Eve Holding (EVEX) AI Stock Analysis

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Eve Holding

(NYSE:EVEX)

37Underperform

Eve Holding faces significant financial challenges with continuous losses, negative cash flow, and high debt levels. Despite strong progress in prototype development and a robust order backlog, the technical indicators and valuation metrics highlight underlying weaknesses. The stock is likely to remain under pressure unless the financial health improves and strategic milestones are achieved.

Positive Factors

Backlog

Eve Air Mobility's industry-leading backlog of over 2,900 preorders could generate cash via PDPs in advance of serial production.

Financing

Eve's improved liquidity position, thanks to favorable financing terms from the BNDES, places the company in an improved position to proceed with flight testing and certification.

Liquidity

Eve Air Mobility secured a $35M loan agreement with the Brazilian National Development Bank to support the second phase of development for the company's eVTOL aircraft.

Negative Factors

Capital Needs

Eve is likely to raise additional capital, at least part of which is expected to be in the form of dilutive equity.

Certification Timeline

The updated certification timeline pushed back expectations to certify the prototype aircraft from late 2026 to 2027.

Orderbook

Some orderbook churn occurred as EVEX's customer count in the eVTOL segment declined by 2, TechCare customers declined by 1, and Vector customers declined by 2.

Eve Holding (EVEX) vs. S&P 500 (SPY)

Market Cap

$1.02B

Dividend YieldN/A

Average Volume (3M)282.31K

Price to Earnings (P/E)―

Beta (1Y)0.98

Revenue GrowthN/A

EPS Growth-2.94%

CountryUS

Employees174

SectorIndustrials

Sector Strength70

IndustryAerospace & Defense

Share Statistics

EPS (TTM)-0.48

Shares Outstanding297,644,300

10 Day Avg. Volume245,326

30 Day Avg. Volume282,305

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

Price to Cash Flow (P/CF)-6.90

P/FCF Ratio0.00

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

$6.00

Price Target Upside75.44% Upside

Rating ConsensusStrong Buy

Number of Analyst Covering5

Eve Holding Business Overview & Revenue Model

Company DescriptionEve Holding, Inc. (EVEX) is a company focused on developing urban air mobility solutions. It operates within the aerospace sector, primarily engaging in the design and production of electric vertical takeoff and landing (eVTOL) aircraft. Eve aims to revolutionize urban transportation by offering innovative, sustainable, and efficient air mobility options to enhance connectivity and reduce congestion in urban environments.

How the Company Makes MoneyEve Holding makes money through the development and sale of its eVTOL aircraft. The company generates revenue by partnering with urban mobility service providers and city planners to integrate its aircraft into existing transportation networks. Additionally, Eve may engage in direct sales of its eVTOL units to commercial operators and potentially gain recurring revenue through maintenance services and software solutions that enhance the operation and efficiency of its aircraft. Strategic partnerships with aerospace industry leaders and technology companies also play a crucial role in supporting its growth and expanding its market reach.

Eve Holding Financial Statement Overview

Summary

Eve Holding's financial position is precarious with no revenue generation, increasing losses, and significant reliance on debt and external financing. The balance sheet and cash flow challenges indicate financial instability and a need for strategic restructuring to achieve profitability and sustainable growth.

Income Statement

Very Negative

Eve Holding has consistently reported zero revenue over the past six years, indicating a lack of operational income. The company is incurring losses, with a significant net loss of $138,168,000 in the latest year. This lack of revenue and continuous losses are major concerns for the income statement.

Balance Sheet

Negative

The balance sheet shows a relatively high debt-to-equity ratio due to increased total debt. Stockholders' equity has decreased, and the equity ratio has declined over time. Although the company maintains a positive cash position, the rising liabilities and decreasing equity are potential risks.

Cash Flow

Very Negative

Eve Holding's cash flow statement reveals negative operating and free cash flows, highlighting cash burn issues. Operating cash flow has worsened, reflecting ongoing operational challenges. Despite positive financing cash flows, the reliance on external funding raises sustainability concerns.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
0.00	-100.00K	-33.49K	-107.93K	0.00
	EBIT
0.00	-128.69M	16.05M	-15.79M	-9.59M
	EBITDA
0.00	-125.74M	-173.06M	-18.15M	-16.66M
	Net Income Common Stockholders
-138.17M	-127.66M	-174.03M	-15.96M	-9.66M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
56.37M	158.10M	227.93M	14.38M	1.97M
	Total Assets
318.24M	245.34M	312.88M	15.32M	72.99K
	Total Debt
132.01M	25.76M	0.00	0.00	0.00
	Net Debt
75.64M	-21.12M	-49.15M	-14.38M	-1.97M
	Total Liabilities
194.32M	80.29M	25.95M	2.23M	1.09M
	Stockholders Equity
123.92M	165.05M	286.92M	13.09M	-1.01M
Cash Flow		Free Cash Flow
-135.97M	-94.68M	-59.93M	-14.89M	-9.03M
	Operating Cash Flow
-135.97M	-94.51M	-59.46M	-14.89M	-9.03M
	Investing Cash Flow
-56.22M	66.83M	-258.48M	-4.60M	-232.30M
	Financing Cash Flow
203.02M	24.93M	352.70M	29.26M	9.03M

