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ParaZero Technologies Ltd. (PRZO)
NASDAQ:PRZO
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ParaZero Technologies Ltd. (PRZO) AI Stock Analysis

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PRZO

ParaZero Technologies Ltd.

(NASDAQ:PRZO)

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Neutral 41 (OpenAI - 4o)
Rating:41Neutral
Price Target:
$1.50
▼(-7.41% Downside)
The overall stock score is primarily impacted by significant financial challenges, including high leverage and negative equity. Weak technical indicators and a negative P/E ratio further contribute to the low score, reflecting the company's ongoing struggles and the need for strategic improvements.

ParaZero Technologies Ltd. (PRZO) vs. SPDR S&P 500 ETF (SPY)

ParaZero Technologies Ltd. Business Overview & Revenue Model

Company DescriptionParaZero Technologies Ltd., an aerospace company, engages in the design, development, manufacturing, distribution, and sale of autonomous parachute safety systems for commercial drones in the United States, Israel, Canada, Europe, and internationally. The company offers SafeAir system, a smart parachute system that monitors unmanned aerial systems flight in real-time, as well as identifies critical failures and autonomously triggers a parachute in the event of an emergency. Its autonomous parachute system portfolio includes SafeAir Phantom, SafeAir Mavic, SafeAir M-200 Pro, SafeAir M-300 Pro, SafeAir M-600 Pro, SafeAir V1EX, SafeAir 350, and Custom Integrations. The company serves system manufacturers, resellers, and online stores. ParaZero Technologies Ltd. was incorporated in 2013 and is based in Kiryat Ono, Israel.
How the Company Makes MoneyParaZero 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. faces significant financial challenges, with consistent losses, high leverage, and negative equity. Despite revenue growth, profitability and cash flow remain weak, necessitating improved operational efficiency and financial restructuring.
Income Statement
30
Negative
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
20
Very Negative
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
25
Negative
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.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue932.15K168.25K560.12K724.39K762.41K
Gross Profit58.29K-308.36K222.55K259.68K-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 Assets5.74M8.42M1.15M532.74K763.07K
Cash, Cash Equivalents and Short-Term Investments4.18M7.43M89.81K33.02K144.74K
Total Debt419.48K7.54K452.67K6.65M6.23M
Total Liabilities6.05M2.32M2.79M7.15M6.76M
Stockholders Equity-311.64K6.11M-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 Flow1.82M10.30M2.04M910.56K868.74K

ParaZero Technologies Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.62
Price Trends
50DMA
1.57
Positive
100DMA
1.30
Positive
200DMA
1.30
Positive
Market Momentum
MACD
>-0.01
Negative
RSI
61.08
Neutral
STOCH
74.05
Neutral
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 1.62 is above the 20-day moving average (MA) of 1.40, above the 50-day MA of 1.57, and above the 200-day MA of 1.30, indicating a bullish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 61.08 is Neutral, neither overbought nor oversold. The STOCH value of 74.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PRZO.

ParaZero Technologies Ltd. Risk Analysis

ParaZero Technologies Ltd. disclosed 70 risk factors in its most recent earnings report. ParaZero Technologies Ltd. reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

ParaZero Technologies Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
85.52M16.590.10%21.00%20.18%
49
Neutral
33.10M-34.64-3.90%-14.35%-105.66%
47
Neutral
8.18M-0.580.00%-54.94%-24.76%
44
Neutral
13.84M-0.09447.45%-70.65%90.41%
42
Neutral
37.36M-0.55-74.46%-2.60%82.24%
41
Neutral
$28.15M-287.53%83.92%-87.22%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PRZO
ParaZero Technologies Ltd.
1.62
1.01
165.57%
ASTC
Astrotech
4.90
-2.85
-36.77%
CVU
CPI Aerostructures
2.57
-0.84
-24.63%
OPXS
Optex Systems Holdings
12.34
4.68
61.10%
MNTS
Momentus
1.19
-5.79
-82.95%
SIDU
Sidus Space, Inc. Class A
1.08
-1.66
-60.58%

ParaZero Technologies Ltd. Corporate Events

ParaZero’s DropAir Achieves Breakthrough in Blood Transfusion Delivery
Sep 9, 2025

ParaZero Technologies Ltd. announced a successful joint field trial of its DropAir system for precision delivery of blood units, conducted in collaboration with the Israeli Ministry of Defense, Ministry of Health, and Israel Defense Forces. The trial demonstrated DropAir’s potential as a life-saving capability in emergency scenarios, confirming the system’s ability to deliver undamaged blood transfusions from 200 meters altitude. This development positions ParaZero as a key player in providing reliable delivery solutions for military and civilian missions, enhancing its industry standing and offering significant implications for stakeholders involved in emergency medical logistics.

