AEye Inc (LIDR) AI Stock Analysis

• Market Cap: $73.89M
• Dividend Yield: N/A
• Average Volume (3M): 5.02M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.05
• Revenue Growth: -19.11%
• EPS Growth: 73.51%
• Country: US
• Employees: 45
• Sector: Technology
• Sector Strength: 88
• Industry: Auto - Parts
• EPS (TTM): -0.17
• Shares Outstanding: 45,054,996
• 10 Day Avg. Volume: 8,759,430
• 30 Day Avg. Volume: 5,018,885
• PEG Ratio: 4.06
• Price to Book (P/B): 666.88
• Price to Sales (P/S): 49930.38
• P/FCF Ratio: -372.09
• Enterprise Value/Market Cap: 0.42
• Enterprise Value/Revenue: 171.18
• Enterprise Value/Gross Profit: -179.05
• Enterprise Value/Ebitda: -0.94
• 1Y Price Target: $6.00
• Price Target Upside: 265.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $2.00 ▲(21.95% Upside)

The score is held down primarily by very weak financial performance (ongoing losses, negative margins, and negative operating/free cash flow) and a bearish technical setup (price below key moving averages with negative MACD). Partially offsetting these are a more constructive earnings narrative around commercialization traction and a strengthened cash runway; valuation is neutral-to-weak given the negative P/E and no dividend support.

Positive Factors

Commercialization traction and customer wins

Doubling the customer base and securing a defense contractor validates Apollo across high-barrier verticals, diversifying revenue streams and deepening commercial credibility. Sustained contract wins and technical engagements support multi‑quarter sales momentum and reduce single-customer concentration risks.

Scaled manufacturing partnership

A partner-capacity arrangement to produce 60k units enables meaningful volume scaling without heavy capex, improving potential unit economics and time-to-market. This manufacturing scalability is structural for converting commercial pipeline into repeatable revenue as demand materializes.

Strengthened cash runway and capital-light model

A multi-year cash runway and recent fundraising materially reduce near-term financing pressure, allowing management to execute commercialization and scaling plans. Coupled with a capital-light manufacturing model, this enhances flexibility to invest in go-to-market and product development over several quarters.

Negative Factors

Persistent operating losses and negative margins

Sustained negative gross and net margins indicate the company has yet to reach profitable unit economics. Without durable margin improvement, the business will struggle to convert revenue growth into sustainable profitability, limiting free cash generation and long-term shareholder value creation.

Weak cash generation and negative operating cash flow

Ongoing negative operating cash flow means core operations do not fund growth, forcing reliance on external capital. Even with marginal free cash flow improvement, limited internal cash generation constrains reinvestment, increases financing frequency, and elevates dilution risk over multiple quarters.

Reliance on external financing and potential dilution

Termination of a committed purchase arrangement and an amended at‑market issuance plan show dependence on capital markets for liquidity. Structural reliance on equity raises dilution risk and signals that operating cash flow remains insufficient to fund growth without recurring financings.

AEye Inc Business Overview & Revenue Model

Company Description

AEye, Inc. provides lidar systems for vehicle autonomy, advanced driver-assistance systems, and robotic vision applications in the United States, Europe, and Asia. It offers 4Sight A, a software-configurable lidar solution for automotive markets, including 4Sight at Design, Triggered 4Sight, or Responsive 4Sight software levels; and 4Sight M, a software-configurable lidar solution for the mobility and industrial markets, including 4Sight at Design, Triggered 4Sight, Responsive 4Sight, and Predictive 4Sight software levels. The company was formerly known as US LADAR, Inc. and changed its name to AEye, Inc. in March 2016. The company was founded in 2013 and is headquartered in Dublin, California.

How the Company Makes Money

AEye generates revenue primarily through the sale of its LiDAR systems and software solutions to automotive manufacturers, technology companies, and various industrial sectors. The company offers a range of products, including its innovative 3D LiDAR sensors and AI-driven software that enable real-time object detection and classification. Key revenue streams include direct sales of hardware, licensing agreements for software technology, and potential subscription models for data and analytics services. Additionally, AEye has established strategic partnerships with major automotive and technology companies, which not only enhance its market reach but also provide opportunities for co-development and integration of its systems into broader applications, thereby contributing to its overall earnings.

AEye Inc Financial Statement Overview

Summary

Financials are weak: the income statement shows substantial losses with deeply negative EBIT/EBITDA margins and declining TTM revenue. The balance sheet has limited leverage but negative ROE. Cash flow is also a concern with negative operating and free cash flow despite slight improvement.

