IPOWER (IPW) AI Stock Analysis

• Market Cap: $2.25M
• Dividend Yield: N/A
• Average Volume (3M): 33.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.68
• Revenue Growth: -24.72%
• EPS Growth: -51.43%
• Country: US
• Employees: 60
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -1.08
• Shares Outstanding: 1,322,477
• 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: 4.68
• Enterprise Value/Revenue: 0.22
• Enterprise Value/Gross Profit: 0.52
• Enterprise Value/Ebitda: -2.46
• 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: $1.50 ▼(-77.27% Downside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is held down primarily by weak financial performance (declining revenue, recurring losses, and cash flow turning negative) and a strongly bearish technical setup with the stock far below key moving averages. Corporate events provide some support via restructuring and capital actions, but valuation remains hard to justify with negative earnings and no dividend.

Positive Factors

Improved leverage

Leverage reduction to ~0.44 materially strengthens solvency and lowers financing stress versus prior years. A more manageable capital structure increases runway and flexibility to absorb operating volatility, reducing default risk and supporting longer-term operational plans.

GPM divestiture and supply deal

Divesting a high-cost sales unit removes an ongoing cost center while converting value to a seven-year note, improving near-term balance sheet strength. The exclusive supply arrangement maintains revenue channels and preserves up-to-15% margins, supporting durable top-line continuity without legacy overhead.

Capital actions improve flexibility

Fresh secured note proceeds and a board-authorized buyback increase capital-allocation optionality and signal creditor support. These moves provide tactical liquidity to shore operations and allow management to prioritize balance-sheet repair and targeted shareholder returns if fundamentals permit.

Negative Factors

Declining revenue

Sustained revenue decline erodes scale benefits in e-commerce: weaker marketplace ranking, higher per-unit advertising and fulfillment costs, and poorer vendor leverage. Continued top-line contraction undermines the ability to cover fixed costs and to sustainably improve margins.

Inconsistent profitability and cash burn

Volatile profitability and a recent shift to negative operating and free cash flow heighten funding dependence. Without stable positive cash generation, the firm faces recurring dilution or costly financing, constraining reinvestment in assortment, marketing and fulfillment needed for durable growth.

Crypto treasury and complex financing

Pivoting capital into Bitcoin/Ethereum and using secured convertible notes backed by crypto adds price volatility, custody and regulatory complexity to the balance sheet. This increases execution and dilution risk, distracts from core e-commerce operations, and ties liquidity to volatile asset values.

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 primarily makes money by selling products through e-commerce channels. Its main revenue stream is product sales to end customers via online marketplaces (and, where applicable, its own e-commerce storefronts), which include both (a) branded products it owns or controls and (b) products sourced from third-party suppliers. Revenue is recognized from the sale of goods, while profitability is driven by factors such as product mix (owned/house brands versus third-party items), pricing and promotional strategy on marketplaces, marketplace fees and advertising spend, shipping and fulfillment costs (including third-party logistics or fulfillment programs), and inventory procurement costs. Significant earnings drivers typically include the scale and performance of its online marketplace listings, the ability to launch and market higher-margin proprietary brands, supply chain execution (sourcing, freight, and inventory turns), and maintaining strong seller metrics on marketplaces that influence visibility and conversion. Specific material partnerships, customer concentration, or channel-by-channel revenue breakdowns: null.

IPOWER Financial Statement Overview

Summary

Overall fundamentals are weak: revenue fell ~23% YoY in the latest annual period and the company remains loss-making, with profitability highly volatile across recent years. Balance-sheet leverage has improved (debt-to-equity ~0.44 in 2025) but ROE has been negative in most years. Cash flow adds risk as operating/free cash flow turned negative in 2025 after being positive in 2023–2024, increasing liquidity sensitivity if losses persist.

Income Statement

Profitability has been inconsistent and is currently weak. The latest annual period (2025-06-30) shows revenue down about 23% year over year with a net loss (about -7.5% margin). Earlier results show volatility: profitability in 2022, then sizable losses in 2023, a smaller loss in 2024, and losses again in 2025. Gross margin has been relatively steady in the low-to-mid 40% range, but operating costs have prevented durable operating profits.

Balance Sheet

Leverage looks moderate in the annual filings, with debt-to-equity improving from ~1.0 (2023) to ~0.44 (2025), and equity remaining positive. However, returns on equity have been negative in most years (reflecting ongoing losses), which limits balance-sheet quality. Overall, the capital structure appears manageable, but profitability needs to stabilize to reduce risk.