ParaZero Successfully Trials Counter-Drone System in Israel
Sep 4, 2025

On September 4, 2025, ParaZero Technologies Ltd. announced the successful completion of a field trial of its DefendAir Stationary Turret system in collaboration with Israel’s homeland security authority. The trial, conducted in real-life conditions, demonstrated the system’s ability to protect critical infrastructure by achieving a 100% interception success rate against hostile drones. This success validates DefendAir as a critical defense solution, particularly in environments where traditional methods are unsuitable, thereby enhancing ParaZero’s market positioning in defense and homeland security applications.

ParaZero Technologies Reports First Half 2025 Financial Results
Aug 28, 2025

ParaZero Technologies Ltd. released its financial results for the first half of 2025 on August 28, 2025. The company reported a decline in gross profit, with a loss of $73,909 compared to a profit of $73,164 in the same period last year. Despite increased sales, the cost of sales rose significantly, impacting profitability. The financial results reflect challenges in managing operational costs, particularly in research and development, which saw a substantial increase in expenses. This announcement may influence stakeholders’ perceptions of the company’s financial health and its ability to manage expenses effectively.

ParaZero Achieves 100% Success in Latest Drone Defense Test
Aug 25, 2025

On August 25, 2025, ParaZero Technologies Ltd. announced the successful completion of a field trial for its DefendAir Hand-Held Net Gun System, achieving a 100% success rate in intercepting hostile drones. This demonstration, ordered by Israel’s defense sector, underscores the system’s effectiveness in protecting critical infrastructure and sensitive facilities. The trial follows a previous successful demonstration in July 2025, reinforcing DefendAir’s reliability as a defense solution amid the growing global drone threat. The anti-drone market is projected to grow significantly, highlighting the importance of such innovative solutions.

ParaZero Secures Defense Order for Counter-Drone Technology
Aug 18, 2025

On August 18, 2025, ParaZero Technologies Ltd. announced it received a purchase order for its advanced Counter-Unmanned Aerial Systems (C-UAS) solution from a defense entity. This order marks a significant achievement for ParaZero as it continues to expand into the defense market and the rapidly growing counter-drone market. The global anti-drone market is projected to grow significantly, with ParaZero’s technology offering essential protection for critical infrastructure and sensitive operations. The order reflects the trust in ParaZero’s technology and its commitment to providing high levels of safety and security.

ParaZero and Steadicopter Secure Global Marketing Approval for DropAir System
Aug 5, 2025

On August 5, 2025, ParaZero Technologies Ltd. and Steadicopter Ltd. received approval from the Israeli Ministry of Defense’s Defense Export Controls Agency to globally market their integrated DropAir Precision Airdrop System. This system, which combines ParaZero’s precision delivery technology with Steadicopter’s advanced unmanned aerial platforms, is designed for delivering critical payloads in challenging environments. The approval is expected to enhance ParaZero’s market reach and partnerships, particularly in the defense, commercial, and humanitarian sectors.

ParaZero Technologies Announces $2.2 Million Direct Offering
Aug 4, 2025

On August 4, 2025, ParaZero Technologies Ltd. announced a definitive securities purchase agreement with institutional investors for a registered direct offering of approximately $2.2 million in ordinary shares and pre-funded warrants. The offering, expected to close on or about August 5, 2025, aims to use the net proceeds for general corporate purposes and working capital, potentially impacting the company’s operational capabilities and market positioning.

ParaZero Technologies Reports Preliminary H1 2025 Financial Results
Aug 4, 2025

ParaZero Technologies Ltd. announced its preliminary unaudited financial results for the first six months of 2025, revealing expected revenues of approximately $350,000, an increase from $283,000 in the same period of 2024. The company’s cash and cash equivalents stood at approximately $4.8 million as of June 30, 2025, down from $5.3 million the previous year. These results, based on estimates and subject to financial closing procedures, highlight ParaZero’s ongoing efforts to enhance its financial performance within the aerospace defense industry.

