Hub (HUBC) AI Stock Analysis

• Market Cap: $10.18M
• Dividend Yield: N/A
• Average Volume (3M): 657.61K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.21
• Revenue Growth: -30.70%
• EPS Growth: 82.02%
• Country: US
• Employees: 322
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): N/A
• Shares Outstanding: 2,183,734
• 10 Day Avg. Volume: 731,505
• 30 Day Avg. Volume: 657,611
• PEG Ratio: 0.47
• Price to Book (P/B): -12.87
• Price to Sales (P/S): 35.18
• P/FCF Ratio: -60.48
• Enterprise Value/Market Cap: 5.41
• Enterprise Value/Revenue: 1.86
• Enterprise Value/Gross Profit: 15.96
• Enterprise Value/Ebitda: -2.33
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: $0.51 ▲(26.75% Upside)

The score is driven primarily by very weak financial fundamentals (declining revenue, persistent losses, negative equity, and negative cash flow). Technicals also remain weak with the stock below key longer-term moving averages and negative MACD, while valuation metrics provide limited support due to losses and no dividend.

Positive Factors

Government contract provides multi-year revenue

A awarded NIS 16M government contract (≈NIS14.5M revenue potential over two years) adds multi-year, mission-critical services revenue. It strengthens backlog, provides recurring professional services and support cash flows, and enhances the firm's credibility in regulated markets.

Board upgrade and governance actions

Adding a banking/payments veteran and approving governance/capital framework improves strategic depth for regulated financial infrastructure. Stronger board oversight and authorized capital increase provide governance stability and financing flexibility for longer-term restructuring and partnerships.

Experienced CFO appointment

Hiring a dedicated CFO to lead reporting, treasury, capital markets and controls enhances financial leadership during restructuring. Durable benefits include improved capital-raising ability, stronger financial controls, and better execution of cost, liquidity and balance-sheet remediation plans.

Negative Factors

Negative shareholders' equity and high leverage

A shareholders' deficit and unfavorable debt-to-equity signal structural solvency risk. Persistent negative equity limits borrowing capacity, may force dilutive financing or asset sales, and creates longer-term refinancing and compliance challenges that hinder strategic investment and stability.

Consistent negative operating and free cash flow

Ongoing negative operating and free cash flows mean the business depends on external financing to run. This raises refinancing, interest and covenant risk, constrains reinvestment in product and sales, and is unsustainable without durable margins or capital injections.

Material revenue decline and persistent losses

A multi-year revenue contraction and ongoing operating losses reduce scale economies, pressure gross margins, and make fixed-cost absorption harder. Without sustained revenue recovery or margin expansion, the company risks deteriorating market position and limited ability to invest in product competitiveness.

Hub Business Overview & Revenue Model

Company Description

HUB Cyber Security Ltd. provides cyber security solutions in Israel, the Americas, and Europe. It operates in two segments: Product and Technology, and Professional Services. The company develops and markets integrated cybersecurity hardware/software solutions comprising data and cybersecurity, system security, reliability solutions, and related services, including consulting, planning, training, integrating and ongoing servicing of cybersecurity, risk management, system quality, reliability and security projects, and fully managed corporate cybersecurity services. Its product portfolio includes HUB Vault, a managed file transfer application; HUB PCIe card, a confidential computing functionality; and HUB Guard, a methodology solution for an ongoing alignment and evolvement of the cybersecurity posture. The company also offers ALD software, an integrated software tool for civil and military aviation, communication, space, and electronics organizations; RAM commander, a software that covers engineering tasks; safety commander, an off-the-shelf software that provides fail-safe design for any system of system safety assessment to various industries, including aerospace, rail, communication, and energy; and FavoWeb, a web-based and user-configurable failure reporting, analysis, and corrective action system that captures information about equipment or a process throughout its life cycle from design, production testing, and customer support. In addition, it provides various courses in the areas of quality and reliability through ALD College. Further, the company offers a range of tech solutions and services, including software development and testing, cybersecurity, information systems, consulting, and training through QPoint. It serves governmental, financial, and healthcare institutions, as well as large and regulated enterprises, and industries. HUB Cyber Security Ltd. was founded in 2017 and is headquartered in Tel Aviv, Israel.

