SmartRent (SMRT) AI Stock Analysis

• Market Cap: $387.86M
• Dividend Yield: N/A
• Average Volume (3M): 1.04M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.63
• Revenue Growth: -24.30%
• EPS Growth: -181.62%
• Country: US
• Employees: 494
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.03
• Shares Outstanding: 189,200,730
• 10 Day Avg. Volume: 1,544,069
• 30 Day Avg. Volume: 1,037,049
• PEG Ratio: 0.00
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 1.99
• P/FCF Ratio: -8.60
• Enterprise Value/Market Cap: 0.44
• Enterprise Value/Revenue: 1.14
• Enterprise Value/Gross Profit: 3.74
• Enterprise Value/Ebitda: -4.56
• 1Y Price Target: $1.73
• Price Target Upside: 22.70% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): -0.36
• Revenue Forecast (FY): $152.14M

• Rating: 62 Neutral
• Price Target: $2.00 ▲(41.84% Upside)

SmartRent's overall score reflects a mixed financial performance with strong technical momentum. The strategic shift towards SaaS and cost optimization is promising, but valuation concerns and profitability challenges weigh on the score.

Positive Factors

SaaS Revenue Growth

The growth in SaaS revenue indicates a successful shift towards a more stable and recurring revenue model, enhancing long-term financial predictability and reducing reliance on hardware sales.

Cost Structure Optimization

The significant cost reductions improve profitability metrics and allow for reinvestment in growth initiatives, enhancing the company's competitive position and financial health.

Strong Liquidity Position

A robust liquidity position provides financial flexibility to invest in strategic opportunities and weather economic uncertainties, supporting long-term growth and stability.

Negative Factors

Total Revenue Decline

The decline in total revenue highlights challenges in maintaining growth momentum, potentially impacting future profitability and market share if not addressed.

Hardware Revenue Decline

The significant drop in hardware revenue suggests a challenging transition away from hardware sales, which could affect overall revenue stability and growth if not managed effectively.

Gross Margin Decrease

The decrease in gross margin indicates pressure on profitability, which may require strategic adjustments to improve cost efficiency and maintain competitive pricing.

SmartRent Business Overview & Revenue Model

Company Description

SmartRent (SMRT) is a technology company specializing in smart home automation solutions for the multifamily housing sector. The company offers a comprehensive suite of products that includes smart locks, thermostats, lighting, and home security systems, all integrated into a single platform. SmartRent's mission is to enhance the living experience for residents while providing property managers with efficient tools to manage their properties effectively. The company focuses on delivering innovative smart home technologies that improve energy efficiency, security, and convenience for both tenants and property owners.

How the Company Makes Money

SmartRent generates revenue primarily through subscription fees for its software platform, which property managers pay to access its suite of smart home automation services. Additionally, the company earns money from the sale of hardware products, such as smart locks and sensors, which are installed in residential units. Significant partnerships with property management firms and real estate developers also contribute to its earnings, as these collaborations often lead to bulk purchases and long-term contracts. Furthermore, SmartRent may benefit from recurring revenue through maintenance and support services, as well as potential upselling of additional smart home devices and features to existing clients.

SmartRent Financial Statement Overview

Summary

SmartRent's financial performance is mixed. The company has shown revenue growth but struggles with profitability due to persistent losses. A strong balance sheet with no debt is a positive, but inconsistent cash flow generation remains a concern.

Income Statement

SmartRent has shown fluctuations in revenue over the years, with a significant increase in revenue from 2020 to 2023, but a decline in 2024. The gross profit margin improved considerably in 2024 compared to earlier years, indicating better cost management. However, the company remains unprofitable, with negative EBIT and net income margins, which is a concern. Revenue growth has been inconsistent, posing a challenge for sustained profitability.

Balance Sheet

SmartRent's balance sheet reflects a strong equity position with zero total debt in recent years, which is favorable. The equity ratio has remained robust, showing a strong capital structure. However, the return on equity is negative due to continuous net losses, highlighting inefficient utilization of equity.

Cash Flow

The company has struggled to generate positive operating and free cash flows consistently. Despite having substantial cash reserves, the lack of consistent free cash flow is concerning. The positive free cash flow in 2023 is a positive sign but requires sustained improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	151.22M	174.88M	236.84M	167.82M	110.64M	52.53M
Gross Profit	45.95M	60.34M	49.53M	1.35M	-10.07M	-4.30M
EBITDA	-37.63M	-35.28M	-37.63M	-99.99M	-71.19M	-35.65M
Net Income	-68.74M	-33.64M	-34.59M	-96.32M	-71.96M	-37.11M
Balance Sheet
Total Assets	335.80M	420.18M	509.76M	560.85M	579.68M	103.85M
Cash, Cash Equivalents and Short-Term Investments	100.02M	142.48M	215.21M	210.41M	430.84M	38.62M
Total Debt	6.11M	7.02M	1.31M	0.00	0.00	4.82M
Total Liabilities	101.39M	130.74M	167.31M	196.65M	130.18M	70.67M
Stockholders Equity	234.41M	289.44M	342.45M	364.20M	449.50M	33.18M
Cash Flow
Free Cash Flow	-49.66M	-40.51M	2.21M	-82.15M	-71.85M	-28.79M
Operating Cash Flow	-41.25M	-32.91M	5.98M	-77.83M	-70.38M	-28.49M
Investing Cash Flow	-9.52M	-7.60M	-6.02M	-133.99M	-9.37M	-2.68M
Financing Cash Flow	-13.71M	-32.96M	-1.91M	-2.80M	473.93M	48.22M

SmartRent Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.41
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMRT, the sentiment is Positive. The current price of 1.41 is below the 20-day moving average (MA) of 1.79, below the 50-day MA of 1.58, and above the 200-day MA of 1.23, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 73.25 is Negative, neither overbought nor oversold. The STOCH value of 69.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SMRT.

SmartRent Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MKTW	66 Neutral	$258.23M	1.55	―	13.04%	-19.17%	308.81%
EB	64 Neutral	$434.63M	-20.17	-11.81%	―	-11.54%	-54.32%
SMRT	62 Neutral	$387.86M	-5.74	-25.48%	―	-24.30%	-181.62%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ONTF	59 Neutral	$248.20M	-7.94	-20.20%	―	-6.23%	28.57%
PRCH	57 Neutral	$976.79M	37.99	―	―	-2.13%	―
OCFT	47 Neutral	$308.31M	-3.06	-24.21%	―	-48.61%	-2291.48%

SmartRent Corporate Events

SmartRent Updates Bylaws Following Board Approval

On November 13, 2025, SmartRent‘s Board of Directors approved and adopted amended and restated bylaws, which became effective immediately. These changes include updates to advance notice provisions for director nominations and business proposals by stockholders, adjustments to align with recent Delaware law amendments, and other clarifying modifications.

SmartRent Reports Q3 Results with Revenue Decline

On November 5, 2025, SmartRent reported its third-quarter financial results, highlighting a revenue of $36.2 million, an 11% decrease from the previous year due to a strategic shift away from bulk hardware sales. Despite the revenue decline, SmartRent achieved a 7% increase in annual recurring revenue and improved its net loss by $3.6 million to $(6.3) million, driven by a $30 million cost reduction program. The company also increased its deployed units by 11% year-over-year, reflecting strong customer adoption and a focus on expanding its installed base. SmartRent exited the third quarter with $100 million in cash and no debt, positioning itself for profitable growth and long-term leverage.