ParaZero Completes Successful Trial of Enhanced DefendAir System
Jul 28, 2025

ParaZero Technologies Ltd. announced on July 28, 2025, the successful completion of a field trial for a new configuration of its DefendAir system, enhancing its multi-layered drone defense capabilities. The trial, conducted in Israel, tested a stationary net turret launcher system integrated with an advanced optical detection and tracking system, allowing for fully autonomous operation. This development expands ParaZero’s defense offerings and strengthens its position in the counter-UAS market, addressing the growing need for versatile and scalable solutions to protect high-value sites against complex drone threats.

ParaZero Appoints New CEO to Strengthen Leadership
Jul 14, 2025

On July 14, 2025, ParaZero Technologies Ltd. announced the appointment of Mr. Ariel Alon as the new Chief Executive Officer, effective immediately. Mr. Alon brings extensive experience from his previous roles in the UAV, defense, and technology sectors, including leadership positions at Aerodrome Group and Voyager Labs. This leadership change is expected to strengthen ParaZero’s strategic direction and enhance its market position in the aerospace and defense industry. The company also expressed gratitude to outgoing CEO Boaz Shetzer for his contributions.

ParaZero Achieves 100% Success in Drone Defense Demonstration
Jul 7, 2025

On July 7, 2025, ParaZero Technologies Ltd. announced the successful demonstration of its DefendAir Personal Net Gun System, achieving 100% effectiveness against fast-incoming drone threats. The live field demonstration, attended by senior Israeli defense officials, highlighted the system’s ability to neutralize multirotor drones in real-time scenarios, generating strong interest and positive feedback. This advancement positions ParaZero as a key player in the counter-drone industry, offering a unique solution for scenarios where traditional interception methods are ineffective.

ParaZero Secures Recurring Order for SafeAir Systems from Australia
Jul 3, 2025

On July 3, 2025, ParaZero Technologies Ltd. convened its annual general meeting of shareholders, which was briefly adjourned due to a lack of quorum but later reconvened to approve all proposals. Additionally, the company announced a recurring bulk order for its SafeAir systems from an Australian distributor, highlighting its growing presence in the Australian market. This order, which follows an initial procurement in late 2024, underscores the increasing demand for safety-assured drone operations driven by evolving regulations and the adoption of SafeAir systems for DJI platforms.

ParaZero Regains Nasdaq Compliance with Bid Price Rule
Jun 25, 2025

On June 25, 2025, ParaZero Technologies Ltd. announced that it has regained compliance with the Nasdaq minimum bid price requirement, ensuring its ordinary shares will continue to be listed and traded on the Nasdaq Capital Market. This compliance was achieved by maintaining a minimum closing bid price of $1.00 or more for 10 consecutive trading days from June 6 to June 23, 2025, resolving a previous bid price deficiency issue.

ParaZero Completes Successful DropAir Reproducibility Test
Jun 16, 2025

On June 16, 2025, ParaZero Technologies Ltd. announced the successful completion of a rigorous reproducibility test involving 50 consecutive DropAir deliveries. This test demonstrated the system’s reliability in performing precise, autonomous deliveries in complex environments, such as transporting medical supplies and tactical gear. The success of this test underscores DropAir’s readiness for real-world missions, enhancing ParaZero’s positioning in the aerospace industry and providing assurance to stakeholders regarding the system’s operational reliability.

ParaZero Technologies Showcases Drone Innovations at U.S. Conference
Jun 12, 2025

On June 4, 2025, ParaZero Technologies Ltd. demonstrated its innovative drone safety technologies, including the DropAir emergency supply delivery system and SafeAir drone safety technology, at the Constellis Security Conference in Virginia, USA. The event highlighted ParaZero’s leadership in the drone industry, with significant interest from U.S. emergency response and military organizations, as well as international representatives. The company’s counter UAS system, DefendAir, also garnered attention for its potential to enhance infrastructure protection, with further demonstrations planned in Israel. These engagements underscore ParaZero’s commitment to advancing drone technologies and supporting U.S. national security priorities.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 12, 2025