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Serve Robotics Inc (SERV)
NASDAQ:SERV
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Serve Robotics Inc
(NASDAQ:SERV)
40Underperform
Serve Robotics Inc (SERV) vs. S&P 500 (SPY)
Market Cap
$401.27M
Dividend YieldN/A
Average Volume (3M)3.70M
Price to Earnings (P/E)―
Beta (1Y)-0.21
Revenue Growth773.30%
EPS Growth-54.75%
CountryUS
Employees120
SectorGeneral
Sector StrengthN/A
IndustryIndustrial - Machinery
Share Statistics
EPS (TTM)-1.03
Shares Outstanding56,918,224
10 Day Avg. Volume3,162,547
30 Day Avg. Volume3,698,595
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap0.93
Enterprise Value/RevenueN/A
Enterprise Value/Gross Profit-4.98K
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$17.00Price Target Upside141.13% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
Serve Robotics Inc Business Overview & Revenue Model
Company DescriptionServe Robotics Inc (SERV) is a company that specializes in the design and development of autonomous sidewalk delivery robots. These robots are primarily used for last-mile delivery solutions in urban environments, providing a sustainable, efficient, and contactless method for transporting goods. The company's primary sectors include robotics, logistics, and technology, with core products focusing on the deployment of their self-driving delivery robots.
How the Company Makes MoneyServe Robotics Inc generates revenue through multiple streams, primarily by offering delivery services using their autonomous robots. The company partners with restaurants, retailers, and logistics companies to facilitate last-mile deliveries, charging fees per delivery or through subscription models. Additionally, Serve Robotics may generate income through strategic partnerships and collaborations with major players in the food delivery and retail industries, which can include revenue-sharing agreements or service contracts. The company's focus on innovation and technology also opens opportunities for licensing its robotics technology to other businesses in the logistics and transportation sectors.
Serve Robotics Inc Financial Statement Overview
Summary
Serve Robotics Inc displays a challenging financial position with ongoing profitability issues, high dependency on external financing, and negative cash flows. Recent revenue increases and equity improvements show potential for growth, but operational inefficiencies and cash flow challenges present significant risks.Income Statement
Serve Robotics Inc shows significant challenges in profitability with negative gross profit and net income consistently over the years. The recent revenue growth is promising, but the company still faces high EBIT and EBITDA losses, indicating ongoing operational inefficiencies.15
Very Negative
Balance Sheet
The balance sheet reveals substantial improvement in stockholders' equity due to the latest financing activities. However, the company has a high debt-to-equity ratio, suggesting reliance on debt financing, and a low equity ratio, indicating potential financial instability.40
Negative
Cash Flow
The cash flow statement shows negative free and operating cash flows, with heavy reliance on financing activities for cash inflow. Despite a recent infusion of cash, the company struggles to generate cash from operations, raising concerns about long-term sustainability.30
Negative
| Breakdown | |||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|
| Income Statement | Total Revenue | ||
| 1.81M | 207.54K | 107.82K | 0.00 | Gross Profit |
| -75.16K | -1.52M | -1.04M | -42.47K | EBIT |
| -38.29M | -20.73M | -20.95M | -10.62M | EBITDA |
| -37.98M | -17.39M | -20.83M | -10.58M | Net Income Common Stockholders |
| -39.19M | -24.81M | -21.86M | -21.67M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||
| 123.27M | 6.76K | 2.72M | 7.97M | Total Assets |
| 139.60M | 2.80M | 8.54M | 8.66M | Total Debt |
| 2.34M | 4.37M | 7.48M | 0.00 | Net Debt |
| -120.92M | 4.37M | 4.77M | -7.97M | Total Liabilities |
| 7.92M | 6.84M | 21.00M | 336.31K | Stockholders Equity |
| 131.68M | -4.03M | -12.45M | 8.32M |
| Cash Flow | Free Cash Flow | ||
| -31.79M | -15.98M | -25.05M | -10.87M | Operating Cash Flow |
| -21.54M | -15.97M | -21.40M | -10.71M | Investing Cash Flow |
| -10.32M | -4.91K | -4.06M | -258.73K | Financing Cash Flow |
| 155.12M | 13.27M | 20.21M | 18.93M |
Serve Robotics Inc Technical Analysis
Neutral
7.05
Price Trends
6.94
Positive
11.60
Negative
10.60
Negative
Market Momentum
-0.19
Negative
55.70
Neutral
66.52
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SERV, the sentiment is Neutral. The current price of 7.05 is above the 20-day moving average (MA) of 5.84, above the 50-day MA of 6.94, and below the 200-day MA of 10.60, indicating a neutral trend. The MACD of -0.19 indicates Negative momentum. The RSI at 55.70 is Neutral, neither overbought nor oversold. The STOCH value of 66.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SERV.
