POET Technologies (PTK) AI Stock Analysis

• Market Cap: $601.42M
• Dividend Yield: N/A
• Average Volume (3M): 140.28K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.13
• Revenue Growth: -28.14%
• EPS Growth: -35.82%
• Country: CA
• Employees: 53
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.00
• Shares Outstanding: 84,588,080
• 10 Day Avg. Volume: 226,442
• 30 Day Avg. Volume: 140,278
• PEG Ratio: -0.45
• Price to Book (P/B): 9.69
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.20
• Enterprise Value/Market Cap: 0.17
• Enterprise Value/Revenue: 178.42
• Enterprise Value/Gross Profit: 2.46K
• Enterprise Value/Ebitda: -0.81
• 1Y Price Target: $9.94
• Price Target Upside: 26.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 59 Neutral
• Price Target: C$7.00 ▼(-10.60%Downside)

POET Technologies shows potential with positive technical indicators and strategic corporate initiatives. However, significant financial challenges and valuation concerns weigh heavily on the stock's overall score.

POET Technologies Business Overview & Revenue Model

Company Description

POET Technologies Inc. designs, develops, manufactures, and sells discrete and integrated opto-electronic solutions in Canada, the United States, and Singapore. It offers integration solutions based on the POET Optical Interposer, a novel platform that allows the seamless integration of electronic and photonic devices into a single multi-chip module using advanced wafer-level semiconductor manufacturing techniques and packaging methods. It also develops photonic integrated components. The company serves the data center, telecommunications, Internet of things and industrial sensing, automotive LIDAR, optical coherence tomography for medical devices, virtual reality systems markets. The company was formerly known as Opel Technologies Inc. and changed its name to POET Technologies Inc. in June 2013. POET Technologies Inc. was incorporated in 1972 and is headquartered in Toronto, Canada.

How the Company Makes Money

POET Technologies makes money through the sale and licensing of its optoelectronic devices and photonic solutions. The company's revenue model is based on providing these cutting-edge products to original equipment manufacturers (OEMs) and other companies within the semiconductor and telecommunications sectors. Key revenue streams include the sale of optical engines and interposer solutions, as well as licensing fees from its proprietary technology. Significant partnerships with industry leaders in data communications and related fields also contribute to its earnings, facilitating the adoption and integration of POET's technology into broader market applications.

POET Technologies Financial Statement Overview

Summary

POET Technologies faces significant financial challenges with persistent losses and negative cash flows. The income, balance sheet, and cash flow statements indicate operational inefficiencies and a need for strategic restructuring to achieve profitability.

Income Statement

POET Technologies has shown a volatile revenue trajectory with a significant decline in recent years. The gross profit margin is positive, but the company struggles with negative EBIT and EBITDA margins, indicating operational inefficiencies. The net profit margin is also negative, reflecting ongoing losses.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, suggesting manageable leverage. However, the negative return on equity indicates that the company is not generating profit from shareholders' equity. The equity ratio is moderate, which implies some financial stability but with room for improvement.

Cash Flow

The cash flow statement shows negative operating and free cash flows, highlighting challenges in generating cash from operations. Although there is a positive cash flow from financing, this may not be sustainable in the long term without operational improvements. The free cash flow to net income ratio is concerning due to consistent negative figures.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.43K	465.78K	552.75K	209.10K	0.00
Gross Profit	41.43K	465.78K	552.75K	209.10K	0.00
EBITDA	-54.57M	-18.28M	-19.69M	-14.20M	-14.08M
Net Income	-56.70M	-20.27M	-21.09M	-17.55M	-19.15M
Balance Sheet
Total Assets	69.65M	8.78M	15.39M	27.15M	11.64M
Cash, Cash Equivalents and Short-Term Investments	53.82M	3.02M	9.23M	21.31M	6.87M
Total Debt	7.24M	542.28K	308.78K	391.01K	4.09M
Total Liabilities	48.96M	3.85M	3.95M	2.18M	5.82M
Stockholders Equity	20.69M	4.93M	11.45M	24.97M	5.81M
Cash Flow
Free Cash Flow	-30.27M	-16.65M	-15.40M	-12.16M	-11.01M
Operating Cash Flow	-23.29M	-15.41M	-12.33M	-11.23M	-9.44M
Investing Cash Flow	-23.66M	-1.25M	3.29M	-7.30M	13.93M
Financing Cash Flow	81.90M	10.20M	3.44M	26.55M	1.16M

POET Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.83
• 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 TSE:PTK, the sentiment is Positive. The current price of 7.83 is above the 20-day moving average (MA) of 6.07, above the 50-day MA of 6.02, and above the 200-day MA of 6.14, indicating a bullish trend. The MACD of 0.37 indicates Negative momentum. The RSI at 73.59 is Negative, neither overbought nor oversold. The STOCH value of 75.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:PTK.

