IPOWER (IPW) AI Stock Analysis

• Market Cap: $5.26M
• Dividend Yield: N/A
• Average Volume (3M): 33.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.59
• Revenue Growth: -24.72%
• EPS Growth: -51.43%
• Country: US
• Employees: 60
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -0.51
• Shares Outstanding: 1,146,443
• 10 Day Avg. Volume: 19,189
• 30 Day Avg. Volume: 33,400
• PEG Ratio: -0.02
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 0.31
• P/FCF Ratio: -27.38
• Enterprise Value/Market Cap: 1.99
• Enterprise Value/Revenue: 0.18
• Enterprise Value/Gross Profit: 0.41
• Enterprise Value/Ebitda: -5.65
• 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: 43 Neutral
• Price Target: $5.00 ▼(-24.24% Downside)

The score is held down primarily by weak financial performance (contracting revenue, ongoing losses, and inconsistent cash flow quality) and bearish technicals (price below key moving averages with negative MACD). Corporate events provide some offset via improved flexibility and compliance milestones, but dilution risk from convertible financing and a higher-risk crypto treasury strategy limit the upside, while valuation remains unattractive due to negative earnings and no dividend support.

Positive Factors

Diversified e‑commerce model with owned and third‑party brands

iPower’s core model of selling both proprietary and third‑party products through major online marketplaces provides durable channel diversification and scale benefits. Marketplace reach, branded SKUs, and ability to list across categories support long‑term revenue levers and margin uplift if product mix shifts toward higher‑margin owned brands.

Relatively healthy gross margins (low‑to‑mid 40% range)

Sustained gross margins in the low‑to‑mid 40% band give iPower structural product‑level profitability that can absorb marketplace fees and shipping costs. If management can stabilize top line and improve operating leverage, these margins provide a pathway to durable operating profit recovery without relying solely on cost cuts.

Manageable leverage and positive equity provide balance‑sheet cushion

With debt-to-equity near 0.33 and positive equity, iPower retains capital structure flexibility to fund working capital and strategic initiatives. Recent repayment of the JPMorgan facility (corporate events) suggests the company can simplify financing, giving it runway to pursue growth or restructure without immediate solvency pressure.

Negative Factors

Multi‑year revenue decline and negative margins

A persistent TTM revenue decline (~10.6%) and negative net margins undermine economies of scale and make fixed costs harder to cover. Over multiple years this reduces reinvestment capacity for marketing and product development, impeding the company’s ability to regain growth momentum and achieve sustainable profitability.

Inconsistent and unreliable cash generation

Volatile operating and free cash flow—positive in some years but negative in FY2025, with anomalous TTM figures—creates forecasting and liquidity risk. Inconsistent cash conversion increases reliance on external financing, raises working capital stress, and weakens the company’s ability to fund growth or absorb shocks without dilutive financings.

Capital allocation and dilution risk from convertible financing and crypto treasury

The $30M secured convertible facility plus an explicit Digital Asset Treasury shifts material capital toward volatile crypto assets and creates dilution risk (potential issuance >20% of shares, reverse split authority). This structural reallocation increases balance‑sheet volatility and can materially dilute existing equity holders over time.

IPOWER Business Overview & Revenue Model

Company Description

iPower Inc. engages in the online retail of hydroponics equipment in the United States. It offers various products, including advanced indoor and greenhouse grow-light systems, ventilation systems, activated carbon filters, nutrients, growing media, hydroponic water-resistant grow tents, trimming machines, pumps, and accessories for hydroponic gardening, as well as other indoor and outdoor growing products under the iPower and Simple Deluxe brands through its Zenhydro.com website and various third-party e-commerce channels. The company was formerly known as BZRTH Inc. and changed its name to iPower Inc. in September 2020. iPower Inc. was incorporated in 2018 and is based in Duarte, California.

How the Company Makes Money

iPower Inc. generates revenue primarily through the online sales of its extensive array of hydroponic and gardening products. The company's e-commerce platform serves as the main channel for reaching its customer base, which includes both individual horticulture enthusiasts and commercial growers. By leveraging digital marketing strategies and maintaining a robust online presence, iPower attracts and retains customers, thereby facilitating consistent sales growth. Additionally, strategic partnerships with suppliers and manufacturers allow iPower to offer competitive pricing and a diverse product inventory, further enhancing its revenue potential. The company may also explore opportunities for growth through potential expansion into new markets or the introduction of complementary product lines.

