Innovative Eyewear, Inc. (LUCY) AI Stock Analysis

• Market Cap: $8.45M
• Dividend Yield: N/A
• Average Volume (3M): 543.31K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.09
• Revenue Growth: 53.22%
• EPS Growth: 72.69%
• Country: US
• Employees: 11
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): -0.38
• Shares Outstanding: 5,350,183
• 10 Day Avg. Volume: 196,778
• 30 Day Avg. Volume: 543,314
• PEG Ratio: 0.02
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 4.50
• P/FCF Ratio: -1.05
• Enterprise Value/Market Cap: -0.24
• Enterprise Value/Revenue: -0.83
• Enterprise Value/Gross Profit: -3.64
• Enterprise Value/Ebitda: 0.25
• 1Y Price Target: $3.00
• Price Target Upside: 89.87% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: $1.50 ▼(-5.06% Downside)

The score is held back primarily by weak profitability and continued negative operating/free cash flow despite improving gross margin and growing revenue. Technicals provide modest support (trading above key short-to-mid-term averages), while valuation remains difficult to justify given ongoing losses and no dividend yield.

Positive Factors

Revenue Growth Trajectory

Sustained, double-digit top-line growth and a 65% preliminary FY2025 increase indicate product-market fit gains and improving distribution. This revenue scaling over multiple quarters supports a path to operating leverage if growth continues and distribution placements materialize.

Improving Gross Margin

A material gross margin improvement suggests better product economics, favorable mix, or cost reductions in hardware production. Higher gross margins are durable levers for future profitability as revenue scales, improving the company’s ability to cover fixed costs and fund R&D or marketing.

Minimal Leverage

A debt-free balance sheet reduces refinancing and interest-rate risk, preserving financial flexibility to invest in inventory, distribution, and product development. This structural strength lengthens runway and lowers fixed financial obligations during growth phases.

Negative Factors

Persistent Cash Burn

Large, sustained negative operating and free cash flows show the business is not self-funding and requires external capital to sustain growth. Continued cash burn raises refinancing risk and can force dilution or cost cuts that impair long-term strategy if revenues don’t rapidly improve.

Large Operating Losses

Deep operating losses and extremely negative margins indicate the cost base far exceeds current revenue. Persistent unprofitability erodes equity and limits reinvestment capacity, making it harder to reach sustainable profitability without structural margin or revenue improvements.

Small Scale and Capital Reliance

A modest revenue base limits economies of scale and increases sensitivity to distribution setbacks. Combined with negative cash flow, the company remains dependent on external capital to fund expansion, creating execution and dilution risk until scale and consistent positive cash generation are achieved.

Innovative Eyewear, Inc. Business Overview & Revenue Model

Company Description

Innovative Eyewear, Inc. develops and sells smart eyeglasses and sunglasses. The company's flagship product is Lucyd Lyte glasses that enable the wearer to listen to music, take and make calls, and use voice assistants to perform various smartphone tasks hands-free. It also offers Vyrb, a social media application that enables the user to receive and send posts through Lucyd Lyte smart glasses with voice. The company sells its products through various e-commerce and retail distribution channels. Innovative Eyewear, Inc. has a partnership with Lucyd. The company was founded in 2019 and is headquartered in North Miami, Florida. Innovative Eyewear, Inc. operates as a subsidiary of Lucyd Ltd.

How the Company Makes Money

Innovative Eyewear, Inc. generates revenue primarily through the sale of its smart eyewear products. The company's revenue streams include direct sales to consumers through its online platform and retail partnerships, along with wholesale distribution to optical retailers. By pioneering in the smart eyewear sector, the company also engages in collaborations and partnerships with technology firms to integrate advanced features into its products, which may include licensing fees or co-marketing arrangements. Additionally, the company may leverage its technological innovations to offer premium-priced products, thereby enhancing its overall profitability.

Innovative Eyewear, Inc. Financial Statement Overview

Summary

Despite impressive revenue growth, Innovative Eyewear, Inc. is facing significant operational losses and negative cash flow trends. The company's balance sheet is strengthened by a strong equity position with no debt, but profitability remains elusive. Improving operational efficiency and achieving profitability are critical concerns.

Income Statement

The company has shown significant revenue growth from 2019 to 2024, but it is still experiencing substantial losses. The net profit margin is deeply negative, reflecting high expenses relative to revenue. The EBIT and EBITDA margins are also negative, indicating operational inefficiencies and financial instability.

