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Intelligent Protection Management (IPM)
NASDAQ:IPM
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Intelligent Protection Management
(NASDAQ:IPM)
Rating:47Neutral
Price Target:―
Positive Factors
Financial Position
As of YE24, the company had $10.9M in cash and no debt.
Growth Prospects
Multiple partnerships are in place that have the potential to drive additional new business, supporting future growth prospects.
Strategic Partnerships
The company has been selected by Hewlett Packard Enterprise as an accredited partner for its HPE Private Cloud AI solution, indicating strong strategic partnerships.
Negative Factors
Revenue Performance
Revenue was $5.5M, below the analyst's estimate.
Intelligent Protection Management (IPM) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$17.55M
Dividend YieldN/A
Average Volume (3M)46.79K
Price to Earnings (P/E)―
Beta (1Y)1.00
Revenue Growth-13.06%
EPS GrowthN/A
CountryUS
Employees55
SectorTechnology
Sector Strength84
IndustrySoftware - Application
Share Statistics
EPS (TTM)-0.08
Shares Outstanding9,236,987
10 Day Avg. Volume48,962
30 Day Avg. Volume46,787
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap1.03
Enterprise Value/Revenue2.41
Enterprise Value/Gross Profit6.28
Enterprise Value/Ebitda-5.54
Forecast
1Y Price Target
$6.50Price Target Upside242.11% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
Intelligent Protection Management Business Overview & Revenue Model
Company DescriptionIntelligent 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 MoneyIPM 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 Earnings Call Summary
Earnings Call Date:Aug 12, 2025
(Q2-2025)
| % Change Since: -5.00%|
Next Earnings Date:Nov 11, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant revenue growth and strategic partnerships, as well as a notable litigation award, indicating strong potential for future expansion and improved operational efficiencies. However, the presence of a net loss and negative adjusted EBITDA, despite improvements, suggests ongoing financial challenges. The positive developments seem to outweigh the negatives, reflecting a company in transition with promising prospects.Q2-2025 Updates
Positive Updates
Significant Revenue Growth
Revenue for the second quarter of 2025 was $5.7 million, a substantial increase from $0.3 million in the prior year period. For the first six months of 2025, revenue totaled $11.2 million compared to $0.5 million in the prior year period.
Patent Litigation Award
A jury awarded IPM $65.7 million in a lawsuit against WebEx Communications, Cisco WebEx LLC, and Cisco Systems. The final judgment was entered in IPM's favor, although the exact amount to be received after litigation-related expenses is uncertain.
Strategic Partnerships and Initiatives
IPM was selected by Hewlett Packard Enterprise as an accredited partner for its HPE Private Cloud AI solution and initiated a collaboration with IT Ally. A stock repurchase plan for up to $400,000 was also approved.
Improved Financial Metrics
Adjusted EBITDA for the second quarter of 2025 was negative $0.4 million, an improvement from negative $0.9 million in the second quarter of 2024. The company's cash equivalents totaled $8.3 million with no long-term debt.
Negative Updates
Net Loss
Net loss from continuing operations for the second quarter of 2025 was $1.1 million, compared to a net loss of $1.3 million in the prior year period.
Non-Comparable Financials
The financial comparisons between IPM and the former NTS as a division of NewtekOne are not comparable from a GAAP perspective until the first quarter of 2026.
Negative Adjusted EBITDA
Although improved, the adjusted EBITDA for the second quarter of 2025 remained negative at $0.4 million.
Company Guidance
During the second quarter of 2025, Intelligent Protection Management Corp. (IPM) reported significant progress following their acquisition of Newtek Technology Solutions and divestiture of several applications. The company achieved a revenue of $5.7 million, marking a substantial increase from $0.3 million in the same period the previous year. Despite a net loss of $1.1 million for the quarter, this was an improvement compared to a $1.3 million loss in the prior year. Adjusted EBITDA for the quarter was negative $0.4 million, compared to negative $0.9 million a year ago. The company also reported deferred revenue of $3.9 million and had cash equivalents of $8.3 million, including $1 million of restricted cash. IPM remains debt-free and aims to achieve adjusted EBITDA positivity by early 2026. Key developments included a collaboration with IT Ally and being selected as an accredited partner by Hewlett Packard Enterprise for its Private Cloud AI solution. The company also initiated a stock repurchase plan for up to $400,000 and began offering the AI-powered online safety solution, Aura.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.25
Negative
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.60
Neutral
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.20
Very Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 7.52M | 1.10M | 962.03K | 10.99M | 13.27M | 12.83M |
| Gross Profit | 2.89M | 835.39K | 677.14K | 8.17M | 10.55M | 10.26M |
| EBITDA | -3.27M | -3.50M | -2.79M | -2.90M | 1.73M | 1.92M |
| Net Income | -7.24M | -8.43M | -1.07M | -3.41M | 1.32M | 1.37M |
Balance Sheet | ||||||
| Total Assets | 29.84M | 15.87M | 23.89M | 25.43M | 28.88M | 13.59M |
| Cash, Cash Equivalents and Short-Term Investments | 8.30M | 10.59M | 13.57M | 14.74M | 21.64M | 5.59M |
| Total Debt | 1.48M | 74.49K | 77.00K | 159.18K | 239.49K | 575.47K |
| Total Liabilities | 9.95M | 3.97M | 3.75M | 4.46M | 3.83M | 3.75M |
| Stockholders Equity | 19.89M | 11.90M | 20.13M | 20.97M | 25.05M | 9.84M |
Cash Flow | ||||||
| Free Cash Flow | -1.67M | -3.02M | -1.08M | -2.96M | 1.27M | 1.44M |
| Operating Cash Flow | -1.39M | -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 | 1.18M | 39.77K | -7.21K | -997.92K | 13.93M | 497.66K |
Intelligent Protection Management Technical Analysis
Negative
1.90
Price Trends
1.98
Negative
1.94
Negative
1.94
Negative
Market Momentum
-0.02
Positive
42.45
Neutral
50.00
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 1.9 is below the 20-day moving average (MA) of 1.96, below the 50-day MA of 1.98, and below the 200-day MA of 1.94, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 42.45 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPM.
Intelligent Protection Management Risk Analysis
Intelligent Protection Management disclosed 45 risk factors in its most recent earnings report. Intelligent Protection Management reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Intelligent Protection Management Peers Comparison
Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | ¥239.04B | 15.13 | 6.64% | 2.40% | 9.16% | -0.15% | |
48 Neutral | $17.80M | ― | -41.44% | ― | -11.50% | -71.52% | |
47 Neutral | $17.55M | ― | -17.07% | ― | -13.06% | ― | |
47 Neutral | $14.88M | ― | -39.10% | ― | -56.72% | 49.76% | |
| ― | $16.59M | ― | ― | ― | ― | ||
| ― | $47.41M | ― | ― | ― | ― | ||
45 Neutral | $10.40M | ― | -383.69% | ― | -24.86% | -27.56% |
* Technology Sector Average
Performance Comparison
IPM
Intelligent Protection Management
1.90
-3.17
-62.52%
ANY
Sphere 3D
0.59
-0.42
-41.58%
NXPL
NextPlat
0.73
-0.50
-40.65%
STEC
Santech Holdings
0.58
0.18
45.00%
AMOD
Alpha Modus Holdings
1.13
-10.17
-90.00%
YAAS
Youxin Technology Limited Class A
0.33
-3.12
-90.43%
Intelligent Protection Management Corporate Events
Legal ProceedingsBusiness Operations and Strategy
Intelligent Protection Management Wins $65.7M Verdict Against Cisco
Positive
Feb 6, 2025
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.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.