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Ideal Power Inc (IPWR)
:IPWR
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Ideal Power
(NASDAQ:IPWR)
Rating:50Neutral
Price Target:
$5.00
▼( -0.20% Downside)
Ideal Power (IPWR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$41.83M
Dividend YieldN/A
Average Volume (3M)17.74K
Price to Earnings (P/E)―
Beta (1Y)0.83
Revenue Growth-93.03%
EPS Growth24.28%
CountryUS
Employees16
SectorIndustrials
Sector Strength92
IndustryElectrical Equipment & Parts
Share Statistics
EPS (TTM)-0.30
Shares Outstanding8,348,420
10 Day Avg. Volume20,540
30 Day Avg. Volume17,737
Financial Highlights & Ratios
PEG Ratio-0.62
Price to Book (P/B)2.95
Price to Sales (P/S)0.00
P/FCF Ratio-4.62
Enterprise Value/Market Cap0.69
Enterprise Value/Revenue73.65
Enterprise Value/Gross Profit-788.50
Enterprise Value/Ebitda-0.67
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusHold
Number of Analyst Covering1
Ideal Power Business Overview & Revenue Model
Company DescriptionIdeal Power Inc. (IPWR) is a technology company focused on the development and commercialization of innovative power conversion solutions. The company operates within the electrical equipment sector, offering cutting-edge products designed to improve energy efficiency and renewable energy integration. Ideal Power's primary offerings include power conversion systems for applications in renewable energy, energy storage, and microgrid markets, driven by its proprietary Power Packet Switching Architecture (PPSA).
How the Company Makes MoneyIdeal Power Inc. generates revenue primarily through the sale and licensing of its proprietary power conversion technology. The company's key revenue streams include direct sales of its power conversion systems to customers in the renewable energy and energy storage sectors, as well as licensing agreements with manufacturers who integrate Ideal Power's technology into their own products. Additionally, Ideal Power may engage in strategic partnerships, joint ventures, or collaborations with other companies in the energy sector to expand its market reach and enhance its product offerings. The company's revenue model is heavily influenced by the demand for energy-efficient solutions and the ongoing global transition towards renewable energy sources.
Ideal Power Financial Statement Overview
Summary
Ideal Power's financial performance is challenged with consistent negative net income and gross profit margins, substantial operating losses, and negative cash flows. While the balance sheet shows strength in cash reserves and low leverage, the declining stockholders' equity and operational inefficiencies indicate a need for strategic adjustments.Income Statement
The income statement of Ideal Power shows a challenging financial situation. Despite a minor increase in revenue in recent years, the company has consistently reported negative net income and gross profit margins. Revenue growth is erratic, and EBIT margins are deeply negative, indicating substantial operating losses.15
Very Negative
Balance Sheet
Ideal Power's balance sheet highlights some stability with a substantial cash position relative to its liabilities, resulting in negative net debt. The equity ratio is high, but the debt-to-equity ratio remains low, suggesting minimal leverage. However, the stockholders' equity has shown a declining trend, which could be a concern for long-term sustainability.30
Negative
Cash Flow
The cash flow situation for Ideal Power is concerning, with persistent negative operating and free cash flows. Although there was a significant inflow from financing activities in certain years, it is insufficient to cover the consistent cash outflows from operations. The operating cash flow to net income ratio indicates that cash flow issues may be exacerbating the net income losses.20
Very Negative
| Breakdown | |||||
| TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 19.30K | 86.03K | 198.87K | 203.27K | 576.40K | 428.13K | Gross Profit |
| -36.48K | -7.38K | 38.26K | 0.00 | 0.00 | 0.00 | EBIT |
| -11.37M | -11.07M | -10.35M | -7.34M | -4.85M | -4.07M | EBITDA |
| -11.30M | -10.65M | -10.08M | -7.16M | -4.69M | -7.67M | Net Income Common Stockholders |
| -10.65M | -10.42M | -9.95M | -6.88M | -4.78M | -7.80M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 13.70M | 15.84M | 8.47M | 16.35M | 23.17M | 3.16M | Total Assets |
| 17.59M | 19.83M | 12.25M | 19.40M | 25.88M | 5.13M | Total Debt |
| 466.40K | 486.02K | 202.99K | 267.58K | 326.45K | 173.46K | Net Debt |
| -13.23M | -15.36M | -8.27M | -16.08M | -22.84M | -2.98M | Total Liabilities |
| 2.07M | 1.97M | 2.19M | 1.49M | 1.73M | 1.30M | Stockholders Equity |
| 15.53M | 17.86M | 10.06M | 17.91M | 24.15M | 3.83M |
| Cash Flow | Free Cash Flow | ||||
| -9.10M | -8.94M | -7.37M | -6.70M | -4.52M | -3.09M | Operating Cash Flow |
| -8.93M | -8.74M | -7.13M | -6.38M | -4.28M | -3.02M | Investing Cash Flow |
| -472.76K | -506.43K | -522.95K | -312.74K | -236.94K | -67.16K | Financing Cash Flow |
| 2.87M | 16.62M | -216.26K | -127.87K | 24.53M | 3.19M |
Ideal Power Technical Analysis
Negative
5.01
Price Trends
4.97
Positive
5.80
Negative
6.60
Negative
Market Momentum
<0.01
Positive
48.26
Neutral
31.39
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IPWR, the sentiment is Negative. The current price of 5.01 is below the 20-day moving average (MA) of 5.10, above the 50-day MA of 4.97, and below the 200-day MA of 6.60, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 48.26 is Neutral, neither overbought nor oversold. The STOCH value of 31.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPWR.
