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Wearable Devices Ltd. (WLDS)
NASDAQ:WLDS
US Market
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Wearable Devices Ltd. (WLDS) AI Stock Analysis

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WLDS

Wearable Devices Ltd.

(NASDAQ:WLDS)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
$4.00
▲(13.31% Upside)
Action:Reiterated
Date:08/07/26
WLDS scores low primarily due to severe ongoing losses and persistent cash burn, which outweigh the benefits of strong revenue growth and low balance-sheet leverage. Technicals are moderately supportive in the near term (price above shorter moving averages and positive MACD) but remain constrained by the longer-term downtrend and high volatility. Valuation is also weak/unclear given negative earnings and no stated dividend yield.
Positive Factors
Low Leverage / Strong Equity Base
Very low debt-to-equity gives the company durable financial flexibility to fund R&D, pilots and manufacturing scale without immediate refinancing. A stronger equity cushion reduces insolvency risk and supports strategic choices over the next several quarters while cash burn is addressed.
Negative Factors
Persistent Negative Cash Flow
Sustained negative operating and free cash flow shows the business cannot self-fund operations or commercialization. Ongoing cash burn forces reliance on external financing, increasing dilution risk and constraining ability to scale manufacturing or marketing over the coming months.
Read all positive and negative factors
Positive Factors
Negative Factors
Low Leverage / Strong Equity Base
Very low debt-to-equity gives the company durable financial flexibility to fund R&D, pilots and manufacturing scale without immediate refinancing. A stronger equity cushion reduces insolvency risk and supports strategic choices over the next several quarters while cash burn is addressed.
Read all positive factors

Wearable Devices Ltd. (WLDS) vs. SPDR S&P 500 ETF (SPY)

Wearable Devices Ltd. Business Overview & Revenue Model

Company Description
Wearable Devices Ltd. (WLDS) focuses on pioneering a non-invasive neural input technology. This innovative system allows users to intuitively control various digital devices through subtle finger and hand movements, doing away with the need for ph...

Wearable Devices Ltd. Financial Statement Overview

Summary
Despite rapid revenue growth, profitability and cash flow are the dominant weaknesses: gross profit turned slightly negative and losses are extremely large relative to sales (net margin roughly -1,253%). Operating cash flow and free cash flow remain consistently negative (2025 OCF and FCF about -$6.6M). The balance sheet is a relative positive with low leverage (debt-to-equity ~0.02) and sizable equity, but returns are still deeply negative (ROE ~-44%), keeping the overall financial profile weak.
Income Statement
18
Very Negative
Balance Sheet
62
Positive
Cash Flow
14
Very Negative
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue647.00K522.00K82.00K45.00K142.00K
Gross Profit-31.00K85.00K20.00K19.67K126.50K
EBITDA-8.25M-7.71M-8.12M-6.43M-2.60M
Net Income-8.11M-7.88M-7.81M-6.50M-2.61M
Balance Sheet
Total Assets19.99M5.98M7.59M11.22M1.45M
Cash, Cash Equivalents and Short-Term Investments18.42M3.95M4.86M10.37M1.27M
Total Debt366.00K1.08M575.00K162.00K0.00
Total Liabilities1.44M2.12M2.07M1.24M638.00K
Stockholders Equity18.55M3.86M5.53M9.98M807.00K
Cash Flow
Free Cash Flow-6.62M-7.66M-8.63M-5.76M-2.14M
Operating Cash Flow-6.60M-7.61M-8.43M-5.71M-2.10M
Investing Cash Flow-10.93M3.20M-4.25M-66.00K-36.00K
Financing Cash Flow20.94M6.70M3.12M14.88M2.94M

Wearable Devices Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.53
Price Trends
50DMA
2.26
Positive
100DMA
2.94
Positive
200DMA
8.08
Negative
Market Momentum
MACD
0.40
Negative
RSI
66.71
Neutral
STOCH
30.07
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WLDS, the sentiment is Positive. The current price of 3.53 is above the 20-day moving average (MA) of 2.39, above the 50-day MA of 2.26, and below the 200-day MA of 8.08, indicating a neutral trend. The MACD of 0.40 indicates Negative momentum. The RSI at 66.71 is Neutral, neither overbought nor oversold. The STOCH value of 30.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WLDS.

