Merlin (MRLN) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Merlin

NasdaqGM•Industrials•Aerospace & Defense

$3.35-0.01(<0.01%)Market closed

Market Cap

$188.10M

P/S

58.9x

Merlin, Inc., an aerospace and defense technology company, develops AI-powered autonomous flight software and systems for aircraft in the United States and New Zealand. The company provides an aircraft-agnostic, AI-powered software platform that enables autonomous flight for both legacy and next-generation airborne systems. Its main product, the Merlin Pilot, is an integrated hardware and software solution that manages navigation, communication with air traffic control, obstacle avoidance, and real-time decision-making using sensor technologies and natural language processing. The company supports both military and civil aviation programs, offering solutions for missions such as cargo transport and national security operations. It collaborates with partners and regulatory bodies to conduct flight trials and support the certification of autonomous flight systems. The company serves defense organizations, commercial aviation clients, government agencies, regulators, and air cargo operators. The company was founded in 2018 and is based in Boston, Massachusetts.

How this company scores

WeakMetricSide Score: 32/100

Grade capped at D — Negative equity — the balance sheet is insolvent. Strongest: Balance Sheet & Red Flags (15/25); weakest: Cash & Earnings Quality (0/25).

Profitability11/25

Growth6/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality0/25

Strengths

Long cash runwayInterest easily coveredNet cash positionImproving margins

Grade capped at D

Negative equity — the balance sheet is insolvent.

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 47.6x5y range 40.8x – 47.6x

P/S · 58.9x5y range 58.9x – 578.2x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Red Flag

Free cash flow has been negative in 7 of the last 8 quarters — earnings are not translating to cash.

Price & Volume

Market Cap $188.10M

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $3.20M
Q. Revenue: $2.19M
TTM EBITDA: $-62.68M
TTM Op. Income: $-63.81M
Q. Op. Income: $-33.54M
TTM Net Income: $-147.56M
Q. Net Income: $-58.43M
EPS: $-1.4
Shares Out.: $91.31M

$3.20M in TTM revenue grew from zero YoY, reaching $2.19M last quarter. TTM EBITDA of $-62.68M and TTM operating income of $-63.81M show growth is flowing through to the bottom line. However, net income is negative at $147.56M — growth is not yet reaching the bottom line. Across the last 8 quarters, TTM revenue has risen for 2 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: -5.4%
EBITDA Margin: -1496.1%
Op. Margin: -1528.6%
Net Margin: -2663.0%

Op. margin of -1528.6% is up 35775671.4% YoY — cost efficiency is improving. Net margin at -2663.0% and gross margin of -5.4% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has risen for 3 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: N/A
P/S Ratio: 58.9x
P/B Ratio: N/A

P/S of 58.9x and P/B of 0.0x. P/S is high, meaning growth expectations are priced in. Over the past year, P/E is up 0% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $206.98M
Cash: $183.55M
Long-Term Debt: N/A
Book Value: $-99.93M
D/E Ratio: N/A
Debt/EBITDA: N/A

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $-27.25M
TTM Free Cash Flow: $-55.69M
FCF Margin: -1742.5%
FCF / Net Income: 0.4

TTM FCF of $-55.69M on $-27.25M in operating cash flow. The FCF / Net Income ratio of 0.4x means cash covers only part of net income — earnings quality needs attention. Across the last 8 quarters, free cash flow has fallen for 2 consecutive quarters — a weakening trend.