urban-gro, Inc. — Cyborg Score 4/10

Mixed
Controlled Environment Agriculture (CEA) Design-Build & Professional Services

Strategic Profile

The company engages in designing, engineering, building, and integrating complex environmental equipment systems for indoor CEA cultivation and retail facilities in the United States, Canada, and Europe, providing architectural design, engineering, and construction services. Urban-gro provides integrated equipment systems solutions including HVAC, environmental controls, and fertigation systems, along with value-added reselling of cultivation equipment and strategic vendor relationships.

Cyborg Score Rationale

Urban-gro operates in a growing CEA market with diversified customer base, but faces profitability challenges. 2023 revenue was $71.54 million with a 6.73% increase, but losses were $18.68 million, 22.3% more than 2022. Stock performance has underperformed broader market indices, indicating investor skepticism about growth trajectory.

Top Insights

  • Customer base includes cannabis and produce market operators, as well as food and beverage, healthcare, higher education, and hospitality sectors
  • Company offers grocare crop and asset protection services, including training, equipment maintenance, and asset protection programs
  • Founded in 2014, based in Lafayette, Colorado, and does not currently pay a dividend
  • Stock volatility (21% weekly) is higher than 75% of US stocks, indicating elevated investment risk

Named Competitors

  • Equipment & Systems — CEA equipment supplier and systems provider
  • Equipment & Protection Services — Crop and asset protection solutions

Recent Developments

  • (March 2024) Approximately 80 employees across 3 continents with expanding international presence
  • (2023) Revenue growth of 6.73% year-over-year to $71.54 million despite loss expansion
  • (December 2023) Last recorded funding round of $10 million

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