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VUZI

Vuzix NasdaqCM:VUZI Stock Report

Last Price

US$5.89

Market Cap

US$376.9m

7D

-22.5%

1Y

-47.8%

Updated

23 Sep, 2022

Data

Company Financials +
VUZI fundamental analysis
Snowflake Score
Valuation0/6
Future Growth2/6
Past Performance0/6
Financial Health6/6
Dividends0/6

VUZI Stock Overview

Vuzix Corporation, together with its subsidiaries, designs, manufactures, markets, and sells augmented reality (AR) wearable display and computing devices for consumer and enterprise markets in North America, the Asia-Pacific, Europe, and internationally.

Vuzix Corporation Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Vuzix
Historical stock prices
Current Share PriceUS$5.89
52 Week HighUS$16.20
52 Week LowUS$3.88
Beta2.18
1 Month Change-25.35%
3 Month Change-16.57%
1 Year Change-47.83%
3 Year Change149.58%
5 Year Change8.07%
Change since IPO12.19%

Recent News & Updates

Sep 06

Vuzix: Leading An Innovative Industry

Summary Vuzix is a leader in the smart glasses and augmented reality headset industry. The company saw a surge in sales during the pandemic. The sentiment is mixed on the stock, with a high short-interest ratio, but buy ratings from analysts that cover the stock. Its recent price rally failed to break a key resistance level. Have you ever tried out smart glasses or augmented reality? I truly believe it is going to be a game changer in the next decade. These devices still have a ways to go before they become mainstream, but the real-world use cases for a high-tech augmented reality headset (in the form of smart glasses) is honestly endless. Take everything you have to look down and use your phone for, right at the corner of your view, without changing anything. I've tried out some of the work Magic Leap (private company) has done with its augmented reality headset and I was blown away. These devices are not mainstream yet, but it is only a matter of time as they keep working to make the headsets slimmer and add more applications to the platforms. And one company looking to win this race is Vuzix Corporation (VUZI) - a leading supplier of smart glasses and augmented reality technology and products. Let's break down the company's fundamentals, sentiment and technicals to see if Vuzix is a buy or sell today. About Vuzix New York based Vuzix designs, manufactures and markets wearable computing devices and augmented reality wearable display devices all around the globe. These devices include head mounted displays, heads-up displays or near-eye displays as a form of Smart Glasses and Augmented Reality Glasses. The main consumers of Vuzix smart glasses and AR products are at the enterprise, industrial and commercial levels. Markets include the security sector, first responders, medical markets and defense markets. They also provide custom solutions and engineering services for other parties, but these are specialized projects that the company expects to advance their technology and lead to long-term supply relationships. On August 24th, the company introduced its third generation of the Blade model, the Blade 2 smart glasses. This product is primarily designed for commercial use. Upgrades in this model include a host of advanced features and high performance specifically designed to meet the needs of connected workers. And this is the rat race tech stocks get stuck in. The need to constantly create and keep up with the ever-changing technological landscape. New models are racing to keep up with those changes, which require companies to revamp and reintroduce lines constantly. As a wearable company, they have to compete with a broad range of technology products, such as increasing screen size on smart phones, work focused tablets and computers, as well as the fact these prices decline compared to the technology that goes into them. Still, Vuzix is in a unique position among the wearable competitive market, with an intellectual property portfolio that includes micro-display projection engines, waveguides, mechanical packaging, ergonomics and optical systems. This helps them stay at the front of the pack when it comes to the smart glasses and augmented reality industry. Let's take a look at the fundamentals to see how the company has been translating this new technology into some real returns. Fundamental Analysis For the fundamental take, I like to look at two main metrics - top of the line numbers with revenues and bottom of the line numbers with earnings per share. These two numbers tell us the most about the company without getting into the weeds of their accounting processes. Below, you can see the revenues represented as the blue line on the chart (prices on the left in millions) and earnings per share as the red bars on the chart (prices on right). Yahoo Finance Yahoo Finance didn't have expectations on earnings for 2022 or 2023, but we'll just assume it's more of the same - operating at a loss. A swing to a net profit would be a huge deal for the company at this stage in the growth phase, so it's not likely in the next two years. What does stand out on this chart, though, is revenues. After a slight increase in 2021, and expected slight increase in 2022, analysts are looking for a jump of $6 million, or 46%, in just a years' time. That sounds steep, but the company just saw a similar jump in 2020, from $7 million to just under $12 million. That was thanks to the pandemic, this was one of the companies that benefited from the instant shift to a work-from-home environment. For medical and construction industries, their devices started to spread like wildfire. Then we see sales growth cool off in 2021 and 2022, before another expected jump in 2023. A few things could help drive sales in 2023, probably the biggest one is another round of upgrades in its Android operating system for its M400 and M4000 line of products. This is expected to be completed early 2023. The first major upgrade since 2020, when sales experienced the sharp surge. It's safe to say their clients are holding off, new clients will likely be interested after seeing what the upgrades bring to the table and it may also help expand into new industries with an upgraded software platform. It lines up perfectly with the expected jump in revenues and should help support increased exposure for the company. Next up, we'll look at a few sentiment indicators to see how investors feel about the stock. Sentiment Readings Short interest is a great one to start with. In general, the higher the short interest, the weaker the sentiment. It's not every day you get to see a short squeeze play out. I like to stay on the low end of short interest if I'm looking to go long a stock. Typically, anything under 5% is not meaningful, while more than 20% is a reason to be cautious. Vuzix short interest as a percent of float is 30.5%. So, plenty of reason for alarm here. Investors are becoming increasingly bearish on the stock and are willing to add leverage (shorting the stock) to profit from a decline. Shares have fallen 75% since the peak in 2021, but it doesn't mean shares can't fall another 75% from here. With short interest high, it is going to get a lower sentiment rating today to add to our whole picture of the stock. Analysts are still bullish, but we only have two that cover the stock. It has an average rating of a buy with an average price target of $12 per share, 61% above the $7.41 per share closing price on September 2nd. Vuzix even got initiated with a buy rating from Dawson James at the end of 2021. Despite a roller coaster ride since then, shares are only 20% below that initiated rating.

