Surgepays Inc (SURG)
NASDAQ:SURG
Want to see SURG full AI Analyst Report?
Top Page
SurgePays
(NASDAQ:SURG)
Select Model
Select Model
Rating:41Neutral
Price Target:
$0.70
▼(-74.47% Downside)
Action:ReiteratedDate:04/21/26
The score is held down primarily by weak financial performance (negative gross profit, large losses, sustained cash burn, and negative equity). Technicals remain broadly bearish with only neutral short-term momentum. Earnings-call improvements in cost discipline and narrowing losses provide some support, but liquidity pressure and corporate-event delisting/financing risks keep the overall risk profile high.
Positive Factors
Demonstrated scalability of revenue
A clear Q1->Q3 scaling pattern shows the business can accelerate revenue materially when acquisition investment is deployed. That structural ability to scale channels supports medium-term growth prospects if management can secure capital and execute on customer acquisition economics.
Negative Factors
Balance-sheet deterioration / negative equity
Negative shareholders' equity is a structural impairment: it constrains access to secured credit, weakens counterparty confidence, can trigger covenants, and limits the firm's ability to invest or absorb shocks. Restoring equity is typically reliant on external capital or sustained profits.
Read all positive and negative factors
Positive Factors
Negative Factors
Demonstrated scalability of revenue
A clear Q1->Q3 scaling pattern shows the business can accelerate revenue materially when acquisition investment is deployed. That structural ability to scale channels supports medium-term growth prospects if management can secure capital and execute on customer acquisition economics.
Read all positive factors
SurgePays (SURG) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$16.78M
Dividend YieldN/A
Average Volume (3M)315.11K
Price to Earnings (P/E)―
Beta (1Y)0.23
Revenue Growth-39.75%
EPS Growth-89.61%
CountryUS
Employees130
SectorCommunication Services
Sector Strength97
IndustrySoftware - Application
Share Statistics
EPS (TTM)-0.68
Shares Outstanding25,121,895
10 Day Avg. Volume754,254
30 Day Avg. Volume315,113
Financial Highlights & Ratios
PEG Ratio0.04
Price to Book (P/B)-2.18
Price to Sales (P/S)0.59
P/FCF Ratio-1.57
Enterprise Value/Market Cap1.51
Enterprise Value/Revenue0.44
Enterprise Value/Gross Profit-2.39
Enterprise Value/Ebitda-0.76
Forecast
1Y Price Target
$5.00Price Target Upside83.15% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)-0.61
Revenue Forecast (FY)$71.20M
SurgePays Business Overview & Revenue Model
Company Description
SurgePays, Inc., a financial technology and telecommunications company, provides services to the underbanked community in the United States. Its blockchain platform utilizes a suite of financial and prepaid products to convert corner stores and bo...
How the Company Makes Money
SurgePays makes money primarily by (1) selling prepaid wireless and mobile broadband service to end users and (2) earning fees/margins by enabling and distributing prepaid/digital products through retail channels.
1) Prepaid wireless and broadban...
SurgePays Key Performance Indicators (KPIs)
SurgePays Earnings Call Summary
Earnings Call Date:Apr 14, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 18, 2026
Earnings Call Sentiment Neutral
The call mixed clear operational progress and cost discipline with material liquidity and transition risks. Highlights include demonstrated scalability (notably Q2->Q3 +62.6%), significant cost cuts (G&A and SG&A down ~27%), improved gross loss (~25.9%) and operating loss (~26.6%), strong point-of-sale/prepaid growth (+$26.1M YoY) and diversification across multiple revenue channels with a >9,000 location footprint. Lowlights include a full-year revenue decline (~6.4%), a Q3->Q4 sequential revenue decline (~13.4%) driven by reduced acquisition spend, low year-end cash (~$1.7M) and a working capital deficit (~$16.2M), substantial operating cash use (~$21.3M for 2025) and continued dependence on financing (~$10.5M raised). Management outlined actions to lower monthly burn to ~$250K–$300K and emphasized showing progress in 2026, leaving the call balanced between meaningful improvements and notable liquidity/execution risks.Positive Updates
Demonstrated scalability in 2025
Revenue progression showed Q1 $10.6M -> Q2 $11.5M (+8.5%) -> Q3 $18.7M (+62.6% vs Q2), proving the company can scale quickly when capital is deployed.
Negative Updates
Full-year revenue decline
Total revenue for 2025 was approximately $57.0M compared to $60.9M in 2024, a decline of approximately 6.4%, primarily driven by the expected drop in subsidized revenue after the Affordable Connectivity Program expiration.
Read all updates
Q4-2025 Updates
Positive
Negative
Demonstrated scalability in 2025
Revenue progression showed Q1 $10.6M -> Q2 $11.5M (+8.5%) -> Q3 $18.7M (+62.6% vs Q2), proving the company can scale quickly when capital is deployed.
