Glimpse Group (VRAR) AI Stock Analysis

• Market Cap: $29.49M
• Dividend Yield: N/A
• Average Volume (3M): 265.62K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.45
• Revenue Growth: 16.60%
• EPS Growth: 70.20%
• Country: US
• Employees: 45
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.05
• Shares Outstanding: 21,066,006
• 10 Day Avg. Volume: 190,592
• 30 Day Avg. Volume: 265,622
• PEG Ratio: 0.16
• Price to Book (P/B): 1.58
• Price to Sales (P/S): 2.54
• P/FCF Ratio: -84.42
• Enterprise Value/Market Cap: 0.74
• Enterprise Value/Revenue: 2.31
• Enterprise Value/Gross Profit: 3.54
• Enterprise Value/Ebitda: -8.56
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: $1.00 ▼(-5.66% Downside)

The overall stock score of 42 reflects significant financial challenges, including negative profitability and cash flow issues, which are the most impactful factors. Technical analysis indicates a bearish trend, and valuation metrics are unattractive due to a negative P/E ratio. While strategic initiatives were discussed in the earnings call, they are insufficient to offset the current financial and operational difficulties.

Positive Factors

Strong Gross Margin

A strong and improving gross margin indicates efficient cost management and pricing power, which can support long-term profitability as the company scales.

Foretell AI Traction

The growing adoption of Foretell AI in key sectors suggests a strong product-market fit, potentially driving future revenue growth and market expansion.

Strong Financial Position

A strong cash position and no debt provide financial flexibility, allowing the company to invest in growth opportunities without the burden of interest expenses.

Negative Factors

Significant Revenue Decrease

A substantial revenue decline indicates potential challenges in demand or execution, which could impact the company's ability to sustain growth and profitability.

Increased Adjusted EBITDA Loss

Rising EBITDA losses suggest operational inefficiencies or increased costs, which could hinder the company's path to profitability if not addressed.

Profitability Challenges

Continued profitability issues may limit the company's ability to reinvest in growth and could affect investor confidence over the long term.

Glimpse Group Business Overview & Revenue Model

Company Description

Glimpse Group is a leading provider of virtual reality (VR) and augmented reality (AR) solutions, focusing on immersive experiences for various industries such as entertainment, education, healthcare, and enterprise. The company specializes in developing cutting-edge technologies and applications that enhance user engagement and provide innovative solutions tailored to client needs. With a diverse portfolio of products and services, Glimpse Group seeks to revolutionize how businesses and consumers interact with digital content in real-time.

How the Company Makes Money

Glimpse Group generates revenue through multiple streams, primarily by offering VR and AR development services to businesses across different sectors. This includes custom software development, consulting services, and the licensing of proprietary technology. Additionally, the company earns money through the sale of its own VR/AR products and platforms, which can be used for training, marketing, and entertainment purposes. Strategic partnerships with tech companies and content creators also contribute to its revenue by expanding its service offerings and market reach, while subscription models for ongoing support and updates generate a consistent income stream. The company may also explore revenue through in-app purchases or premium features within its applications.

Glimpse Group Financial Statement Overview

Summary

Glimpse Group shows strong revenue growth, but profitability and cash flow challenges persist. The low leverage is a positive sign, yet the negative returns and cash flow issues suggest financial instability. The company needs to improve its profitability and cash flow management to enhance its financial health.

Income Statement

The company has shown significant revenue growth, particularly in the latest year, which is a positive indicator. However, the persistent negative net profit margin and EBIT margin highlight ongoing profitability challenges. The gross profit margin remains strong, but the inability to translate this into net profitability is concerning.

Balance Sheet

The balance sheet shows a low debt-to-equity ratio, indicating low leverage, which is a positive aspect. However, the negative return on equity suggests that the company is not generating sufficient returns on its equity base. The equity ratio is relatively stable, but the negative ROE is a significant concern.

Cash Flow

The cash flow statement reveals negative operating and free cash flows, which are concerning for sustainability. The free cash flow to net income ratio is above 1, indicating that free cash flow is higher than net income, but the overall negative cash flow growth and coverage ratios highlight liquidity issues.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.49M	10.53M	8.80M	13.48M	7.27M	3.42M
Gross Profit	6.20M	7.12M	5.86M	9.22M	6.03M	1.96M
EBITDA	-2.56M	-2.13M	-6.58M	-11.96M	-7.66M	-5.88M
Net Income	-2.57M	-2.55M	-6.39M	-28.56M	-5.97M	-6.09M
Balance Sheet
Total Assets	18.35T	19.28M	15.56M	24.28M	38.40M	3.22M
Cash, Cash Equivalents and Short-Term Investments	5.56T	6.83M	1.85M	5.62M	16.49M	1.77M
Total Debt	1.90B	131.75K	543.51K	829.40K	0.00	2.05M
Total Liabilities	2.20T	2.34M	4.02M	13.05M	9.58M	4.39M
Stockholders Equity	16.15T	16.94M	11.54M	11.22M	28.82M	-1.17M
Cash Flow
Free Cash Flow	-1.18M	-316.28K	-5.24M	-9.31M	-5.14M	-1.24M
Operating Cash Flow	-1.14M	-273.77K	-5.21M	-9.16M	-4.94M	-1.21M
Investing Cash Flow	-1.53M	-1.54M	-1.53M	-3.53M	-5.06M	-28.00K
Financing Cash Flow	6.83M	6.80M	2.97M	66.11K	26.48M	1.97M

Glimpse Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.06
• 50DMA: Negative
• 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 VRAR, the sentiment is Negative. The current price of 1.06 is below the 20-day moving average (MA) of 1.16, below the 50-day MA of 1.41, and below the 200-day MA of 1.37, indicating a bearish trend. The MACD of -0.10 indicates Negative momentum. The RSI at 39.11 is Neutral, neither overbought nor oversold. The STOCH value of 29.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VRAR.

Glimpse Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
BNAI	45 Neutral	$19.03M	-0.62	-218.30%	―	-24.72%	53.60%
VRAR	42 Neutral	$29.49M	-10.83	-19.02%	―	16.60%	70.20%
INTZ	42 Neutral	$29.95M	―	-132.37%	―	33.49%	82.01%
MSAI	42 Neutral	$46.33M	-2.00	-103.97%	―	―	―
AUID	40 Underperform	$18.69M	-0.78	-150.91%	―	141.81%	-21.61%

Glimpse Group Corporate Events

Glimpse Group Reports Q1 FY 2026 Financial Results

On November 13, 2025, The Glimpse Group reported its financial results for Q1 FY 2026, ending September 30, 2025, highlighting a 43% revenue decrease compared to the previous year due to timing of Department of War contracts and U.S. Government budget delays. The company initiated the IPO/Spin-off process for its subsidiary, Brightline Interactive, aiming to establish it as an independent publicly traded company. Despite the revenue decline, Glimpse maintains a strong financial position with no debt and a clean capital structure, focusing on potential value creation alternatives.

Glimpse Group Achieves 20% Revenue Growth in 2025

On September 30, 2025, Glimpse Group reported its fiscal year 2025 financial results, highlighting a 20% revenue growth to approximately $10.5 million and achieving cash flow neutrality for the first time. The company attributes this growth to increased SpatialCore revenues and significant reorganization efforts. Brightline Interactive, a Glimpse entity, achieved several milestones, including contracts with the Department of War and the U.S. Navy, showcasing its capabilities in AI-driven immersive technologies. Despite these successes, Glimpse believes Brightline’s value is not fully reflected in its current market valuation.