Recommendation: Buy
| Entry Date | Symbol | Recommendation | Entry Price (USD) | Target 1 (USD) | Target 2 (USD) | Holding Duration | Position Status | Return(%)* |
|---|---|---|---|---|---|---|---|---|
| 17 Sep, 25 | GRRR | Buy | USD 20.37 | USD 21.5 | USD 23.0 | 13 days | Closed |
10.54%
|
*Return(%) represent the percentage change between the entry price and exit price of the recommendation.
Data Powered by EOD Historical Data (“EODHD”).
Gorilla Technology Group Inc. provides solutions in security, network, business intelligence, and Internet of Things (IoT) technology in the Asia Pacific region, the Americas, Cayman Islands, and internationally. The company operates through three segments: Video IoT, Security Convergence, and Other segments. It offers intelligent video analytics AI models for various verticals, such as behavioral analytics, people/face recognition, vehicle analysis, object recognition, and business intelligence that can scan video for patterns and distinguish specific items using AI algorithms and metadata. The company provides IT-OT security convergence AI algorithms for system administrators and security engineers to detect suspicious behaviors in real time; network anomaly detection AI models; and endpoint malware and suspicious behavior detection AI models. In addition, it offers intelligent video analytics (IVA) appliances to analyze and turn unstructured video and picture data into structured data; IVAR appliance that provides insight into business and operations in a statistics dashboard; smart attendance to track employee health and safety, work hours, clock-ins/outs, and absenteeism, as well as to protect company assets and intellectual properties; event and video management system appliances to store event/object attributes in temporal-spatial big data database from Gorilla; and operation technology security appliance to monitor and control physical devices, processes, and infrastructure, as well as to protect industrial systems and networks from various threats. Further, the company provides smart retail SaaS for shopper demographics, visualized shopper behavior, and advanced data analytics, smart city and transportation SaaS for traffic management, public safety, and planning data; and endpoint security SaaS that protects endpoints against security threats. Gorilla Technology Group Inc. is headquartered in London, the United Kingdom.
Debt Reduction: Total debt declined by USD 3.3 million, from USD 21.4 million at year-end 2024 to USD 18.1 million in H1FY25
Revenue Growth: Revenue surged 90.2% YoY to USD 39.3 million (H1FY25) from USD 20.7 million (H1FY24)
Gross Margin Compression: Gross profit declined to USD 13.4 million (H1FY25) from USD 17.7 million (H1FY24), despite higher revenue, reflecting elevated costs
Profitability Deterioration: Net income turned from a profit of USD 1.6 million (H1FY24) to a loss of USD 8.5 million (H1FY25)
Gorilla’s heavy reliance on large contracts in volatile markets such as Egypt exposes it to currency devaluation risks and concentrated customer dependency, which could significantly impact profitability and cash flow
| Entry Price | Support* | Target 1** | Target 2** |
|---|---|---|---|
| 20.37 | 18.5 | 21.5 | 23.0 |
Data Source: REFINITIV, Analysis: StockNextt
*Support can be considered as an indicative stop-loss, and if prices move below that level on closing basis individuals may evaluate exiting the position depending on their risk appetite, previous holdings, and other factors considered. The support and resistance levels may need to be re-evaluated within 4-6 weeks’ time frame depending on the stock price movements from the date of recommendation on the stock.
**Target prices may vary by ±0.5% depending on market volatility.
Strong Revenue Momentum: Gorilla Technology Group Inc. delivered H1 2025 revenue of USD 39.3 million, representing a robust year-over-year increase of 90.2% compared to USD 20.7 million in H1 2024. This performance reflects the company’s ability to execute across key global contracts and reinforces its leadership position in AI-driven security, intelligence, and IoT solutions.
Liquidity Strength and Capital Raising: At the close of H1 2025, Gorilla reported USD 26.1 million in cash. Following the half-year period, the company successfully completed a USD 105 million equity offering, significantly enhancing its liquidity profile. Additionally, a major payment from its largest customer in Egypt further reinforced its cash position, providing ample flexibility to fund expansion and future projects.
Disciplined Debt Reduction: The company continued to improve its capital structure, reducing debt to USD 18.1 million in H1 2025 from USD 21.4 million at the end of 2024 and USD 18.4 million at the end of Q1 2025. This steady repayment underscores Gorilla’s focus on financial discipline, unlocking pledged deposits, and improving balance sheet resilience.
Profitability and Operating Challenges: Despite strong revenue growth, Gorilla reported an IFRS operating loss of USD 9.1 million and a net loss of USD 8.5 million for H1 2025, compared with a net profit of USD 1.6 million in H1 2024. However, on a non-IFRS basis, Adjusted EBITDA and Adjusted Net Income stood at USD 5.7 million, excluding the adverse impact of currency devaluation and fair value remeasurements. This indicates that underlying profitability remains intact when adjusted for non-cash accounting factors.
Earnings Per Share and Shareholder Returns: The company reported a loss per share of USD 0.43 under IFRS, compared with earnings per share of USD 0.17 in H1 2024. On an adjusted basis, Gorilla posted EPS of USD 0.29, reflecting scalable operations and profitability potential when normalized for external currency-related pressures.
Expansion Through Strategic Contracts: During H1 2025, Gorilla secured new projects with Wan Hai Port and ADE Corporation in Taiwan, as well as the Port of Tyne in the United Kingdom. These contracts highlight the company’s growing global presence and ability to deliver AI-driven security and intelligence solutions across critical infrastructure and financial crime analysis. The company’s active pipeline has now surpassed USD 5 billion, signaling long-term growth visibility.
Long-term Growth Outlook: Management emphasized a continued focus on disciplined execution, expanding its footprint across Southeast Asia, the Middle East, and Europe. With a strengthened liquidity base, growing contract wins, and scalable AI-driven solutions, Gorilla positions itself as a key player in global digital transformation initiatives.
Considering recent key business, financial updates, current trading levels, and key business risks, a ‘Buy’ recommendation has been given on Gorilla Technology Group Inc. (NASDAQ: GRRR) at the current market price of USD 20.37, as on September 17, 2025 at 11:50 am PDT.
Data Powered by EOD Historical Data (“EODHD”).
Sector: Technology Industry: Software - Infrastructure
| Company | Change (USD) | Price (USD) | Trailing PE (x) | Forward PE (x) | Price Sales TTM (x) | Price to Book Value (x) | Enterprise Value to Revenue (x) | Enterprise Value to EBITDA (x) |
|---|---|---|---|---|---|---|---|---|
| GRRR Gorilla Technology Group Inc. |
-0.16 1.34% | 11.74 | 0.33 | 29.07 | 0.78 | 0.80 | 0.76 | 1.96 |
| MSFT Microsoft Corporation |
7.79 1.64% | 483.92 | 37.32 | 29.94 | 13.03 | 12.45 | 13.06 | 24.59 |
| ORCL Oracle Corporation |
0.36 0.20% | 178.82 | 29.34 | 18.66 | 5.55 | 74.06 | 7.10 | 18.13 |
| ADBE Adobe Systems Incorporated |
0.13 0.04% | 354.79 | 46.32 | 26.81 | 11.51 | 16.73 | 11.55 | 31.20 |
| PANW Palo Alto Networks Inc |
1.11 0.61% | 184.55 | 44.57 | 45.05 | 11.98 | 20.70 | 11.82 | 77.11 |
Data Powered by EOD Historical Data (“EODHD”).
Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.
Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is September 17,2025. The reference data in this report has been partly sourced from REFINITIV.
Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Target: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Target 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Target 2 may act as the crucial resistance level for the stock.
Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.
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