Alpha Modus Holdings Inc. (NASDAQ: AMOD) – Stock Analysis
1. Executive Summary
- Company Name: Alpha Modus Holdings Inc.
- Ticker: AMOD
- Sector: Software – Application
- Investment Recommendation: Sell – High near-term risk due to ongoing losses and weak financial health.
2. Company Overview
- Business Model: Focuses on developing and licensing data-driven technologies to enhance in-store digital experiences for consumers.
- Industry Position: Operates in AI-based retail tech with minimal market share.
- Key Products/Services: In-store consumer behavior analytics and digital interaction technologies.
- Management: William Rosario Alessi Jr. (CEO).
3. Financial Analysis
- Revenue Growth: No revenue as of September 30, 2024.
- Profitability: Net loss: $725,000 for the period ending Sept 30, 2024, widening YoY.
- EPS: FY2023 EPS: -$0.05.
- Balance Sheet: Cash balance: $66,000; total assets: $2.79 million; total liabilities: $1.83 million → debt ratio: ~65.6%.
- Cash Flow: Operating cash flow: -$542,000 as of Sept 30, 2024.
4. Stock Performance
- Current Price: $1.35 (as of May 5, 2025).
- 52-Week Range: $1.02 – $13.49.
- Market Cap: ~$15.97 million.
- Beta: 0.56 → lower volatility than market.
- Recent Trend: Stock down ~88.9% over the past year.
5. Valuation Analysis
- P/E Ratio: Not applicable (operating losses).
- P/S Ratio: Not applicable (no revenue).
- P/B Ratio: **~ -0.80x** → trading below book value.
- DCF Analysis: Not meaningful at this stage.
- Peer Comparison: Financial structure weaker than similar early-stage software companies.
6. Industry & Market Analysis
- Industry Trends: Demand for AI-based retail technologies growing, but competition is intense and innovation cycles are rapid.
- Market Share: Minimal market presence; lacks major brand recognition.
- Macroeconomic Factors: Weakened investor sentiment and tighter regulation impacting tech startups.
7. Risk Analysis
- Market Risk: High barriers to market entry due to delays in commercialization and competitive landscape.
- Financial Risk: Ongoing losses and low cash reserves raise solvency concerns.
- Regulatory Risk: Exposure to intellectual property disputes and technology regulation.
- Geopolitical Risk: Susceptible to global economic uncertainty and supply chain issues.
8. Growth Catalysts
- New Products/Services: Developing in-store consumer analytics and digital engagement tools.
- Expansion Plans: No major expansion plans disclosed.
- M&A Activity: No recent acquisitions announced.
- Industry Trend: Growing interest in AI-powered retail solutions may support future opportunity.
9. Analyst Sentiment
- Consensus Rating: No formal analyst coverage available.
- Target Price: No official target price reported.
- Recent News: Reports of funding challenges and patent-related disputes have affected stock sentiment.
10. Conclusion
Alpha Modus Holdings Inc. faces significant financial risks with no current revenue and ongoing operational losses.
✅ Short-term recovery unlikely without substantial improvement in commercialization or funding.
👉 Investment Recommendation: Sell – Caution advised; reconsider investment only if revenue generation and financial stability improve.
11. Appendix
- Stock Chart: Down ~88.9% over past year.
- Financial Summary:
- No revenue as of Sept 30, 2024
- Net loss: $725,000
- Cash: $66,000
- Total assets: $2.79 million
- Total liabilities: $1.83 million
- Institutional Ownership: ~4.41%.