Bedrijfsoverzicht
T Stamp Inc. is a technology firm dedicated to the development and marketing of identity authentication software solutions, leveraging artificial intelligence-powered capabilities such as computer vision, cryptography, and data processing for government, enterprise, and peer-to-peer markets globally. Operating within the broader Technology sector and specifically the Software - Application industry, the company focuses on delivering specialized digital security infrastructure that facilitates secure transactions and verification across various digital ecosystems. The organization currently employs a workforce of 72 individuals to support its operations and product development efforts, reflecting a lean organizational structure typical of early-stage software enterprises. With a market capitalization of $12.37M and annual revenue (TTM) of $3.14M, the company holds a relatively small market position, indicating that it is still establishing its footprint in a competitive landscape where revenue generation has not yet scaled significantly beyond the low millions.
Financiële gezondheid
The company reported revenue (TTM) of $3.14M, yet it recorded a net income (TTM) of $-8,325,099, a disparity that reveals a highly volatile cost structure where expenses, likely driven by high R&D or operational burn, vastly exceed gross revenues. This significant gap between top-line revenue and bottom-line profitability results in a net loss that is more than double the revenue figure, suggesting that current operating costs are unsustainable at the present revenue scale without substantial scaling. The firm's EBITDA stands at $-7,485,367, further highlighting the deep operational deficits inherent in its current business model. Free cash flow is reported at $-3,557,487, which indicates a lack of financial flexibility as the company is burning through its liquidity to fund operations and growth initiatives rather than generating cash reserves. Margin analysis shows a gross margin of 55.9%, which suggests a relatively efficient cost of goods sold for a software product, but this is severely undermined by an operating margin of -223.0% and a profit margin of -265.2%, both of which indicate that operating expenses and general administrative costs are disproportionately high relative to sales. On the balance sheet, the company holds $6.04M in cash against $1.20M in debt, resulting in a debt-to-equity ratio of 13.54, which implies a highly leveraged capital structure relative to its equity base despite having more cash on hand than debt obligations. The current ratio of 7.85 suggests strong short-term liquidity, as current assets are nearly eight times current liabilities, providing a substantial buffer against immediate obligations. Return on Equity is -137.9% and Return on Assets is -48.2%, metrics that reveal that management has not yet generated positive returns on the capital invested or assets deployed, reflecting the challenges of scaling a loss-making technology venture.
Waarderingsbeoordeling
Valuation metrics for T Stamp Inc. present a complex picture given its lack of profitability, with a trailing P/E ratio listed as N/A due to negative earnings, while the forward P/E is calculated at 19.50, implying that the market is pricing in anticipated future earnings recovery or is utilizing a forward-looking earnings estimate to smooth out current losses. The price-to-book ratio stands at 1.41, indicating that the market values the company at a 41% premium over its tangible book value, which could reflect intangible assets like intellectual property or growth potential that are not fully captured on the balance sheet. Alternative valuation metrics show a price-to-sales ratio of 3.94 and an EV/EBITDA of -1.03, suggesting that investors are valuing the firm based on revenue multiples rather than earnings power, a common practice for unprofitable technology companies, though the negative EV/EBITDA confirms that enterprise value is negative relative to earnings generation. The stock has traded between a 52-week low of $1.43 and a high of $5.28, meaning the current price sits within a range that has seen significant volatility, specifically trading at approximately 75% below the 52-week high if currently near the low end, or fluctuating within a band of roughly 3.6x the low. The beta value of 0.51 indicates that the stock is less volatile than the broader market, moving at about half the magnitude of market swings, which may appeal to investors seeking lower volatility despite the company's financial losses.
Growth & Income
The company is currently experiencing negative revenue growth of -39.3% year-over-year, while earnings growth is N/A due to the absence of reported net income in the prior period, indicating that the business is contracting rather than expanding its top line. Since earnings are negative, they cannot grow faster than revenue in the traditional sense, and the decline in revenue suggests a contraction in demand, a loss of market share, or a strategic pivot that has temporarily reduced sales volume. The company does not pay a dividend, evidenced by a dividend yield of N/A and a payout ratio of 0.0%, meaning it retains all generated cash flow to fund its operations and research rather than distributing income to shareholders. This non-dividend profile is typical for high-growth or high-burn technology firms that prioritize reinvestment over shareholder returns, although in this specific instance, the reinvestment is occurring amidst significant revenue contraction and negative cash flow.