Cash Flow

Cash generation has been uneven. Operating and free cash flow were solidly positive in 2023–2024, but turned negative in 2025 (annual), indicating working-capital or earnings pressure. While free cash flow has often tracked net income closely, the most recent annual period shows cash burn, raising near-term funding and liquidity sensitivity if losses persist.

Breakdown	TTM	Sep 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	47.21M	66.14M	86.07M	88.90M	79.42M	54.08M
Gross Profit	20.06M	28.99M	39.25M	34.80M	33.20M	22.82M
EBITDA	-4.27M	-3.24M	1.51M	-10.19M	3.20M	2.97M
Net Income	-4.88M	-4.97M	-1.53M	-11.97M	1.52M	-775.75K
Balance Sheet
Total Assets	34.76M	35.64M	51.30M	60.09M	78.58M	35.64M
Cash, Cash Equivalents and Short-Term Investments	4.22M	2.01M	7.38M	3.74M	1.82M	6.65M
Total Debt	12.99M	8.01M	12.89M	20.07M	26.82M	2.55M
Total Liabilities	16.77M	17.37M	28.28M	39.23M	46.18M	10.65M
Stockholders Equity	18.03M	18.32M	23.05M	20.89M	32.41M	24.99M
Cash Flow
Free Cash Flow	-30.14K	-742.78K	6.16M	9.07M	-17.09M	-12.82M
Operating Cash Flow	1.57M	-579.19K	6.16M	9.21M	-16.60M	-12.76M
Investing Cash Flow	-6.97M	-2.04M	0.00	-140.81K	-139.39K	-61.50K
Financing Cash Flow	4.38M	-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: Negative
• 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 above the 20-day moving average (MA) of 2.16, above the 50-day MA of 3.84, and below the 200-day MA of 12.79, indicating a bearish trend. The MACD of -0.63 indicates Negative momentum. The RSI at 25.75 is Positive, neither overbought nor oversold. The STOCH value of 13.93 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	$44.69M	2.18	-49.38%	―	-34.42%	―
MOGU	49 Neutral	$17.76M	―	-9.51%	―	-12.53%	-3.24%
YJ	44 Neutral	$9.21M	―	―	―	-35.95%	26.08%
IPW	43 Neutral	$2.25M	-1.73	-17.74%	―	-24.72%	-51.43%
WBUY	40 Underperform	$3.71M	-0.27	-373.22%	―	-39.99%	-26.44%

IPOWER Corporate Events

IPOWER Announces New Notes Financing and Share Repurchase

On February 9–10, 2026, iPower Inc. completed an additional mandatory closing under its existing securities purchase agreement with an institutional investor, issuing $2.0 million in principal amount of additional series A senior secured convertible notes. The company received approximately $1.88 million in gross proceeds, priced at $940 per $1,000 of principal, after the effectiveness of a resale registration statement and satisfaction of closing conditions.

iPower’s board also authorized on February 10, 2026, the company’s first-ever share repurchase program of up to $2.0 million of common stock, backed by unified support from all creditors. Management said the combination of new capital, recent cost-structure improvements and the buyback authorization enhances balance-sheet strength and capital-allocation flexibility, signaling confidence in long-term value creation for shareholders.

The most recent analyst rating on (IPW) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on IPOWER stock, see the IPW Stock Forecast page.

iPower Restructures Operations and Divests GPM Sales Unit

On February 1, 2026, iPower Inc. executed a series of restructuring transactions under which it acquired software assets from its then-wholly owned subsidiary Global Product Marketing Inc. (GPM), granted GPM a perpetual license to use and modify the software, and then sold its equity interest in GPM and its underlying entities to ETTS AI Investment LLC in exchange for a $2.3 million promissory note repayable over seven years. Concurrently, iPower entered into a long-term supply and distribution arrangement making it the exclusive supplier in the U.S., Canada and Mexico for existing SKUs historically sold through GPM, with margins of up to 15% and purchase-order-driven offsets against the note, effectively divesting a high-cost sales operation while preserving supply chain revenue streams. In a press release issued on February 2, 2026, the company said the restructuring eliminates a major operating cost center, strengthens its balance sheet by approximately $2.3 million, and enhances operating efficiency and strategic flexibility, leaving iPower focused on its core supply chain and fulfillment platform while maintaining e-commerce capabilities and better positioning the company to evaluate and support its previously announced digital asset and treasury initiatives.

The most recent analyst rating on (IPW) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on IPOWER stock, see the IPW Stock Forecast page.

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.