Wearable Devices Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
59
Neutral
$57.85M-3.05-13.45%-10.20%9.43%
48
Neutral
$5.61M>-0.01-72.49%23.95%85.47%
48
Neutral
$34.84M-31.53-3.62%3.28%-44.36%
45
Neutral
$193.76M-5.90-87.47%14.24%62.87%
43
Neutral
$66.50M-0.14-23.93%50.42%49.56%
41
Neutral
$131.55M-0.95-201.66%-21.02%12.80%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WLDS
Wearable Devices Ltd.
4.24
-9.71
-69.60%
GPRO
GoPro
0.73
-0.59
-44.64%
KOSS
Koss
3.73
-1.83
-32.91%
UEIC
Universal Electronics
4.80
-1.23
-20.40%
VUZI
Vuzix
2.58
0.48
22.86%
ZEPP
Zepp Health
4.65
-19.65
-80.86%

Wearable Devices Ltd. Corporate Events

Wearable Devices’ $3.3 Million Private Placement Faces Court-Imposed Delay
Aug 5, 2026
On July 31, 2026, Wearable Devices Ltd. entered into a private securities purchase agreement with a single institutional investor for a $3.3 million at-the-market placement of 240,000 ordinary shares, 760,000 pre-funded warrants and 1,000,000 ordi...
Wearable Devices Faces Court-Ordered Halt of Private Placement After Shareholder Challenge
Aug 4, 2026
On August 2, 2026, Wearable Devices Ltd. was hit with legal proceedings in the Economic Department of the Haifa District Court by shareholders challenging its recently announced private placement with a single institutional investor. The plaintiff...
Wearable Devices Faces Shareholder Bid to Overhaul Board and Governance
Jul 27, 2026
On July 27, 2026, Wearable Devices Ltd. received a demand from shareholders J.B.D Innovation Ltd. and Victor Tshuva Co. – Law Offices, who claim to hold about 24.8% of the company’s voting rights, to convene a special general meeting....
Wearable Devices Enacts 1-for-3 Reverse Stock Split to Protect Nasdaq Listing
Jun 17, 2026
Wearable Devices Ltd., an Israel-based technology growth company, develops AI-powered neural input wearables such as the Mudra Band and Mudra Link for touchless control of devices across multiple operating systems. It serves both consumers and ent...
Wearable Devices Shareholders Approve Proposal at Adjourned Special Meeting
Jun 4, 2026
On June 4, 2026, Wearable Devices Ltd. held a Special General Meeting of Shareholders in Yokne’am Illit, Israel, which was initially convened at 11:00 a.m. local time but adjourned due to lack of quorum. The meeting reconvened at 12:30 p.m.,...
Wearable Devices Opens Enterprise Pre-Orders for New Mudra Pro Neural Input Band
Jun 4, 2026
On June 4, 2026, Israel-based Wearable Devices Ltd. announced that its new Mudra Pro neural input band is available for early pre-orders to qualified enterprise and original equipment manufacturer customers. Positioned as a tool for innovation tea...
Wearable Devices Calls June 4 Shareholder Vote on Potential 1-for-4 Reverse Stock Split
May 18, 2026
Wearable Devices Ltd. has called a special general meeting of shareholders for June 4, 2026, in Yokne-am Illit, Israel, with a record date of May 21, 2026, to vote on a proposal authorizing a potential reverse split of its issued and outstanding o...
Wearable Devices Launches Mudra Pro Neural Sensing Platform for AI and XR Developers
May 13, 2026
Wearable Devices Ltd., an Israel-based AI wearables specialist listed on Nasdaq, develops neural input wrist-worn devices and brain-computer interface technologies that enable touchless, gesture-based control for consumers and enterprises. Its Mud...
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.Date of analysis: Aug 07, 2026