Zapata Quantum, Inc. (ZPTA) Stock: Price, Forecast & Analyst Target

Zapata Quantum, Inc. (ZPTA) Technology Profile & Competitive Position

Zapata Quantum, Inc., founded in 2017, is a generative AI company providing data science and engineering techniques for industrial applications. With a market capitalization of $95.9M, the company operates in the software infrastructure sector, focusing on advanced computational solutions, and trades on the OTC market.

What Is the Investment Thesis for ZPTA?

Zapata Quantum, Inc. presents a unique investment opportunity within the generative AI sector. The company's focus on providing data science and engineering techniques for industrial-scale solutions positions it to capitalize on the growing demand for AI-driven applications. With a market capitalization of $95.9M and a P/E ratio of 12.49, the company's valuation reflects its growth potential in a rapidly expanding market. Key value drivers include the increasing adoption of AI across various industries and the company's ability to deliver customized, scalable solutions. Growth catalysts include potential partnerships, expansion into new markets, and advancements in generative AI technology. However, investors should be aware of potential risks such as competition from larger, more established players and the inherent volatility of the OTC market. The company's beta of -3.23 indicates a low correlation with the overall market, which could offer diversification benefits but also reflects its unique risk profile.

Based on FMP financials and quantitative analysis

ZPTA Key Highlights

Market capitalization of $95.9M indicates a small-cap company with potential for high growth.

• P/E ratio of 12.49 suggests investors are paying a premium for the company's earnings, reflecting expectations of future growth.
• Beta of -3.23 indicates a low correlation with the overall market, potentially offering diversification benefits.
• Focus on generative AI positions the company in a high-growth sector with increasing demand for AI-driven solutions.
• Founded in 2017, the company has established a presence in the generative AI landscape, providing data science and engineering techniques for industrial-scale problems.

Who Are ZPTA's Competitors?

ZPTA 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 ZPTA's Key Strengths?

Specialized expertise in generative AI.

• Customized solutions tailored to specific industry needs.
• Strong founding team with expertise in AI and data science.
• Scalable and adaptable technology.

What Are ZPTA's Weaknesses?

Small market capitalization.

• Limited financial resources compared to larger competitors.
• Reliance on project-based engagements for revenue.
• OTC market trading can lead to volatility.

What Could Drive ZPTA Stock Higher?

Potential partnerships with established companies in complementary sectors.

• Increasing adoption of AI-driven solutions across various industries.
• Development of proprietary AI tools and platforms.
• Expansion into new geographic markets.
• Continuous improvements in AI security and ethical considerations.

What Are the Key Risks for ZPTA?

Financial-distress signal — its Altman Z-Score of -8.84 sits in the distress zone (elevated bankruptcy risk).

• Negative return on equity (-55.7%) — the business is not currently generating profit on shareholder capital.
• Competition from larger, more established players in the AI sector.
• Rapid technological advancements rendering existing solutions obsolete.
• Economic downturns affecting client spending on AI initiatives.
• Limited financial resources compared to larger competitors.
• OTC market trading can lead to volatility.

What Are the Growth Opportunities for ZPTA?

• Expansion into New Industries: Zapata Quantum has the opportunity to expand its services into new industries beyond its current focus. The global AI market is expanding across sectors such as healthcare, finance, and manufacturing, each presenting unique challenges and opportunities for AI-driven solutions. By tailoring its data science and engineering techniques to these new sectors, Zapata Quantum can significantly increase its market reach and revenue streams. The timeline for this expansion is ongoing, with potential partnerships and pilot projects driving initial growth.
• Development of Proprietary AI Tools: Investing in the development of proprietary AI tools and platforms can provide Zapata Quantum with a significant competitive advantage. By creating unique solutions that address specific industry needs, the company can attract new clients and retain existing ones. This includes developing advanced algorithms, machine learning models, and data analytics platforms. The timeline for developing these tools is estimated at 1-2 years, with ongoing updates and improvements to maintain a technological edge.
• Strategic Partnerships and Acquisitions: Forming strategic partnerships with established companies in complementary sectors can accelerate Zapata Quantum's growth. Collaborating with firms that have existing market access and customer relationships can provide a faster route to market for Zapata Quantum's solutions. Additionally, acquiring smaller AI startups with specialized expertise can enhance the company's capabilities and expand its product offerings. The timeline for partnerships and acquisitions is ongoing, with potential deals being evaluated based on strategic fit and financial viability.
• Geographic Expansion: Expanding its geographic presence beyond the United States can open up new markets and revenue opportunities for Zapata Quantum. The demand for AI-driven solutions is growing globally, particularly in regions with strong industrial sectors and technological infrastructure. By establishing a presence in key international markets, Zapata Quantum can tap into new customer bases and diversify its revenue streams. The timeline for geographic expansion is estimated at 2-3 years, with initial focus on regions with high growth potential.
• Focus on AI Security and Ethics: With increasing concerns about AI security and ethical implications, Zapata Quantum can differentiate itself by prioritizing these aspects in its solutions. Developing AI systems that are secure, transparent, and aligned with ethical principles can attract clients who value responsible AI development. This includes implementing robust security measures to protect against data breaches and ensuring that AI algorithms are fair and unbiased. The timeline for integrating AI security and ethics is ongoing, with continuous improvements and updates to address emerging challenges.

