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IPOWER (IPW)
NASDAQ:IPW
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IPOWER
(NASDAQ:IPW)
51Neutral
IPOWER (IPW) vs. S&P 500 (SPY)
Market Cap
$15.72M
Dividend YieldN/A
Average Volume (3M)64.35K
Price to Earnings (P/E)―
Beta (1Y)3.11
Revenue Growth-7.00%
EPS Growth99.38%
CountryUS
Employees60
SectorConsumer Cyclical
Sector Strength54
IndustrySpecialty Retail
Share Statistics
EPS (TTM)>-0.01
Shares Outstanding31,449,099
10 Day Avg. Volume90,451
30 Day Avg. Volume64,352
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.25
Price to Cash Flow (P/CF)181.50
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 TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
IPOWER Business Overview & Revenue Model
Company DescriptioniPower Inc. (IPW) is a leading online retailer specializing in the provision of hydroponic equipment, supplies, and accessories. The company operates in the e-commerce sector, providing a comprehensive range of products aimed at enabling the efficient cultivation of plants in controlled environments. iPower's core offerings include grow lights, ventilation systems, hydroponic systems, and other essential gardening tools and accessories designed to cater to both commercial and home growers.
How the Company Makes MoneyiPower Inc. generates revenue primarily through the online sales of its extensive array of hydroponic and gardening products. The company's e-commerce platform serves as the main channel for reaching its customer base, which includes both individual horticulture enthusiasts and commercial growers. By leveraging digital marketing strategies and maintaining a robust online presence, iPower attracts and retains customers, thereby facilitating consistent sales growth. Additionally, strategic partnerships with suppliers and manufacturers allow iPower to offer competitive pricing and a diverse product inventory, further enhancing its revenue potential. The company may also explore opportunities for growth through potential expansion into new markets or the introduction of complementary product lines.
IPOWER Financial Statement Overview
Summary
IPOWER's financial statements reveal a company facing profitability and cash flow challenges. While the balance sheet is relatively stable, the income statement and cash flow metrics highlight areas of concern, particularly with declining revenue and substantial negative cash flows. Improved operational efficiency and strategic initiatives to enhance revenue and cash flow generation are essential for future growth and stability.Income Statement
IPOWER demonstrates a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) shows a gross profit margin of 45.82%, indicating efficiency in cost management. However, the net profit margin is negative at -0.17%, reflecting challenges in achieving profitability. Revenue has decreased compared to annual data, showing a decline from $86.07M to $80.84M, indicating contraction or market challenges. EBIT and EBITDA margins also highlight limited operational efficiency.45
Neutral
Balance Sheet
The balance sheet reveals a high level of debt with a debt-to-equity ratio of 0.44, which is relatively stable. The equity ratio stands at 49.47%, suggesting a balanced asset financing structure. While the return on equity is negative in the TTM at -0.63%, the company maintains a substantial equity base, indicating resilience but with profitability challenges.55
Neutral
Cash Flow
The cash flow statement reflects significant difficulties, with a negative operating cash flow of -$1.39B in the TTM. The free cash flow is also negative, showing challenges in generating cash from operations. The operating and free cash flow to net income ratios are not favorable, indicating potential liquidity issues. The company needs to address cash flow sustainability to improve its financial health.35
Negative
| Breakdown | |||||
| TTM | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 | Jun 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 80.84M | 86.07M | 88.90M | 79.42M | 54.08M | 39.94M | Gross Profit |
| 37.05M | 39.25M | 34.80M | 33.20M | 22.82M | 15.13M | EBIT |
| 795.31K | -962.89K | -13.48M | 2.31M | 2.96M | 2.91M | EBITDA |
| 2.45M | 1.51M | -12.77M | 3.20M | 2.96M | 0.00 | Net Income Common Stockholders |
| -137.28K | -1.53M | -11.97M | 1.52M | -775.75K | 1.99M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 2.88T | 7.38M | 3.74M | 1.82M | 6.65M | 977.63K | Total Assets |
| 43.87T | 51.30M | 60.09M | 78.58M | 35.64M | 13.67M | Total Debt |
| 9.55T | 12.89M | 20.07M | 26.82M | 2.55M | 2.09M | Net Debt |
| 6.67T | 5.51M | 16.34M | 25.00M | -4.10M | 1.11M | Total Liabilities |
| 22.17T | 28.28M | 39.23M | 46.18M | 10.65M | 10.74M | Stockholders Equity |
| 21.70T | 23.05M | 20.89M | 32.41M | 24.99M | 2.93M |
| Cash Flow | Free Cash Flow | ||||
| -1.39T | 6.16M | 9.07M | -17.09M | -12.82M | 1.10M | Operating Cash Flow |
| -1.39T | 6.16M | 9.21M | -16.60M | -12.76M | 1.11M | Investing Cash Flow |
| -664.37K | 0.00 | -140.81K | -139.39K | -61.50K | -6.25K | Financing Cash Flow |
| 2.11M | -2.40M | -7.15M | 11.91M | 18.49M | -596.61K |
IPOWER Technical Analysis
Negative
0.50
Price Trends
0.63
Negative
0.76
Negative
1.19
Negative
Market Momentum
-0.03
Negative
40.64
Neutral
30.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IPW, the sentiment is Negative. The current price of 0.5 is below the 20-day moving average (MA) of 0.54, below the 50-day MA of 0.63, and below the 200-day MA of 1.19, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 40.64 is Neutral, neither overbought nor oversold. The STOCH value of 30.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPW.
