Syntec Optics Holdings (OPTX) AI Stock Analysis

• Market Cap: $170.94M
• Dividend Yield: N/A
• Average Volume (3M): 242.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.00
• Revenue Growth: -44.83%
• EPS Growth: -296.14%
• Country: US
• Employees: 148
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): N/A
• Shares Outstanding: 36,920,227
• 10 Day Avg. Volume: 342,440
• 30 Day Avg. Volume: 242,031
• PEG Ratio: 0.17
• Price to Book (P/B): 8.09
• Price to Sales (P/S): 3.14
• P/FCF Ratio: -40.90
• Enterprise Value/Market Cap: 0.36
• Enterprise Value/Revenue: 2.18
• Enterprise Value/Gross Profit: 10.57
• Enterprise Value/Ebitda: 148.17
• 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: 45 Neutral
• Price Target: $4.50 ▲(29.31% Upside)

The score is held down primarily by weak financial performance (negative profitability, negative equity, and negative free cash flow). Technical momentum is strong but appears overbought, and valuation is constrained by losses and no dividend support. Nasdaq compliance restoration is a modest positive but not enough to offset core fundamentals.

Positive Factors

Improving Margins

Rising gross and EBITDA margins reflect better cost control and operational leverage. If sustained, these margin improvements provide a durable buffer against revenue variability, improve operating cash generation potential, and reduce the scale of restructuring or external funding needed to reach profitability.

Regained Nasdaq Compliance

Restoring Nasdaq compliance eliminates delisting risk and a regulatory overhang, improving access to public capital markets. This structural improvement enhances financing optionality, supplier and customer confidence, and removes a persistent governance risk that could otherwise constrain long-term strategic options.

Accelerating Free Cash Flow Growth

A large acceleration in FCF growth signals improving cash conversion and working-capital dynamics. While FCF is still negative, a sustained trajectory of FCF improvement reduces reliance on external financing over months, supports reinvestment, and can be a leading indicator of eventual cash-flow breakeven.

Negative Factors

Negative Stockholders' Equity

Material negative equity signals balance-sheet impairment and potential solvency stress. This structurally limits borrowing capacity, increases creditor and covenant risk, and raises likelihood of dilution if equity raises are required, undermining long-term financial flexibility and strategic execution.

Sustained Unprofitability

Persisting losses and recent revenue decline indicate the business has yet to achieve durable profitability. Continued negative margins constrain internal capital formation, weaken returns on invested capital, and increase dependence on external funding, making long-term growth and investment more challenging.

Weak Cash Conversion

Very low cash conversion and negative FCF show earnings are not translating into usable cash. This structural liquidity weakness limits ability to fund capex, R&D, or working capital internally, heightens refinancing risk, and can force dilutive financings that impair long-term shareholder value.

Syntec Optics Holdings Business Overview & Revenue Model

Company Description

Syntec Optics Holdings, Inc. manufactures and supplies integrated optics for biomedical, defense and military, consumer, and other applications. It offers camera modules; tool design, design for manufacturing, optical and opto-mechanical design, and moldflow analysis; SPDT optics, such as freedom optics, microlens arrays, spheres and aspheres, diffractives, SPDT materials, and optical tooling; replicative molding, that includes polymer and glass molding, and molded production materials; thin film coating and coating curve materials; and precision machining and precision machining materials. The company also provides clean room assembly, such as opto mechanical, opto electronic, and integrated photonics; infrared optics, microlens arrays, software development, and optical metrology, and catalog optics services. In addition, it offers driverless cars, integrated photonics, robotics, sensors, VR and AR, machine vision, facial imagining, heads up display, finger print scanners, and laser scanners technology for consumers; night vision goggles, missile laser guides, biometrics, infrared and thermal imaging, ordnance optics, head mounted displays, 2D and 3D scanners, humvee lighting , laser targeting, protective domes and windows, and lidar technologies for defense and miliary; and medical diagnostic, microfluidics, surgical components and systems, and medical sensing technology for medical sectors. The company was founded in 1981 and is based in Rochester, New York.

