Ideal Power Inc (IPWR)
NASDAQ:IPWR
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Ideal Power
(NASDAQ:IPWR)
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Rating:52Neutral
Price Target:
$7.50
▲(90.84% Upside)
Action:Reiterated
Date:06/05/26
IPWR’s score is held down primarily by very weak financial performance—collapsing revenue and persistent, sizable cash burn—despite a conservative/low-debt structure. Technicals are a meaningful offset with strong trend and positive momentum signals, while valuation remains unattractive/unsupported due to negative earnings. The latest earnings call and recent financing add some optimism around commercialization progress and runway, but execution and dilution risks remain significant.
Positive Factors
Robust IP portfolio
A large, issued patent estate (103 patents plus trade-secret wafer process) creates a durable competitive moat for B-TRAN technology. Strong IP and selective foundry/packaging ties raise barriers to entry, support licensing revenue potential, and strengthen long-term bargaining power in partnerships.
Negative Factors
Minimal revenue base
Revenue is essentially negligible and has trended downward, leaving the business model unproven at scale. Durable commercial viability depends on converting prototype engagements into repeatable orders; until the funnel converts, expenses will outpace income and undermine sustainable operating performance.
Read all positive and negative factors
Positive Factors
Negative Factors
Robust IP portfolio
A large, issued patent estate (103 patents plus trade-secret wafer process) creates a durable competitive moat for B-TRAN technology. Strong IP and selective foundry/packaging ties raise barriers to entry, support licensing revenue potential, and strengthen long-term bargaining power in partnerships.
Read all positive factors
Ideal Power (IPWR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$95.09M
Dividend YieldN/A
Average Volume (3M)1.17M
Price to Earnings (P/E)―
Beta (1Y)1.41
Revenue Growth33.32%
EPS Growth1.39%
CountryUS
Employees16
SectorTechnology
Sector Strength88
IndustryElectrical Equipment & Parts
Share Statistics
EPS (TTM)-1.19
Shares Outstanding16,008,055
10 Day Avg. Volume1,174,015
30 Day Avg. Volume1,168,251
Financial Highlights & Ratios
PEG Ratio0.28
Price to Book (P/B)3.58
Price to Sales (P/S)748.20
P/FCF Ratio-3.05
Enterprise Value/Market Cap0.50
Enterprise Value/Revenue1.86K
Enterprise Value/Gross Profit-200.74
Enterprise Value/Ebitda-4.33
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)-0.83
Revenue Forecast (FY)$800.00K
Ideal Power Business Overview & Revenue Model
Company Description
Ideal Power Inc. is dedicated to the development and market introduction of its proprietary B-TRAN technology, an advanced bi-directional bipolar junction transistor solid-state switch. The company, founded in 2007 and based in Austin, Texas, was ...
How the Company Makes Money
Ideal Power’s revenue model centers on monetizing its B-TRAN technology through (1) technology licensing and related royalties, (2) sales of B-TRAN devices once commercially available at scale, and (3) development and commercialization agreements ...
Ideal Power Earnings Call Summary
Earnings Call Date:May 14, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 19, 2026
Earnings Call Sentiment Positive
The call conveyed meaningful commercial momentum—notably a 50% increase in the sales funnel to $300M, multiple prototype engagements (including a hyperscaler evaluation and Stellantis deliverables), strong IP protection (103 patents) and manufacturing readiness—while also acknowledging early-stage commercialization risks: no revenue yet, rising operating expenses (+~32% YoY), a larger net loss (+~33% YoY), and a modestly higher full-year cash burn forecast. The balance of substantive commercial progress and clear near-term catalysts against financial losses and the need to convert the funnel leads to a cautiously positive view.Positive Updates
Sales Funnel Expansion
Sales opportunity funnel increased to $300 million from $200 million at the February investor update, a $100 million (50%) increase, with opportunities diversified across AI data centers, industrial and automotive applications and multiple geographies.
Negative Updates
No Revenue Recognized
The company did not record revenue in Q1 2026; management noted initial orders from evaluating customers are expected to be small, with order sizes growing only as customers progress through design, qualification and inventory build stages.
Read all updates
Q1-2026 Updates
Positive
Negative
Sales Funnel Expansion
Sales opportunity funnel increased to $300 million from $200 million at the February investor update, a $100 million (50%) increase, with opportunities diversified across AI data centers, industrial and automotive applications and multiple geographies.