IPOWER Risk Analysis
IPOWER disclosed 65 risk factors in its most recent earnings report. IPOWER reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
IPOWER Peers Comparison
Overall Rating
UnderperformOutperform
Sector (59)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $15.31M | 3.33 | 23.53% | ― | -3.54% | ― | |
59 Neutral | $12.18B | 11.09 | -1.08% | 3.77% | 1.26% | -19.82% | |
51 Neutral | $15.72M | ― | -0.69% | ― | -7.00% | 99.38% | |
42 Neutral | $16.22M | ― | -8.25% | ― | -32.31% | 69.20% | |
42 Neutral | $19.22M | ― | -148.78% | ― | -11.06% | -175.45% | |
40 Underperform | $15.48M | ― | -60.46% | ― | -8.13% | 0.04% |
* Consumer Cyclical Sector Average
Performance Comparison
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IPOWER
0.47
-0.01
-2.08%
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0.16
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0.44
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IPOWER Earnings Call Summary
Earnings Call Date: Feb 13, 2025 | % Change Since: -30.56% | Next Earnings Date: May 19, 2025
Earnings Call Sentiment Positive
The earnings call reflects a positive outlook with strong revenue growth, improved profitability, and significant progress in the SuperSweet platform. Despite a decrease in cash reserves and the closure of the commercial hydroponics business, the positive aspects, such as increased net income and debt reduction, outweigh the negatives.Highlights
Strong Revenue Growth
Total revenue in the fiscal second quarter of 2025 increased 14% to $19.1 million, compared to $16.8 million in the year-ago quarter.
Gross Profit and Margin Improvement
Gross profit increased 15% to $8.4 million, with gross margin increasing by 40 basis points to 44%, primarily driven by improved pricing through key supplier negotiations.
Reduction in Operating Expenses
Total operating expenses improved 22% to $7.7 million, down from $9.9 million in the same period of the previous fiscal year.
Net Income Turnaround
Net income attributable to iPower improved to $0.2 million, or $0.01 per share, from a net loss of $1.9 million, or $0.06 per share, in the previous year.
Debt Reduction
Total debt was reduced by 31% to $4.4 million, compared to $6.3 million as of June 30, 2024.
SuperSweet Platform Growth
SuperSweet contributed about 20% of sales last quarter, reflecting a significant increase from the prior year and indicating strong momentum.
Lowlights
Decrease in Cash and Cash Equivalents
Cash and cash equivalents decreased to $2.9 million as of December 31, 2024, from $7.4 million as of June 30, 2024.
Closure of Commercial Hydroponics Business
The company officially shuttered its legacy commercial hydroponics business, focusing instead on its core competency in consumer products and services.
Company Guidance
During the fiscal second quarter of 2025 call, iPower reported total revenue of $19.1 million, marking a 14% increase from the previous year, primarily due to the growth of their SuperSweet supply chain business and increased product sales through their largest channel partner. The gross profit rose by 15% to $8.4 million, with the gross margin improving by 40 basis points to 44%. Operating expenses decreased by 22% to $7.7 million, leading to a net income of $0.2 million, or $0.01 per share, a significant improvement from the net loss of $1.9 million, or $0.06 per share, from the prior year. The company successfully reduced its total debt by 31% to $4.4 million and decreased inventory levels by 12% as part of its supply chain optimization efforts. SuperSweet contributed to 20% of sales last quarter, achieving a $16 million annual run rate, while the company expanded its manufacturing base to Vietnam to lower production and logistics costs.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.