Balance Sheet

The balance sheet shows a strong equity position with no debt, which is a positive indicator of financial prudence. However, the company has had negative stockholders' equity in the past and has only recently improved. The equity ratio is high, suggesting reliance on equity financing, but the return on equity is negative due to ongoing losses.

Cash Flow

The cash flow statement reveals negative operating cash flow and free cash flow, indicating poor cash generation from operations. The company is heavily reliant on financing activities to sustain its cash flow needs. The free cash flow to net income ratio is unfavorable due to persistent losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.39M	1.64M	1.15M	659.79K	690.67K	57.00K
Gross Profit	546.42K	215.19K	-119.33K	-56.29K	148.25K	-17.27K
EBITDA	-7.98M	-7.62M	-6.58M	-5.54M	-3.20M	-762.22K
Net Income	-7.85M	-7.77M	-6.66M	-5.68M	-3.24M	-768.18K
Balance Sheet
Total Assets	11.18B	9.84M	6.22M	4.69M	824.32K	231.66K
Cash, Cash Equivalents and Short-Term Investments	6.70B	7.52M	4.29M	3.59M	79.73K	27.02K
Total Debt	0.00	0.00	0.00	61.36K	289.03K	599.54K
Total Liabilities	925.00M	743.17K	659.94K	665.46K	616.80K	765.85K
Stockholders Equity	10.25B	9.10M	5.56M	4.02M	207.52K	-534.19K
Cash Flow
Free Cash Flow	-7.97M	-7.01M	-6.02M	-3.44M	-1.33M	-99.30K
Operating Cash Flow	-7.87M	-6.74M	-5.77M	-3.22M	-1.21M	-40.26K
Investing Cash Flow	3.59M	-5.16M	-198.75K	-219.95K	-118.45K	-59.04K
Financing Cash Flow	6.43M	10.24M	6.66M	6.96M	1.39M	126.33K

Innovative Eyewear, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.58
• 50DMA: Positive
• 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 LUCY, the sentiment is Neutral. The current price of 1.58 is above the 20-day moving average (MA) of 1.37, above the 50-day MA of 1.47, and below the 200-day MA of 1.99, indicating a neutral trend. The MACD of 0.04 indicates Negative momentum. The RSI at 55.63 is Neutral, neither overbought nor oversold. The STOCH value of 65.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LUCY.

Innovative Eyewear, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WRBY	60 Neutral	$3.52B	7,576.32	0.20%	―	14.55%	―
BLCO	55 Neutral	$6.13B	-20.05	-4.69%	―	6.23%	17.53%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
LUCY	48 Neutral	$8.45M	-0.60	-74.10%	―	53.22%	72.69%
RVP	48 Neutral	$21.55M	-3.23	-8.05%	―	-0.95%	58.17%
STAA	46 Neutral	$1.09B	-11.15	-24.65%	―	-32.42%	-540.37%

Innovative Eyewear, Inc. Corporate Events

Innovative Eyewear Announces Leadership Change and Restructuring

On November 1, 2025, Innovative Eyewear, Inc. announced a leadership change with Konrad Dabrowski resigning as Co-Chief Financial Officer to become Chief AI and Growth Officer, while Oswald Gayle will now serve as the sole Chief Financial Officer. This restructuring, approved by the Board of Directors, reflects a strategic shift in the company’s focus, although it does not affect the compensation of the involved executives.

The most recent analyst rating on (LUCY) stock is a Buy with a $5.00 price target. To see the full list of analyst forecasts on Innovative Eyewear, Inc. stock, see the LUCY Stock Forecast page.

Innovative Eyewear Approves Name Change to Lucyd

On October 24, 2025, Innovative Eyewear, Inc. held its annual meeting of stockholders, where several key proposals were voted on. The company elected four directors, ratified its accounting firm, approved a name change to Lucyd, Inc., and extended its rights plan. However, stockholders voted against reinstating voting rights for certain control shares acquired by the Galkins.

The most recent analyst rating on (LUCY) stock is a Buy with a $5.00 price target. To see the full list of analyst forecasts on Innovative Eyewear, Inc. stock, see the LUCY Stock Forecast page.

Innovative Eyewear Reschedules Stockholders Meeting to October 24

Innovative Eyewear, Inc. held its annual stockholders meeting on October 10, 2025, which was conducted virtually. However, the meeting was adjourned due to the absence of a quorum necessary to conduct business. The meeting has been rescheduled for October 24, 2025, to address the proposals outlined in the notice sent to stockholders.

The most recent analyst rating on (LUCY) stock is a Buy with a $5.00 price target. To see the full list of analyst forecasts on Innovative Eyewear, Inc. stock, see the LUCY Stock Forecast page.