Axilion (AILN) AI Stock Analysis

• Market Cap: 16.31M
• Dividend Yield: N/A
• Average Volume (3M): 764.68K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.65
• Revenue Growth: 15.78%
• EPS Growth: 27.57%
• Country: IL
• Employees: 43
• Sector: Technology
• Sector Strength: 89
• Industry: Software - Infrastructure
• EPS (TTM): -27.60
• Shares Outstanding: 50,019,726
• 10 Day Avg. Volume: 551,457
• 30 Day Avg. Volume: 764,681
• 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: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: 29.00
• Price Target Upside: -11.04% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 45 Neutral
• Price Target: 29.00 ▼(-11.04% Downside)

Axilion's overall stock score is primarily impacted by its weak financial performance and concerning valuation metrics. Despite some neutral to slightly positive technical indicators, the company's negative income and cash flow margins, combined with a negative P/E ratio, result in a low overall score. Without significant financial restructuring or operational improvements, the stock remains a high-risk investment.

Axilion Business Overview & Revenue Model

Company Description

Axilion (AILN) is a technology company specializing in artificial intelligence and smart mobility solutions. The company focuses on developing software platforms that enhance urban transportation systems, improve traffic flow, and reduce emissions in cities. Axilion's core products leverage AI and machine learning to optimize traffic signals and public transport operations, helping municipalities and transit authorities create more efficient and sustainable urban environments.

How the Company Makes Money

Axilion makes money primarily through the sale and licensing of its AI-driven software solutions to city governments and transportation agencies. The company generates revenue by entering into contracts for the deployment and ongoing support of its traffic optimization platforms. These platforms use real-time data to improve traffic management, thus providing value in terms of reduced congestion and environmental impact. Axilion may also enter into strategic partnerships with other companies and technology providers to integrate its solutions into broader smart city initiatives, potentially leading to additional revenue streams.

Axilion Financial Statement Overview

Summary

Axilion is facing significant financial difficulties, highlighted by negative income margins, declining equity, and severe liquidity issues. Despite a revenue growth rate of 15.78%, ongoing losses, negative cash flows, and reliance on equity financing indicate a weak financial position.

Income Statement

Axilion's income statement reveals significant challenges. Despite an increase in revenue from 2023 to 2024, the company has consistently reported negative gross profit margins, indicating that its costs exceed its revenues. The net profit margin remains negative, showcasing ongoing losses. EBIT and EBITDA margins are also negative, reflecting a lack of operational profitability. The revenue growth rate of 15.78% from 2023 to 2024 is a positive note, but it is overshadowed by the persistent negative margins.

Balance Sheet

The balance sheet shows a company that is heavily reliant on equity financing with a low debt-to-equity ratio of 0.29 in 2024. However, the equity ratio has decreased significantly from 2023 to 2024, indicating declining financial stability. Return on Equity (ROE) remains negative due to sustained losses, and the overall financial health is weak despite manageable debt levels.

Cash Flow

Axilion's cash flow statements highlight severe liquidity issues, with negative operating and free cash flows. Although the operating cash flow to net income ratio is close to 1, indicating consistency in cash burn relative to net losses, the lack of positive free cash flow growth and negative free cash flow to net income ratio underscores the firm's inability to generate cash from operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.22M	1.91M	1.26M	2.14M	1.53M
Gross Profit	-1.21M	-1.45M	-2.53M	-2.96M	1.63K
EBITDA	-21.82M	-22.88M	-21.82M	-28.67M	-281.25M
Net Income	-23.08M	-24.24M	-23.10M	-30.24M	-281.54M
Balance Sheet
Total Assets	21.09M	35.25M	56.92M	78.24M	42.56M
Cash, Cash Equivalents and Short-Term Investments	16.33M	32.54M	53.73M	73.26M	39.75M
Total Debt	3.68M	1.28M	1.94M	2.39M	1.46M
Total Liabilities	8.18M	6.04M	6.02M	7.08M	5.81M
Stockholders Equity	12.91M	29.21M	50.90M	71.16M	36.76M
Cash Flow
Free Cash Flow	-20.42M	-20.47M	-19.70M	-25.02M	-13.60M
Operating Cash Flow	-20.39M	-20.39M	-19.59M	-24.55M	-13.19M
Investing Cash Flow	16.84M	7.38M	347.00K	-25.37M	-588.64K
Financing Cash Flow	4.41M	-847.00K	-403.00K	58.85M	34.26M

Axilion Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 32.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:AILN, the sentiment is Positive. The current price of 32.6 is above the 20-day moving average (MA) of 31.99, above the 50-day MA of 29.98, and below the 200-day MA of 34.65, indicating a neutral trend. The MACD of 0.71 indicates Positive momentum. The RSI at 54.17 is Neutral, neither overbought nor oversold. The STOCH value of 46.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:AILN.

Axilion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	£500.75M	27.11	0.85%	2.82%	3.88%	-21.07%
RZR	46 Neutral	186.88M	―		―	238.35%	-0.43%
AILN	45 Neutral	16.31M	―		―	15.78%	27.57%

Axilion Corporate Events

Axilion Updates Convertible Securities Terms After Rights Offering

Axilion has announced an update to the terms of its convertible securities following a rights offering. This move signifies Axilion’s strategic financial adjustments which may affect its standing on the Tel Aviv Stock Exchange and could have implications for its stakeholders as the company continues to evolve in the financial market.

Axilion Announces Upcoming Investors’ Conference via Zoom

Axilion has announced an upcoming investors’ conference to be held via an online Zoom webinar. The conference is a significant event for stakeholders as it underscores Axilion’s commitment to transparency and engagement with investors, with the company’s securities being traded on the Tel Aviv Stock Exchange.