Perfect Moment Ltd. (PMNT) AI Stock Analysis

• Market Cap: $16.06M
• Dividend Yield: N/A
• Average Volume (3M): 259.54K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.13
• Revenue Growth: 2.48%
• EPS Growth: -16.75%
• Country: US
• Employees: 39
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -0.06
• Shares Outstanding: 35,221,930
• 10 Day Avg. Volume: 281,464
• 30 Day Avg. Volume: 259,535
• PEG Ratio: 0.04
• Price to Book (P/B): 9.54
• Price to Sales (P/S): 0.82
• P/FCF Ratio: -1.74
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 0.79
• Enterprise Value/Gross Profit: 1.54
• Enterprise Value/Ebitda: -1.54
• 1Y Price Target: $1.50
• Price Target Upside: 226.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $0.44 ▼(-3.48% Downside)

The overall stock score of 46 reflects significant financial challenges, with negative profitability and high financial risk being the most impactful factors. Technical analysis indicates a bearish trend, while valuation metrics suggest the stock is undervalued due to poor performance. Positive corporate events provide some optimism for future growth, but financial instability remains a major concern.

Positive Factors

Revenue Growth

The company has demonstrated strong revenue growth, exceeding estimates, which indicates effective market strategies and product demand.

Strategic Partnerships

Partnerships with major brands like H&M and new store openings enhance brand visibility and are likely to drive long-term growth.

Improved Gross Margins

Improved gross margins reflect better cost management and pricing power, contributing to sustainable profitability.

Negative Factors

Negative Profitability

Ongoing losses and declining net income indicate operational inefficiencies, posing a risk to long-term financial health.

High Financial Risk

High leverage and negative equity increase financial risk, potentially limiting the company's ability to invest in growth opportunities.

Negative Cash Flows

Reliance on financing activities for cash flow is unsustainable, indicating potential liquidity issues and operational challenges.

Perfect Moment Ltd. Business Overview & Revenue Model

Company Description

Perfect Moment Ltd., together with its subsidiaries, owns and operates a fashion brand that offers ski, surf, and activewear collections under the brand name of Perfect Moment. It offers skiwear, outerwear, swimwear and activewear for women, men, and children. The company sells its collections directly to customers through e-commerce and to wholesale accounts, as well as through other sales partnerships. Perfect Moment Ltd. was founded in 1984 and is based in London, the United Kingdom.

How the Company Makes Money

Perfect Moment Ltd. generates revenue primarily through the sale of its apparel and accessories. The company employs a direct-to-consumer sales model, utilizing both its e-commerce platform and physical retail locations to reach customers. Key revenue streams include seasonal collections, limited-edition collaborations, and exclusive product lines that drive consumer interest and urgency. Additionally, PMNT has established partnerships with outdoor sports events and sponsorships, enhancing brand visibility and attracting a dedicated customer base. The company's focus on sustainability and eco-friendly materials further positions it to appeal to environmentally conscious consumers, contributing positively to its earnings.

Perfect Moment Ltd. Financial Statement Overview

Summary

Perfect Moment Ltd. is facing significant financial challenges across all statements. Persistent negative profitability, high leverage, negative equity, and severely negative cash flows indicate financial instability and operational inefficiencies.

Income Statement

The income statement reveals persistent negative profitability with net income declining over the period. Gross profit margins have shown improvement, but the company faces challenges with negative EBIT and EBITDA margins, indicating operational inefficiencies. Revenue is volatile, with a recent decline, suggesting instability in sales performance.

Balance Sheet

The balance sheet highlights concerns with a high debt-to-equity ratio due to low equity levels, reflecting financial risk. Positive cash reserves help mitigate some risk, but the negative stockholders' equity and fluctuating total assets indicate financial instability and potential liquidity issues.