Ideal Power Risk Analysis
Ideal Power disclosed 23 risk factors in its most recent earnings report. Ideal Power 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
Ideal Power Peers Comparison
Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
82 Outperform | $105.87M | 13.95 | 16.59% | 2.54% | 18.62% | 34.63% | |
64 Neutral | $4.39B | 11.81 | 5.20% | 249.39% | 3.96% | -12.36% | |
50 Neutral | $41.83M | ― | -57.21% | ― | -93.03% | 24.28% | |
49 Neutral | $1.49B | ― | -85.86% | ― | 77.59% | 2.01% | |
39 Underperform | $24.33M | ― | -172.05% | ― | -58.05% | -6.90% | |
26 Underperform | $36.51M | ― | -860.70% | ― | ― | -12310.81% |
* Industrials Sector Average
Performance Comparison
IPWR
Ideal Power
5.01
-2.67
-34.77%
ESP
Espey Mfg & Electronics
37.39
17.04
83.73%
GWH
ESS Tech
2.01
-9.89
-83.11%
ENVX
Enovix
7.77
-3.01
-27.92%
SDST
Stardust Power
0.61
-10.71
-94.61%
Ideal Power Earnings Call Summary
Earnings Call Date:May 15, 2025
(Q1-2025)
| % Change Since: -1.76%|
Next Earnings Date:Aug 13, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant progress in solid-state circuit breaker technology and partnerships, especially with Stellantis, indicating strong potential for future revenue growth. However, increased cash burn and net losses remain concerns.Q1-2025 Updates
Positive Updates
Early Completion of Solid-State Circuit Breaker Prototypes
Solid-state circuit breaker prototypes were completed three months ahead of schedule, with initial testing completed successfully.
Expansion of Stellantis Partnership
Stellantis internally approved a new EV contactor program, adding to the existing drivetrain inverter program.
Engagement with Global Power Management Leaders
Secured an order from a third Forbes Global 500 power management company for solid-state circuit breakers, expanding potential revenue opportunities.
Sales Representative Partnership with Quest Semi
A partnership with Quest Semi was secured to expand reach into European and Asian markets for power semiconductor products.
Strong Technology Interest and Market Opportunity
Growing awareness and interest in solid-state circuit protection and EV contactors were noted, with B-TRAN technology leading to significant potential market adoption.
Successful First Design Win with Major Asian Manufacturer
First design win customer replaced silicon carbide devices with B-TRAN, achieving a 60% reduction in conduction losses.
Negative Updates
Increased Cash Burn
First quarter 2025 cash burn increased to $2.1 million, with expected further increases in the coming quarters.
Continued Net Losses
Net loss for the first quarter of 2025 was $2.7 million, up from $2.5 million in the first quarter of 2024.
Company Guidance
During the Ideal Power First Quarter 2025 Results Conference Call, the company provided significant guidance and updates on its progress. Key highlights included the completion of solid-state circuit breaker prototypes three months ahead of schedule, ongoing collaboration with a customer for a B-TRAN enabled product, and internal approval from Stellantis for a new EV contactor program. The company also secured an order from a third Forbes Global 500 power management leader and expanded its reach in Europe and Asia through a partnership with Queensland Semiconductor Technologies. Financially, Ideal Power reported a cash burn of $2.1 million for Q1 2025, lower than expected, and projected a modest revenue increase in the second quarter with a revenue ramp anticipated in the second half of the year. The company emphasized its asset-light business model and highlighted its significant progress in automotive certifications, with expectations to complete auto certification by the end of 2025.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.