What Are ZPTA's Competitive Advantages?

• Specialized Expertise: Deep knowledge and experience in generative AI and data science.
• Customized Solutions: Ability to tailor solutions to specific industry needs.
• Scalable and Adaptable Technology: Solutions designed to grow with client needs.
• Strong Founding Team: Founded by experts in AI and related fields.

What Does ZPTA Do?

Zapata Quantum, Inc., established in 2017, is a generative AI company headquartered in Boston, MA. Founded by Christopher Savoie, Alan Aspuru-Guzik, Yudong Cao, Jonathan Olson, Peter Johnson, and Jonathan Romero-Fontalvo, the company specializes in providing data science and engineering techniques to develop solutions for industrial-scale problems. Zapata Quantum focuses on leveraging generative AI to create advanced computational tools and solutions. The company's core business revolves around offering data science and engineering services tailored to the unique needs of various industries. By applying these techniques, Zapata Quantum aims to help organizations optimize their operations, improve decision-making, and drive innovation. The company's solutions are designed to be scalable and adaptable, allowing clients to address complex challenges effectively. Zapata Quantum's strategic focus on generative AI positions it at the forefront of technological advancements, catering to the increasing demand for sophisticated AI-driven solutions across diverse sectors. The company's team of experts works closely with clients to understand their specific requirements and develop customized solutions that deliver tangible results. Zapata Quantum operates primarily in the United States, serving a range of industries seeking to harness the power of generative AI. The company's commitment to innovation and its focus on delivering practical, scalable solutions have established it as a key player in the generative AI landscape.

What Products and Services Does ZPTA Offer?

• Provides data science and engineering techniques for industrial-scale solutions.
• Develops generative AI solutions tailored to specific industry needs.
• Offers consulting services to help organizations optimize their operations using AI.
• Creates advanced computational tools and platforms.
• Applies machine learning models and algorithms to solve complex problems.
• Delivers scalable and adaptable AI solutions.
• Focuses on innovation in the generative AI landscape.

How Does ZPTA Make Money?

• Provides customized data science and engineering services to clients.
• Generates revenue through project-based engagements and consulting fees.
• Offers subscription-based access to proprietary AI tools and platforms.

What Industry Does ZPTA Operate In?

Zapata Quantum, Inc. operates within the rapidly evolving software infrastructure sector, specifically focusing on generative AI. The competitive landscape includes both established tech giants and emerging AI startups. Zapata Quantum differentiates itself by providing customized data science and engineering techniques for industrial-scale solutions. Competitors include CAUD, DSAIF, LCHD, PKKFF, and QGSI, each vying for market share in this dynamic sector.

Who Are ZPTA's Key Customers?

• Organizations in various industries seeking to optimize operations using AI.
• Companies looking to improve decision-making through data-driven insights.
• Businesses aiming to drive innovation with advanced computational tools.

Return on equity for Zapata Quantum, Inc. stands at -55.7%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 31.9%, showing how much profit it generates from its asset base. ZPTA trades at a trailing price-to-earnings ratio of 12.49, below the Technology sector average of ~34.40x. Its free cash flow yield is 0.2%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.56 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 4.5%, the inverse of the P/E and a quick read on earnings relative to price.

Zapata Quantum, Inc. (ZPTA) Valuation Context

Valued at $95.9M, ZPTA is classified as a micro-cap stock. Analyst price targets span from $2.00 to $2.00, with a consensus of $2.00. At the current price of $0.51, that implies approximately 291% upside potential.

Company Profile

Zapata Quantum, Inc. operates in the Technology sector. It is headquartered in Boston, US. The company is led by CEO Sumit Kapur. ZPTA has traded publicly since 2024.

Zapata Quantum, Inc.'s Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of -8.84 places it in the distress zone, a signal of elevated financial risk.

Zapata Quantum, Inc. has missed Wall Street's EPS estimate in 2 of its last 5 reported quarters — a mixed record worth weighing. Reported results have landed about 7.8% below estimates on average.

Wall Street analysts project Zapata Quantum, Inc. revenue of about $200K for fiscal 2026, with EPS near $-0.03.

12 transactions · 2 purchases, 0 sales, 10 other transactions · 5 identified insiders · most recent available transactions. Purchases and sales use the reported transaction category. Other transactions include awards, exercises, gifts, withholding and unclassified activity; an acquisition or disposition alone is not a purchase or sale. These records do not establish intent.

ZPTA Financials

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ZPTA Analyst Consensus

ZPTA MoonshotScore

What Investors Ask About Zapata Quantum, Inc. (ZPTA) — Technology

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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