Identiv (INVE) AI Stock Analysis

• Market Cap: $87.77M
• Dividend Yield: N/A
• Average Volume (3M): 46.54K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.99
• Revenue Growth: -73.87%
• EPS Growth: -115.50%
• Country: US
• Employees: 166
• Sector: Industrials
• Sector Strength: 79
• Industry: Computer Hardware
• EPS (TTM): -0.26
• Shares Outstanding: 23,721,827
• 10 Day Avg. Volume: 58,679
• 30 Day Avg. Volume: 46,539
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: -0.58
• Enterprise Value/Revenue: -2.15
• Enterprise Value/Gross Profit: 45.94
• Enterprise Value/Ebitda: 2.23
• 1Y Price Target: $4.88
• Price Target Upside: 31.89% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 53 Neutral
• Price Target: $3.50 ▼(-5.41% Downside)

Identiv's overall stock score reflects a mix of strengths and challenges. The company's strong equity position and strategic initiatives are positive, but declining revenue, negative cash flows, and valuation concerns weigh heavily. Technical indicators provide some optimism, but the financial and operational challenges need resolution for a more favorable outlook.

Positive Factors

Financial Position

Identiv ended with a strong cash position of $146M, with a clear capital allocation plan including organic investments, strategic M&A, working capital, and a buyback.

Manufacturing and Productivity

The manufacturing transition from Singapore and Thailand remains largely on track, with expectations to reach full productivity in Thailand soon.

Strategic Growth

Identiv remained bullish on organic and inorganic growth opportunities and was optimistic about its position within RFID, NFC, HF, and BLE technology.

Negative Factors

Enterprise Value

The analyst sees the current negative enterprise value as an attractive risk/reward opportunity for patient investors.

Gross Margin

The company expects its gross margin to improve to 26%-28% after shifting production to Thailand and achieving full productivity.

Identiv Business Overview & Revenue Model

Company Description

Identiv, Inc. operates as a security technology company that secures things, data, and physical places in the Americas, Europe, the Middle East, and the Asia-Pacific. The company operates in two segments, Identity and Premises. The Identity segment offers products and solutions that enables secure access to information serving the logical access and cyber security markets, as well as protecting connected objects and information using radio-frequency identification embedded security. The Premises segment provides solutions for premises security market, such as access control, video surveillance, analytics, audio, access readers, and identities to government facilities, schools, utilities, hospitals, stores, apartment buildings, and shops. The company sells its products through dealers, systems integrators, value added resellers, and resellers. The company was formerly known as Identive Group, Inc. and changed its name to Identiv, Inc. in May 2014. Identiv, Inc. was founded in 1990 and is headquartered in Fremont, California.

How the Company Makes Money

Identiv generates revenue through multiple channels, primarily through the sale of its physical security products such as RFID tags and readers, smart cards, and biometric identification systems. The company also earns income from providing software solutions and services related to identity management and access control. Key revenue streams include direct sales to end-users, partnerships with system integrators and distributors, and recurring revenue from maintenance and support services. Additionally, Identiv has formed strategic alliances with technology firms and security service providers, enhancing its market reach and contributing to its earnings through collaborative projects and integrated solutions.

Identiv Financial Statement Overview

Summary

Identiv faces significant operational challenges, with negative margins impacting profitability. While the balance sheet is stable, cash flow issues persist, indicating potential liquidity concerns. The company needs to address operational inefficiencies to improve its financial health.

Income Statement

The company exhibits significant challenges in its income statement, with a negative gross profit margin of -0.04% and a concerning net profit margin of 295.56% in TTM, driven by unusual net income figures. Revenue growth is negative, indicating a drop from the previous year. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows stability with a healthy equity ratio of 94.82% in TTM and a low debt-to-equity ratio of 0.01, indicating low leverage. However, the return on equity is not calculable due to negative net income in prior periods, which may concern investors.

