iQSTEL (IQST) AI Stock Analysis

• Market Cap: $17.41M
• Dividend Yield: N/A
• Average Volume (3M): 86.97K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.16
• Revenue Growth: 43.19%
• EPS Growth: -63.65%
• Country: US
• Employees: 100
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -0.68
• Shares Outstanding: 4,299,375
• 10 Day Avg. Volume: 55,786
• 30 Day Avg. Volume: 86,972
• PEG Ratio: -1.19
• Price to Book (P/B): 605.88
• Price to Sales (P/S): 15.44
• P/FCF Ratio: -1.42K
• Enterprise Value/Market Cap: 1.73
• Enterprise Value/Revenue: 0.09
• Enterprise Value/Gross Profit: 3.33
• Enterprise Value/Ebitda: -8.12
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -1.65
• Revenue Forecast (FY): $336.10M

• Rating: 42 Neutral
• Price Target: $4.50 ▲(10.02% Upside)

The overall stock score is primarily influenced by weak financial performance and bearish technical indicators. The company's negative profitability and cash flow challenges are significant concerns. Additionally, the stock's bearish trend and negative valuation metrics further contribute to the low score.

Positive Factors

Revenue Growth

The company's revenue growth indicates expanding market presence and demand for its services, which is crucial for long-term business sustainability.

Improved Leverage Position

Better leverage management enhances financial stability, reducing risk and potentially lowering borrowing costs, supporting future growth.

Diverse Revenue Streams

Diverse revenue streams from telecommunications, fintech, and blockchain provide resilience against sector-specific downturns and support steady income.

Negative Factors

Negative Profitability

Negative profitability indicates challenges in cost management and achieving sustainable earnings, which can hinder long-term financial health.

Cash Flow Challenges

Negative operating cash flow suggests inefficiencies in generating cash from operations, which can limit the company's ability to invest and grow.

Weak Profit Margins

Low profit margins reflect operational inefficiencies and pricing pressures, which may affect the company's ability to achieve sustainable profitability.

iQSTEL Business Overview & Revenue Model

Company Description

iQSTEL (IQST) is a telecommunications and technology company that provides a range of services primarily focused on the VoIP (Voice over Internet Protocol) sector, mobile virtual network operator (MVNO) services, and blockchain technologies. The company operates in multiple sectors, including telecommunications, fintech, and logistics, offering solutions such as international calling services, mobile applications, and cryptocurrency-related services. iQSTEL aims to leverage innovative technologies to enhance connectivity and financial services for both consumers and businesses worldwide.

How the Company Makes Money

iQSTEL generates revenue through multiple streams, primarily by offering VoIP services to consumers and businesses, which includes international calling solutions that are competitively priced. The company also earns money through its MVNO operations, providing mobile services by partnering with existing network providers to offer affordable mobile plans. Additionally, iQSTEL has ventured into the fintech space, generating revenue from its blockchain-based applications and services that facilitate cryptocurrency transactions. Strategic partnerships with other telecommunications companies and technology providers further enhance its service offerings and contribute to its revenue growth. The combination of these diverse revenue streams allows iQSTEL to maintain a steady income while expanding its market presence.

iQSTEL Financial Statement Overview

Summary

iQSTEL shows signs of revenue growth, but profitability and cash flow remain areas of concern. The company has improved its leverage position, but negative returns on equity and ongoing cash flow challenges indicate financial instability. Continued focus on cost management and operational efficiency is essential for sustainable growth and profitability.

Income Statement

The company shows a modest revenue growth rate of 17.18% in the TTM, indicating positive momentum. However, profitability metrics such as gross profit margin (3.00%) and net profit margin (-2.38%) are weak, reflecting challenges in cost management and achieving profitability. The negative EBIT and EBITDA margins further highlight operational inefficiencies.

Balance Sheet

The debt-to-equity ratio has improved to 0.72 in the TTM, indicating better leverage management compared to previous periods. However, the return on equity remains negative (-86.45%), suggesting that the company is not generating sufficient returns on shareholders' equity. The equity ratio of 28.08% shows a moderate level of equity financing.

