Polar Power Inc. Common Stock (POLA)

FairStock Score: 33/100 — RISKY

Key Financials

AI Analysis

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

I look for businesses with durable earnings, honest accounting, and a balance sheet that can survive mistakes. Polar Power does not fit that mold. It designs and sells DC power generators and related renewable and cooling systems, but the numbers show a struggling microcap. Revenue fell from $15.3M in fiscal 2023 (period ended 2023-12-31) to $14.0M in fiscal 2024 (period ended 2024-12-31) and then to $6.3M in fiscal 2025 (period ended 2025-12-31). Net losses were $6.5M, $4.7M, and $9.1M in those same years. In the latest reported quarter, fiscal Q2 2026 (the quarter ended 2026-06-30), revenue was $1.0M and net loss was $1.8M, worse than fiscal Q2 2025 (the quarter ended 2025-06-30), when revenue was $2.7M and net loss was $271,000. A business shrinking this fast while losing money has no visible moat, and scale is tiny with 67 employees. At the 2026-10-13 close of $1.10, FairStock calculates a negative P/E of -0.31, P/B of 4.78, ROE of -245.02%, ROCE of -39.27%, and FCF yield of -53.0%. Free cash flow was -$2.2M over the trailing twelve months. Debt-to-equity is 4.60, and FairStock's Altman Z-Score is -5.78, a sign of financial distress. The Piotroski F-Score is 4/9. The stock trades near its 52-week low of $1.03, but a low price is not value if losses persist. The Lynch category is none because it lost money in each of the last four years. Without a path to positive earnings and cash flow, there is no margin of safety by my standards.

In plain English: Polar Power makes direct current power generators and related renewable and cooling systems. The business looks weak: sales have dropped sharply and it has been losing money. At $1.10 a share, the price does not look cheap compared with a money-losing company of this size.

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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