Surf Air Mobility, Inc. (SRFM) AI Stock Analysis

• Market Cap: $126.44M
• Dividend Yield: N/A
• Average Volume (3M): 4.68M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.36
• Revenue Growth: -8.51%
• EPS Growth: 82.15%
• Country: US
• Employees: 556
• Sector: Industrials
• Sector Strength: 72
• Industry: Airlines, Airports & Air Services
• EPS (TTM): -0.64
• Shares Outstanding: 62,593,430
• 10 Day Avg. Volume: 2,893,098
• 30 Day Avg. Volume: 4,679,539
• PEG Ratio: 0.01
• Price to Book (P/B): -0.58
• Price to Sales (P/S): 0.58
• P/FCF Ratio: -1.02
• Enterprise Value/Market Cap: 0.67
• Enterprise Value/Revenue: 0.78
• Enterprise Value/Gross Profit: 25.41
• Enterprise Value/Ebitda: -1.70
• 1Y Price Target: $7.75
• Price Target Upside: 283.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): -1.15
• Revenue Forecast (FY): $115.26M

• Rating: 46 Neutral
• Price Target: $2.00 ▼(-0.99% Downside)

The score is primarily held back by weak financial health (negative equity, leverage, and persistent negative cash flows) and a bearish technical setup. Offsetting this, the latest earnings call included improved guidance, strategic financing, and operational profitability progress, but losses and revenue mix pressure keep risk elevated.

Positive Factors

Strategic $100M financing

The $100M strategic financing materially strengthens multi‑quarter liquidity and explicitly allocates $26M to Surf OS development while refinancing legacy debt. That funding reduces near‑term solvency pressure and enables continued investment in product commercialization and operational stabilization.

Five‑year Palantir software partnership

A multi‑year partnership with Palantir to build AI‑driven Surf OS creates a durable competitive advantage: potential recurring software revenue, improved operational efficiency, and differentiated service offerings for carriers, owners and brokers, enhancing long‑term margin prospects beyond pure flight operations.

On‑demand revenue growth and airline ops profits

Sustained ~40% on‑demand revenue growth and consecutive quarters of profitability in airline operations indicate improving unit economics. This trend supports a transition toward a steadier, service‑led business with potential operating leverage as scale in on‑demand and commuter segments grows.

Negative Factors

Negative stockholders' equity and high leverage

Negative equity and an effectively inverted debt/equity profile reflect structural balance sheet weakness. This constrains capital access, raises refinancing and covenant risk, and can limit strategic flexibility for fleet investment, route expansion, or multi‑year R&D commitments.

Persistent negative operating and free cash flow

Ongoing negative operating and free cash flows show the business still requires external capital to fund operations and growth. Over months, continued cash burn increases reliance on dilutive financings, hinders reinvestment capacity, and elevates execution risk for electrification and software rollout plans.

Declining scheduled revenue and route exits

A falling scheduled‑service revenue base and the need to exit unprofitable routes highlight structural route economics or demand issues. Reduced predictable recurring revenue complicates network planning, weakens forecasting, and makes it harder to scale a profitable scheduled airline business alongside electrification efforts.

Surf Air Mobility, Inc. Business Overview & Revenue Model

Company Description

Surf Air Mobility Inc. operates as an electric aviation and air travel company in the United States. It offers an air mobility platform with scheduled routes and on demand charter flights operated by third parties; and air cargo services. The company is headquartered in Hawthorne, California.

How the Company Makes Money

Surf Air Mobility generates revenue through a multi-faceted business model that includes several key streams. Primarily, the company earns money from its subscription-based membership services, where customers pay a recurring fee for access to its flight services, offering convenience and flexibility for frequent travelers. Additionally, the company capitalizes on on-demand charter flights, charging customers based on the distance and duration of travel. Partnerships with other aviation companies, technology providers, and regional airports are also instrumental in expanding its service offerings and customer base. Furthermore, Surf Air Mobility may explore additional revenue through ancillary services, including premium in-flight experiences and partnerships with hospitality providers, thereby diversifying its income sources.

Surf Air Mobility, Inc. Financial Statement Overview

Summary

Despite strong TTM revenue growth, profitability and financial stability are weak: low gross margin, negative net/EBIT margins, negative operating and free cash flow, and a balance sheet with negative stockholders’ equity and high leverage.

