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AUSI Stock Analysis - AURA SYSTEMS INC AI Rating

AUSI OTC Miscellaneous Electrical Machinery, Equipment & Supplies DE CIK: 0000826253
Recently Updated • Analysis: Mar 20, 2026 • SEC Data: 2025-11-30
AI Rating
STRONG SELL
95% Confidence

📊 AUSI Key Takeaways

Revenue: $265.0K
Net Margin: -794.0%
Free Cash Flow: $-2.4M
Current Ratio: 0.01x
Debt/Equity: N/A
EPS: $-0.02
AI Rating: STRONG SELL with 95% confidence

Investment Thesis

Aura Systems exhibits severe financial distress with negative stockholders equity of -36.9M, liabilities exceeding assets by a significant margin, and deteriorating operational performance. The company generated -2.1M net loss on minimal 265K revenue with negative operating cash flow of -2.4M, indicating fundamental business viability concerns and imminent solvency risk.

AUSI Strengths

  • + High gross margin of 90.6% suggests reasonable unit economics when products sell
  • + Minimal recent insider selling indicates management may retain confidence
  • + Low revenue base provides potential for meaningful absolute growth from current levels

AUSI Risks

  • ! Negative stockholders equity of -36.9M indicates technical insolvency and negative book value
  • ! Extreme liquidity crisis with current ratio of 0.01x and only 107K cash against 38.2M liabilities
  • ! Severe operational losses with -919.6% operating margin and -2.4M operating cash burn indicate non-viable business model
  • ! Revenue declined 10.7% YoY despite high gross margins, suggesting demand destruction
  • ! Long-term debt of 4.9M represents existential burden relative to equity position and cash generation

Key Metrics to Watch

AUSI Financial Metrics

Revenue
$265.0K
Net Income
$-2.1M
EPS (Diluted)
$-0.02
Free Cash Flow
$-2.4M
Total Assets
$1.3M
Cash Position
$107.0K

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

AUSI Profitability Ratios

Gross Margin 90.6%
Operating Margin -919.6%
Net Margin -794.0%
ROE N/A
ROA -159.9%
FCF Margin -909.4%

AUSI vs Industrial Sector

How AURA SYSTEMS INC compares to Industrial sector averages

Net Margin
AUSI -794.0%
vs
Sector Avg 10.0%
AUSI Sector
ROE
AUSI 0.0%
vs
Sector Avg 15.0%
AUSI Sector
Current Ratio
AUSI 0.0x
vs
Sector Avg 1.8x
AUSI Sector
Debt/Equity
AUSI 0.0x
vs
Sector Avg 0.7x
AUSI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

AUSI Balance Sheet & Liquidity

Current Ratio
0.01x
Quick Ratio
0.01x
Debt/Equity
N/A
Debt/Assets
2,906.1%
Interest Coverage
-6.33x
Long-term Debt
$4.9M

AUSI 5-Year Financial Trend

AUSI 5-year financial data: Year 2020: Revenue $822.0K, Net Income -$2.5M, EPS N/A. Year 2021: Revenue $822.0K, Net Income -$2.6M, EPS $-0.05. Year 2022: Revenue $114.9K, Net Income $44.7K, EPS $0.00. Year 2023: Revenue $100.0K, Net Income -$4.0M, EPS $-0.05. Year 2025: Revenue $56.0K, Net Income -$4.2M, EPS $-0.04.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: AURA SYSTEMS INC's revenue has declined by 93% over the 5-year period, indicating business contraction. The most recent EPS of $-0.04 indicates the company is currently unprofitable.

AUSI Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-909.4%
Free cash flow / Revenue

AUSI Quarterly Performance

Quarterly financial performance data for AURA SYSTEMS INC including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2026 $50.0K -$540.0K $0.00
Q2 2026 $3.0K -$2.8M $-0.04
Q1 2026 $47.0K -$2.8M $-0.02
Q3 2025 $47.0K -$540.0K $0.00
Q2 2025 $3.0K -$1.1M $-0.01
Q1 2025 $10.0K -$1.1M $-0.01
Q3 2024 $47.0K -$552.0K $-0.01
Q3 2023 $53.8K -$552.2K $-0.01

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

AUSI Capital Allocation

Operating Cash Flow
-$2.4M
Cash generated from operations
Capital Expenditures
$13.0K
Investment in assets
Dividends
None
No dividend program

AUSI SEC Filings

Access official SEC EDGAR filings for AURA SYSTEMS INC (CIK: 0000826253)

📋 Recent SEC Filings

Date Form Document Action
Jan 20, 2026 10-Q ea0272681-10q_aura.htm View →
Oct 20, 2025 10-Q ea0261599-10q_aura.htm View →
Jul 21, 2025 10-Q ea0249473-10q_aura.htm View →
Jun 13, 2025 10-K ea0245450-10k_aura.htm View →
Jan 21, 2025 10-Q ea0228067-10q_aura.htm View →

Frequently Asked Questions about AUSI

What is the AI rating for AUSI?

AURA SYSTEMS INC (AUSI) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are AUSI's key strengths?

High gross margin of 90.6% suggests reasonable unit economics when products sell. Minimal recent insider selling indicates management may retain confidence.

What are the risks of investing in AUSI?

Negative stockholders equity of -36.9M indicates technical insolvency and negative book value. Extreme liquidity crisis with current ratio of 0.01x and only 107K cash against 38.2M liabilities.

What is AUSI's revenue and growth?

AURA SYSTEMS INC reported revenue of $265.0K.

Does AUSI pay dividends?

AURA SYSTEMS INC does not currently pay dividends.

Where can I find AUSI SEC filings?

Official SEC filings for AURA SYSTEMS INC (CIK: 0000826253) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is AUSI's EPS?

AURA SYSTEMS INC has a diluted EPS of $-0.02.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 20, 2026 | Data as of: 2025-11-30 | Powered by Claude AI