Evolv Technologies Holdings, Inc. (EVLVW) Stock Analysis

Why this analysis is different

• A 9-signal quantitative MoonshotScore built from filings, insider activity, and market data — computed from the numbers, not from opinion.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Evolv Technologies Holdings, Inc. (EVLVW) Industrial Operations Profile

Evolv Technologies Holdings, Inc. leverages artificial intelligence to provide innovative touchless security screening solutions, setting itself apart in the security and protection services industry with advanced technology that enhances visitor experience and operational efficiency.

What Is the Investment Thesis for EVLVW?

Evolv Technologies Holdings, Inc. presents a compelling case for investment driven by its innovative product offerings and strong market demand. The company's gross margin stands at 49.9%, indicating effective cost management and potential for profitability as it scales operations. With a market cap of $1.02B, Evolv is positioned to capture a significant share of the growing security screening market, projected to expand as public safety concerns rise. Key growth catalysts include increasing adoption of AI technologies in security, the expansion of its product line, and potential partnerships with large venues and institutions. However, investors may want to evaluate the ongoing risk of competition and the company's current negative profit margin of -22.8%, which highlights the need for continued operational improvements and revenue growth.

Based on FMP financials and quantitative analysis

EVLVW Key Highlights

• Market cap of $1.02B reflects early-stage growth potential.
• Gross margin of 49.9% indicates strong product profitability.
• Negative profit margin of -22.8% highlights current operational challenges.
• Beta of 1.82 suggests higher volatility compared to the market.
• No dividend yield as the company focuses on reinvestment for growth.

Who Are EVLVW's Competitors?

EVLVW is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are EVLVW's Key Strengths?

• Innovative product offerings that leverage AI technology.
• Strong gross margins indicating effective cost management.
• Established presence in the growing security screening market.

What Are EVLVW's Weaknesses?

• Negative profit margin indicating current operational challenges.
• Limited market capitalization may restrict growth potential.
• Dependence on a few key products for revenue generation.

What Could Drive EVLVW Stock Higher?

• Potential partnerships with major venues expected to be announced in Q3 2026.
• Continuous product development and enhancements to AI algorithms.
• Expansion into new markets with a focus on international growth.

What Are the Key Risks for EVLVW?

• Negative return on equity (-33.5%) — the business is not currently generating profit on shareholder capital.
• Insider selling — insiders were net sellers of roughly $1.3M recently.
• Increased competition from established security technology providers.
• Economic uncertainty may affect customer spending on security solutions.
• Dependence on a limited product line for revenue generation.

What Are the Growth Opportunities for EVLVW?

• Growth opportunity 1: The global market for security screening solutions is projected to reach $10 billion by 2028, driven by increasing security concerns and the need for efficient screening processes. Evolv's AI-based systems provide a competitive advantage by offering faster and more effective screening without compromising safety, positioning the company to capture a significant share of this expanding market.
• Growth opportunity 2: Evolv Technologies can leverage strategic partnerships with large venues, such as stadiums and airports, to implement its touchless security solutions. These partnerships can lead to increased adoption rates, as organizations seek to enhance visitor experiences while ensuring safety. The timeline for these partnerships could align with upcoming major events, further driving demand for Evolv's products.
• Growth opportunity 3: The ongoing development of AI technologies presents an opportunity for Evolv to enhance its product offerings. By continuously improving its algorithms and detection capabilities, the company can stay ahead of competitors and meet evolving security needs. This focus on innovation can lead to increased market share and customer loyalty over the next few years.
• Growth opportunity 4: As public venues and institutions prioritize health and safety, the demand for touchless solutions is expected to grow. Evolv's products align with this trend, providing a unique selling proposition that can attract new customers. The company could see significant growth in sectors such as healthcare and education, where safety is paramount.
• Growth opportunity 5: The expansion into international markets presents a significant growth avenue for Evolv Technologies. As global security concerns rise, the company can introduce its innovative solutions to new regions, diversifying its revenue streams and reducing dependence on the North American market.

What Opportunities Does EVLVW Have?

• Expanding global market for security screening solutions.
• Potential partnerships with large venues to drive sales.
• Growing demand for touchless solutions post-COVID-19.