Income Statement

AEye Inc's income statement reveals significant challenges, with negative gross profit margins and net profit margins indicating substantial losses. The company has experienced declining revenues, with a negative revenue growth rate in the TTM (Trailing-Twelve-Months) period. The EBIT and EBITDA margins are also deeply negative, reflecting operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet shows a low debt-to-equity ratio, suggesting limited leverage, which is a positive aspect. However, the return on equity is negative, indicating that the company is not generating profits from its equity base. The equity ratio is relatively stable, but the overall financial health is weakened by consistent losses.

Cash Flow

Cash flow analysis highlights negative operating and free cash flows, with a slight improvement in free cash flow growth. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly above 1, suggesting that free cash flow is marginally better than net income, but overall cash generation remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	182.00K	202.00K	1.46M	3.65M	3.01M	1.58M
Gross Profit	-174.00K	-576.00K	-13.86M	-5.08M	-630.00K	771.00K
EBITDA	-33.04M	-35.73M	-76.28M	-96.46M	-61.45M	-24.22M
Net Income	-35.16M	-35.46M	-87.13M	-98.71M	-65.01M	-26.55M
Balance Sheet
Total Assets	87.55M	27.12M	54.32M	133.34M	186.15M	25.89M
Cash, Cash Equivalents and Short-Term Investments	84.33M	22.28M	36.52M	94.20M	164.01M	15.28M
Total Debt	299.00K	4.21M	17.27M	27.73M	0.00	34.66M
Total Liabilities	9.36M	12.00M	25.29M	39.37M	17.39M	44.11M
Stockholders Equity	78.19M	15.12M	29.02M	93.97M	168.77M	-18.23M
Cash Flow
Free Cash Flow	-25.17M	-27.11M	-52.68M	-75.85M	-56.72M	-23.73M
Operating Cash Flow	-25.05M	-26.62M	-50.73M	-71.65M	-55.70M	-19.69M
Investing Cash Flow	-24.56M	7.74M	55.35M	68.46M	-151.55M	-4.04M
Financing Cash Flow	86.80M	10.06M	-6.76M	8.07M	207.08M	32.02M

AEye Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.64
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LIDR, the sentiment is Negative. The current price of 1.64 is below the 20-day moving average (MA) of 2.03, below the 50-day MA of 2.24, and below the 200-day MA of 1.97, indicating a bearish trend. The MACD of -0.13 indicates Positive momentum. The RSI at 30.09 is Neutral, neither overbought nor oversold. The STOCH value of 4.48 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LIDR.

AEye Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSAI	62 Neutral	$3.86B	53.26	6.61%	―	43.16%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ECX	52 Neutral	$642.14M	-8.28	―	―	6.59%	55.85%
AEVA	50 Neutral	$767.22M	-2.40	-192.35%	―	89.90%	5.13%
INVZ	48 Neutral	$200.56M	-2.77	-71.46%	―	46.09%	46.01%
LIDR	46 Neutral	$73.89M	-0.75	-75.54%	―	-19.11%	73.51%

AEye Inc Corporate Events

AEye Inc Increases Share Issuance After Agreement Termination

On December 10, 2025, AEye, Inc. announced the voluntary termination of its Share Purchase Agreement with New Circle Principal Investments LLC, which was initially set to allow New Circle to purchase up to $50 million of AEye’s common stock. This termination, effective December 17, 2025, incurs no fees or payments from either party and leaves no outstanding commitments. To counterbalance the liquidity loss from this termination, AEye filed an amendment to increase the maximum number of shares issuable under its At Market Issuance Sales Agreement with A.G.P./Alliance Global Partners by $50 million, aiming for a net liquidity increase of approximately $28 million.

The most recent analyst rating on (LIDR) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on AEye Inc stock, see the LIDR Stock Forecast page.

AEye Inc Reports Strong Q3 Growth and Expansion

On December 4, 2025, AEye, Inc. reported significant achievements in Q3, highlighting their strategic growth and expansion efforts. The company doubled its customer base, expanded its manufacturing partnership with LITEON, and secured a strategic investment to support innovation and commercialization. AEye’s Apollo product has gained traction in defense and automotive sectors, and new partnerships have been formed to extend its reach into smart infrastructure. The company ended the quarter with a strong financial position, poised for continued growth and long-term shareholder value.

The most recent analyst rating on (LIDR) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on AEye Inc stock, see the LIDR Stock Forecast page.