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Ocean Power Technologies (OPTT)
:OPTT
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Ocean Power Technologies
(NYSE MKT:OPTT)
Rating:52Neutral
Price Target:
$0.50
▼(-3.85% Downside)
Ocean Power Technologies (OPTT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$93.76M
Dividend YieldN/A
Average Volume (3M)5.68M
Price to Earnings (P/E)―
Beta (1Y)2.30
Revenue Growth6.06%
EPS Growth62.74%
CountryUS
Employees43
SectorIndustrials
Sector Strength79
IndustryElectrical Equipment & Parts
Share Statistics
EPS (TTM)-0.04
Shares Outstanding180,646,200
10 Day Avg. Volume4,011,818
30 Day Avg. Volume5,676,523
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap0.69
Enterprise Value/Revenue11.07
Enterprise Value/Gross Profit39.09
Enterprise Value/Ebitda-2.99
Forecast
1Y Price Target
$0.50Price Target Upside-3.85% Downside
Rating ConsensusHold
Number of Analyst Covering0
Ocean Power Technologies Business Overview & Revenue Model
Company DescriptionOcean Power Technologies, Inc. develops and commercializes proprietary systems that generate electricity by harnessing the renewable energy of ocean waves in North America, South America, Europe, and Asia. It offers PB3 PowerBuoy system that generates power for use independent of the power grid in offshore locations. The company also provides hybrid PowerBuoy products; subsea battery systems; and software, controls, sensors, integration services, and marine installation services. In addition, it offers distributed offshore power and communications for remote surface and subsea applications in markets, such as defense and security, offshore oil and gas, science and research, and offshore wind. Further, the company provides Wave Adaptive Modular Vessel (WAM-V) technology, which enables roaming capabilities for uncrewed maritime systems in waters; leases WAM-V robotics and access information; maritime domain awareness solutions; and strategic consulting services. Additionally, it offers offshore data collection, integration, analytics, and real time communication for various applications. The company serves public and private entities, and agencies that require remote offshore power. Ocean Power Technologies, Inc. was incorporated in 1984 and is headquartered in Monroe Township, New Jersey.
How the Company Makes MoneyOcean Power Technologies generates revenue primarily through the sale and leasing of its PowerBuoy systems, which are deployed in offshore environments to produce renewable energy. The company also earns income from providing engineering consulting services, maintenance, and support for its energy systems. Additionally, OPTT may engage in strategic partnerships and collaborations with governmental agencies, research institutions, and private sector companies to enhance its technological capabilities and expand its market reach, which can also contribute to its revenue. Furthermore, OPTT may receive government grants or subsidies aimed at promoting renewable energy technologies, which can be a supplemental source of income.
Ocean Power Technologies Earnings Call Summary
Earnings Call Date:Jul 24, 2025
(Q4-2025)
| % Change Since: |
Next Earnings Date:Sep 15, 2025
Earnings Call Sentiment Positive
The earnings call reflected a positive sentiment with strong achievements in backlog, revenue growth, partnerships, and operational efficiencies. While there were challenges related to macroeconomic factors and procurement delays, the company's strategic positioning and financial strengthening indicate a robust outlook.Q4-2025 Updates
Positive Updates
Record Funded Backlog
Entered fiscal '26 with $12.5 million in funded backlog, the highest in the company's history, indicating strong customer confidence and demand for solutions.
Revenue Growth and Cost Reduction
Fiscal 2025 was a record year for revenue with $5.9 million, a 7% increase over the prior year, alongside a 26% reduction in operating expenses.
Strategic Partnerships and Certifications
Expanded partnerships with key players like Red Cat and Teledyne Marine and achieved ISO 9001 certification for quality management, enhancing market credibility and operational foundation.
Involvement in U.S. Navy's Project Overmatch
OPT's WAM-V platforms were selected for the U.S. Navy's autonomy exercises, reflecting high trust and alignment with defense goals.
Strengthened Financial Position
Secured $10 million unsecured debt financing post-fiscal year-end, boosting liquidity and enabling execution on record backlog.
Negative Updates
Revenue Below Expectations
Revenue was below expectations due to election-related uncertainty and macroeconomic volatility, affecting defense procurement activity and slowing pipeline conversion.
Pending Administration Transition Challenges
Election-related uncertainty and pending administration transition delayed procurement activity, impacting fiscal '25 results.
