AudioEye, Inc.
$7.50
-0.40%AudioEye, Inc. provides patented, internet content publication, distribution software, and related services to Internet, print, broadcast, and other media to people regardless of their network connection, device, location, or disabilities in the United States. Its software and services enable conversion of digital content into accessible formats and allows for real time distribution to end users on any Internet connected device. The company offers AudioEye, an always-on testing, remediation, and monitoring solution that improves conformance with web content accessibility guidelines; identifies and fixes the common accessibility errors and addresses a range of disabilities including dyslexia, color blindness, epilepsy, and others; and provides additional solutions to provide for enhanced compliance and accessibility, including periodic manual auditing, manual remediations, and legal support services, as well as PDF remediation services and audit reports to help customers with their digital accessibility needs. The company serves small- and medium-sized businesses, corporate enterprises, non-profit organizations, and federal government agencies, as well as federal, state, and local governments and agencies through content management system partners, platform and agency partners, authorized resellers, and the marketplace. AudioEye, Inc. was incorporated in 2005 and is based in Tucson, Arizona.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
Medium confidenceValuation multiple is compressed (P/E -30.0).
Valuation inputs: P/E -30.0, earnings yield N/A, momentum -0.4%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -64.0%, ROIC -17.2%).
Profitability stack: net margin -7.6%, ROE -64.0%, ROIC -17.2%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile is elevated and scenario stress-testing is essential.
Risk factors: liabilities/assets +85.1%, momentum -0.4%, net margin -7.6%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
AudioEye, Inc. Market vs Earnings Trajectory
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AudioEye, Inc. Fair Value Envelope
AudioEye, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.
Operating Margin
Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.
Net Profit Margin
Net losses indicate the company is burning cash. Sustainability depends on path to profitability.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
AudioEye, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.
AudioEye, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Acceptable liquidity, but monitor closely. Current assets just barely cover current liabilities.
Debt-to-Equity Ratio
High financial leverage. Heavy reliance on debt may indicate increased financial risk and potential solvency concerns.
Working Capital
Positive working capital, but relatively tight. The company should monitor cash flow carefully.
Asset Composition
Balanced asset mix between current and non-current assets, typical of many stable businesses.
AudioEye, Inc. Street Expectations Map
Wall Street analysts project that AEYE stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 14.00, with estimates ranging from a low of 12.00 to a high of 16.00.
The consensus 1-year price target stands at 14.00, with estimates ranging from a low of 12.00 to a high of 16.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.
Analyst Conviction
Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.
Market Sentiment Insight
Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.
AudioEye, Inc. Insider Positioning
During the last 12 months, insiders have purchased $986K and sold $87K worth of AEYE shares, resulting in $900K of net buying activity.
3 Months
54.9K
319.14K
0
0.00
+319K
+$319K
3-6 Months
0
0.00
0
0.00
+0
+$0
6-9 Months
22.0K
263.26K
0
0.00
+263K
+$263K
9-12 Months
33.0K
403.85K
7.4K
86.60K
+317K
+$317K
Top Buyers
Hawkins James B
Director
$571K
Tahir Jamil A.
Director
$316K
Georgevich Kelly
Officer: Chief Financial Officer
$99K
Top Sellers
Georgevich Kelly
Officer: Chief Financial Officer
$74K
Hawkins James B
Director
$12K
Insider Activity Analysis
Net Insider Sentiment
Strong bullish signal with $900K net buying. Insiders are aggressively accumulating shares, suggesting significant confidence in future prospects.
Buy/Sell Ratio
Exceptional buy/sell ratio. Buying dramatically outweighs selling—one of the strongest possible insider signals.
Recent Trend (3 Months)
Very strong recent buying momentum. Recent insider purchases significantly outpace sales, suggesting near-term optimism.
Insider Participation
3 insider buyers vs. 2 sellers. More insiders buying than selling indicates positive sentiment.
Insider Activity Insight
Strong confluence of bullish signals: High buy/sell ratio, multiple insiders participating, and recent buying momentum all point to significant insider confidence. This level of coordinated buying often precedes positive developments.
aeye Dividend History
Learning Layer
Related Guides
Build conviction on AEYE by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.