Cash Flow

Cash flow analysis shows negative operating cash flows and free cash flows, reflecting ongoing operational challenges. Financing activities have been the primary source of cash, which could be unsustainable in the long term. Cash flow ratios indicate inadequate cash generation relative to net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	22.93M	21.50M	24.44M	23.44M	16.45M	9.74M
Gross Profit	11.75M	10.43M	9.23M	8.76M	4.95M	2.95M
EBITDA	-11.78M	-13.55M	-6.86M	-8.04M	-10.40M	-5.79M
Net Income	-15.47M	-15.94M	-8.72M	-10.30M	-12.17M	-6.14M
Balance Sheet
Total Assets	14.96M	13.34M	12.61M	9.82M	8.01M	10.01M
Cash, Cash Equivalents and Short-Term Investments	393.00K	6.16M	7.91M	4.71M	2.13M	6.08M
Total Debt	632.00K	4.39M	145.00K	11.10M	7.14M	6.00M
Total Liabilities	13.98M	11.48M	4.85M	13.96M	11.39M	7.66M
Stockholders Equity	981.00K	1.86M	7.76M	-4.14M	-3.38M	2.35M
Cash Flow
Free Cash Flow	-13.63M	-10.16M	-4.66M	-3.76M	-4.49M	-3.78M
Operating Cash Flow	-13.27M	-9.86M	-4.45M	-3.51M	-3.56M	-3.05M
Investing Cash Flow	-369.00K	-302.00K	-211.00K	-249.00K	-920.00K	-734.00K
Financing Cash Flow	11.52M	9.69M	8.16M	6.93M	226.00K	8.53M

Perfect Moment Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.46
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PMNT, the sentiment is Negative. The current price of 0.46 is below the 20-day moving average (MA) of 0.47, below the 50-day MA of 0.47, and below the 200-day MA of 0.59, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 47.44 is Neutral, neither overbought nor oversold. The STOCH value of 15.15 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PMNT.

Perfect Moment Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JL	64 Neutral	$22.98M	68.88	17.80%	―	30.48%	30.06%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
NCI	61 Neutral	$5.57M	4.99	16.17%	―	―	―
VNCE	59 Neutral	$58.96M	-2.98	-33.24%	―	2.58%	-502.04%
JRSH	56 Neutral	$37.59M	62.45	0.99%	6.75%	12.25%	―
XELB	47 Neutral	$6.68M	-0.18	-78.27%	―	-46.66%	24.23%
PMNT	46 Neutral	$16.06M	-0.57	-845.14%	―	2.48%	-16.75%

Perfect Moment Ltd. Corporate Events

Perfect Moment Reports Strong Q2 2026 Financial Results

Perfect Moment Ltd. reported strong financial results for its fiscal second quarter 2026, ending September 30, 2025, with a 24% increase in revenue to $4.8 million and a significant improvement in gross margin to 60.1%. The company achieved these results through disciplined cost management, a healthier channel mix, and growing global brand recognition. Recent strategic initiatives include a global collaboration with H&M and the opening of a flagship store in Verbier, Switzerland, which are expected to enhance brand awareness and drive future growth.

Perfect Moment Ltd. Announces 2026 Annual Meeting Details

On November 5, 2025, Perfect Moment Ltd. announced that its annual meeting of stockholders for the 2026 fiscal year is scheduled for January 14, 2026, and will be held virtually. The company has set November 21, 2025, as the record date for stockholders entitled to vote, and November 17, 2025, as the deadline for stockholder proposals to be considered for inclusion in the proxy materials. This announcement outlines the procedures and deadlines for stockholder nominations and proposals, emphasizing compliance with the company’s bylaws and SEC regulations.

Perfect Moment Ltd. Extends Loan Maturity Date

On August 26, 2025, Max Gottschalk, Chairman of the Board of Perfect Moment Ltd., extended loans totaling $5,089,960 to the company to support its operations and product purchases. These loans were initially set with a maturity date of November 8, 2025, for a portion of the amount. On October 30, 2025, the company and Gottschalk amended and restated one of the promissory notes, extending its maturity date to March 9, 2026, which provides the company with additional time to manage its financial obligations.

Perfect Moment Ltd. Lowers Quorum Requirement

On October 7, 2025, Perfect Moment Ltd. amended its bylaws to change the quorum requirement for stockholder meetings. The new rule lowers the quorum from a majority to 33.3% of voting power, potentially impacting the company’s decision-making process and stakeholder engagement.

Perfect Moment Ltd. Signs Equity Purchase Agreement

On October 7, 2025, Perfect Moment Ltd. entered into an equity purchase agreement with an investor, allowing the sale of up to $25 million in common stock. The agreement requires stockholder and board approvals and includes a beneficial ownership limitation of 4.99%. This strategic move is aimed at enhancing the company’s financial flexibility and market positioning. Additionally, the company agreed to file a registration statement with the SEC for the securities involved, further solidifying its commitment to regulatory compliance.