What Threats Does EVLVW Face?

• Intense competition from established security technology firms.
• Rapid technological advancements may outpace current offerings.
• Economic downturns could impact spending on security solutions.

What Are EVLVW's Competitive Advantages?

• Innovative AI technology that differentiates products from traditional screening methods.
• Strong focus on customer experience, reducing wait times and improving safety.
• Established brand reputation in the security technology sector.

What Does EVLVW Do?

Evolv Technologies Holdings, Inc. was founded with the vision of transforming the security screening process through cutting-edge technology. Based in Waltham, Massachusetts, the company has developed a suite of AI-driven products designed to streamline security procedures while maintaining high levels of safety. Its flagship product, Evolv Express, allows for the detection of firearms, improvised explosive devices, and tactical knives as individuals walk through security checkpoints at normal speeds, significantly reducing wait times and enhancing the visitor experience. Additionally, Evolv Insights provides data analytics on visitor flow and system performance, enabling organizations to optimize their security operations. Evolv Edge further enhances security capabilities by detecting non-metallic explosive devices without requiring visitors to divest their belongings. As a pioneer in the touchless security screening market, Evolv Technologies is positioned to capitalize on the growing demand for efficient and effective security solutions across various sectors, including transportation, entertainment, and public venues.

What Products and Services Does EVLVW Offer?

• Develops AI-based touchless security screening systems.
• Offers Evolv Express for real-time detection of weapons and explosives.
• Provides Evolv Insights for data analytics on visitor flow and system performance.
• Creates Evolv Edge to detect non-metallic threats without requiring divestment.
• Focuses on enhancing visitor experience while ensuring safety.
• Targets various sectors including transportation, entertainment, and public venues.

How Does EVLVW Make Money?

• Generates revenue through the sale of security screening systems and software.
• Provides ongoing support and maintenance services for its products.
• Offers data analytics solutions that enhance operational efficiency.
• Targets large venues and institutions for scalable security solutions.

What Industry Does EVLVW Operate In?

The security and protection services industry is undergoing significant transformation, driven by advancements in technology and increasing safety concerns worldwide. The market for security screening solutions is expected to grow as organizations seek to enhance safety protocols while improving visitor experiences. Evolv Technologies is well-positioned within this landscape, offering innovative solutions that cater to the needs of various sectors, including transportation, entertainment, and public safety. The demand for touchless security solutions is on the rise, particularly in the wake of the COVID-19 pandemic, which has heightened awareness of health and safety protocols.

Who Are EVLVW's Key Customers?

• Large public venues such as stadiums and arenas.
• Transportation hubs including airports and train stations.
• Educational institutions focused on campus safety.
• Corporate clients seeking enhanced security measures.

EVLVW Valuation & Market Position

With a $1.02B market cap, Evolv Technologies Holdings, Inc. sits in the small-cap segment of the market. Relative to its peer group, EVLVW's quantitative score of 49/100 is below the peer average of 68/100.

FY2026 estForward Outlook

Wall Street analysts project Evolv Technologies Holdings, Inc. revenue of about $177.2M for fiscal 2026, with EPS near $-0.09. The estimate reflects 4 contributing analysts.

F-Score 4/9Financial Health

Evolv Technologies Holdings, Inc.'s Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.88 places it in the grey zone, a middle ground that warrants monitoring.

ROE -34%Key Financial Metrics

Return on equity for Evolv Technologies Holdings, Inc. stands at -33.5%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -12.0%, showing how much profit it generates from its asset base. Its free cash flow yield is -1.3%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.21 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -3.6%, the inverse of the P/E and a quick read on earnings relative to price.

Net buyingInsider Activity

Over the past six months, Evolv Technologies Holdings, Inc. insiders filed 30 SEC Form 4 transactions — 13 sales and 17 purchases. On net that is roughly 38K shares acquired (about $1.3M) — insiders putting money in tends to read as conviction.

EVLVW Financials

EVLVW Latest News

EVLVW Analyst Consensus

EVLVW MoonshotScore

Common Questions About EVLVW (Industrials)

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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