Vuzix (VUZI) AI Stock Analysis

• Market Cap: $237.98M
• Dividend Yield: N/A
• Average Volume (3M): 1.57M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.19
• Revenue Growth: -4.31%
• EPS Growth: 59.68%
• Country: US
• Employees: 76
• Sector: Technology
• Sector Strength: 88
• Industry: Consumer Electronics
• EPS (TTM): -0.09
• Shares Outstanding: 80,126,490
• 10 Day Avg. Volume: 1,622,546
• 30 Day Avg. Volume: 1,566,980
• PEG Ratio: -0.10
• Price to Book (P/B): 7.17
• Price to Sales (P/S): 46.45
• P/FCF Ratio: -10.03
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 43.51
• Enterprise Value/Gross Profit: -38.34
• Enterprise Value/Ebitda: -6.65
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.4
• Revenue Forecast (FY): $6.90M

• Rating: 47 Neutral
• Price Target: $2.50 ▼(-38.73% Downside)

Vuzix's overall stock score is primarily impacted by its financial challenges, including persistent losses and cash flow issues. While technical analysis and valuation metrics are weak, the earnings call provided some positive developments, such as strategic partnerships and investments, which offer potential growth opportunities. However, the financial difficulties remain a significant concern.

Positive Factors

Strategic Partnerships

The investment from Quanta Computer highlights confidence in Vuzix's technology and supports increased production capacity, potentially boosting long-term growth.

Cash Position and Debt

A strong cash position and absence of debt provide financial flexibility, allowing Vuzix to invest in growth opportunities and weather financial challenges.

Expansion with Major Clients

The expansion of Vuzix's program with Amazon indicates strong product adoption, enhancing market presence and potentially driving future revenue growth.

Negative Factors

Revenue Decline

A decline in revenue suggests challenges in sales growth, which could impact Vuzix's ability to achieve profitability and sustain operations long-term.

Increased R&D Expenses

Rising R&D expenses without corresponding revenue growth can strain financial resources, potentially affecting Vuzix's ability to invest in other strategic areas.

Gross Loss Increase

Increasing gross losses highlight operational inefficiencies and high costs, which could hinder Vuzix's path to profitability and long-term financial health.

Vuzix Business Overview & Revenue Model

Company Description

Vuzix Corporation (NASDAQ: VUZI) is a leading supplier of smart glasses and augmented reality (AR) technology, primarily serving enterprise and industrial markets. The company focuses on developing and manufacturing wearable display technology, which includes products like the Vuzix Blade and Vuzix M-Series smart glasses. Vuzix's solutions enhance productivity, communication, and efficiency in various sectors, including logistics, manufacturing, healthcare, and field service.

How the Company Makes Money

Vuzix generates revenue primarily through the sale of its smart glasses and augmented reality display systems to businesses and organizations. The company has established key revenue streams from direct product sales, software licensing, and service contracts related to its AR solutions. Additionally, Vuzix has formed strategic partnerships with major companies and technology providers to enhance its product offerings and expand its market reach, contributing to its earnings. The company also explores opportunities in government and defense contracts, which can provide significant revenue potential.

Vuzix Financial Statement Overview

Summary

Vuzix is facing significant financial challenges with persistent losses, high operational costs, and inadequate revenue growth. Despite a strong equity base and low debt, the company struggles with profitability and cash flow issues, making its financial position precarious.

Income Statement

Vuzix has been experiencing significant financial challenges with consistently negative gross profit margins and net income. The gross profit has been negative for the latest year, and the company is incurring substantial losses at the EBIT and EBITDA levels. Revenue growth is minimal with a significant drop in profitability indicators, suggesting operational inefficiencies and high costs relative to revenues.

Balance Sheet

The balance sheet indicates a relatively strong equity position, with a high equity ratio of 94.6% and low debt levels, resulting in a low debt-to-equity ratio. However, the company has been unable to translate this into profitability, as indicated by the negative return on equity (ROE) due to substantial losses.

Cash Flow

Vuzix's cash flow situation is concerning, with negative operating cash flow and free cash flow. The free cash flow growth rate is trending negatively, and both operating and free cash flow to net income ratios are unfavorable, highlighting continued cash burn and insufficient cash generation to cover operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.31M	5.75M	12.13M	11.84M	13.16M	11.58M
Gross Profit	-6.03M	-4.87M	-1.75M	2.28M	2.89M	2.11M
EBITDA	-34.75M	-39.82M	-45.42M	-39.89M	-37.95M	-16.70M
Net Income	-37.31M	-73.54M	-50.15M	-40.76M	-40.38M	-17.95M
Balance Sheet
Total Assets	42.47M	39.41M	86.15M	132.31M	148.47M	52.47M
Cash, Cash Equivalents and Short-Term Investments	22.61M	18.19M	26.56M	72.56M	120.20M	36.07M
Total Debt	1.13M	494.24K	301.19K	956.16K	1.12M	1.52M
Total Liabilities	4.59M	2.11M	5.35M	15.58M	4.74M	4.17M
Stockholders Equity	37.89M	37.29M	80.79M	116.73M	143.73M	48.30M
Cash Flow
Free Cash Flow	-19.65M	-26.66M	-42.86M	-43.39M	-31.83M	-15.45M
Operating Cash Flow	-17.26M	-23.74M	-26.28M	-24.52M	-26.98M	-13.96M
Investing Cash Flow	-2.44M	-2.92M	-19.28M	-21.17M	-4.85M	-1.49M
Financing Cash Flow	28.04M	18.29M	-449.56K	-1.95M	115.97M	40.91M

Vuzix Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VUZI, the sentiment is Negative. The current price of 4.08 is above the 20-day moving average (MA) of 2.53, above the 50-day MA of 3.10, and above the 200-day MA of 2.56, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 48.33 is Neutral, neither overbought nor oversold. The STOCH value of 65.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VUZI.

Vuzix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TBCH	62 Neutral	$288.70M	17.33	17.19%	―	6.43%	196.68%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
GPRO	50 Neutral	$282.52M	―	-91.95%	―	-27.37%	70.46%
VUZI	47 Neutral	$237.98M	―	-96.37%	―	-4.31%	59.68%
ZEPP	44 Neutral	$410.64M	―	-24.39%	―	13.27%	-66.48%
FEBO	44 Neutral	$8.40M	-4.23	―	―	11.95%	-956.47%
WLDS	41 Neutral	$13.96M	-0.27	-268.12%	―	-9.05%	77.41%

Vuzix Corporate Events

Vuzix Completes Final Tranche with Quanta Computer

On September 19, 2025, Vuzix Corporation finalized the third and last tranche of its securities purchase agreement with Quanta Computer Inc., initially disclosed on September 3, 2024. This transaction involved selling 230,242 shares of Series B Preferred Stock to Quanta, which are convertible into common stock, at a price of $21.716 per share, utilizing an exemption from registration under the Securities Act of 1933.

Vuzix Appoints New President for Enterprise Solutions

On September 3, 2025, Vuzix Corporation announced the appointment of Chris Parkinson, PhD., as the president of its Enterprise Solutions business unit. Dr. Parkinson’s compensation package includes a base salary, participation in bonus and equity incentive plans, and stock awards contingent on achieving specific financial targets by 2028, indicating a strategic focus on enhancing the unit’s performance and aligning leadership incentives with company growth objectives.