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CEVA Stock Analysis - CEVA INC AI Rating

CEVA Nasdaq Services-Computer Programming, Data Processing, Etc. DE CIK: 0001173489
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-12-31
AI Rating
SELL
78% Confidence

📊 CEVA Key Takeaways

Revenue: $109.6M
Net Margin: -9.7%
Free Cash Flow: $-6.3M
Current Ratio: 9.93x
Debt/Equity: 0.00x
EPS: $-0.44
AI Rating: SELL with 78% confidence

Investment Thesis

CEVA is experiencing profitability deterioration with negative operating and net margins despite strong gross margins, indicating operational inefficiency or structural challenges. Negative free cash flow and operating cash flow suggest the company is burning cash, while modest revenue growth of 2.5% YoY is insufficient to offset mounting losses.

CEVA Strengths

  • + Exceptional gross margin of 87.1% demonstrates strong pricing power and product value proposition
  • + Fortress balance sheet with zero debt and current ratio of 9.93x provides substantial liquidity cushion
  • + Modest revenue growth of 2.5% YoY shows market traction despite profitability challenges

CEVA Risks

  • ! Operating losses of -11.3M and negative operating margin of -10.4% indicate unsustainable cost structure relative to revenue
  • ! Negative free cash flow of -6.3M with -5.7% FCF margin means cash burn despite positive gross profit
  • ! Declining profitability with net income down 21.1% YoY signals deteriorating business momentum and execution issues

Key Metrics to Watch

CEVA Financial Metrics

Revenue
$109.6M
Net Income
$-10.6M
EPS (Diluted)
$-0.44
Free Cash Flow
$-6.3M
Total Assets
$388.3M
Cash Position
$40.6M

💡 AI Analyst Insight

Strong liquidity with a 9.93x current ratio provides a solid financial cushion.

CEVA Profitability Ratios

Gross Margin 87.1%
Operating Margin -10.4%
Net Margin -9.7%
ROE -3.2%
ROA -2.7%
FCF Margin -5.7%

CEVA vs Technology Sector

How CEVA INC compares to Technology sector averages

Net Margin
CEVA -9.7%
vs
Sector Avg 18.0%
CEVA Sector
ROE
CEVA -3.2%
vs
Sector Avg 22.0%
CEVA Sector
Current Ratio
CEVA 9.9x
vs
Sector Avg 2.5x
CEVA Sector
Debt/Equity
CEVA 0.0x
vs
Sector Avg 0.5x
CEVA Sector

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

CEVA Balance Sheet & Liquidity

Current Ratio
9.93x
Quick Ratio
9.92x
Debt/Equity
0.00x
Debt/Assets
0.0%
Interest Coverage
N/A
Long-term Debt
N/A

CEVA 5-Year Financial Trend

CEVA 5-year financial data: Year 2021: Revenue $122.7M, Net Income $28.0K, EPS $0.00. Year 2022: Revenue $134.6M, Net Income -$2.4M, EPS $-0.11. Year 2023: Revenue $120.6M, Net Income $396.0K, EPS $0.02. Year 2024: Revenue $120.6M, Net Income -$23.2M, EPS $-1.00. Year 2025: Revenue $109.6M, Net Income -$11.9M, EPS $-0.51.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CEVA INC's revenue has declined by 11% over the 5-year period, indicating business contraction. The most recent EPS of $-0.51 indicates the company is currently unprofitable.

CEVA 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
-5.7%
Free cash flow / Revenue

CEVA Quarterly Performance

Quarterly financial performance data for CEVA INC including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $27.2M -$1.3M $-0.06
Q2 2025 $25.7M -$291.0K $-0.01
Q1 2025 $22.1M -$3.3M $-0.14
Q3 2024 $24.1M -$1.3M $-0.06
Q2 2024 $22.9M -$291.0K $-0.01
Q1 2024 $22.1M -$4.9M $-0.21
Q3 2023 $24.1M -$5.0M $-0.21
Q2 2023 $26.2M -$1.1M $-0.05

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

CEVA Capital Allocation

Operating Cash Flow
-$3.4M
Cash generated from operations
Stock Buybacks
$7.2M
Shares repurchased (TTM)
Capital Expenditures
$2.9M
Investment in assets
Dividends
None
No dividend program

CEVA SEC Filings

Access official SEC EDGAR filings for CEVA INC (CIK: 0001173489)

📋 Recent SEC Filings

Date Form Document Action
Feb 27, 2026 10-K ceva20251231_10k.htm View →
Feb 23, 2026 4 xslF345X05/rdgdoc.xml View →
Feb 23, 2026 4 xslF345X05/rdgdoc.xml View →
Feb 23, 2026 4 xslF345X05/rdgdoc.xml View →
Feb 23, 2026 4 xslF345X05/rdgdoc.xml View →

Frequently Asked Questions about CEVA

What is the AI rating for CEVA?

CEVA INC (CEVA) has an AI rating of SELL with 78% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CEVA's key strengths?

Exceptional gross margin of 87.1% demonstrates strong pricing power and product value proposition. Fortress balance sheet with zero debt and current ratio of 9.93x provides substantial liquidity cushion.

What are the risks of investing in CEVA?

Operating losses of -11.3M and negative operating margin of -10.4% indicate unsustainable cost structure relative to revenue. Negative free cash flow of -6.3M with -5.7% FCF margin means cash burn despite positive gross profit.

What is CEVA's revenue and growth?

CEVA INC reported revenue of $109.6M.

Does CEVA pay dividends?

CEVA INC does not currently pay dividends.

Where can I find CEVA SEC filings?

Official SEC filings for CEVA INC (CIK: 0001173489) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CEVA's EPS?

CEVA INC has a diluted EPS of $-0.44.

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 22, 2026 | Data as of: 2025-12-31 | Powered by Claude AI