Aware Inc. Common Stock (AWRE)

FairStock Score: 33/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable businesses that earn real profits and can be bought at a discount to intrinsic value. Aware is not that today. It sells biometric identity software to governments and commercial customers, a niche that can be sticky once installed, but the financial record shows no earnings power. In fiscal 2025, the year ended 2025-12-31, revenue was $17.3M and net income was -$5.9M, or diluted EPS -$0.28. In fiscal 2024, the year ended 2024-12-31, revenue was $17.4M and net income was -$4.4M, or diluted EPS -$0.21. In fiscal 2023, the year ended 2023-12-31, revenue was $18.2M and net income was -$7.3M, or diluted EPS -$0.35. Losses continue: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $3.3M and net income was -$2.6M. The FairStock-calculated P/E is -2.40, P/B is 1.01, ROE is -35.03%, ROCE is -16.87%, and trailing free cash flow is -$5.3M. The Piotroski F-Score of 1/9 and Altman Z-Score of -1.75 suggest a fragile financial position. On the positive side, debt is modest with D/E of 0.18, and at the 2026-10-13 close of $0.96 the stock trades near book value. The computed Lynch category is none because it lost money in each of the last four years. Without profits or positive cash flow, a low price is not a margin of safety. This is a speculator's option on a turnaround, not a Graham bargain.

In plain English: Aware makes biometric identity software used by government agencies and companies. The business looks weak: it has lost money for years, sales have slipped, and it burns cash. At 96 cents a share, as of the 2026-10-13 close, the price looks fair at best, because there are no profits to support it, even though it trades close to the value of its net assets.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer