Last Updated: 18 Sep 2024
Executive Summary
SMX (Security Matters) Public Limited Company Class A Ordinary Shares (SMX) is a technology company that develops and commercializes track and trace technologies for various industries. The company is headquartered in Melbourne, Australia. SMX's latest stock price is $3.76. The company has a market capitalization of $4.13 million, negative EBITDA of $19.76 million, and negative EPS of $586.5. SMX has no dividend payments and its financial ratios indicate poor profitability and low liquidity. Technical analysis suggests a downtrend, with the stock price below its moving averages.
Company Overview
SMX was founded in 2003 and is headquartered in Melbourne, Australia. The company's track and trace technologies are used to protect products from counterfeiting, diversion, and theft. SMX's customers include pharmaceutical companies, food and beverage companies, and luxury goods companies.
Fundamental Analysis
SMX's financial performance has been weak in recent years. The company has reported negative EBITDA and EPS for the past several quarters. SMX's revenue has also declined in recent quarters. The company's financial ratios indicate poor profitability and low liquidity. SMX's negative EBITDA margin of -39.9% and negative return on assets of -0.399% indicate that the company is not generating enough revenue to cover its costs. SMX's low current ratio of 1.05 and low quick ratio of 0.76 indicate that the company may have difficulty meeting its short-term obligations.
Technical Analysis
SMX's stock price has been in a downtrend since early 2023. The stock price is below its 50-day and 200-day moving averages. The relative strength index (RSI) is below 30, which indicates that the stock is oversold. The moving average convergence divergence (MACD) is below the signal line, which indicates that the downtrend is likely to continue.
Short Term Outlook
The short-term outlook for SMX is negative. The stock price is in a downtrend and the technical indicators suggest that the downtrend is likely to continue. Investors should avoid buying SMX stock in the short term.
Long Term Outlook
The long-term outlook for SMX is uncertain. The company's financial performance has been weak in recent years, and there is no indication that this will improve in the near future. SMX's track and trace technologies are not unique, and there are many competitors in the market. Investors should be cautious about investing in SMX stock in the long term.
Analyst Recommendations
Analysts have a negative outlook on SMX stock. The consensus recommendation is to sell the stock. Analysts cite the company's weak financial performance and lack of competitive advantage as reasons for their negative outlook.
