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Volato Group (SOAR)
:SOAR
US Market

Volato Group (SOAR) AI Stock Analysis

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Volato Group

(NYSE MKT:SOAR)

Rating:41Neutral
Price Target:
$2.00
▼(-23.95%Downside)
The Volato Group's overall stock score is primarily driven by its dire financial performance, which reflects significant risks and challenges. Technical analysis and valuation metrics show neutral to negative signals, further contributing to the low score. Immediate strategic interventions are crucial to improve financial health and investor confidence.

Volato Group (SOAR) vs. SPDR S&P 500 ETF (SPY)

Volato Group Business Overview & Revenue Model

Company DescriptionVolato Group, Inc. operates as a private aviation company. The company offers fractional ownership, aircraft management, jet cards, deposit, and charter programs. As of December 31, 2023, it operated a fleet of 24 HondaJets and a managed fleet of 6 aircraft. The company was founded in 2021 and is based in Chamblee, Georgia.
How the Company Makes MoneyVolato Group makes money primarily through its fractional jet ownership program, where clients purchase a share of an aircraft, granting them access to flight hours proportional to their ownership stake. This model provides a cost-effective alternative to full jet ownership. Additionally, the company generates revenue from its private jet charter services, where customers pay for on-demand travel without owning any portion of the aircraft. Key revenue streams include aircraft management fees, maintenance services, and operational costs associated with the fractional ownership model. Strategic partnerships with aviation service providers and luxury travel agencies further enhance Volato Group's market reach and revenue potential.

Volato Group Financial Statement Overview

Summary
The Volato Group is experiencing severe financial difficulties across all financial statements. There is a significant decline in revenue and profitability, negative equity, high financial leverage, and liquidity issues. Strategic adjustments are urgently needed.
Income Statement
15
Very Negative
The Volato Group's income statement shows significant financial challenges with negative growth trends. The company experienced a sharp decline in total revenue from $96.7M in 2022 to $46.3M in 2024, resulting in a negative revenue growth rate. Gross profit margin is weak, and net income is deeply negative, leading to a poor net profit margin. Both EBIT and EBITDA margins are also negative, indicating operational inefficiencies.
Balance Sheet
10
Very Negative
The balance sheet reflects financial instability, with a concerning negative stockholders' equity of -$16.3M in 2024. The debt-to-equity ratio cannot be calculated meaningfully due to negative equity, suggesting high financial leverage. The equity ratio is also negative, indicating potential insolvency risks.
Cash Flow
20
Very Negative
Cash flow analysis reveals severe liquidity issues. Operating cash flow is consistently negative, and free cash flow remains deeply negative at -$16.9M in 2024. The operating cash flow to net income ratio indicates cash flow challenges. The company lacks free cash flow growth, pointing towards ongoing cash constraints.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021
Income StatementTotal Revenue
82.31M46.29M73.34M96.71M1.06M
Gross Profit
8.10M7.50M-8.69M2.43M202.56K
EBIT
-11.63M-9.37M-37.51M-9.19M-2.19M
EBITDA
-16.72M-14.56M-48.97M-8.43M-1.42M
Net Income Common Stockholders
-22.80M-40.65M-52.82M-9.37M-1.47M
Balance SheetCash, Cash Equivalents and Short-Term Investments
14.49M2.16M14.49M5.78M1.61M
Total Assets
84.58M46.30M71.71M30.26M14.99M
Total Debt
29.68M33.07M29.68M29.80M6.00M
Net Debt
15.20M30.91M15.20M24.02M4.39M
Total Liabilities
69.83M62.63M56.96M35.93M7.08M
Stockholders Equity
14.75M-16.33M14.75M-5.67M3.61M
Cash FlowFree Cash Flow
-8.15M-17.06M-31.03M-21.69M-18.30M
Operating Cash Flow
-8.06M-16.92M-30.39M-21.43M-3.61M
Investing Cash Flow
-38.00K-115.00K1.78M5.14M-11.81M
Financing Cash Flow
3.86M4.31M37.46M22.56M17.03M

Volato Group Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.63
Price Trends
50DMA
2.07
Negative
100DMA
2.83
Negative
200DMA
5.39
Negative
Market Momentum
MACD
0.03
Negative
RSI
45.20
Neutral
STOCH
35.49
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SOAR, the sentiment is Negative. The current price of 2.63 is above the 20-day moving average (MA) of 2.27, above the 50-day MA of 2.07, and below the 200-day MA of 5.39, indicating a bearish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 45.20 is Neutral, neither overbought nor oversold. The STOCH value of 35.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SOAR.

Volato Group Risk Analysis

Volato Group disclosed 52 risk factors in its most recent earnings report. Volato Group 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

Volato Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
64
Neutral
$12.80B9.717.59%16985.66%12.07%-7.53%
56
Neutral
$285.18M-11.64%12.04%-30.50%
52
Neutral
$247.60M28.8626.01%
UPUP
47
Neutral
$1.04B-2416.94%-29.68%95.14%
41
Neutral
$5.05M-398.23%-4.90%81.88%
$42.16M-472.57%
41
Neutral
$48.60M138.02%31.17%83.01%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SOAR
Volato Group
2.06
-17.94
-89.70%
MESA
Mesa Air Group
1.02
-0.32
-23.88%
BLDE
Blade Air Mobility
3.59
0.55
18.09%
UP
Wheels Up Experience
1.45
-0.56
-27.86%
FLYX
flyExclusive
2.94
-2.06
-41.20%
SRFM
Surf Air Mobility, Inc.
2.44
0.21
9.42%

Volato Group Corporate Events

Private Placements and FinancingShareholder Meetings
Volato Group Approves Key Stock Issuance Proposal
Neutral
May 8, 2025

On May 7, 2025, Volato Group, Inc. held a virtual special meeting of stockholders to vote on key proposals. The stockholders approved the issuance of 20% or more of the company’s Class A common stock as per the Securities Purchase Agreement with JAK Opportunities Fund IX LLC. The adjournment proposal was not needed as sufficient votes were already secured for the main proposal.

Shareholder Meetings
Volato Group Stockholder Meeting Adjourned Again
Neutral
May 7, 2025

On April 15, 2025, Volato Group, Inc. held a special meeting of stockholders to vote on two proposals. However, due to insufficient representation of shares, no business was conducted, and the meeting was adjourned. The meeting was reconvened on May 6, 2025, but again, insufficient shares were represented, leading to another adjournment until May 7, 2025. The meeting will continue at the same virtual link, with no changes to the record date or proposals.

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.