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Neonode Inc (NEON)



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Upturn Advisory Summary
08/14/2025: NEON (2-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $16.5
1 Year Target Price $16.5
1 | Strong Buy |
0 | Buy |
0 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit 257.36% | Avg. Invested days 35 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Small-Cap Stock | Market Capitalization 361.84M USD | Price to earnings Ratio - | 1Y Target Price 16.5 |
Price to earnings Ratio - | 1Y Target Price 16.5 | ||
Volume (30-day avg) 1 | Beta 0.77 | 52 Weeks Range 2.56 - 29.90 | Updated Date 08/15/2025 |
52 Weeks Range 2.56 - 29.90 | Updated Date 08/15/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -0.38 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date 2025-08-13 | When - | Estimate -0.08 | Actual -0.12 |
Profitability
Profit Margin -241.38% | Operating Margin (TTM) -352.25% |
Management Effectiveness
Return on Assets (TTM) -28.71% | Return on Equity (TTM) -48.25% |
Valuation
Trailing PE - | Forward PE - | Enterprise Value 349086798 | Price to Sales(TTM) 138.9 |
Enterprise Value 349086798 | Price to Sales(TTM) 138.9 | ||
Enterprise Value to Revenue 134.01 | Enterprise Value to EBITDA -0.62 | Shares Outstanding 16782900 | Shares Floating 13052582 |
Shares Outstanding 16782900 | Shares Floating 13052582 | ||
Percent Insiders 29.75 | Percent Institutions 12.29 |
Upturn AI SWOT
Neonode Inc

Company Overview
History and Background
Neonode Inc. was founded in 2001 in Sweden. Initially focused on optical touch technology, it pioneered the zForce technology. The company evolved from developing touch solutions for e-readers and other devices to licensing its technology for various applications, including automotive, medical, and industrial sectors.
Core Business Areas
- zForce Touch Technology Licensing: Licenses its zForce infrared touch and light detection technology to OEMs (Original Equipment Manufacturers) for integration into their products.
- HMI Solutions: Offers Human Machine Interface (HMI) solutions, primarily based on its zForce technology, targeting automotive and other markets.
Leadership and Structure
The leadership team includes Urban Forssell (CEO) and Maria Pfeiffer (CFO). Neonode has a relatively flat organizational structure focused on technology development and licensing.
Top Products and Market Share
Key Offerings
- zForce Touch Technology: zForce is Neonode's core technology, a contactless touch and gesture control solution. Market share data is not publicly available, but they compete with resistive, capacitive, and other infrared touch technologies. Competitors include Cypress Semiconductor (now Infineon), Microchip Technology, and various Asian manufacturers of touch panels. zForce is also used in laser based gesture control solutions for various use cases.
- HMI Products (e.g., Touch Steering Wheel): Offers reference designs and software for touch-based HMIs, particularly in the automotive sector. Revenue generated specifically from HMI products is not publicly disclosed. Competitors include Alps Alpine, Continental AG, and Visteon.
Market Dynamics
Industry Overview
The touch technology market is competitive and constantly evolving. Demand is driven by increased adoption of touch-enabled devices across various industries, including automotive, consumer electronics, and industrial automation. HMI development has continued to increase driven by the automation of various machines and devices
Positioning
Neonode is positioned as a technology licensor, focusing on providing its zForce technology to OEMs. Their competitive advantage lies in its contactless nature, low power consumption, and ability to work with various screen sizes and materials. The zForce technology also works well in challenging use cases such as automotive and construction equipment.
Total Addressable Market (TAM)
The TAM for touch and gesture control technologies is estimated to be in the billions of dollars globally. Neonode is positioned to capture a share of this market through its licensing model and focus on specific verticals.
Upturn SWOT Analysis
Strengths
- Proprietary zForce technology
- Low power consumption
- Contactless touch solution
- Flexibility in screen sizes and materials
- Strong IP portfolio
Weaknesses
- Limited direct sales and marketing resources
- Reliance on licensing revenue
- Small company size
- Profitability challenges
- Competition with established players
Opportunities
- Growing demand for touchless interfaces
- Expansion into new markets (e.g., medical, industrial)
- Partnerships with Tier 1 suppliers
- Integration with AI and machine learning
- Automotive market growth
Threats
- Competition from alternative touch technologies
- Economic downturn impacting OEM demand
- Intellectual property infringement
- Changes in industry standards
- Supply chain disruptions
Competitors and Market Share
Key Competitors
- MXL
- ON
- STM
- CY
- MCHP
Competitive Landscape
Neonode's advantages include its contactless technology and flexibility. Disadvantages include its smaller size and limited resources compared to larger, more established competitors.
Growth Trajectory and Initiatives
Historical Growth: Historical growth has been volatile, dependent on licensing agreements and market adoption of zForce technology. Growth has been steady since Q1 2022 as they moved into the automotive market.
Future Projections: Future growth is dependent on securing new licensing deals and expanding its presence in target markets. Analyst estimates vary based on market conditions and company performance.
Recent Initiatives: Recent initiatives include focusing on automotive HMI solutions, expanding its partner network, and investing in research and development for new applications of zForce technology.
Summary
Neonode is a technology company with a unique contactless touch solution, zForce. Its strength lies in its proprietary technology and diverse application potential. However, its small size and reliance on licensing pose challenges. The company needs to secure new licensing deals and manage competition effectively to achieve sustainable growth.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Neonode Inc. website
- Financial news articles
- Industry reports
- Analyst estimates (where available)
Disclaimers:
The data and analysis provided are for informational purposes only and should not be considered financial advice. Market conditions and company performance are subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Neonode Inc
Exchange NASDAQ | Headquaters - | ||
IPO Launch date 2007-08-13 | President & CEO Mr. Pierre Daniel Alexus | ||
Sector Technology | Industry Electronic Components | Full time employees 40 | Website https://neonode.com |
Full time employees 40 | Website https://neonode.com |
Neonode Inc., together with its subsidiaries, develops optical sensing solutions for contactless touch, touch, and gesture sensing in the United States, Japan, South Korea, Germany, Sweden, China, and internationally. It also offers software solutions for machine perception to detect and track persons and objects in video streams from cameras and other types of imagers. In addition, it licenses its zForce technology to original equipment manufacturers and automotive Tier 1 suppliers, as well as provides non-recurring engineering services related to application development. Further, the company provides machine perception solutions. It serves office equipment, automotive, industrial automation, medical, military, and avionics markets. Neonode Inc. was founded in 1997 and is headquartered in Stockholm, Sweden.

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