Serve Robotics Inc Risk Analysis
Serve Robotics Inc disclosed 59 risk factors in its most recent earnings report. Serve Robotics Inc 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
Serve Robotics Inc Peers Comparison
Overall Rating
UnderperformOutperform
Sector (56)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $34.37M | 28.89 | 2.00% | ― | -29.65% | -84.94% | |
56 Neutral | $4.35B | 2.82 | -19.47% | 5.13% | 19.93% | -60.03% | |
50 Neutral | $42.85M | ― | -30.59% | ― | -44.07% | -78.93% | |
44 Neutral | $19.01M | ― | -109.72% | ― | -83.96% | 29.71% | |
40 Underperform | $401.27M | ― | -61.32% | ― | 773.30% | -54.75% |
* General Sector Average
Performance Comparison
SERV
Serve Robotics Inc
7.05
4.38
164.04%
BWEN
Broadwind Energy
1.54
-0.66
-30.00%
CETY
Clean Energy Technologies
0.40
-0.94
-70.15%
LASE
Laser Photonics Corp.
3.00
0.93
44.93%
Serve Robotics Inc Earnings Call Summary
Earnings Call Date:Mar 06, 2025
(Q4-2024)
| % Change Since: -10.98%|
Next Earnings Date:May 08, 2025
Earnings Call Sentiment Positive
Serve Robotics Inc. demonstrated significant growth in revenue and market reach, with strong technological advancements and cost reductions. However, challenges such as increased operating expenses, higher net loss, and difficulties in a planned acquisition indicate there are still hurdles to overcome. The company's strong cash position and strategic expansions provide a positive outlook.Q4-2024 Updates
Positive Updates
Record Revenue Growth
Serve Robotics Inc. reported $1.8 million in revenue for 2024, marking a 700% increase year over year. This growth was driven by a significant increase in software services and delivery and branding revenue.
Expansion and Market Reach
The number of restaurants served tripled, and household reach doubled in four months, with new expansions in LA and Miami. The company now supports over 1,000 restaurants and reaches over 300,000 households.
Cost Reduction and Financial Improvement
The cost of building third-generation robots was reduced by two-thirds over the year. The company also became debt-free and improved its cash position, saving $20 million in future capital costs.
Technology Advancements
Third-generation robots were developed with a 30% speed increase and a 75% reduction in misdelivery rates. The company achieved a 35% cost reduction in the next batch of Gen 3 robots.
Strong Cash Position
Serve Robotics ended the year with a robust cash position of $123 million, having raised over $250 million in 2024.
Negative Updates
Operating Expenses Increase
Total GAAP operating expenses for 2024 were $38.2 million, up from $19.2 million in the prior year, reflecting increased personnel, software development, and fleet expansion costs.
Net Loss Increase
GAAP net loss for 2024 was $39.2 million, compared to $24.9 million in 2023, due to higher operating expenses tied to investments in R&D and corporate infrastructure.
Challenges in Closing Vivo Acquisition
The acquisition of Vivo faced issues with closing conditions, putting the deal on pause until further discussions can resolve these challenges.
Company Guidance
During the conference call, Serve Robotics Inc. provided several key metrics and updates for their fiscal year 2024 and plans for 2025. The company reported a significant increase in revenue, reaching $1.8 million, a 700% year-over-year growth. They expanded their reach by tripling the number of restaurants served and doubling the number of households reached, now supporting over 1,000 restaurants and 300,000 households. Serve completed the design and manufacturing of 250 third-generation robots, with a 30% cost reduction compared to previous models, and plans to deploy 2,000 robots by the end of 2025. In Q4, the company saw a 20% increase in delivery orders despite not expanding their delivery fleet until the end of the quarter. The company also improved its gross margin from negative 700% in 2023 to negative 4% in 2024 and ended the year with a strong cash position of $123 million. They are preparing for a major scale-up in the second half of 2025, aiming to build 700 new lower-cost robots in Q3 and the remainder in Q4, while also expanding into new cities like Dallas and Atlanta.Serve Robotics Inc Corporate Events
Private Placements and FinancingBusiness Operations and Strategy
Serve Robotics Raises $86 Million to Boost Growth
Positive
Jan 6, 2025
Serve Robotics Inc. has raised $86 million in December 2024, accumulating a total of $167 million in funding for the year, reinforcing its financial position and extending its operational runway through 2026. This capital influx allows Serve to self-fund equipment investments, reducing the need for equipment financing and supporting strategic initiatives as it aims to ramp up production of its third-generation robots and expand into new markets, highlighting its leadership in transforming last-mile delivery.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.