Syntec Optics Holdings (OPTX) AI Stock Analysis

• Market Cap: $72.73M
• Dividend Yield: N/A
• Average Volume (3M): 242.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.87
• 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: 0.84
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: $1.50 ▼(-23.86% Downside)

Syntec Optics Holdings faces significant financial and operational challenges, with negative profitability and high leverage being the most critical issues. The technical indicators suggest weak momentum, and the valuation metrics are unattractive due to a negative P/E ratio. While the resolution of Nasdaq compliance issues is a positive step, it does not outweigh the broader financial instability.

Positive Factors

New Order for Space Optics

The new order for LEO satellite optics highlights Syntec's strength in a growing market, indicating potential for sustained revenue growth in the space optics segment.

Improved Gross Profit Margin

The improvement in gross profit margin suggests better cost management, which could enhance long-term profitability and operational efficiency.

Nasdaq Compliance Regained

Regaining Nasdaq compliance resolves regulatory risks, ensuring continued market presence and investor confidence, crucial for long-term stability.

Negative Factors

Negative Profitability

Persistent negative profitability indicates challenges in achieving sustainable earnings, which could hinder long-term financial health and growth.

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting the company's ability to invest in growth opportunities and manage economic downturns.

Declining Revenue

A significant decline in revenue growth suggests weakening market position and demand, posing a challenge to achieving long-term growth objectives.

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: 1.97
• 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 1.97 is above the 20-day moving average (MA) of 1.59, below the 50-day MA of 1.98, and above the 200-day MA of 1.63, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 71.38 is Negative, neither overbought nor oversold. The STOCH value of 72.63 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%
ELTK	59 Neutral	$59.03M	51.55	2.70%	2.16%	2.54%	-79.99%
LPTH	53 Neutral	$454.48M	-22.69	-37.93%	―	36.85%	-77.93%
REFR	49 Neutral	$48.79M	-25.09	-87.36%	―	-16.49%	-59.21%
GNSS	45 Neutral	$101.69M	―	-183.60%	―	69.76%	43.82%
OPTX	41 Neutral	$72.73M	-30.67	-27.25%	―	-44.83%	-296.14%
LINK	41 Neutral	$63.16M	-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.

Syntec Optics to File Delayed SEC Reports Soon

Syntec Optics Holdings announced a target date to file delayed SEC reports by October 13, 2025, to regain NASDAQ compliance. The company’s auditors have nearly completed their review, and the reports for fiscal year 2024 and the first two quarters of 2025 are expected to be released simultaneously.

Syntec Optics Faces Delisting Risk Amid Report Delays

Syntec Optics Holdings has announced a delay in filing its annual and quarterly reports for the fiscal year 2024 and the first two quarters of 2025, respectively. The company is working closely with auditors to complete the necessary reviews and anticipates filing the reports shortly, aiming to regain compliance with NASDAQ requirements by October 13, 2025.