Intelligent Protection Management (IPM) AI Stock Analysis

• Market Cap: $17.83M
• Dividend Yield: N/A
• Average Volume (3M): 2.08M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.87
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 55
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.08
• Shares Outstanding: 9,236,987
• 10 Day Avg. Volume: 96,691
• 30 Day Avg. Volume: 2,078,661
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.54
• Price to Sales (P/S): 16.72
• P/FCF Ratio: -6.08
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 1.56
• Enterprise Value/Gross Profit: 3.87
• Enterprise Value/Ebitda: -10.05
• 1Y Price Target: $6.50
• Price Target Upside: 255.19% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: ―

Intelligent Protection Management's stock score reflects significant financial challenges, including declining revenue and profitability issues. While the balance sheet shows financial stability, the poor cash flow and operational difficulties weigh heavily on the score. The company's strategic transition into new sectors and a legal victory offer some optimism, but these factors are not yet sufficient to offset the financial risks. Technical indicators and valuation metrics further suggest caution, with the stock trading below most key moving averages and a negative P/E ratio indicating potential overvaluation.

Positive Factors

Strategic Transition

The strategic shift into cloud infrastructure and cybersecurity positions IPM for growth, leveraging new sectors with high demand and potential for expansion.

Legal Victory

The legal victory against Cisco not only provides potential financial benefits but also strengthens IPM's intellectual property position, enhancing competitive advantage.

Strong Cash Position

A strong cash position and lack of long-term debt provide financial flexibility, enabling IPM to invest in growth opportunities and weather economic uncertainties.

Negative Factors

Declining Revenue

Declining revenue and consistent net losses indicate challenges in maintaining market share and profitability, which could hinder long-term growth prospects.

Increased Net Loss

The significant increase in net loss reflects operational inefficiencies and rising costs, which could strain resources and impact future financial health.

Negative Cash Flow

Negative cash flow trends highlight liquidity issues, limiting IPM's ability to invest in growth initiatives and potentially affecting its operational sustainability.

Intelligent Protection Management Business Overview & Revenue Model

Company Description

Intelligent Protection Management Corp. engages in the development of communications software to enhance security and privacy solutions for multimedia communication and data transmission. Its solutions include blockchain strategy consulting, blockchain implementation, white label video solutions, and technology licensing. The firm's product portfolio includes Paltalk and Camfrog. The company was founded by Clifford Lerner and Darrell Lerner on July 19, 2005 and is headquartered in Jericho, NY.

How the Company Makes Money

IPM makes money through a diversified revenue model that includes subscription-based services, consulting fees, and strategic partnerships. The company offers subscription plans for its cybersecurity software and threat intelligence services, providing clients with continuous updates and support. Additionally, IPM generates revenue from consulting fees by offering tailored security assessments and solutions to address specific client needs. Strategic partnerships with technology firms and security agencies further enhance their offerings and contribute to their earnings by enabling collaborative projects and shared resources.

Intelligent Protection Management Financial Statement Overview

Summary

Intelligent Protection Management is facing financial difficulties with declining revenue and consistent net losses, which are reflected in its income statement and cash flow. The balance sheet remains relatively strong with low leverage, but the negative cash flow trends and operational inefficiencies present significant risks that need to be addressed to ensure long-term viability.

Income Statement

The company shows a concerning trend with declining revenue growth and consistent net losses over recent years. Gross profit margin remained relatively stable, but negative EBIT and EBITDA margins indicate ongoing operational challenges. Despite a slight increase in revenue from 2023 to 2024, substantial net losses pose a risk to financial stability.

Balance Sheet

The balance sheet reveals strong equity levels with a healthy equity ratio, indicating financial stability. The debt-to-equity ratio is low, suggesting low leverage risk. However, the company's declining stockholders' equity and total assets in recent years could indicate potential struggles in maintaining its asset base and capital structure.

Cash Flow

Cash flow analysis shows negative free cash flow growth and operating cash flow, pointing to potential liquidity issues. The operating cash flow to net income ratio is unfavorable, reflecting insufficient cash generation relative to net losses. These factors highlight significant challenges in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.63M	1.10M	962.03K	10.99M	13.27M	12.83M
Gross Profit	4.69M	835.39K	677.14K	8.17M	10.55M	10.26M
EBITDA	-1.80M	-3.50M	-2.79M	-2.90M	1.73M	1.92M
Net Income	-6.82M	-8.43M	-1.07M	-3.41M	1.32M	1.37M
Balance Sheet
Total Assets	27.24M	15.87M	23.89M	25.43M	28.88M	13.59M
Cash, Cash Equivalents and Short-Term Investments	8.35M	10.59M	13.57M	14.74M	21.64M	5.59M
Total Debt	1.35M	74.49K	77.00K	159.18K	239.49K	575.47K
Total Liabilities	8.47M	3.97M	3.75M	4.46M	3.83M	3.75M
Stockholders Equity	18.76M	11.90M	20.13M	20.97M	25.05M	9.84M
Cash Flow
Free Cash Flow	-758.56K	-3.02M	-1.08M	-2.96M	1.27M	1.44M
Operating Cash Flow	-478.41K	-3.02M	-1.08M	-2.96M	1.27M	1.44M
Investing Cash Flow	-4.28M	0.00	-85.00K	-2.94M	858.85K	225.41K
Financing Cash Flow	1.05M	39.77K	-7.21K	-997.92K	13.93M	497.66K

Intelligent Protection Management Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.83
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IPM, the sentiment is Negative. The current price of 1.83 is below the 20-day moving average (MA) of 1.94, below the 50-day MA of 2.00, and below the 200-day MA of 1.96, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 38.28 is Neutral, neither overbought nor oversold. The STOCH value of 28.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPM.

Intelligent Protection Management 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%
IPM	47 Neutral	$17.83M	-5.53	―	―	―	―
ANY	47 Neutral	$17.86M	-1.02	-52.92%	―	-48.75%	-6.62%
NXPL	41 Neutral	$20.51M	-1.72	-37.97%	―	-14.03%	52.39%
YAAS	38 Underperform	$20.51M	-28.55	-383.69%	―	-24.86%	-27.63%

Intelligent Protection Management Corporate Events

Intelligent Protection Management Wins $65.7M Verdict Against Cisco

Intelligent Protection Management Corp. presented an investor presentation highlighting its strategic focus and recent developments, including significant legal victories such as an awarded $65.7 million verdict against Cisco Systems for patent infringement, dated August 29, 2024. The presentation also emphasized the company’s growth potential, market positioning, and the expertise of its seasoned management team. Despite uncertainties, the company remains optimistic about realizing benefits from its recent acquisitions and maintaining a strong brand in a competitive market.