Pomvom (PMVM) AI Stock Analysis

• Market Cap: ₪21.01M
• Dividend Yield: N/A
• Average Volume (3M): 63.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.41
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IL
• Employees: 66
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Software - Infrastructure
• EPS (TTM): -34.00
• Shares Outstanding: 28,897,367
• 10 Day Avg. Volume: 100,868
• 30 Day Avg. Volume: 63,070
• PEG Ratio: -0.50
• Price to Book (P/B): 4.46
• Price to Sales (P/S): 0.09
• P/FCF Ratio: -1.34
• 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: 38 Underperform
• Price Target: 73.00 ▼(-65.29% Downside)

The score is primarily weighed down by weak financial quality (losses, negative cash flows, and high leverage) and a strongly bearish technical setup (price well below major moving averages with negative MACD). Valuation contributes only modestly because a negative P/E and missing dividend yield provide limited support.

Positive Factors

Revenue Growth

Sustained revenue increases provide a durable foundation for scaling product development and sales efforts. Over a 2–6 month horizon, continued top-line growth supports operating leverage potential and justifies reinvestment to pursue market share despite current profitability headwinds.

Industry Exposure

Being in software infrastructure links the company to secular demand for cloud, automation, and platform tools. This structural trend tends to create recurring revenue opportunities and stickiness with enterprise customers, supporting long-term addressable market expansion.

Cash Conversion Signal

A positive free cash flow to net income ratio indicates some ability to convert reported losses into cash, suggesting operational cash generation levers exist. If management tightens costs and sustains revenue growth, this metric supports a realistic path toward cash-positive operations.

Negative Factors

High Leverage

Significant leverage reduces financial flexibility and raises refinancing and interest-rate risk. With ongoing losses and negative cash flows, high debt constrains strategic options, increases fixed costs, and heightens insolvency risk over the medium term unless deleveraging or profitable growth occurs.

Negative Cash Flows

Consistent negative operating and free cash flows signal an ongoing cash burn that requires external financing or dilution. Over several months this pressure can limit R&D and go-to-market investments, distract management with fundraising, and threaten continuity absent a credible cash-flow turnaround.

Weak Profitability & Margins

Declining gross margins and sustained negative operating and net margins point to structural cost or pricing pressures. Without margin recovery through pricing power or cost control, the business will struggle to convert revenue growth into sustainable profits and free cash flow over the medium term.

Pomvom Business Overview & Revenue Model

Company Description

Pomvom Ltd engages in developing and manufacturing artificial intelligence for image recognition. It offers solutions for the automatic distribution of digital media using image recognition software. The company was incorporated in 2015 and is based in Herzliya, Israel.

How the Company Makes Money

Pomvom generates revenue through a multi-faceted business model that includes subscription fees for its software tools, pay-per-click advertising services, and performance-based marketing campaigns. The primary revenue streams consist of monthly and annual subscriptions from businesses utilizing its marketing platforms, as well as commission fees from successful advertising placements. Additionally, Pomvom has forged strategic partnerships with various technology firms and digital advertising networks, which not only enhance its service offerings but also provide additional revenue through referral programs and co-branded initiatives. These collaborations are crucial for expanding its reach and driving consistent earnings growth.

Pomvom Financial Statement Overview

Summary

Revenue is growing, but profitability is weak (negative net and EBIT margins), gross margin is declining, leverage is high (elevated debt-to-equity), and operating/free cash flow are consistently negative—together signaling elevated financial risk despite top-line improvement.

Income Statement

Pomvom's revenue has shown growth over the years, with a notable increase in the latest period. However, the company struggles with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin has been declining, indicating potential cost management issues.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage, which poses financial risk. The return on equity is negative, reflecting ongoing losses. The equity ratio has decreased, suggesting reduced financial stability.

Cash Flow

Cash flow analysis shows negative operating and free cash flows, with a declining trend in free cash flow growth. The free cash flow to net income ratio is positive, but overall cash flow management remains a concern due to consistent negative figures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	235.65M	238.34M	218.44M	192.71M	131.17M	29.06M
Gross Profit	39.77M	40.33M	40.54M	33.87M	27.69M	5.74M
EBITDA	-7.74M	-14.25M	-18.03M	-21.82M	-8.25M	-9.34M
Net Income	-14.49M	-26.39M	-25.97M	-24.45M	-11.16M	-16.37M
Balance Sheet
Total Assets	54.63M	55.00M	58.50M	75.76M	55.17M	10.79M
Cash, Cash Equivalents and Short-Term Investments	20.26M	15.38M	21.01M	47.60M	34.23M	3.00M
Total Debt	16.23M	24.76M	5.80M	7.98M	7.17M	147.00K
Total Liabilities	38.63M	50.19M	28.24M	26.85M	21.11M	6.14M
Stockholders Equity	15.99M	4.81M	30.26M	48.91M	34.06M	4.66M
Cash Flow
Free Cash Flow	122.00K	-15.97M	-24.17M	-12.38M	-12.37M	-16.75M
Operating Cash Flow	2.46M	-11.60M	-11.36M	-8.54M	-11.06M	-16.40M
Investing Cash Flow	2.05M	-10.00M	-12.31M	-3.75M	2.70M	-2.55M
Financing Cash Flow	6.90M	15.95M	-4.94M	25.12M	40.57M	21.22M

Pomvom Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 210.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:PMVM, the sentiment is Negative. The current price of 210.3 is above the 20-day moving average (MA) of 182.01, above the 50-day MA of 206.92, and below the 200-day MA of 234.03, indicating a bearish trend. The MACD of -40.24 indicates Positive momentum. The RSI at 15.99 is Positive, neither overbought nor oversold. The STOCH value of 0.50 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:PMVM.

Pomvom Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
RZR	48 Neutral	₪227.22M	-14.11	―	―	238.35%	-0.43%
PMVM	38 Underperform	₪21.01M	-0.96	―	―	―	―