How the Company Makes Money

Syntec Optics Holdings generates revenue primarily through the sale of its optical products to original equipment manufacturers (OEMs) and direct consumers. The company has established key revenue streams in the form of bulk orders from large electronics manufacturers, partnerships with automotive companies for specialized lens solutions, and contracts with medical device firms for custom optics. Additionally, Syntec Optics may benefit from ongoing maintenance and support services related to its products, as well as potential licensing agreements for its proprietary technologies. Strategic collaborations and joint ventures with industry leaders further bolster its market presence and contribute to its earnings.

Syntec Optics Holdings Financial Statement Overview

Summary

Syntec Optics Holdings is facing financial challenges with declining revenue, negative profitability, and high leverage. While there are some improvements in gross profit margin and EBITDA margin, the negative equity and cash flow issues pose significant risks.

Income Statement

Syntec Optics Holdings has shown fluctuating revenue growth with a recent decline of 3.18% in TTM. The gross profit margin has improved to 23.34% in TTM from 20.04% in 2024, indicating better cost management. However, the company is struggling with profitability, as evidenced by a negative net profit margin of -5.46% and negative EBIT margin of -3.28% in TTM. The EBITDA margin has improved to 6.32% in TTM, suggesting some operational improvements.

Balance Sheet

The balance sheet shows a concerning negative stockholders' equity of -1,309,471 in TTM, indicating potential financial instability. The debt-to-equity ratio is high at 1.05, reflecting significant leverage. Return on equity is negative, highlighting profitability challenges. The equity ratio is not calculable due to negative total assets, indicating financial distress.

Cash Flow

Cash flow analysis reveals a significant increase in free cash flow growth rate at 233.67% in TTM, but the free cash flow remains negative. The operating cash flow to net income ratio is low at 0.11, indicating weak cash generation relative to net income. The free cash flow to net income ratio is negative, reflecting cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	27.90M	28.45M	29.44M	27.84M	26.62M
Gross Profit	5.75M	5.70M	7.92M	6.13M	6.59M
EBITDA	410.06K	189.32K	4.31M	2.61M	4.64M
Net Income	-2.99M	-2.48M	1.98M	-434.57K	3.25M
Balance Sheet
Total Assets	24.58M	27.96M	28.27M	23.03M	147.43M
Cash, Cash Equivalents and Short-Term Investments	577.92K	598.79K	2.16M	526.18K	494.60K
Total Debt	11.37M	11.41M	8.93M	10.00M	0.00
Total Liabilities	14.77M	16.92M	15.21M	13.57M	5.24M
Stockholders Equity	9.81M	11.03M	13.06M	9.46M	142.19M
Cash Flow
Free Cash Flow	44.85K	-2.18M	871.04K	687.08K	-274.02K
Operating Cash Flow	1.30M	-942.83K	2.79M	1.93M	-274.02K
Investing Cash Flow	-1.26M	-930.87K	-1.92M	-685.43K	-146.63M
Financing Cash Flow	56.29K	314.24K	761.02K	-3.02M	147.39M

Syntec Optics Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.48
• 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 OPTX, the sentiment is Positive. The current price of 3.48 is above the 20-day moving average (MA) of 2.75, above the 50-day MA of 2.17, and above the 200-day MA of 1.76, indicating a bullish trend. The MACD of 0.65 indicates Negative momentum. The RSI at 76.21 is Negative, neither overbought nor oversold. The STOCH value of 63.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OPTX.

Syntec Optics Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
LPTH	55 Neutral	$638.83M	-30.38	-37.93%	―	36.85%	-77.93%
ELTK	51 Neutral	$61.11M	53.20	2.70%	2.16%	2.54%	-79.99%
GNSS	49 Neutral	$106.66M	-5.60	-183.60%	―	69.76%	43.82%
OPTX	45 Neutral	$170.94M	-54.68	-27.25%	―	-44.83%	-296.14%
REFR	44 Neutral	$43.07M	-23.67	-87.36%	―	-16.49%	-59.21%
LINK	41 Neutral	$59.69M	-29.61	-13.78%	―	-1.70%	17.13%

Syntec Optics Holdings Corporate Events

Syntec Optics Regains Nasdaq Compliance After Filings

Syntec Optics Holdings, Inc. was notified by Nasdaq on April 16, May 28, and August 29, 2025, for not meeting periodic filing requirements. However, after filing its Form 10-K and 10-Qs on October 6, 2025, the company regained compliance, and the issue is now resolved.

The most recent analyst rating on (OPTX) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Syntec Optics Holdings stock, see the OPTX Stock Forecast page.