Eve Holding Technical Analysis

Technical Analysis Sentiment

Neutral

Last Price3.42

Price Trends

50DMA

3.91

Negative

100DMA

4.25

Negative

200DMA

3.68

Negative

Market Momentum

MACD

-0.19

Negative

RSI

38.99

Neutral

STOCH

35.05

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EVEX, the sentiment is Neutral. The current price of 3.42 is below the 20-day moving average (MA) of 3.44, below the 50-day MA of 3.91, and below the 200-day MA of 3.68, indicating a neutral trend. The MACD of -0.19 indicates Negative momentum. The RSI at 38.99 is Neutral, neither overbought nor oversold. The STOCH value of 35.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for EVEX.

Eve Holding Risk Analysis

Eve Holding disclosed 13 risk factors in its most recent earnings report. Eve Holding reported the most risks in the “Ability to Sell” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Eve Holding Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$7.50B	12.89	3.19%	3.38%	3.64%	-14.27%
EH	55 Neutral	$939.35M	―	-39.63%	―	285.43%	32.34%
ACHR	44 Neutral	$3.81B	―	-95.88%	―	―	17.43%
SPCE	42 Neutral	$94.15M	―	-83.78%	―	3.47%	53.31%
EVEX	37 Underperform	$1.02B	―	-95.63%	―	―	-2.94%
SKYH	36 Underperform	$863.56M	―	-52.21%	―	94.86%	-78.25%
EVTL	25 Underperform	$286.63M	―	115.25%	―	―	23.26%

* Industrials Sector Average

Performance Comparison

EVEX

Eve Holding

3.61

-1.34

-27.07%

SPCE

Virgin Galactic Holdings

2.58

-17.82

-87.35%

Ehang Holdings

14.44

-1.93

-11.79%

EVTL

Vertical Aerospace

3.43

-4.07

-54.27%

SKYH

Sky Harbour Group

11.54

0.72

6.65%

ACHR

Archer Aviation

7.03

3.14

80.72%

Eve Holding Earnings Call Summary

Earnings Call Date: Mar 11, 2025 | % Change Since: -5.79% | Next Earnings Date: May 13, 2025

Earnings Call Sentiment Positive

Eve demonstrated significant progress in its eVTOL development, securing substantial capital, advancing prototype testing, and maintaining a strong order backlog. However, challenges remain with financial losses, a slight reduction in the order book, and anticipated high cash burn.

Highlights

Successful Capital Raising

Eve raised $270 million in 2024 through a mix of credit and equity instruments, providing a solid liquidity position of $429 million, enough to sustain operations through 2025 and 2026.

Prototype Development and Testing

Eve completed the assembly of its full-scale engineering prototype, performed several ground tests, and is preparing for its first flight by mid-2025.

Certification Progress

Eve published the Basis of Certification with ANAC, a critical milestone for eVTOL commercial flight in Brazil, and is actively engaging with FAA and JCAB for certification plans.

Strong Pre-Order Backlog

Eve maintains a pre-order backlog of approximately 2,800 aircraft valued at $14 billion from 28 customers across nine countries.

Eve TechCare Launch

Eve launched its aftermarket service portfolio, securing contracts with 14 customers for up to $1.6 billion in potential revenue.

Lowlights

Order Book Reduction

The pre-order backlog decreased from 2,900 to 2,800 aircraft, although the dollar amount remained at $14 billion.

Continued Financial Losses

Eve reported a net loss of $40 million for Q4 2024 and $138 million for the full year, reflecting ongoing R&D and SG&A expenses.

High Cash Burn Anticipated

Eve anticipates a cash burn of $200 to $250 million in 2025 due to accelerated eVTOL development and initial investments in production facilities.

Company Guidance

During the Eve Holding, Inc. Fourth Quarter 2024 earnings call, the company highlighted significant achievements and provided guidance for 2025. The company raised $270 million in 2024, comprising $170 million in debt and $100 million in equity, enhancing their liquidity to $429 million, which is sufficient to cover operations through 2026. Eve plans to invest $30 million in 2025 for developing their manufacturing facility, with a total planned investment of $100 million. The company aims to build five certification prototypes and expects to perform the first flight of their full-scale engineering prototype by mid-2025. Their total pre-order backlog stands at approximately 2,800 aircraft, valued at nearly $14 billion, with 21 customers for their air traffic management solution, Vector. For 2025, Eve anticipates a cash burn of $200 to $250 million, driven primarily by eVTOL development and facility investments.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.