Read all positive updates
Company Guidance
Management gave detailed financial and commercial guidance: Q1 cash burn was $2.3M (below prior guidance of $2.6–2.8M and versus $2.1M in 2025 and $2.2M in Q4’25), Q2 cash burn is expected to be ~$2.5–2.7M, and full‑year 2026 cash burn is forecast at ~$10.0–10.5M (vs $9.6M in 2025); cash and cash equivalents were $16.4M at 3/31/2026 with no debt. Operating expenses were $3.7M in Q1 (vs $2.8M in Q1’25) and net loss was $3.6M (vs $2.7M), with modest OpEx increases and quarter‑to‑quarter R&D variability expected as the company hires sales and engineering staff and records higher stock‑based compensation. The company recorded no revenue in Q1, expects initial customer orders to be small as design cycles progress, and reiterated commercialization timelines and milestones: a $300M sales funnel (up from $200M in February), 103 issued B‑TRAN patents (50 outside the U.S.), lead SSCB prototypes targeted in 2026 with initial low‑volume orders, a co‑developed prototype for NVIDIA Rubin Ultra targeted end of Q4’26 (with an expected PO), Stellantis deliverables due mid‑2026, and automotive qualification/reliability testing expected this summer; fully diluted shares were ~15.8M (12.1M basic, 1.46M options/units, 2.24M prefunded warrants).Ideal Power Financial Statement Overview
Summary
Income Statement
6
Very Negative
Balance Sheet
54
Neutral
Cash Flow
14
Very Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 25.73K | 37.73K | 86.03K | 198.87K | 203.27K | 576.40K |
| Gross Profit | -237.97K | -22.68K | -7.38K | 38.26K | 0.00 | 0.00 |
| EBITDA | -11.04M | -10.12M | -10.00M | -9.68M | -7.00M | -4.60M |
| Net Income | -11.51M | -10.58M | -10.42M | -9.95M | -7.19M | -4.77M |
Balance Sheet | ||||||
| Total Assets | 20.46M | 10.05M | 19.83M | 12.25M | 19.40M | 25.88M |
| Cash, Cash Equivalents and Short-Term Investments | 16.41M | 6.13M | 15.84M | 8.47M | 16.35M | 23.17M |
| Total Debt | 381.13K | 403.33K | 486.02K | 202.99K | 267.58K | 326.45K |
| Total Liabilities | 2.65M | 2.17M | 1.97M | 2.19M | 1.49M | 1.73M |
| Stockholders Equity | 17.81M | 7.88M | 17.86M | 10.06M | 17.91M | 24.15M |
Cash Flow | ||||||
| Free Cash Flow | -9.42M | -9.25M | -9.25M | -7.37M | -6.57M | -4.52M |
| Operating Cash Flow | -9.10M | -9.14M | -8.74M | -7.13M | -6.38M | -4.28M |
| Investing Cash Flow | -633.58K | -449.49K | -506.43K | -522.95K | -312.74K | -236.94K |
| Financing Cash Flow | 12.45M | -128.83K | 16.62M | -216.26K | -127.87K | 24.53M |
Ideal Power Technical Analysis
Positive
3.93
Price Trends
4.96
Positive
4.25
Positive
4.39
Positive
Market Momentum
0.30
Positive
48.93
Neutral
15.10
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IPWR, the sentiment is Positive. The current price of 3.93 is below the 20-day moving average (MA) of 6.71, below the 50-day MA of 4.96, and below the 200-day MA of 4.39, indicating a neutral trend. The MACD of 0.30 indicates Positive momentum. The RSI at 48.93 is Neutral, neither overbought nor oversold. The STOCH value of 15.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IPWR.
Ideal Power Risk Analysis
Ideal Power disclosed 25 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
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
54 Neutral | $46.38M | -6.64 | -23.29% | ― | ― | ― | |
52 Neutral | $95.09M | -5.76 | -94.91% | ― | 33.32% | 1.39% | |
47 Neutral | $22.55M | -0.30 | 1227.16% | ― | 6.76% | 56.18% | |
43 Neutral | $19.68M | -1.08 | 209.00% | ― | ― | 72.29% | |
42 Neutral | $19.48M | -3.08 | -737.52% | ― | -19.55% | 31.32% | |
40 Underperform | $25.67M | -0.42 | -926.77% | ― | -73.24% | 53.32% |
* Technology Sector Average
IPWR
Ideal Power
5.94
1.38
30.26%
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Ideal Power Corporate Events
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Ideal Power Shareholders Approve Amended Equity Incentive Plan
Positive
Jun 4, 2026
On June 3, 2026, Ideal Power Inc. held its 2026 Annual Meeting of Stockholders as a virtual webcast, where shareholders approved an amended and restated 2013 Equity Incentive Plan that adds 800,000 authorized shares, tightens rules on repricing an...
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Ideal Power Raises Capital via Registered Direct Offering
Positive
May 18, 2026
On May 14, 2026, Ideal Power Inc. entered into a securities purchase agreement with institutional investors for a registered direct offering of 3,220,961 shares of common stock and pre-funded warrants for up to 2,070,044 additional shares. The off...
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.