Odysightai (ODYS) AI Stock Analysis

• Market Cap: $61.24M
• Dividend Yield: N/A
• Average Volume (3M): 6.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.09
• Revenue Growth: 46.70%
• EPS Growth: -19.78%
• Country: US
• Employees: 61
• Sector: Technology
• Sector Strength: 86
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.25
• Shares Outstanding: 16,330,828
• 10 Day Avg. Volume: 5,279
• 30 Day Avg. Volume: 6,599
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 10.13
• Enterprise Value/Gross Profit: 33.11
• Enterprise Value/Ebitda: -3.25
• 1Y Price Target: $4.50
• Price Target Upside: 18.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 52 Neutral
• Price Target: $4.50 ▲(18.11% Upside)

The overall score reflects strong revenue growth and strategic focus on U.S. expansion, but is hindered by profitability challenges, bearish technical indicators, and unfavorable valuation metrics.

Positive Factors

Cash Position

ODYS ends quarter with significant cash of ~$37M post raise, and announced a new purchase order from a European Industrial customer for monitoring cables/belts used on cranes, elevators, and machinery.

Financial Performance

ODYS reported 1Q:25 revenues of $2.1M (+1004% y/y) significantly exceeding the $0.3M estimate.

Market Expansion

ODYS is experiencing hypergrowth within the Aerospace and Defense customer set, with backlog growth supporting its valuation.

Negative Factors

Backlog Stability

Backlog at the end of 1Q:25 was $14.8M which is flat sequentially despite solid results.

Market Demand

ODYS has grown significant exposure to Aerospace & Defense, Transportation and Industrial markets, yet the backlog remained flat suggesting potential market demand concerns.

Odysightai Business Overview & Revenue Model

Company Description

Odysight.ai Inc., together with its subsidiaries, develops, produces, and markets visual sensing and AI-based video analytics solutions in Israel, the United States, the United Kingdom, and internationally. The company, through its visualization technology offers solutions across predictive maintenance and condition-based monitoring markets in various sectors, such as medical, defense, energy, automotive, transportation, aviation, maritime, and industrial non-destructing-testing. Odysight.ai Inc. is based in Omer, Israel.

How the Company Makes Money

Odysightai generates revenue through multiple channels, primarily by selling software licenses for its AI and data analytics platforms. The company employs a subscription-based model, allowing clients to access its software on a monthly or annual basis. Additionally, ODYS provides consulting services that help organizations implement and optimize their use of AI technologies, generating significant income through service fees. The company also partners with key industry players to integrate its solutions into existing systems, often receiving revenue through licensing agreements and joint ventures. Furthermore, ODYS may earn revenue from custom development projects tailored to specific client needs, enhancing its financial stability and growth potential.

Odysightai Financial Statement Overview

Summary

Odysightai has shown strong revenue growth but struggles with profitability. The balance sheet shows low leverage, yet cash flow issues persist. Profitability must improve to enhance financial health.

Income Statement

Odysightai has shown significant revenue growth over the years, with a notable increase from $309,000 in 2019 to $3,964,000 in 2024. However, the company is struggling with profitability, as indicated by negative net income and EBIT margins. The gross profit margin has improved but remains low, reflecting challenges in cost management and operational efficiency.

Balance Sheet

The balance sheet shows a strong equity position with a debt-to-equity ratio consistently below 0.1, indicating low leverage. However, the company has a history of negative net income, which affects return on equity. The equity ratio is robust, suggesting financial stability, but the company needs to improve profitability to enhance shareholder value.

Cash Flow

Odysightai's cash flow statement reveals consistent negative free cash flow, indicating challenges in generating cash from operations. The operating cash flow to net income ratio suggests inefficiencies in converting revenue into cash. Despite positive financing cash flows, the reliance on external funding raises concerns about long-term sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.02M	3.96M	3.03M	665.00K	387.00K	491.00K
Gross Profit	1.54M	1.16M	509.00K	-966.00K	-721.00K	-503.00K
EBITDA	-15.66M	-12.38M	-10.35M	-9.19M	-9.00M	-4.64M
Net Income	-14.76M	-11.77M	-9.45M	-9.47M	-8.99M	-4.67M
Balance Sheet
Total Assets	36.56M	23.68M	22.83M	16.89M	23.55M	5.89M
Cash, Cash Equivalents and Short-Term Investments	32.91M	18.16M	17.04M	13.15M	19.59M	3.37M
Total Debt	919.00K	1.05M	1.33M	263.00K	498.00K	107.00K
Total Liabilities	3.96M	5.43M	5.02M	5.11M	3.93M	1.93M
Stockholders Equity	32.60M	18.24M	17.81M	11.79M	19.62M	3.96M
Cash Flow
Free Cash Flow	-11.35M	-8.27M	-10.12M	-6.21M	-6.48M	-4.46M
Operating Cash Flow	-11.30M	-8.22M	-10.01M	-6.09M	-5.89M	-4.19M
Investing Cash Flow	-53.00K	7.64M	-5.11M	7.88M	-11.60M	-276.00K
Financing Cash Flow	30.87M	9.82M	13.81M	0.00	22.56M	4.51M

Odysightai Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.81
• 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 ODYS, the sentiment is Negative. The current price of 3.81 is below the 20-day moving average (MA) of 4.02, below the 50-day MA of 4.53, and below the 200-day MA of 6.08, indicating a bearish trend. The MACD of -0.23 indicates Negative momentum. The RSI at 38.90 is Neutral, neither overbought nor oversold. The STOCH value of 24.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ODYS.

Odysightai Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$36.05B	6.66	-10.10%	1.86%	8.68%	-8.81%
ODYS	52 Neutral	$61.24M	―	-64.15%	―	46.70%	-19.78%
WRAP	50 Neutral	$68.61M	―	-118.25%	―	-55.50%	59.81%
LPTH	47 Neutral	$211.06M	―	-24.86%	―	2.59%	-48.02%
GNSS	46 Neutral	$84.44M	―	-177.60%	―	8.95%	14.34%
WBX	39 Underperform	$62.80M	―	-138.61%	―	-11.22%	―
HOLO	―	$21.32M	―	-7.37%	―	―	―

Odysightai Corporate Events

Odysight.ai Appoints New Senior VP for U.S. Operations

On July 23, 2025, Odysight.ai Inc. announced the appointment of Mr. Jacob Avinu as the Senior VP – Head of U.S. Business Unit, effective August 1, 2025. Mr. Avinu’s new role includes a base salary of $298,000, potential performance bonuses, and relocation benefits, highlighting the company’s strategic focus on expanding its U.S. operations.