Company Guidance
During the Ocean Power Technologies Fourth Quarter and Full Fiscal Year 2025 Earnings Conference Call, several key metrics were highlighted. The company ended fiscal year 2025 with a record $12.5 million in funded backlog, reflecting strong customer confidence and demand for their solutions. Revenue for the year increased to $5.9 million, up 7% from the previous year's $5.5 million, despite a 26% reduction in operating expenses, which totaled $23.4 million, down from $32.2 million in FY '24. This resulted in a 22% improvement in the net loss, which decreased from $27.5 million to $21.5 million. Moreover, the company's cash position improved, with $6.7 million in total cash and equivalents as of April 30, 2025, compared to $3.2 million at the end of FY '24, further bolstered by a $10 million unsecured debt financing. These financial metrics underscore the company's strategic expansion efforts and operational efficiency as they enter fiscal year 2026.Ocean Power Technologies Financial Statement Overview
Summary
Ocean Power Technologies demonstrates revenue growth but suffers from significant profitability and cash flow challenges. The company has a strong equity position with no debt, yet persistent negative cash flows and profitability metrics raise concerns about its financial sustainability.Income Statement
Ocean Power Technologies shows considerable revenue growth, with TTM revenue at $6.12 million, up from $5.53 million in the previous year. However, the company faces significant profitability challenges. The net profit margin is deeply negative due to substantial net losses, and EBIT and EBITDA margins are also negative, indicating operational inefficiencies.35
Negative
Balance Sheet
The balance sheet highlights strong equity levels with a total equity of $28.91 million against no debt, suggesting potential stability. However, the equity ratio has decreased over time, and the return on equity is negative due to ongoing losses, which is concerning for financial sustainability.45
Neutral
Cash Flow
Cash flow analysis reveals negative free cash flow growth, with TTM free cash flow at -$21.39 million. The operating cash flow to net income ratio is negative, reflecting cash outflows from operations. Despite significant financing inflows, cash flow sustainability remains a concern.30
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 5.86M | 5.86M | 5.53M | 2.73M | 1.76M | 1.21M |
| Gross Profit | 1.66M | 1.66M | 2.83M | 236.00K | -101.00K | -1.07M |
| EBITDA | -21.72M | -21.69M | -28.24M | -27.76M | -21.10M | -13.44M |
| Net Income | -21.51M | -21.51M | -27.48M | -26.33M | -18.87M | -15.85M |
Balance Sheet | ||||||
| Total Assets | 30.79M | 30.79M | 28.70M | 53.37M | 73.39M | 86.38M |
| Cash, Cash Equivalents and Short-Term Investments | 6.71M | 6.71M | 3.15M | 34.67M | 57.27M | 83.03M |
| Total Debt | 0.00 | 0.00 | 2.57M | 1.84M | 857.00K | 2.06M |
| Total Liabilities | 4.14M | 4.14M | 9.36M | 9.42M | 4.56M | 5.91M |
| Stockholders Equity | 26.65M | 26.65M | 19.34M | 43.95M | 68.83M | 80.47M |
Cash Flow | ||||||
| Free Cash Flow | -19.14M | -19.14M | -32.35M | -22.73M | -21.44M | -11.70M |
| Operating Cash Flow | -18.63M | -18.63M | -29.76M | -21.71M | -21.30M | -11.67M |
| Investing Cash Flow | -505.00K | -505.00K | 25.50M | 20.46M | -54.03M | 74.00K |
| Financing Cash Flow | 22.70M | 22.70M | 469.00K | -14.00K | 87.00K | 84.17M |
Ocean Power Technologies Technical Analysis
Neutral
0.52
Price Trends
0.55
Negative
0.52
Positive
0.54
Negative
Market Momentum
-0.01
Negative
47.88
Neutral
58.70
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OPTT, the sentiment is Neutral. The current price of 0.52 is above the 20-day moving average (MA) of 0.51, below the 50-day MA of 0.55, and below the 200-day MA of 0.54, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 47.88 is Neutral, neither overbought nor oversold. The STOCH value of 58.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for OPTT.
Ocean Power Technologies Risk Analysis
Ocean Power Technologies disclosed 44 risk factors in its most recent earnings report. Ocean Power Technologies reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Ocean Power Technologies Peers Comparison
Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $10.74B | 15.86 | 8.15% | 2.00% | 2.70% | -15.17% | |
56 Neutral | $1.79B | ― | 125.43% | ― | 128.49% | -697.81% | |
52 Neutral | $93.76M | ― | -93.54% | ― | 6.06% | 62.74% | |
45 Neutral | $711.83M | ― | -279.62% | ― | 2.45% | -69.94% | |
43 Neutral | $95.72M | ― | -20.52% | ― | 48.62% | 0.23% | |
43 Neutral | $20.81M | ― | -207.48% | ― | -16.98% | 2.43% | |
40 Underperform | $257.30M | ― | -23.69% | ― | ― | -385.19% |
* Industrials Sector Average
Performance Comparison
OPTT
Ocean Power Technologies
0.52
0.34
188.89%
FCEL
Fuelcell Energy
4.20
-7.35
-63.64%
TE
T1 Energy
1.65
0.52
46.02%
EOSE
Eos Energy Enterprises
6.90
4.44
180.49%
GWH
ESS Tech
1.45
-5.40
-78.83%
ADSE
ADS-TEC Energy
12.98
0.79
6.48%
Ocean Power Technologies Corporate Events
Product-Related AnnouncementsBusiness Operations and Strategy
Ocean Power Technologies Secures New Maritime Certification
Positive
May 27, 2025
On May 22, 2025, Ocean Power Technologies announced the successful completion of its first sea trial for WAM-V® 22 at a newly permitted test site in Southern New Jersey, approved by the US Coast Guard. This milestone allows the company to conduct year-round testing on both coasts, enhancing product delivery efficiency and reducing the time from booking to revenue recognition. Additionally, on May 27, 2025, the company achieved a new certification, further solidifying its position in the maritime industry.
Private Placements and FinancingBusiness Operations and Strategy
Ocean Power Technologies Secures $25M Convertible Notes Deal
Positive
May 15, 2025
On May 15, 2025, Ocean Power Technologies entered into a securities purchase agreement with institutional investors to issue and sell convertible notes worth up to $25 million, with an initial sale of $10 million. This agreement allows the company to raise capital through public offerings, potentially impacting its financial stability and market position by providing additional funding for its operations and growth initiatives.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.