How the Company Makes Money

Hub generates revenue through a multi-faceted model that includes subscription fees for its software services, transaction-based fees for logistics and supply chain operations, and consulting services aimed at optimizing clients' operational efficiency. Key revenue streams include monthly or annual subscriptions from businesses using its platform, fees collected from transactions processed through its logistics network, and additional income from partnerships with major logistics companies that integrate Hub's technology into their operations. The company also benefits from strategic partnerships with e-commerce platforms and retail chains, which allow it to expand its customer base and enhance service offerings. Overall, Hub's diverse revenue model ensures a steady flow of income while continuously scaling its business through innovation and collaboration.

Hub Financial Statement Overview

Summary

Financial performance is very weak: revenue has fallen sharply (from $79.74M in 2022 to $29.56M in 2024), margins are low, and EBIT/net income are negative. The balance sheet shows negative stockholders’ equity (liabilities exceed assets) and high leverage, while cash flows are persistently negative with negative operating cash flow and free cash flow.

Income Statement

Hub has faced significant revenue decline over the years, with a notable drop from $79.74 million in 2022 to $29.56 million in 2024. The gross profit margin remains low, and both EBIT and net income have been negative, reflecting substantial operational and net losses. These factors significantly impact the company's income statement performance.

Balance Sheet

The balance sheet shows a concerning financial position with negative stockholders' equity, indicating liabilities exceed assets. The debt-to-equity ratio is unfavorable, highlighting high leverage. The equity ratio is negative due to the accumulated losses and high debt, indicating financial instability.

Cash Flow

Cash flow analysis reveals consistent negative free cash flow, indicating cash outflow challenges. Operating cash flow is negative, showing the company is not generating sufficient cash from operations. Financing activities are primarily funding operations, posing sustainability concerns.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	29.56M	42.66M	50.00M	31.98M	37.80K
Gross Profit	3.45M	-3.38M	-2.04M	3.39M	5.07M
EBITDA	-23.63M	-68.35M	-72.17M	-11.12M	-2.64M
Net Income	-39.76M	-87.45M	-81.59M	-13.03M	-2.76M
Balance Sheet
Total Assets	27.42M	32.59M	74.79M	120.21M	20.49M
Cash, Cash Equivalents and Short-Term Investments	3.08M	3.52M	3.99M	13.97M	3.32M
Total Debt	40.48M	28.77M	19.90M	23.15M	86.45K
Total Liabilities	108.23M	83.32M	65.98M	54.47M	11.96M
Stockholders Equity	-80.79M	-53.51M	6.41M	64.70M	6.67M
Cash Flow
Free Cash Flow	-17.19M	-16.50M	-24.06M	-6.42M	4.91M
Operating Cash Flow	-17.11M	-16.20M	-23.43M	-5.95M	5.01M
Investing Cash Flow	-452.00K	2.14M	-6.55M	-15.15M	-20.35K
Financing Cash Flow	17.18M	12.93M	20.66M	33.29M	2.31M

Hub Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HUBC, the sentiment is Negative. The current price of 0.4 is below the 20-day moving average (MA) of 5.74, below the 50-day MA of 11.08, and below the 200-day MA of 30.13, indicating a bearish trend. The MACD of -1.63 indicates Negative momentum. The RSI at 36.71 is Neutral, neither overbought nor oversold. The STOCH value of 10.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HUBC.

