One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Polar Power, Inc.
POLA · NCM · Industrials · Electrical Equipment & Parts
Current price
$0.30
52-week range
$0.27 - $3.74
Market cap
$1.56M
Balance sheet
Distressed
-11.07x Concerning
Net debt $3.76M. Interest coverage shows how many times profit covers the interest bill.
What stands out
0 Rewards
3 Risks
0 rewards · 3 risks
- Risk Return on equity was -245.0% last year — the company lost money on shareholders' equity.
- Risk Net debt grew 142.7% over 3 years.
- Risk Operating margin compressed from -34.5% to -164.0% over 3 years.
What this company does
Polar Power, Inc.
Polar Power designs and makes special power systems that run on direct current (DC), which is like the electricity from batteries, and they sell these to places like cell towers and the military. Their money mainly comes from selling these power systems and then providing services and parts to keep them running, showing they have a pretty steady stream of income from existing customers. This matters because it means they likely have predictable sales even if they don't land a big new customer every year.
How the company got here
Polar Power, Inc. has been around since 1979, originally known as Polar Products, Inc. before changing its name in 1991. The company has evolved over the decades, shifting its focus to designing, manufacturing, and selling specialized DC (direct current) power generation and cooling systems. This long history has allowed them to build expertise in providing reliable power solutions for demanding environments and industries.
What it actually does
Polar Power designs and builds systems that generate direct current (DC) electricity, which is the type of electricity that batteries use. They also create cooling systems. Think of them as making specialized power sources and climate control for situations where regular electricity isn't readily available or reliable, like in remote locations or for critical equipment.
DC Power Systems
This is the core of Polar Power's business, where they make various types of DC power generators. These include standard DC base power systems, generators designed for boats (DC marine generators), and hybrid systems that combine different power sources like solar with DC generation (DC solar hybrid power systems). These systems are crucial for applications that need a steady supply of DC power, often in off-grid or backup scenarios.
Mobile Power Systems
Polar Power also offers mobile power systems, which are essentially portable power solutions. These are designed to be moved and deployed where needed, providing electricity on the go. This segment caters to situations requiring temporary or flexible power sources, such as for field operations or emergency response.
Aftermarket and Services
Beyond selling new equipment, Polar Power provides ongoing support through aftermarket services. This includes offering replacement parts, maintenance, and warranty services to ensure their power systems continue to operate effectively. This revenue stream helps maintain customer relationships and provides a steady income as existing systems require upkeep.
What management is betting on now
Polar Power is focused on serving critical markets like telecommunications, military, and industrial sectors that rely heavily on uninterrupted power. They are also expanding their reach in renewable energy solutions, particularly with their solar hybrid systems, aligning with the global shift towards cleaner energy sources. By offering reliable and specialized power, they aim to capture business in areas where standard power grids are insufficient or unavailable.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$-590.00K
FY2024 Q4
$-137.00K
Revenue
$1.02M
Net income
$-1.83M
Diluted EPS
-0.49
Operating cash flow
$20.00K
Free cash flow
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Sources
Revenue
$1.73M
Net income
$-178.00K
Diluted EPS
-0.05
Operating cash flow
$-2.19M
Free cash flow
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Sources
Revenue
$600.00K
Net income
$-3.51M
Diluted EPS
-1.35
Operating cash flow
$-472.00K
Free cash flow
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Sources
Revenue
$1.27M
Net income
$-4.08M
Diluted EPS
-1.63
Operating cash flow
$399.00K
Free cash flow
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Sources
Revenue
$2.71M
Net income
$-271.00K
Diluted EPS
-0.11
Operating cash flow
$-404.00K
Free cash flow
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Sources
Revenue
$1.72M
Net income
$-1.26M
Diluted EPS
-0.50
Operating cash flow
$-584.00K
Free cash flow
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Sources
Revenue
$2.62M
Net income
$-3.05M
Diluted EPS
-1.77
Operating cash flow
$-136.00K
Free cash flow
$-137.00K
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Sources
Revenue
$4.91M
Net income
$13.00K
Diluted EPS
0.00
Operating cash flow
$-590.00K
Free cash flow
$-590.00K
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Sources
Is it cheap or expensive?
Fair value — vs current price $0.30
We couldn't calculate a fair value right now.
Is it drowning in debt?
Distressed
Net debt $3.8M. Interest coverage -11.1x.
Net debt
$3.76M
Interest coverage
-11.07x
Polar Power, Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 4 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
POLA
BASELINE
Polar Power, Inc.
Total debt $3.94M Interest coverage -11.07x This is the baseline the peer rows are being compared against.
Total debt $701.72K Interest coverage -529.20x Neither company has much profit cushion over interest right now.
Total debt $18.32M Interest coverage -4.25x Neither company has much profit cushion over interest right now.
Total debt $36.03M Interest coverage -4.61x Neither company has much profit cushion over interest right now.
Total debt $17.46M Interest coverage -30.44x Neither company has much profit cushion over interest right now.
What you should know
The case for and against POLA
0 Rewards
3 Risks
Rewards
Risks
-
Return on equity was -245.0% last year — the company lost money on shareholders' equity.
-
Net debt grew 142.7% over 3 years.
-
Operating margin compressed from -34.5% to -164.0% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
-1.38x
P/B
1.35x
P/S
0.34x
EV/EBITDA
-0.59x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
-78.0%
Operating margin
-164.0%
Net margin
-207.9%
ROE
-245.0%
ROA
-39.3%
Health
Liquidity and balance-sheet strength
Debt / equity
4.60x
Current ratio
1.07x
Quick ratio
0.08x
Total debt
$3.94M
Total cash
$183.00K
Growth
How the business has been compounding
Revenue TTM
$4.62M
Revenue 5Y CAGR
-21.8%
EPS TTM
-3.54
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-2.24M
Free CF TTM
$-1.08M
FCF margin
-23.4%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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