Cash Flow

Operating cash flow to net income ratio is negative, suggesting cash flow issues despite a high free cash flow to net income ratio due to substantial decrease in net income. Free cash flow growth is negative, highlighting cash management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.54M	26.63M	43.45M	112.92M	103.77M	86.92M
Gross Profit	-1.10M	340.00K	6.01M	40.94M	37.07M	33.68M
EBITDA	-22.64M	-24.55M	-2.17M	2.12M	4.10M	-257.00K
Net Income	74.76M	74.82M	-5.49M	-392.00K	1.62M	-5.11M
Balance Sheet
Total Assets	153.88M	163.22M	109.72M	102.77M	96.66M	78.68M
Cash, Cash Equivalents and Short-Term Investments	129.34M	135.65M	23.31M	16.65M	28.55M	11.41M
Total Debt	1.69M	2.02M	15.38M	4.56M	2.21M	23.64M
Total Liabilities	7.46M	9.16M	35.45M	27.37M	22.15M	44.49M
Stockholders Equity	146.41M	154.07M	74.27M	75.39M	74.51M	34.19M
Cash Flow
Free Cash Flow	-21.80M	-16.93M	-3.13M	-11.71M	-859.00K	-3.33M
Operating Cash Flow	-19.99M	-15.43M	1.16M	-7.81M	1.23M	-1.77M
Investing Cash Flow	141.31M	141.49M	-4.15M	-3.87M	-1.48M	-1.56M
Financing Cash Flow	-11.33M	-13.63M	10.07M	-1.04M	19.34M	4.85M

Identiv Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INVE, the sentiment is Positive. The current price of 3.7 is above the 20-day moving average (MA) of 3.62, above the 50-day MA of 3.48, and above the 200-day MA of 3.49, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 55.51 is Neutral, neither overbought nor oversold. The STOCH value of 46.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INVE.

Identiv Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.74B	15.86	8.15%	2.00%	2.70%	-15.17%
TACT	60 Neutral	$43.80M	―	-24.73%	―	-9.09%	-1586.89%
OSS	60 Neutral	$130.45M	―	-44.58%	―	4.65%	-79.75%
ALOT	57 Neutral	$86.75M	16.92	-19.13%	―	7.14%	-415.34%
INVE	53 Neutral	$87.77M	―	-23.11%	―	-73.87%	-115.50%
MKFG	49 Neutral		―		―	-9.27%	19.30%
QMCO	43 Neutral	$98.96M	―	33.98%	―	-11.85%	-157.04%

Identiv Corporate Events

Identiv Appoints Ed Kirnbauer as New CFO

Identiv announced the appointment of Ed Kirnbauer as Chief Financial Officer effective August 4, 2025, following his role as Acting CFO since July 2025. The company also reported its second quarter 2025 financial results, showing a decrease in revenue and gross margins compared to the previous year, attributed to strategic transitions and reduced sales. Identiv’s strategic partnerships and innovative solutions are expected to create value for stakeholders despite the financial challenges.

Identiv CFO Justin Scarpulla to Resign in July

On June 17, 2025, Identiv, Inc. announced that its Chief Financial Officer, Justin Scarpulla, will resign effective July 11, 2025, to pursue another opportunity. His departure is not due to any disagreements with the company. Ed Kirnbauer, the company’s Global Corporate Controller, has been appointed as Acting CFO and Secretary. Kirnbauer has extensive experience, having served in various financial roles, including interim CFO at Identiv and positions at other companies. He will receive an increased salary and stock units during his tenure as Acting CFO.

Identiv Announces Corporate Governance Changes Post-Meeting

Identiv, Inc. announced significant changes to its corporate governance structure following the 2025 Annual Meeting held on June 10, 2025. The company’s stockholders approved amendments to declassify the board of directors and exculpate certain officers from liability under specific conditions. These changes, effective immediately, will see all directors stand for election annually starting from the 2026 Annual Meeting. The company also adopted new bylaws to modernize governance practices, including revised procedures for stockholder nominations and proposals, increased quorum requirements, and updated director removal provisions.