IMPINJ (PI) AI Stock Analysis

• Market Cap: $3.29B
• Dividend Yield: N/A
• Average Volume (3M): 401.06K
• Price to Earnings (P/E): 58.7
• Beta (1Y): 2.29
• Revenue Growth: 21.80%
• EPS Growth: 89.21%
• Country: US
• Employees: 451
• Sector: Technology
• Sector Strength: 86
• Industry: Communication Equipment
• EPS (TTM): 0.21
• Shares Outstanding: 28,983,130
• 10 Day Avg. Volume: 394,888
• 30 Day Avg. Volume: 401,060
• PEG Ratio: 2.08
• Price to Book (P/B): 178.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -243.78
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 2.20
• Enterprise Value/Gross Profit: 16.34
• Enterprise Value/Ebitda: 191.76
• 1Y Price Target: $119.00
• Price Target Upside: 4.90% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 60 Neutral
• Price Target: $113.00 ▼(-0.39%Downside)

IMPINJ's overall score is primarily influenced by its strong earnings call outlook and cash flow generation, which are offset by profitability challenges and high leverage. Technical analysis suggests short-term uncertainty, and the valuation is a significant concern due to negative earnings and lack of dividends.

Positive Factors

Financial Performance

Impinj reported better than expected results and guidance on endpoint IC resilience.

Market Opportunity

PI has a long growth runway, including an emerging opportunity in grocery with news of direct engagement with a second grocer for a self-checkout application.

Product Launch

Management highlighted the launch of its Gen2X solution, citing 'overwhelming' interest from customers and deployments in all top 6 reader partners.

Negative Factors

Guidance Uncertainty

The company stopped short of guiding beyond March, creating uncertainty about future performance.

Inventory Management

Impinj reported worse than expected results and guidance, driven by an accumulation of excess endpoint IC inventory at inlay partners and delayed orders as customers sought better prices.

Revenue Expectations

PI guided for Q1 revenues to be down 5%-9% y/o/y vs. Street expectations of 21% growth.

IMPINJ Business Overview & Revenue Model

Company Description

Impinj, Inc. (PI) is a leading provider of RAIN RFID solutions, enabling businesses to identify, locate, and authenticate items to streamline operations and enhance customer experiences. The company's technology is used in various sectors, including retail, healthcare, logistics, and manufacturing. Impinj's core products and services include endpoint integrated circuits, connectivity devices, and software platforms, which collectively facilitate the tracking and management of goods and assets.

How the Company Makes Money

Impinj generates revenue primarily through the sale of its RAIN RFID solutions, which include endpoint ICs, connectivity devices, and software. The company sells these products to OEMs, resellers, and end-users across multiple industries. A significant portion of Impinj's revenue comes from the sale of endpoint ICs, which are embedded in tags and labels for tracking purposes. Additionally, Impinj licenses its intellectual property and provides support and maintenance services, contributing to its revenue streams. Strategic partnerships with technology integrators, retailers, and logistics providers further enhance its market reach and revenue potential.

IMPINJ Financial Statement Overview

Summary

IMPINJ shows strengths in cash flow generation and gross profit margins, but struggles with profitability due to negative net profit and EBIT margins. High leverage and inconsistent revenue growth pose additional risks. Improvements in equity and cash flow ratios are positive but need to be matched by addressing profitability issues.

Income Statement

IMPINJ's financial performance shows a strong gross profit margin of 51.6% in TTM (Trailing-Twelve-Months), indicating efficient cost management. However, the company faces challenges with negative net profit and EBIT margins of -0.3% and -1.3% respectively, suggesting struggles in achieving profitability. Revenue growth has been positive over the years, with a 41.8% growth from 2021 to 2022, but the recent TTM figures show a slight decline of 0.7% from the previous year, highlighting potential challenges in maintaining growth momentum.

Balance Sheet

IMPINJ's balance sheet reveals a high debt-to-equity ratio of 1.82 in TTM, which indicates significant leverage and potential financial risk. The equity ratio has improved to 33.5% in TTM, reflecting better capital structure management compared to previous years. However, the return on equity is negative at -0.6%, pointing to difficulties in generating returns for shareholders despite improvements in equity levels.

Cash Flow

IMPINJ shows a robust free cash flow of $44.25 million in TTM, with a positive free cash flow to net income ratio, demonstrating effective cash generation relative to net income. The operating cash flow to net income ratio of 59.6 in TTM highlights efficient operations. Nevertheless, the free cash flow growth rate saw a decline from the previous year, necessitating attention to sustaining positive cash flow trends.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	363.54M	366.09M	307.54M	257.80M	190.28M	138.92M
Gross Profit	187.49M	188.85M	151.98M	137.88M	98.95M	65.14M
EBITDA	14.54M	59.86M	-26.83M	-13.54M	-43.95M	-41.92M
Net Income	-957.00K	40.84M	-43.37M	-24.30M	-51.26M	-51.92M
Balance Sheet
Total Assets	479.82M	489.08M	359.41M	349.74M	315.54M	207.62M
Cash, Cash Equivalents and Short-Term Investments	147.92M	164.71M	113.23M	173.75M	193.35M	106.09M
Total Debt	292.35M	292.80M	294.59M	294.43M	304.37M	73.46M
Total Liabilities	319.26M	339.22M	325.28M	334.15M	326.61M	98.50M
Stockholders Equity	160.56M	149.86M	34.13M	15.59M	-11.08M	109.12M
Cash Flow
Free Cash Flow	44.25M	111.20M	-68.22M	-11.44M	-9.77M	-19.95M
Operating Cash Flow	57.03M	128.31M	-49.38M	641.00K	6.46M	-16.88M
Investing Cash Flow	-176.39M	-192.57M	115.81M	-102.80M	-18.64M	-36.29M
Financing Cash Flow	13.82M	15.68M	8.74M	-2.15M	112.44M	9.90M

IMPINJ Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 113.44
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PI, the sentiment is Positive. The current price of 113.44 is above the 20-day moving average (MA) of 110.02, above the 50-day MA of 107.62, and below the 200-day MA of 138.41, indicating a neutral trend. The MACD of 0.56 indicates Negative momentum. The RSI at 57.77 is Neutral, neither overbought nor oversold. The STOCH value of 76.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PI.

IMPINJ Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CAMT	77 Outperform	$3.99B	33.11	24.82%	1.52%	32.63%	46.16%
TTMI	76 Outperform	$4.24B	55.77	5.02%	―	11.65%	―
PAYO	75 Outperform	$2.51B	23.18	15.97%	―	14.86%	-0.94%
ALKT	69 Neutral	$3.04B	―	-11.33%	―	26.55%	38.37%
PI	60 Neutral	$3.29B	58.72	-0.78%	―	21.80%	89.21%
Sector *	59 Neutral	€3.21B	12.60	-9.91%	2.78%	2.38%	-49.53%
PAR	58 Neutral	$2.72B	―	-13.65%	―	-8.82%	90.01%

IMPINJ Corporate Events

Impinj COO Resignation Amid Stable Earnings Outlook

On May 22, 2025, Impinj, Inc. announced the resignation of its Chief Operating Officer, Hussein Mecklai, effective May 20, 2025. Despite this leadership change, the company affirmed that there would be no alterations to its previously disclosed earnings guidance, indicating stability in its operational outlook.

The most recent analyst rating on (PI) stock is a Buy with a $190.00 price target. To see the full list of analyst forecasts on IMPINJ stock, see the PI Stock Forecast page.