Income Statement

Surf Air Mobility, Inc. has shown significant revenue growth over the years, with a TTM revenue growth rate of 73.2%. However, the company struggles with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin is low at 2.53% for TTM, indicating challenges in cost management. Overall, the income statement reflects growth potential but significant profitability issues.

Balance Sheet

The balance sheet reveals a concerning financial structure with negative stockholders' equity and a negative debt-to-equity ratio, indicating high leverage and financial instability. The return on equity is misleadingly positive due to negative equity, and the equity ratio is also negative. These factors suggest a high-risk financial position.

Cash Flow

The cash flow statement shows consistent negative operating and free cash flows, although there is a slight improvement in free cash flow growth. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is above 1, suggesting that free cash flow is less negative than net income, but overall cash flow health remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	108.16M	119.42M	60.51M	20.27M	11.80M	7.50M
Gross Profit	3.33M	9.49M	-5.17M	-5.58M	-3.75M	-3.53M
EBITDA	-49.73M	-58.24M	-247.27M	-72.74M	-32.59M	-19.04M
Net Income	-72.41M	-74.91M	-250.70M	-74.36M	-35.78M	-23.44M
Balance Sheet
Total Assets	106.79M	124.06M	110.99M	13.70M	7.56M	11.71M
Cash, Cash Equivalents and Short-Term Investments	7.06M	21.11M	1.72M	6.00K	719.00K	7.40M
Total Debt	23.63M	92.49M	47.45M	30.25M	23.47M	20.39M
Total Liabilities	199.34M	244.06M	188.47M	235.79M	180.58M	153.25M
Stockholders Equity	-92.56M	-120.00M	-77.48M	-222.09M	-173.03M	-141.54M
Cash Flow
Free Cash Flow	-83.89M	-68.43M	-72.15M	-28.14M	-24.19M	-9.03M
Operating Cash Flow	-69.37M	-54.32M	-64.37M	-28.04M	-23.93M	-8.73M
Investing Cash Flow	-2.44M	-3.61M	-7.10M	-298.00K	-261.00K	302.00K
Financing Cash Flow	77.81M	77.17M	72.99M	27.67M	18.25M	14.18M

Surf Air Mobility, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRFM, the sentiment is Negative. The current price of 2.02 is below the 20-day moving average (MA) of 2.62, below the 50-day MA of 2.31, and below the 200-day MA of 3.44, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 37.63 is Neutral, neither overbought nor oversold. The STOCH value of 4.44 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SRFM.

Surf Air Mobility, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNCY	69 Neutral	$937.58M	16.71	9.99%	―	4.27%	28.47%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ALGT	54 Neutral	$1.62B	-5.44	-25.37%	―	3.29%	-983.31%
FLYX	48 Neutral	$276.38M	-2.67	―	―	―	―
ULCC	47 Neutral	$1.06B	-7.72	-27.87%	―	1.77%	-1964.48%
SRFM	46 Neutral	$126.44M	-0.67	―	―	-8.51%	82.15%

Surf Air Mobility, Inc. Corporate Events

Surf Air Mobility Regains NYSE Compliance

On November 20, 2025, Surf Air Mobility Inc. announced that it had regained compliance with the New York Stock Exchange’s listing standards, resolving a previous non-compliance issue from May 2024. The company reported strong financial results for the third quarter of 2025, with revenue exceeding expectations and achieving a second consecutive quarter of profitability in airline operations. A significant $100 million strategic transaction was closed to fund the development of SurfOS and strengthen the company’s balance sheet, positioning Surf Air Mobility for long-term growth. Additionally, a five-year agreement with Palantir was established, enhancing the company’s software capabilities and market positioning.

The most recent analyst rating on (SRFM) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Surf Air Mobility, Inc. stock, see the SRFM Stock Forecast page.

Surf Air Mobility Raises $85M Through Securities Sale

On November 10, 2025, Surf Air Mobility, Inc. entered into securities purchase agreements with institutional investors, resulting in the sale of common stock and warrants, and the issuance of senior secured convertible notes, raising approximately $85 million. The proceeds are intended for funding subsidiaries and repaying existing debt. The company also issued shares to Palantir Technologies as prepayment for services. Additionally, the company faces potential funding uncertainties for its EAS routes due to a federal government shutdown, which could impact operations and liquidity.

The most recent analyst rating on (SRFM) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Surf Air Mobility, Inc. stock, see the SRFM Stock Forecast page.