IPOWER Financial Statement Overview

Summary

Overall fundamentals are pressured: TTM revenue declined ~10.6% and profitability is weak with negative operating income and a net loss (net margin ~-5.9%). Balance sheet leverage is currently manageable (debt-to-equity ~0.33) but ROE is meaningfully negative (~-17.6%). Cash flow has been inconsistent, and the TTM cash flow figures appear anomalous relative to the business scale, reducing confidence in near-term cash generation quality.

Income Statement

TTM (Trailing-Twelve-Months) revenue declined ~10.6% and profitability remains weak, with negative operating income and a net loss (net margin ~-5.9%). Gross margin is relatively steady in the low-to-mid 40% range, but the business has not converted that into operating leverage, and results have deteriorated versus FY2024 (when losses were smaller and EBITDA briefly turned positive). The multi-year trend shows volatility: profitability peaked in FY2022 (modest profit) and then swung to sizable losses in FY2023–TTM.

Balance Sheet

Leverage looks manageable in the latest period, with debt-to-equity around 0.33 in TTM (Trailing-Twelve-Months), improving materially from FY2023 levels. Equity remains positive, providing some balance-sheet cushion. However, returns on equity are meaningfully negative (TTM ROE ~-17.6%), reflecting ongoing losses that can erode capital over time, and total assets have trended down versus prior years, suggesting a smaller operating base and/or balance-sheet contraction.

Cash Flow

Cash flow quality is mixed. FY2024 and FY2023 generated positive operating cash flow and free cash flow, but FY2025 (annual) turned negative again, signaling volatility and weaker cash conversion as operating performance softened. TTM (Trailing-Twelve-Months) cash flow figures appear extremely large relative to the income statement and balance sheet, which creates reliability concerns; excluding that anomaly, the broader pattern is inconsistent cash generation with periods of cash burn.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	59.15M	66.14M	86.07M	88.90M	79.42M	54.08M
Gross Profit	25.31M	28.99M	39.25M	34.80M	33.20M	22.82M
EBITDA	-1.86M	-3.24M	1.51M	-10.19M	3.20M	2.97M
Net Income	-3.47M	-4.97M	-1.53M	-11.97M	1.52M	-775.75K
Balance Sheet
Total Assets	29.40M	35.64M	51.30M	60.09M	78.58M	35.64M
Cash, Cash Equivalents and Short-Term Investments	903.98K	2.01M	7.38M	3.74M	1.82M	6.65M
Total Debt	5.90M	8.01M	12.89M	20.07M	26.82M	2.55M
Total Liabilities	11.49M	17.37M	28.28M	39.23M	46.18M	10.65M
Stockholders Equity	17.96M	18.32M	23.05M	20.89M	32.41M	24.99M
Cash Flow
Free Cash Flow	457.91K	-742.78K	6.16M	9.07M	-17.09M	-12.82M
Operating Cash Flow	2.52M	-579.19K	6.16M	9.21M	-16.60M	-12.76M
Investing Cash Flow	-2.88M	-2.04M	0.00	-140.81K	-139.39K	-61.50K
Financing Cash Flow	-1.47M	-3.00M	-2.40M	-7.15M	11.91M	18.49M

IPOWER Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.60
• 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 IPW, the sentiment is Negative. The current price of 6.6 is below the 20-day moving average (MA) of 6.62, below the 50-day MA of 8.89, and below the 200-day MA of 15.16, indicating a bearish trend. The MACD of -1.40 indicates Positive momentum. The RSI at 27.55 is Positive, neither overbought nor oversold. The STOCH value of 12.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPW.

