One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Rekor Systems, Inc.
REKR · NCM · Technology · Software - Application
Current price
$0.40
52-week range
$0.22 - $2.60
Market cap
$54.75M
Balance sheet
Distressed
-11.33x Concerning
Net debt $16.78M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
2 Risks
1 rewards · 2 risks
- Reward Revenue grew 51.0% last year.
- Risk Return on equity was -62.8% last year — the company lost money on shareholders' equity.
- Risk Insider ownership is only 3.9% (peer median: 6.7%).
What this company does
Rekor Systems, Inc.
Rekor Systems sells technology that helps manage roads and keep people safe, like systems that read license plates and analyze traffic. The money they make comes from selling these systems and the services that go with them to government agencies. This matters because these tools can help cities and police departments run more smoothly and efficiently.
How the company got here
Rekor Systems, Inc. was founded in 2017 and is headquartered in Columbia, Maryland. [1, 2, 9] The company has evolved into a roadway intelligence provider, focusing on modernizing public safety, urban mobility, and transportation management through its technology solutions. [2, 5] Rekor's journey has involved developing AI-based analytics software that processes mobility data to offer insights into roadway safety, traffic patterns, and license plate information. [8] The company has experienced significant revenue growth, with a reported gross revenue of $34.9 million in 2023, a 75% increase from the previous year. [12] Rekor has also seen a substantial rise in its total contract value, which increased by 124% in 2023. [12]
What it actually does
Rekor Systems provides technology solutions that collect and analyze data from roadways to make them safer, more efficient, and smarter. [5, 8] Their core offering is a roadway intelligence engine that transforms raw data into actionable insights for governments and businesses. [8, 11] This technology helps in understanding traffic flow, improving public safety, and managing urban mobility. [8] The company utilizes artificial intelligence (AI) and machine learning to process vast amounts of data, creating a digital operating system for roadways. [11] Rekor's solutions are designed to address the need for modern infrastructure, safety improvements, and sustainability initiatives. [8]
Rekor One
Rekor One is described as a roadway intelligence engine that forms the foundation of Rekor's technology. [11] It aggregates and transforms trillions of data points into usable intelligence through proprietary computer vision, machine learning, and big data analytics. [11] This engine powers various Rekor platforms and applications, providing actionable insights that give governments and businesses a comprehensive view of roadways. [11] The goal is to create a digital-enabled operating system for the road, making it safer, greener, and more efficient. [8, 11]
Rekor Command
Rekor Command is a segment focused on transportation management. [1, 8] It provides solutions that help manage traffic flow and improve the efficiency of transportation networks. [8] This system likely uses the data processed by Rekor One to offer insights and tools for better transportation management. [11] The aim is to enable cities to ensure drivers are moving safely and efficiently. [16]
Rekor Discover
Rekor Discover is dedicated to urban mobility. [1, 8] This segment likely leverages Rekor's technology to analyze and improve how people and vehicles move within cities. [8] It contributes to making urban environments smarter and more efficient by providing data-driven insights into mobility patterns. [5, 8]
Rekor Scout
Rekor Scout is focused on public safety and licensing. [1, 8] This solution uses AI-based vehicle and license plate recognition technology to assist law enforcement and security agencies. [1, 17] It helps in identifying vehicles and license plates, which can be crucial for public safety and regulatory compliance. [1, 17] The technology can recognize vehicles and license plates from a distance, aiding in various safety and security applications. [7]
What management is betting on now
Rekor's management is focused on capitalizing on industry trends and driving the digitization of public safety and transportation infrastructure. [4, 11] A key strategic priority is to increase operational efficiency and align the company's cost structure with current revenue levels, which includes consolidating engineering operations domestically. [10] They are also betting on the growing demand for modern infrastructure, safety improvements, and sustainability initiatives. [8] Rekor aims to be a pioneer in the intelligent infrastructure market, which is valued at over $93 billion. [11] The company is also working on strengthening its position in urban mobility through strategic acquisitions and expanding the adoption of its roadway intelligence solutions. [18]
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
$-9.98M
FY2024 Q4
$-5.74M
FY2025 Q1
$-8.43M
FY2025 Q2
$-7.96M
FY2025 Q3
$-6.26M
FY2025 Q4
$-254.00K
FY2026 Q1
$-4.14M
FY2026 Q2
$-2.39M
Revenue
—
Net income
$-551.00K
Diluted EPS
—
Operating cash flow
$-2.39M
Free cash flow
$-2.39M
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Sources
Revenue
—
Net income
$-9.36M
Diluted EPS
—
Operating cash flow
$-3.75M
Free cash flow
$-4.14M
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Sources
Revenue
—
Net income
$-7.78M
Diluted EPS
—
Operating cash flow
$210.00K
Free cash flow
$-254.00K
Fetching…
Sources
Revenue
—
Net income
$-4.15M
Diluted EPS
—
Operating cash flow
$-4.85M
Free cash flow
$-6.26M
Fetching…
Sources
Revenue
—
Net income
$-8.66M
Diluted EPS
—
Operating cash flow
$-7.66M
Free cash flow
$-7.96M
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Sources
Revenue
—
Net income
$-10.87M
Diluted EPS
—
Operating cash flow
$-8.08M
Free cash flow
$-8.43M
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Sources
Revenue
—
Net income
$-20.36M
Diluted EPS
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Operating cash flow
$-4.92M
Free cash flow
$-5.74M
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Sources
Revenue
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Net income
$-12.65M
Diluted EPS
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Operating cash flow
$-9.63M
Free cash flow
$-9.98M
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Sources
Is it cheap or expensive?
Fair value — vs current price $0.40
We couldn't calculate a fair value right now.
Is it drowning in debt?
Distressed
Net debt $16.8M. Interest coverage -11.3x.
Net debt
$16.78M
Interest coverage
-11.33x
Rekor Systems, Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 3 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
REKR
BASELINE
Rekor Systems, Inc.
Total debt $26.55M Interest coverage -11.33x This is the baseline the peer rows are being compared against.
Total debt $650.75K Interest coverage -7.19x Neither company has much profit cushion over interest right now.
Total debt $25.91M Interest coverage -1.94x Neither company has much profit cushion over interest right now.
Total debt $1.09B Interest coverage 3.69x This peer still has a real interest-payment cushion, while REKR does not.
Total debt $7.95M Interest coverage -868.72x Neither company has much profit cushion over interest right now.
What you should know
The case for and against REKR
1 Reward
2 Risks
Rewards
-
Revenue grew 51.0% last year.
Risks
-
Return on equity was -62.8% last year — the company lost money on shareholders' equity.
-
Insider ownership is only 3.9% (peer median: 6.7%).
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)
—
Forward P/E
-6.63x
P/B
1.60x
P/S
1.10x
EV/EBITDA
-5.71x
PEG ratio
—
Profitability
How much profit each dollar creates
Gross margin
58.2%
Operating margin
-20.0%
Net margin
-43.8%
ROE
-62.8%
ROA
-15.0%
Health
Liquidity and balance-sheet strength
Debt / equity
0.78x
Current ratio
0.78x
Quick ratio
0.60x
Total debt
$26.55M
Total cash
$9.77M
Growth
How the business has been compounding
Revenue TTM
$13.94M
Revenue 5Y CAGR
-25.3%
EPS TTM
-0.16
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-10.77M
Free CF TTM
$-22.90M
FCF margin
-164.3%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
—
Last ex-div date
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