📊 WRAP Key Takeaways
Is Wrap Technologies, Inc.. (WRAP) a Good Investment?
WRAP Technologies exhibits a critical mismatch between its healthy gross margin (57.8%) and severe operating losses, burning $10.4M annually on just $4.7M in revenue. With only $3.5M cash remaining and negative operating cash flow, the company faces imminent liquidity challenges without dramatic revenue acceleration or expense restructuring, indicating fundamental business sustainability concerns.
Why Buy Wrap Technologies, Inc.. Stock? WRAP Key Strengths
- Healthy gross margin of 57.8% indicates viable product-market fit
- Strong balance sheet with zero long-term debt and low leverage
- Positive revenue growth of 3.7% YoY demonstrates market traction
WRAP Stock Risks: Wrap Technologies, Inc.. Investment Risks
- Cash burn rate of $10.4M annually is 222% of current revenue, creating urgent liquidity crisis
- Operating expenses far exceed revenue, resulting in -288.6% operating margin unsustainable long-term
- Cash runway of approximately 4 months at current burn rate without immediate profitability or capital infusion
- Net loss of $10.3M reduces stockholders' equity and threatens solvency
- Minimal revenue base of $4.7M limits scalability and market presence
Key Metrics to Watch
- Monthly cash burn rate and remaining cash runway
- Quarterly revenue growth rate and customer concentration
- Operating expense reductions and path to operating cash flow positivity
- Gross margin sustainability during scaling phase
Wrap Technologies, Inc.. (WRAP) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 6.29x current ratio provides a solid financial cushion.
WRAP Profit Margin, ROE & Profitability Analysis
WRAP vs Market Sector: How Wrap Technologies, Inc.. Compares
How Wrap Technologies, Inc.. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Wrap Technologies, Inc.. Stock Overvalued? WRAP Valuation Analysis 2026
Based on fundamental analysis, Wrap Technologies, Inc.. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Wrap Technologies, Inc.. Balance Sheet: WRAP Debt, Cash & Liquidity
WRAP Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Wrap Technologies, Inc..'s revenue has declined by 28% over the 5-year period, indicating business contraction. The most recent EPS of $-0.16 indicates the company is currently unprofitable.
WRAP Revenue Growth, EPS Growth & YoY Performance
WRAP Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2025 | $197.0K | -$268.0K | $-0.02 |
| Q1 2025 | $353.0K | $109.0K | N/A |
| Q3 2024 | $434.0K | $1.7M | N/A |
| Q2 2024 | $1.0M | -$268.0K | N/A |
| Q1 2024 | $616.0K | $117.0K | N/A |
| Q3 2023 | $1.6M | -$2.8M | N/A |
| Q2 2023 | $969.0K | -$4.8M | N/A |
| Q1 2023 | $616.0K | -$4.0M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Wrap Technologies, Inc.. Dividends, Buybacks & Capital Allocation
WRAP SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Wrap Technologies, Inc.. (CIK: 0001702924)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WRAP
What is the AI rating for WRAP?
Wrap Technologies, Inc.. (WRAP) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WRAP's key strengths?
Claude: Healthy gross margin of 57.8% indicates viable product-market fit. Strong balance sheet with zero long-term debt and low leverage.
What are the risks of investing in WRAP?
Claude: Cash burn rate of $10.4M annually is 222% of current revenue, creating urgent liquidity crisis. Operating expenses far exceed revenue, resulting in -288.6% operating margin unsustainable long-term.
What is WRAP's revenue and growth?
Wrap Technologies, Inc.. reported revenue of $4.7M.
Does WRAP pay dividends?
Wrap Technologies, Inc.. does not currently pay dividends.
Where can I find WRAP SEC filings?
Official SEC filings for Wrap Technologies, Inc.. (CIK: 0001702924) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WRAP's EPS?
Wrap Technologies, Inc.. has a diluted EPS of $-0.22.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is WRAP a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Wrap Technologies, Inc.. has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is WRAP stock overvalued or undervalued?
Valuation metrics for WRAP: ROE of -89.9% (sector avg: 15%), net margin of -221.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy WRAP stock in 2026?
Our dual AI analysis gives Wrap Technologies, Inc.. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WRAP's free cash flow?
Wrap Technologies, Inc..'s operating cash flow is $-10.3M, with capital expenditures of $100.0K. FCF margin is -222.4%.
How does WRAP compare to other Market stocks?
Vs Default sector averages: Net margin -221.2% (avg: 12%), ROE -89.9% (avg: 15%), current ratio 6.29 (avg: 1.8).