Photomyne (PHTM) AI Stock Analysis

• Market Cap: ₪56.50M
• Dividend Yield: N/A
• Average Volume (3M): 744.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.31
• Revenue Growth: 14.39%
• EPS Growth: -1797.14%
• Country: IL
• Employees: 22
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -218.10
• Shares Outstanding: 2,691,872
• 10 Day Avg. Volume: 1,827
• 30 Day Avg. Volume: 744
• PEG Ratio: -0.12
• Price to Book (P/B): 4.56
• Price to Sales (P/S): 0.91
• P/FCF Ratio: -7.08
• 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: 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: 42 Neutral
• Price Target: 2,154.00 ▼(-4.01% Downside)
• Action: Reiterated Date: 02/19/26
• Date: Action: Reiterated 02/19/26

The score is primarily weighed down by weak financial performance driven by ongoing losses, negative operating/free cash flow, and shrinking equity. Technicals are mixed with a negative longer-term trend, and valuation signals are constrained by negative earnings and no dividend support.

Positive Factors

Revenue rebound

A 25% revenue rebound to 18.4M in 2025 indicates durable demand for Photomyne’s core scanning and preservation apps. Sustained top-line growth supports scale economics for a subscription model, improving unit economics potential as fixed costs spread over larger revenues.

Recurring subscription model

A subscription and in‑app purchase model creates predictable, recurring revenue and customer lifetime value. This structural model supports retention-driven growth, higher revenue visibility, and the ability to monetize feature add-ons over time, aiding long-term margin expansion if acquisition costs are controlled.

Low-to-moderate leverage

Relatively low debt (1.3M) and positive equity give Photomyne balance-sheet breathing room despite losses. Manageable leverage reduces near-term liquidity pressure versus highly levered peers, preserving optionality to invest in product or raise capital under less strained conditions.

Negative Factors

Persistent unprofitability

Multi-year operating and net losses indicate the company still has a structural cost-to-scale mismatch. Continued unprofitability erodes retained earnings, limits reinvestment capacity, and forces reliance on external capital unless margins improve through higher subscription monetization or cost reductions.

Negative cash flow

Consistent negative operating and free cash flow represent ongoing cash burn, increasing the probability of needing external funding. Cash burn constrains product development and marketing investments, raises dilution or debt risks, and reduces resilience to demand or platform shocks.

Eroding equity and assets

A meaningful decline in equity and total assets over two years signals capital erosion from losses. Shrinking balance-sheet cushions reduce strategic flexibility, heighten financing urgency, and can limit ability to pursue partnerships or invest in growth without dilutive or costly capital raises.

Photomyne Business Overview & Revenue Model

Company Description

Photomyne (PHTM) is a technology company specializing in the digitization of physical photographs and memorabilia. The company operates primarily in the consumer and software technology sectors, offering a suite of mobile applications that allow users to scan, store, and share their photo collections seamlessly. Its core products include the Photomyne app, which utilizes advanced scanning technology to quickly capture multiple images, as well as features for organization, editing, and sharing, catering to individuals looking to preserve their memories in a digital format.

How the Company Makes Money

Photomyne primarily generates revenue through paid subscriptions and in-app purchases for its consumer mobile applications, where users pay for access to premium features (e.g., higher-volume scanning, advanced enhancement/restoration tools, and other paid functionality) typically offered under recurring subscription plans. Revenue is recognized from these subscription fees and one-time purchases processed through mobile app marketplaces. Information about significant partnerships, enterprise licensing, advertising-based monetization, or material non-consumer revenue streams is null.

Photomyne Financial Statement Overview

Summary

Revenue rebounded in 2025 (+25%), but profitability is weak with a net loss (-4.9M) and operating loss (EBIT -5.4M). Cash flow remains negative (operating CF -2.3M; FCF -2.4M), and equity has declined materially (to 3.7M), increasing execution and funding risk despite low-to-moderate debt.

Income Statement

Revenue rebounded strongly in 2025 to 18.4M (+25.0% growth), but profitability remains the key issue: the company posted a net loss of -4.9M in 2025 following a -4.0M loss in 2024, after a profitable 2023 (net income 2.5M). Gross profit is solid in dollars (12.6M in 2025), yet operating losses (EBIT -5.4M in 2025) suggest the cost structure is still too high versus current scale, making earnings quality and consistency weak despite improved top-line momentum.

Balance Sheet

Leverage is low-to-moderate overall, with equity still positive in the latest period (2025 stockholders’ equity 3.7M) and debt at 1.3M, but the balance sheet has weakened versus prior years as losses accumulated (equity fell from 8.5M in 2024 and 12.9M in 2023). Total assets declined to 12.6M in 2025 from 14.4M in 2024, signaling reduced balance-sheet flexibility. The main strength is that debt does not appear excessive; the main risk is continued losses pressuring equity further.

Cash Flow

Cash generation is a concern: operating cash flow was negative across most years and worsened again in 2025 to -2.3M (from -3.4M in 2024, after a positive 0.8M in 2023). Free cash flow was also negative in 2025 (-2.4M) and deteriorated sharply versus the prior period (free cash flow growth -44.7% in 2025). This profile implies ongoing cash burn and a higher likelihood of needing external funding unless profitability and working-capital dynamics improve.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	14.73M	18.41M	13.04M	13.33M	16.16M	12.32M
Gross Profit	10.08M	12.56M	8.99M	9.43M	11.38M	8.34M
EBITDA	-5.56M	-5.18M	-4.74M	2.06M	-68.00K	-6.28M
Net Income	-4.99M	-4.93M	-3.97M	2.50M	-1.07M	-6.35M
Balance Sheet
Total Assets	13.43M	12.58M	14.43M	17.83M	17.16M	18.52M
Cash, Cash Equivalents and Short-Term Investments	10.25M	9.52M	12.49M	15.76M	14.52M	15.85M
Total Debt	750.00K	1.31M	20.00K	165.00K	252.00K	220.98K
Total Liabilities	7.97M	8.89M	5.92M	4.95M	6.89M	7.59M
Stockholders Equity	5.46M	3.69M	8.51M	12.88M	10.27M	10.93M
Cash Flow
Free Cash Flow	-4.29M	-2.38M	-3.44M	804.00K	-101.00K	-4.03M
Operating Cash Flow	-4.22M	-2.31M	-3.41M	814.00K	-59.00K	-3.99M
Investing Cash Flow	4.15M	3.81M	2.60M	-11.38M	11.00M	-11.51M
Financing Cash Flow	-1.09M	-696.03K	-653.00K	-110.00K	-110.00K	17.06M

Photomyne Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2244.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:PHTM, the sentiment is Negative. The current price of 2244 is above the 20-day moving average (MA) of 2171.25, above the 50-day MA of 2031.46, and below the 200-day MA of 2322.20, indicating a neutral trend. The MACD of 46.60 indicates Positive momentum. The RSI at 45.34 is Neutral, neither overbought nor oversold. The STOCH value of 95.65 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:PHTM.

Photomyne 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%
PRPD	53 Neutral	₪162.55M	-2.47	―	―	1290.36%	-214.81%
PHTM	42 Neutral	₪56.50M	-3.41	―	―	14.39%	-1797.14%
NRGN	40 Underperform	₪35.28M	-2.78	―	―	-23.68%	31.97%