitability and cash flow challenges, impacting its financial performance score. Technical indicators suggest a bearish trend, further weighing on the score. Valuation concerns due to the absence of profitability metrics also contribute to a lower overall score.

Gorilla Technology Group Inc. Business Overview & Revenue Model

Company Description

Gorilla Technology Group Inc. provides video intelligence, Internet of Things (IoT) security, and edge content management hardware, software, and services in the Asia Pacific region. The company operates through three segments: Video IoT, Security Convergence, and Other segments. It offers intelligent video analytics AI models for various verticals, such as behavioral analytics, people/face recognition, vehicle analysis, object recognition, and business intelligence that can scan video for patterns and distinguish specific items using AI algorithms and metadata. The company also provides information technology (IT) and operational technology (OT) security convergence AI algorithms for system administrators and security engineers to detect suspicious behaviors in real time; network anomaly detection AI models; and endpoint malware and suspicious behavior detection AI models. In addition, it offers intelligent video analytics (IVA) appliances to analyze and turn unstructured video and picture data into structured data; IVAR appliance that provides insight into business and operations in a statistic dashboard; smart attendance to track employee health and safety, work hours, clock-ins/outs, and absenteeism, as well as to protect company assets and intellectual properties; event and video management system appliances to store event/object attributes in temporal-spatial big data database from Gorilla; and operation technology security appliance to monitor and control physical devices, processes, and infrastructure, as well as to protect industrial systems and networks from various threats. Further, the company provides smart retail SaaS for shopper demographics, visualized shopper behavior, and advanced data analytics, smart city and transportation SaaS for traffic management, public safety, and planning data; and endpoint security SaaS that protects endpoints against security threats. Gorilla Technology Group Inc. was incorporated in 2001 and is based in Taipei, Taiwan.

How the Company Makes Money

Gorilla Technology Group generates revenue primarily through the sale of its cybersecurity and telecommunications solutions, including software licenses, hardware products, and subscription-based services. The company employs a B2B model, targeting enterprises requiring enhanced network security and performance optimization. Key revenue streams include one-time sales from software licenses and hardware, recurring revenues from subscription services, and potentially consulting fees for implementation and support. Strategic partnerships with other technology providers and industry leaders further bolster its revenue potential by expanding market reach and enhancing product offerings.

Gorilla Technology Group Inc. Financial Statement Overview

Summary

Gorilla Technology Group Inc. has shown strong revenue growth, particularly a 189% increase from 2022 to 2023. However, the company faces significant profitability challenges with consistent net losses and declining gross profit margins. Negative cash flows and operational inefficiencies, as indicated by negative EBIT and EBITDA margins, further stress the financial performance.

Income Statement

Revenue grew significantly over the years, particularly from 2022 to 2023 with a 189% increase. However, the company has experienced volatile earnings with consistent net losses, and declining gross profit margins, from 40% in 2020 to 50% in 2023, highlighting profitability challenges. The EBIT and EBITDA margins indicate operational inefficiencies, as both metrics have been negative in recent years, except for a brief positive EBITDA margin in 2021.

Balance Sheet

The company's debt-to-equity ratio has shown improvement, dropping from 0.56 in 2020 to 0.30 in 2023, indicating better leverage management. However, the equity ratio decreased from 58% in 2020 to 47% in 2023, reflecting a potential decline in asset financing through equity. The return on equity remains negative due to persistent net losses, signaling inefficiencies in generating shareholder returns.

Cash Flow

The company has struggled with negative free cash flow, which has worsened from -$40,625 in 2019 to -$31M in 2023. Operating cash flow has remained negative, indicating cash generation issues from core activities. The free cash flow to net income ratio remains unfavorable, further stressing liquidity concerns.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	74.67M	64.69M	22.41M	42.24M	45.41M
Gross Profit	37.31M	44.72M	8.34M	15.77M	18.56M
EBITDA	21.77M	19.08M	-78.65M	626.62K	2.67M
Net Income	-64.79M	13.50M	-87.54M	-8.55M	-5.92M
Balance Sheet
Total Assets	153.80M	115.44M	65.26M	94.93M	92.29M
Cash, Cash Equivalents and Short-Term Investments	37.47M	34.13M	30.94M	18.95M	19.59M
Total Debt	22.21M	32.91M	23.87M	35.92M	29.18M
Total Liabilities	80.69M	61.29M	36.72M	49.00M	38.79M
Stockholders Equity	73.10M	54.15M	28.54M	45.93M	53.50M
Cash Flow
Free Cash Flow	-31.11M	-13.24M	-11.78M	-6.77M	-7.47M
Operating Cash Flow	-29.65M	-9.43M	-8.77M	1.62M	-1.95M
Investing Cash Flow	16.64M	-38.69M	-1.93M	-9.91M	-7.73M
Financing Cash Flow	27.98M	29.73M	23.61M	5.99M	3.88M

Gorilla Technology Group Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GRRR, the sentiment is Negative. The current price of 16.8 is below the 20-day moving average (MA) of 17.10, below the 50-day MA of 19.40, and below the 200-day MA of 17.28, indicating a bearish trend. The MACD of -0.70 indicates Negative momentum. The RSI at 44.17 is Neutral, neither overbought nor oversold. The STOCH value of 69.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GRRR.

Gorilla Technology Group Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BLZE	69 Neutral	$444.65M	―	-69.83%	―	19.08%	28.99%
BAND	62 Neutral	$429.21M	―	-2.90%	―	14.51%	58.41%
Sector *	61 Neutral	$36.26B	7.13	-7.27%	1.97%	7.78%	-8.61%
KLTR	56 Neutral	$248.73M	―	-94.40%	―	2.56%	59.00%
RZLV	52 Neutral	$765.13M	―		―	―	―
GRRR	46 Neutral	$392.85M	―	24.92%	―	―	―
RXT	40 Neutral	$289.63M	―	81.52%	―	-4.76%	56.32%