IPOWER Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
LITB	54 Neutral	$47.44M	8.71	―	―	-34.42%	―
MOGU	47 Neutral	$15.45M	-1.91	-11.43%	―	-12.53%	-3.24%
IPW	43 Neutral	$5.26M	-1.39	-17.74%	―	-24.72%	-51.43%
WBUY	40 Underperform	$3.48M	-0.12	-373.22%	―	-39.99%	-26.44%
YJ	38 Underperform	$6.45M	-0.38	―	―	-35.95%	26.08%

IPOWER Corporate Events

iPower Launches Digital Asset Treasury with Bitcoin, Ethereum

On December 29, 2025, iPower Inc. announced the formal launch and initial execution of its Digital Asset Treasury strategy with the purchase of approximately $2.2 million in Bitcoin and Ethereum, executed on December 26, 2025 through a subsidiary account at BitGo. The company acquired 15.1 BTC for about $1.33 million and 301.1 ETH for about $883,600, with CEO Lawrence Tan characterizing the move as a measured first step in building digital asset exposure under defined custody and risk controls, signaling a strategic shift that could influence iPower’s capital allocation approach and position it more prominently within the emerging intersection of e-commerce operations and digital asset adoption.

iPower Secures Convertible Note to Launch Crypto Strategy

On December 22–23, 2025, iPower Inc. entered into a $30 million senior secured convertible note facility with a U.S.-based institutional investor, initially issuing $9 million of 6% original issue discount notes bearing 10% interest and maturing in 2027, backed by a first-priority security interest over the company’s cryptocurrency and related assets and guaranteed by its subsidiaries. Around $4.4 million of the initial proceeds will fund a new Digital Asset Treasury holding Bitcoin and Ethereum, with additional funds earmarked to repay a short-term bridge loan, bolster working capital and, in later tranches, devote roughly 80% of proceeds to digital asset acquisitions, marking the company’s first concrete step in a broader crypto strategy that aims to integrate digital assets into real-world commerce. On December 21, 2025, stockholders holding 53.1% of voting power approved the financing facility, potential issuance of more than 20% of existing common shares at below Nasdaq’s minimum price, an increase in authorized share capital to 1 billion shares, authority for the board to implement a reverse stock split of up to 1-for-250, and adoption of a mirror preferred stock structure to help maintain Nasdaq listing compliance, moves that collectively expand iPower’s capital flexibility and reshape its balance sheet for digital asset-focused growth.

iPower Repays Loan, Simplifies Capital Structure

On December 7, 2025, iPower Inc. fully repaid its asset-based lending facility with JPMorgan Chase Bank, N.A., and initiated the termination of related Uniform Commercial Code filings. This move, facilitated by a 6.5% interest bridge loan, aims to simplify iPower’s capital structure and provide flexibility for evaluating longer-term capital solutions. The repayment positions iPower to focus on growth opportunities and strategic initiatives, enhancing its retail operations and adjacent projects.

iPower Issues $2M Promissory Notes to Improve Finances

On November 24, 2025, iPower Inc. issued promissory notes totaling $2 million with a 6.5% annual interest rate, involving investors and related parties, including an entity controlled by CEO Chenlong Tan. The proceeds were used to pay off existing loans with JPMorgan Chase Bank, improving the company’s financial position and potentially impacting its future financing arrangements.

iPower Regains Nasdaq Compliance with Bid Price Rule

On November 10, 2025, iPower, Inc. received a notification from Nasdaq confirming that the company has regained compliance with the minimum bid price requirement of $1.00 per share, as stipulated by Nasdaq Listing Rule 5550(a)(2). This follows a previous deficiency notice received on January 2, 2025, due to the company’s stock trading below the required minimum for 30 consecutive business days. iPower was initially given until July 1, 2025, to comply, and later received an extension until December 29, 2025. The company successfully met the requirement by maintaining a closing bid price at or above $1.00 for ten consecutive business days from October 27 to November 7, 2025, thus closing the matter with Nasdaq.

iPower Seeks Alternative Funding Solutions

On October 22, 2025, iPower Inc. announced its intention to seek alternative funding solutions to enhance its capital flexibility and liquidity in response to changing financial conditions. The company aims to replace its current bank-backed asset-based lending facility with a non-bank financing solution that aligns better with its operating profile and growth objectives, thereby improving access to working capital and supporting strategic initiatives.

IPOWER Announces Reverse Stock Split to Boost Value

IPOWER has announced a Reverse Stock Split, a financial maneuver that consolidates its existing shares into fewer, proportionally more valuable shares. This move is aimed at enhancing the company’s stock price and potentially improving its market perception, which could have implications for its stakeholders and market positioning.