Cash Flow

The company exhibits a significant improvement in free cash flow growth (99.52%) in the TTM, but operating cash flow remains negative, indicating ongoing cash flow challenges. The free cash flow to net income ratio of 1.10 suggests that the company is generating cash flow relative to its net losses, but the negative operating cash flow to net income ratio highlights cash flow inefficiencies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	331.56M	283.22M	144.50M	93.20M	64.70M	44.91M
Gross Profit	9.05M	8.27M	4.67M	1.79M	1.53M	962.35K
EBITDA	-3.71M	-2.13M	4.21K	-5.72M	-3.10M	-3.12M
Net Income	-8.28M	-5.99M	-763.26K	-5.97M	-3.84M	-6.57M
Balance Sheet
Total Assets	46.89M	79.01M	22.16M	12.55M	9.06M	5.95M
Cash, Cash Equivalents and Short-Term Investments	2.26M	2.51M	1.36M	1.33M	3.33M	753.32K
Total Debt	4.09M	8.05M	953.57K	438.44K	674.05K	4.01M
Total Liabilities	29.03M	67.11M	14.11M	6.71M	2.64M	8.35M
Stockholders Equity	13.17M	7.22M	8.42M	6.76M	7.42M	-1.39M
Cash Flow
Free Cash Flow	-3.13M	-3.08M	-1.70M	-1.88M	-3.38M	-2.21M
Operating Cash Flow	-3.01M	-2.93M	-1.48M	-1.77M	-3.15M	-2.12M
Investing Cash Flow	-431.94K	-3.16M	-332.55K	-2.00M	-511.35K	-91.21K
Financing Cash Flow	3.57M	7.24M	1.83M	1.77M	6.25M	2.66M

iQSTEL Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IQST, the sentiment is Negative. The current price of 4.09 is below the 20-day moving average (MA) of 4.50, below the 50-day MA of 5.48, and below the 200-day MA of 8.77, indicating a bearish trend. The MACD of -0.42 indicates Negative momentum. The RSI at 37.80 is Neutral, neither overbought nor oversold. The STOCH value of 40.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IQST.

iQSTEL Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CXDO	75 Outperform	$205.59M	47.48	7.87%	―	12.91%	222.63%
UCL	69 Neutral	$74.46M	9.65	29.12%	―	-2.61%	85.42%
ATNI	63 Neutral	$330.78M	―	-1.70%	4.75%	-3.10%	66.00%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
KORE	55 Neutral	$71.91M	―	―	―	0.06%	55.55%
FNGR	46 Neutral	$85.98M	-15.00	-42.52%	―	15.09%	13.28%
IQST	42 Neutral	$17.41M	-1.47	-79.86%	―	43.19%	-63.65%

iQSTEL Corporate Events

iQSTEL Updates Series D Preferred Stock Terms

On October 10, 2025, iQSTEL Inc. amended its Series D Preferred Stock terms, originally established in 2023, to include a True-Up Adjustment mechanism for conversion rates. The amendments maintain the number of authorized shares and introduce provisions such as cumulative dividend rights, conversion rights with a True-Up Adjustment, optional redemption, liquidation preference, and leak-out restrictions, impacting the company’s financial strategy and shareholder value.

The most recent analyst rating on (IQST) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on iQSTEL stock, see the IQST Stock Forecast page.

iQSTEL Amends Stock Exchange Agreement with Cycurion

On September 26, 2025, iQSTEL Inc. amended its Stock-for-Stock Exchange Agreement with Cycurion, Inc., originally dated September 2, 2025, to introduce dividend payment flexibility and extend the timeline for share issuance. The amendment allows each party to satisfy a $500,000 dividend obligation either by distributing shares received from the other party or an equivalent value of its own shares, and sets a firm deadline of December 15, 2025, for regulatory filings to facilitate dividend distribution by December 31, 2025.

The most recent analyst rating on (IQST) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on iQSTEL stock, see the IQST Stock Forecast page.

iQSTEL Increases Authorized Common Stock to 26 Million

On September 16, 2025, iQSTEL Inc. filed an amendment to increase its authorized common stock from 3,750,000 to 26,000,000 shares. This move, effective after September 15, 2025, following the mailing of a definitive Information Statement on August 25, 2025, aligns with the company’s strategic financial maneuvers under the Securities Exchange Act.

The most recent analyst rating on (IQST) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on iQSTEL stock, see the IQST Stock Forecast page.

iQSTEL Enters Stock Exchange Agreement with Cycurion

On September 2, 2025, iQSTEL Inc. entered into a Stock-for-Stock Exchange Agreement with Cycurion Inc., finalizing a mutual equity partnership focused on AI-driven cybersecurity solutions for the global telecommunications industry. The agreement involves a $1 million stock exchange between the companies, with plans to distribute up to 50% of the received shares as a stock dividend to shareholders, effectively making them co-owners of both businesses. This strategic alliance aims to capitalize on the projected $500 billion cybersecurity market by 2030, leveraging iQSTEL’s AI capabilities and Cycurion’s cybersecurity expertise. The collaboration is expected to enhance shareholder value and foster innovation and growth in AI-driven cybersecurity solutions.

The most recent analyst rating on (IQST) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on iQSTEL stock, see the IQST Stock Forecast page.