POET Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PTK	59 Neutral	$601.42M	―	-236.10%	―	-28.14%	-35.82%
Sector *	50 Neutral	AU$1.48B	1.33	-28.24%	3.27%	16.24%	-7.89%
SPVNF		$1.14M	―	-9999.00%	―	―	―
STC	63 Neutral	C$282.79M	―	-2.67%	―	-1.72%	76.81%
VCM	60 Neutral	C$224.18M	60.62	1.61%	3.28%	9.13%	-77.24%
MRM	27 Underperform	C$39.40M	44.74		―	―	76.58%
QNCCF		$250.05M	―	-89.82%	―	―	―

POET Technologies Corporate Events

POET Technologies Announces Successful 2025 AGM Outcomes

POET Technologies Inc. announced the results of its 2025 Annual General and Special Meeting, where all proposals were approved by shareholders. Key decisions included the re-election of directors, appointment of auditors, and an amendment to the company’s Omnibus Equity Incentive Plan. The meeting also featured a presentation on the company’s operational transformation and future opportunities, highlighting its strategic focus and potential impact on stakeholders.

The most recent analyst rating on (TSE:PTK) stock is a Buy with a C$3.50 price target. To see the full list of analyst forecasts on POET Technologies stock, see the TSE:PTK Stock Forecast page.

POET Technologies Expands Manufacturing with NationGate in Malaysia

POET Technologies has signed a manufacturing agreement with NationGate Solutions in Malaysia to produce optical engine assemblies, enhancing its manufacturing capabilities and addressing growing customer demand. This partnership, alongside an existing agreement with Globetronics, positions POET to scale production and secure its supply chain, aiming for significant revenue growth. The company has already shipped its backlog of 800G optical engine samples and plans to ship 1.6T samples in Q3 2025, reinforcing its strategic focus on the AI and data center markets.

The most recent analyst rating on (TSE:PTK) stock is a Buy with a C$7.00 price target. To see the full list of analyst forecasts on POET Technologies stock, see the TSE:PTK Stock Forecast page.

POET Technologies Secures $30 Million in Strategic Investment

POET Technologies Inc. has successfully completed a US$30 million non-brokered private placement with a strategic investor, issuing 6,000,000 common shares and warrants. The proceeds from this offering will be used for working capital and general corporate purposes, with no commission or finder’s fee involved. This financial move is expected to bolster POET’s operational capabilities and enhance its market positioning in the data center, telecommunication, and AI markets.

The most recent analyst rating on (TSE:PTK) stock is a Buy with a C$3.50 price target. To see the full list of analyst forecasts on POET Technologies stock, see the TSE:PTK Stock Forecast page.

POET Technologies Reports Strategic Advances and Financial Strength in Q4 2024

POET Technologies reported its fourth-quarter 2024 financial results, highlighting strategic advancements and a strengthened financial foundation aimed at accelerating growth. The company raised $25 million through a direct offering, reflecting strong investor confidence. POET’s acquisition of Super Photonics Xiamen Co., Ltd, and the shift of manufacturing to Malaysia, are expected to reduce geopolitical risks and optimize the supply chain. The company is poised for significant revenue growth in 2025, driven by existing contracts with industry leaders and an expanding presence in telecom systems and chip-to-chip data communications applications.

POET Technologies Wins Prestigious Award for AI Hardware Innovation

POET Technologies has been awarded the Elite Score award by Lightwave+BTR Innovation Reviews for its Optical Interposer at the OFC Conference, highlighting its significant impact on the optical communications industry. The award recognizes POET’s innovative advancements in AI hardware, with products like POET Teralight and POET Blazar set to be showcased at the conference, underscoring the company’s role in advancing connectivity solutions in collaboration with partners like Adtran.

POET Technologies Partners with Lessengers to Develop 800G DR8 Transceivers

POET Technologies has partnered with South Korea’s Lessengers to develop an 800G DR8 transceiver for AI and hyperscale data center applications. This collaboration combines POET’s optical engines with Lessengers’ Direct Optical Wiring technology, aiming to provide a cost-effective solution. The partnership highlights the companies’ commitment to innovation in optical technology, potentially enhancing POET’s market position and offering stakeholders improved efficiency and cost savings.