Aug 10

Vuzix Corporation stock jumps on hope of positive second half

Vuzix Corporation (NASDAQ:VUZI) stock jumps after Q2 results. Q2 sales saw 20% growth Q/Q. Gross profit margin rate fell 600 bps to 14%. The company is confident that for balance 2022 it has enough resources to execute on business plan and further invest in future. CEO comment: "Notwithstanding the challenging supply chain and economic environments that remain in place, our outlook for the balance of 2022 continues to be positive with the expectation that our second half revenue will see further growth. Enterprise adoption of our smart glasses is poised to accelerate with larger orders anticipated from repeat and, in some cases, very large new customers that should ultimately represent significant units and dollar values. These major customers, with which we are already engaged and shipping to, remain committed to deploying Vuzix smart glasses in larger numbers and we believe it is now just a matter of when, and not if, for all of them. Our OEM business is no less exciting in terms of the engagements already underway and the numerous new opportunities appearing regularly. Our OEM revenue in the second half of 2022 is expected to experience strong growth as we begin to leverage the investments that we have already made in our core technology and OEM platform.  The significant improvements we have made in our waveguide performance and quality and our ability to manufacture in volume and at very competitive price points has opened and will continue to open new doors with consumer OEM customers.  And on the defense side, the expiration of our non-compete and unique status as a US-based manufacturer and supplier of waveguides, ideally positions us to readily engage with any US or allied defense and homeland defense forces around the world." On YTD basis, shares grew 10.4%.

Shareholder Returns

VUZIUS Consumer DurablesUS Market
7D-22.5%-2.7%-5.2%
1Y-47.8%-35.1%-23.1%

Return vs Industry: VUZI underperformed the US Consumer Durables industry which returned -34.9% over the past year.

Return vs Market: VUZI underperformed the US Market which returned -21.6% over the past year.

Price Volatility

Is VUZI's price volatile compared to industry and market?
VUZI volatility
VUZI Average Weekly Movement10.9%
Consumer Durables Industry Average Movement6.3%
Market Average Movement6.9%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.8%

Stable Share Price: VUZI is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: VUZI's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
1997108Paul Travershttps://www.vuzix.com

Vuzix Corporation, together with its subsidiaries, designs, manufactures, markets, and sells augmented reality (AR) wearable display and computing devices for consumer and enterprise markets in North America, the Asia-Pacific, Europe, and internationally. It provides M300XL, M400, and M4000 series of smart glasses for enterprise, industrial, commercial, and medical markets; Vuzix Blade smart glasses; waveguide optics and related coupling optics; and Vuzix Shield smart glasses, as well as custom and engineering solutions. The company sells its products through resellers, direct to commercial customers, and via online stores, as well as various Vuzix operated web stores in Europe and Japan.

Vuzix Corporation Fundamentals Summary

How do Vuzix's earnings and revenue compare to its market cap?
VUZI fundamental statistics
Market CapUS$376.91m
Earnings (TTM)-US$42.51m
Revenue (TTM)US$11.84m

31.8x

P/S Ratio

-8.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VUZI income statement (TTM)
RevenueUS$11.84m
Cost of RevenueUS$9.99m
Gross ProfitUS$1.86m
Other ExpensesUS$44.37m
Earnings-US$42.51m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.66
Gross Margin15.68%
Net Profit Margin-358.90%
Debt/Equity Ratio0%

How did VUZI perform over the long term?

See historical performance and comparison