Omnitek Engineering (OMTK) AI Stock Analysis

• Market Cap: $293.23K
• Dividend Yield: N/A
• Average Volume (3M): 9.32K
• Price to Earnings (P/E): 1.0
• Beta (1Y): 0.36
• Revenue Growth: 33.41%
• EPS Growth: N/A
• Country: US
• Employees: 6
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): N/A
• Shares Outstanding: 21,948,092
• 10 Day Avg. Volume: 5,200
• 30 Day Avg. Volume: 9,325
• PEG Ratio: 0.12
• Price to Book (P/B): -0.34
• Price to Sales (P/S): 0.45
• P/FCF Ratio: 19.29
• Enterprise Value/Market Cap: 2.58
• Enterprise Value/Revenue: 0.50
• Enterprise Value/Gross Profit: 1.13
• Enterprise Value/Ebitda: 1.68
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: $0.02 ▼(-20.00% Downside)

The score is held back mainly by weak financial quality (negative equity and negative TTM operating/free cash flow), partially offset by improving profitability. Technicals are modestly constructive in the near term but the longer-term trend remains below the 200-day average. Valuation looks inexpensive based on the very low P/E.

Positive Factors

Revenue Growth

Omnitek's revenue growth of 36.8% indicates strong demand for its products, suggesting a robust market position and potential for future expansion.

Market Position

Strategic partnerships with key industry players enhance Omnitek's market reach, supporting long-term revenue growth and competitive positioning.

Environmental Sustainability

Omnitek's focus on alternative fuel solutions aligns with global sustainability trends, positioning it well for future regulatory and market shifts.

Negative Factors

High Leverage

High leverage poses a risk to financial stability, limiting flexibility and increasing vulnerability to economic downturns.

Net Losses

Persistent net losses and negative margins indicate operational inefficiencies, challenging Omnitek's path to profitability and growth.

Negative Equity

Negative equity reflects financial distress, raising concerns about Omnitek's long-term viability and ability to attract investment.

Omnitek Engineering Business Overview & Revenue Model

Company Description

Omnitek Engineering Corp. develops and sells technology to convert diesel engines to an alternative fuel, natural gas engines, and complementary products in the United States and internationally. The company offers conversion kits for converting diesel engines to run on an alternative fuel, including compressed, liquefied, and renewable natural gas, as well as liquid petroleum gas; natural gas engines and components; and high-pressure natural gas coalescing filters. Its products are used for stationary applications; and the transportation market, such as light commercial vehicles, minibuses, heavy-duty trucks, and municipal buses, as well as rail and marine applications. The company sells and delivers its products through its distributors, system integrators, fleet operators, and engine conversion companies, as well as directly to end-users. Omnitek Engineering Corp. was incorporated in 2001 and is headquartered in Vista, California.

How the Company Makes Money

Omnitek Engineering generates revenue primarily through the sale of its proprietary engine conversion kits and components, which enable diesel engines to operate on alternative fuels such as natural gas. The company also offers engineering services, including custom engine development and conversion support, which contribute to its income stream. Additionally, Omnitek maintains partnerships with automotive manufacturers and fleet operators, which help in expanding its market reach and enhancing sales. These strategic relationships, along with the global push towards green energy solutions, play a significant role in driving the company's earnings.

Omnitek Engineering Financial Statement Overview

Summary

Income statement momentum is improving (TTM profitable with ~45% gross margin), but overall financial risk remains elevated due to persistently negative equity and inconsistent cash generation, including negative TTM operating cash flow/free cash flow despite positive net income.

Income Statement

Profitability has improved meaningfully versus prior annual losses: TTM (Trailing-Twelve-Months) revenue rose to about $1.5M with positive net income (~$0.28M) and solid gross margin (~45%). However, the track record is volatile—2022–2024 showed recurring operating and net losses, and the TTM revenue growth rate is reported as very high, which can be harder to sustain and may reflect a rebound off a smaller base.

Balance Sheet

The balance sheet is the primary weak spot. Stockholders’ equity is negative across all periods (TTM equity about -$1.10M), which limits financial flexibility and increases refinancing risk. While total debt in TTM (~$0.46M) is not extreme in isolation and has come down from 2021–2022 levels, negative equity makes leverage metrics unfavorable and signals cumulative losses or balance-sheet strain.

Cash Flow

Cash generation is inconsistent. In TTM (Trailing-Twelve-Months), operating cash flow and free cash flow are both negative (about -$0.08M), despite positive net income—suggesting earnings quality and/or working-capital swings are a concern. Prior annual periods show modestly positive cash flow (2022–2024) but with small absolute dollars and a history of negative cash flow in 2020–2021, indicating limited durability.

Breakdown	TTM	Dec 2024	Mar 2024	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.50M	1.02M	1.06M	1.07M	1.10M	876.00K
Gross Profit	669.34K	457.87K	410.65K	421.36K	475.81K	287.05K
EBITDA	450.80K	-9.50K	-62.63K	-44.66K	102.88K	-468.51K
Net Income	281.49K	-167.14K	-215.41K	-196.71K	17.41K	-489.71K
Balance Sheet
Total Assets	846.75K	1.12M	847.16K	1.11M	1.43M	976.77K
Cash, Cash Equivalents and Short-Term Investments	39.24K	104.44K	73.70K	56.38K	59.67K	60.73K
Total Debt	455.46K	508.28K	633.15K	751.79K	868.70K	314.00K
Total Liabilities	1.95M	2.46M	2.03M	2.10M	2.23M	1.85M
Stockholders Equity	-1.10M	-1.35M	-1.19M	-986.06K	-807.69K	-874.13K
Cash Flow
Free Cash Flow	-80.83K	23.74K	17.21K	7.79K	-144.65K	-247.51K
Operating Cash Flow	-80.83K	30.08K	17.21K	9.24K	-130.15K	-247.51K
Investing Cash Flow	0.00	-6.33K	0.00	-1.45K	-14.50K	0.00
Financing Cash Flow	79.00K	7.00K	113.00	-11.09K	143.59K	288.00K

Omnitek Engineering Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.02
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OMTK, the sentiment is Positive. The current price of 0.02 is above the 20-day moving average (MA) of 0.01, above the 50-day MA of 0.01, and above the 200-day MA of 0.02, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 73.80 is Negative, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OMTK.

Omnitek Engineering Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SES	54 Neutral	$620.62M	-6.43	-33.69%	―	―	-15.43%
OMTK	53 Neutral	$293.23K	1.02	―	―	33.41%	―
AEVA	50 Neutral	$778.64M	-2.42	-192.35%	―	89.90%	5.13%
INVZ	48 Neutral	$195.26M	-2.74	-71.46%	―	46.09%	46.01%
FRSX	44 Neutral	$6.52M	-0.03	―	―	-12.38%	60.99%