Read all positive updates
Company Guidance
Management did not give formal forward-looking numeric guidance but outlined expectations and operational targets and provided many metrics: FY2025 revenue was ~ $57.0M (Q4 $16.2M; Q1 $10.6M; Q2 $11.5M; Q3 $18.7M), point-of-sale and Prepaid Services grew by ~ $26.1M YoY, cost of revenue was ~ $67.6M (vs $75.2M in 2024) with gross loss improving to ~ $10.6M (vs $14.3M), total G&A fell to ~ $20.1M (from $27.5M) and SG&A ex D&A to ~ $19.2M (from $26.3M), operating loss was ~ $30.7M (vs $41.8M), net cash used in operations was ~ $21.3M, net cash provided by financing was ~ $10.5M, year‑end cash was ~ $1.7M, working capital was a deficit of ~ $16.2M (vs a $11.8M surplus at 12/31/24), Q4 included ~ $2.3M of nonrecurring items, and management estimates current monthly cash burn of ~$250k–$300k as of end‑Q1 2026; they expect improving gross margins, continued cost discipline, and selective capital deployment to scale revenue across multiple channels (LinkUp Mobile, subsidized wireless, wholesale MVNE, POS fintech) while emphasizing they are not providing formal guidance.SurgePays Financial Statement Overview
Summary
Income Statement
18
Very Negative
Balance Sheet
22
Negative
Cash Flow
20
Very Negative
| Breakdown | Mar 2026 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 56.96M | 60.88M | 137.14M | 121.54M | 51.06M |
| Gross Profit | -10.59M | -14.32M | 35.64M | 13.47M | 6.17M |
| EBITDA | -33.03M | -41.22M | 20.08M | 2.39M | -5.10M |
| Net Income | -36.07M | -45.73M | 20.62M | -680.76K | -13.53M |
Balance Sheet | |||||
| Total Assets | 8.52M | 23.98M | 41.93M | 34.00M | 19.50M |
| Cash, Cash Equivalents and Short-Term Investments | 1.73M | 11.79M | 14.62M | 7.04M | 6.28M |
| Total Debt | 13.58M | 4.59M | 5.44M | 8.11M | 7.68M |
| Total Liabilities | 23.92M | 8.71M | 13.52M | 28.89M | 15.95M |
| Stockholders Equity | -15.40M | 15.32M | 28.25M | 4.99M | 3.55M |
Cash Flow | |||||
| Free Cash Flow | -21.31M | -21.83M | 10.01M | 94.69K | -15.34M |
| Operating Cash Flow | -21.29M | -21.31M | 10.29M | 793.27K | -15.29M |
| Investing Cash Flow | -18.59K | -3.00M | -281.30K | -1.50M | -376.72K |
| Financing Cash Flow | 10.53M | 22.48M | -2.42M | 1.46M | 21.27M |
SurgePays Technical Analysis
Negative
2.73
Price Trends
0.81
Negative
1.23
Negative
1.98
Negative
Market Momentum
-0.06
Negative
42.50
Neutral
34.04
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SURG, the sentiment is Negative. The current price of 2.73 is above the 20-day moving average (MA) of 0.74, above the 50-day MA of 0.81, and above the 200-day MA of 1.98, indicating a bearish trend. The MACD of -0.06 indicates Negative momentum. The RSI at 42.50 is Neutral, neither overbought nor oversold. The STOCH value of 34.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SURG.
SurgePays Risk Analysis
SurgePays disclosed 20 risk factors in its most recent earnings report. SurgePays 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
SurgePays Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
59 Neutral | $41.36M | 36.21 | 5.21% | ― | 7.70% | -36.01% | |
52 Neutral | $8.61M | -11.03 | -5.54% | ― | -47.44% | -318.95% | |
51 Neutral | $32.46M | -0.25 | 132.32% | ― | -23.03% | -107.34% | |
51 Neutral | $31.32M | -41.26 | -15.63% | ― | -7.76% | -291.41% | |
45 Neutral | $46.04M | -3.27 | -11.47% | ― | ― | ― | |
41 Neutral | $16.78M | -0.93 | 1043.96% | ― | -39.75% | -89.61% |
* Communication Services Sector Average
SURG
SurgePays
0.67
-2.56
-79.32%
LPSN
Liveperson
2.68
-9.81
-78.58%
NTWK
Netsol Technologies
3.50
1.05
42.86%
PHUN
Phunware
2.28
-0.70
-23.49%
INLX
Intellinetics
7.00
-7.99
-53.30%
HKIT
Hitek Global
1.00
-62.50
-98.43%
SurgePays Corporate Events
Delistings and Listing ChangesPrivate Placements and FinancingRegulatory Filings and Compliance
SurgePays Faces Nasdaq Noncompliance Amid Debt-for-Equity Swap
Negative
Mar 24, 2026
On March 18 and March 23, 2026, SurgePays received notices from Nasdaq that it had fallen below the exchange’s $35 million minimum market value of listed securities and the $1.00 minimum bid price requirement. The company has 180 days from e...
Business Operations and StrategyRegulatory Filings and Compliance
SurgePays Posts Updated February 2026 Investor Presentation
Neutral
Feb 9, 2026
On or about February 9, 2026, SurgePays, Inc. planned to post an updated investor presentation, dated February 2026, on its corporate website under the investor presentation section, offering summary information about the company and its business ...
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
SurgePays Announces Underwritten Public Equity Offering Agreement
Positive
Jan 22, 2026
On January 20, 2026, SurgePays entered into an underwriting agreement with R.F. Lafferty Co. for an underwritten public offering of 2 million shares of common stock at $1.25 per share, for anticipated gross proceeds of about $2.5 million, with a ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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.