Hub Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
BLIN	49 Neutral	$10.64M	-3.38	-25.73%	―	0.16%	-36.86%
CETX	43 Neutral	$19.61M	-0.01	-415.08%	―	16.50%	―
DTSS	41 Neutral	$8.57M	-2.23	-93.31%	―	68.56%	89.48%
RVYL	41 Neutral	$5.23M	-0.10	-993.23%	―	-44.25%	82.71%
TAOP	40 Underperform	$1.54M	-0.13	-46.76%	―	-15.10%	-177.14%
HUBC	39 Underperform	$10.18M	-1.30	―	―	-30.70%	82.02%

Hub Corporate Events

HUB Cyber Security Shareholders Approve Governance Moves and Add Banking Veteran to Board

On December 30, 2025, HUB Cyber Security held an Extraordinary General Meeting of Shareholders in Tel Aviv at which shareholders approved a proposal outlined in an earlier proxy statement, reinforcing the company’s efforts to adjust its capital structure and governance in support of its long‑term strategy and Nasdaq listing compliance. Earlier, on December 22, 2025, shareholders appointed banking and payments executive Vineet Malhotra to HUB’s Board of Directors, expanding the board to include deeper expertise in regulated financial infrastructure and risk‑managed execution, while the company disclosed that shareholders had also approved an increase in authorized share capital to provide financing flexibility under a framework the company characterizes as protective of long‑term shareholder interests.

The most recent analyst rating on (HUBC) stock is a Sell with a $0.38 price target. To see the full list of analyst forecasts on Hub stock, see the HUBC Stock Forecast page.

HUB Cyber Security Posts Flat H1 2025 Revenue but Expanding Balance Sheet and Persistent Equity Deficit

On December 2025, HUB Cyber Security Ltd. furnished unaudited condensed consolidated financial statements for the six months ended June 30, 2025 to comply with Nasdaq disclosure requirements, showing largely flat revenue at $15.1 million versus $15.7 million a year earlier but an improved gross profit of $2.9 million compared with $1.5 million in the prior-year period. The interim balance sheet highlighted a significant increase in total assets to $73.3 million from $27.4 million at December 31, 2024, largely driven by a sharp rise in intangible assets to $48.3 million, while current liabilities climbed to $129.2 million amid higher short-term and convertible loan balances and other payables, leaving the company with a substantial shareholders’ deficit of $58.2 million, slightly better than the $80.8 million deficit at year-end 2024, underscoring ongoing leverage and equity pressures despite some operational improvements.

The most recent analyst rating on (HUBC) stock is a Sell with a $0.38 price target. To see the full list of analyst forecasts on Hub stock, see the HUBC Stock Forecast page.

HUB Cyber Security Announces Special Meeting for Reverse Share Split

On December 16, 2025, HUB Cyber Security Ltd. held its Annual General Meeting of Shareholders in Tel Aviv, where all proposals on the agenda were approved by the shareholders. Additionally, the company announced a Special General Meeting scheduled for December 30, 2025, to discuss and vote on a proposal for a reverse share split of its ordinary shares. This move could potentially impact the company’s stock structure and shareholder value, reflecting HUB’s strategic efforts to optimize its market positioning.

The most recent analyst rating on (HUBC) stock is a Sell with a $0.49 price target. To see the full list of analyst forecasts on Hub stock, see the HUBC Stock Forecast page.

HUB Cyber Security Announces 2025 Annual General Meeting

On November 10, 2025, HUB Cyber Security Ltd. announced its upcoming 2025 Annual General Meeting of Shareholders, scheduled for December 16, 2025, in Tel Aviv, Israel. The meeting will address several key proposals, including the re-election and election of board members, approval of compensation for executives, an increase in authorized share capital, and settlements with investors. The company’s board of directors recommends voting in favor of all proposals, which are intended to strengthen the company’s governance and financial structure.

The most recent analyst rating on (HUBC) stock is a Sell with a $1.00 price target. To see the full list of analyst forecasts on Hub stock, see the HUBC Stock Forecast page.

HUB Cyber Security Announces Annual General Meeting for December 2025

On November 10, 2025, HUB Cyber Security Ltd. announced its upcoming Annual General Meeting of Shareholders, scheduled for December 16, 2025. The meeting will address several key proposals, including the re-election and election of directors, approval of compensation for executives, an increase in authorized share capital, and settlements related to a previous private placement. These decisions could significantly impact the company’s governance and financial structure, influencing its strategic direction and stakeholder relations.

The most recent analyst rating on (HUBC) stock is a Sell with a $1.50 price target. To see the full list of analyst forecasts on Hub stock, see the HUBC Stock Forecast page.