ParaZero Technologies Ltd. (PRZO) AI Stock Analysis

• Market Cap: $22.69M
• Dividend Yield: N/A
• Average Volume (3M): 1.26M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.15
• Revenue Growth: 49.04%
• EPS Growth: -121.30%
• Country: US
• Employees: 22
• Sector: Industrials
• Sector Strength: 86
• Industry: Aerospace & Defense
• EPS (TTM): -0.27
• Shares Outstanding: 17,063,630
• 10 Day Avg. Volume: 971,447
• 30 Day Avg. Volume: 1,258,523
• PEG Ratio: -0.07
• Price to Book (P/B): -13.05
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -10.81
• Enterprise Value/Market Cap: 0.96
• Enterprise Value/Revenue: 32.72
• Enterprise Value/Gross Profit: 1.38K
• Enterprise Value/Ebitda: -3.97
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: $1.50 ▲(12.78%Upside)

The overall stock score for ParaZero Technologies Ltd. reflects significant financial challenges as the primary concern, despite positive technical trends providing some support. The weak valuation, impacted by negative earnings, further underscores the risks. Improvements in financial health are crucial for enhancing the stock's attractiveness.

ParaZero Technologies Ltd. Business Overview & Revenue Model

Company Description

ParaZero Technologies Ltd. (PRZO) is a technology company specializing in the development and manufacturing of drone safety systems. The company operates within the aerospace and defense sectors, providing innovative solutions designed to enhance the safety and reliability of unmanned aerial vehicles (UAVs). ParaZero's core products include parachute recovery systems and other safety technologies that address critical safety challenges in the drone industry.

How the Company Makes Money

ParaZero Technologies Ltd. generates revenue primarily through the sale of its proprietary drone safety systems to various stakeholders in the drone industry, including manufacturers, service providers, and operators. The company's key revenue streams include product sales, licensing agreements, and partnerships with drone manufacturers who integrate ParaZero's safety solutions into their UAVs. Additionally, ParaZero may engage in strategic collaborations with industry players to expand its market reach and enhance its technological offerings, contributing to its earnings.

ParaZero Technologies Ltd. Financial Statement Overview

Summary

ParaZero Technologies Ltd. has a weak financial performance, with significant losses, high leverage, negative equity, and persistent negative cash flow. Despite revenue growth, profitability and cash flow remain challenges.

Income Statement

ParaZero Technologies Ltd. has experienced a volatile financial performance with significant losses, as reflected by the negative net profit and EBIT margins over the years. Although there was a substantial increase in revenue from 2022 to 2024, the net income has continued to decline, indicating challenges in managing operational costs. The company needs to improve cost management and profitability to strengthen its financial position.

Balance Sheet

The balance sheet indicates a concerning financial structure with negative stockholders' equity and a high debt load relative to assets. The debt-to-equity ratio is unfavorable due to negative equity, suggesting high financial risk. This structure reflects potential solvency issues, requiring strategic actions to stabilize the balance sheet.

Cash Flow

The cash flow analysis shows persistent negative free cash flow and operating cash flow, indicating cash challenges. Despite significant financing inflows in recent years, the company has not yet achieved positive cash flow from operations, pointing to a need for better operational efficiency and cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	932.15K	168.25K	560.12K	724.39K	762.41K
Gross Profit	58.29K	-308.36K	222.55K	259.68K	-86.52K
EBITDA	-5.54M	-3.60M	-1.62M	-969.80K	-1.30M
Net Income	-11.05M	-3.77M	-1.65M	-615.38K	-1.94M
Balance Sheet
Total Assets	5.74M	8.42M	1.15M	532.74K	763.07K
Cash, Cash Equivalents and Short-Term Investments	4.18M	7.43M	89.81K	33.02K	144.74K
Total Debt	419.48K	7.54K	452.67K	6.65M	6.23M
Total Liabilities	6.05M	2.32M	2.79M	7.15M	6.76M
Stockholders Equity	-311.64K	6.11M	-1.64M	-6.62M	-6.00M
Cash Flow
Free Cash Flow	-4.97M	-2.96M	-1.98M	-991.47K	-830.05K
Operating Cash Flow	-4.89M	-2.94M	-1.97M	-985.90K	-829.35K
Investing Cash Flow	-148.74K	-25.76K	-9.72K	-5.57K	-695.00
Financing Cash Flow	1.82M	10.30M	2.04M	910.56K	868.74K

ParaZero Technologies Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PRZO, the sentiment is Positive. The current price of 1.33 is above the 20-day moving average (MA) of 1.19, above the 50-day MA of 0.99, and above the 200-day MA of 1.05, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 61.80 is Neutral, neither overbought nor oversold. The STOCH value of 81.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PRZO.

ParaZero Technologies Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OPXS	77 Outperform	$83.16M	16.96	25.69%	―	21.77%	36.36%
Sector *	68 Neutral	£2.99B	10.39	7.71%	3.37%	3.01%	-10.61%
CVU	62 Neutral	$43.55M	23.59	7.62%	―	-7.34%	-88.84%
PRZO	54 Neutral	$22.69M	―	-370.62%	―	49.04%	-121.30%
SIDU	47 Neutral	$31.67M	―	-109.05%	―	-18.70%	84.35%
SIDU	47 Neutral	$31.67M	―	-109.05%	―	-18.70%	84.35%
ASTC	42 Neutral	$9.57M	―	-44.54%	―	-54.94%	-24.76%
ASTC	42 Neutral	$9.57M	―	-44.54%	―	-54.94%	-24.76%
MNTS	40 Underperform	$8.07M	―	688.16%	―	-46.28%	93.33%
MNTS	40 Underperform	$8.07M	―	688.16%	―	-46.28%	93.33%