Sono Group (SSM) AI Stock Analysis

• Market Cap: $10.62M
• Dividend Yield: N/A
• Average Volume (3M): 30.13K
• Price to Earnings (P/E): <0.1
• Beta (1Y): 1.94
• Revenue Growth: -100.00%
• EPS Growth: N/A
• Country: US
• Employees: 34
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): -1.11
• Shares Outstanding: 1,424,408
• 10 Day Avg. Volume: 12,679
• 30 Day Avg. Volume: 30,133
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.36
• Enterprise Value/Market Cap: 2.71
• Enterprise Value/Revenue: 287.56
• Enterprise Value/Gross Profit: 668.75
• Enterprise Value/Ebitda: -202.51
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: $7.00 ▲(0.00% Upside)

The score is held back primarily by weak financial performance—persistent cash burn, small revenue base, and low earnings quality despite improved reported results. Technical indicators are neutral-to-soft with a broader downtrend, while valuation appears cheap on P/E but is less meaningful given profitability/cash-flow concerns.

Positive Factors

Commercial Progress

The interest from OEMs and fleet operators in Sono Solar's technology indicates potential for expanded market reach and partnerships, enhancing long-term growth prospects.

New CEO Appointment

Kevin McGurn's experience in leading growth and transformation could drive strategic initiatives and improve operational efficiency, positively impacting long-term business performance.

Solar Integration Milestone

The integration of solar solutions in logistics supports sustainability and efficiency, potentially increasing demand and enhancing the company's competitive edge in the renewable energy sector.

Negative Factors

Negative Cash Flow

Persistent negative cash flow indicates ongoing cash burn, which could necessitate additional financing and strain financial resources, impacting long-term sustainability.

Low Earnings Quality

The discrepancy between reported earnings and cash flow suggests reliance on non-operating items, raising concerns about the sustainability of earnings and financial health.

Small Revenue Base

A small revenue base limits the company's ability to scale and achieve economies of scale, posing challenges to profitability and market competitiveness in the long term.

Sono Group Business Overview & Revenue Model

Company Description

Sono Group N.V. provides solar-powered mobility applications. It develops vehicle applied modules, including Solar Bus Kit, a business-to-business retrofit solution that reduces energy consumption and inner-city greenhouse gas emissions; and maximum power point trackers for manufacturers of trucks, commercial vehicle equipment, and public transport operators. Sono Group N.V. was founded in 2012 and is headquartered in Munich, Germany.

How the Company Makes Money

Sono Group primarily generates revenue through the sale of its solar electric vehicles, particularly the Sion model. The company also explores additional revenue streams by licensing its solar technology to other automotive manufacturers and integrating its solar systems into various mobility applications. Significant partnerships with automotive suppliers and technology firms contribute to its earnings by enhancing production capabilities and expanding market reach. The company may also benefit from government incentives and subsidies related to sustainable energy and electric vehicle adoption.

Sono Group Financial Statement Overview

Summary

Sono Group faces significant financial challenges, with negative margins and high leverage. The income statement reveals poor profitability with declining revenue, while the balance sheet shows insolvency concerns with negative equity. Cash flow is negative but shows slight improvement, indicating ongoing liquidity issues.

Income Statement

The income statement shows significant challenges with negative margins across the board. Gross profit margin and net profit margin are negative, indicating cost issues and unprofitable operations. Revenue growth is erratic and declining, as evidenced by the drop from 2022 to 2023. EBIT and EBITDA margins are also negative, reflecting poor operational performance.

Balance Sheet

The balance sheet reveals a concerning financial position with negative stockholders' equity, indicating insolvency issues. The company has high leverage, with a debt-to-equity ratio that is not computable due to negative equity. Return on equity is negative, reflecting net losses. Overall, the equity ratio is negative, indicating a precarious financial structure.

Cash Flow

Cash flow analysis highlights negative free cash flow, indicating operational cash flow shortages. However, there is an improvement in free cash flow from 2022 to 2023, suggesting some progress in cash management. The operating cash flow to net income ratio is not favorable, indicating inefficient cash generation relative to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	100.00K	0.00	42.00K	229.00K	16.00K	0.00
Gross Profit	43.00K	0.00	-28.00K	-163.00K	-42.00K	-439.00K
EBITDA	-142.00K	65.04M	-45.62M	-181.70M	-60.08M	-62.74M
Net Income	15.25M	65.03M	-45.71M	-183.70M	-63.95M	-63.88M
Balance Sheet
Total Assets	3.96M	3.05M	9.55M	57.47M	147.30M	65.27M
Cash, Cash Equivalents and Short-Term Investments	2.25M	1.35M	7.41M	30.84M	138.95M	58.63M
Total Debt	588.00K	24.66M	26.31M	34.87M	6.83M	18.01M
Total Liabilities	1.45M	25.73M	97.24M	100.98M	63.86M	71.42M
Stockholders Equity	2.51M	-22.68M	-87.69M	-43.51M	83.44M	-6.15M
Cash Flow
Free Cash Flow	-7.41M	-14.77M	-15.26M	-186.82M	-48.79M	-1.40M
Operating Cash Flow	-7.35M	-14.69M	-11.42M	-139.59M	-47.14M	-1.35M
Investing Cash Flow	-71.00K	1.23M	-11.32M	-47.24M	-1.65M	-47.88K
Financing Cash Flow	12.32M	7.00M	6.00K	83.01M	138.56M	50.26M

Sono Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SSM, the sentiment is Positive. The current price of 7 is above the 20-day moving average (MA) of 6.87, above the 50-day MA of 6.84, and below the 200-day MA of 7.55, indicating a neutral trend. The MACD of 0.12 indicates Negative momentum. The RSI at 55.92 is Neutral, neither overbought nor oversold. The STOCH value of 47.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SSM.

Sono Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SSM	48 Neutral	$10.62M	0.02	―	―	-100.00%	―
WKHS	42 Neutral	$11.96M	-0.03	-162.44%	―	16.74%	81.14%
EVTV	41 Neutral	$2.37M	-0.04	-267.76%	―	113.69%	-84.50%
CENN	40 Neutral	$14.19M	-0.14	-30.79%	―	-56.89%	12.17%
EMPD	40 Underperform	$174.83M	-0.06	-20.84%	―	-36.52%	99.81%
BINI	38 Underperform	$1.67M	―	―	―	5865.42%	98.16%