Aware (AWRE)
Market Price (6/3/2026): $1.465 | Market Cap: $31.6 MilSector: Information Technology | Industry: Technology Hardware, Storage & Peripherals
Aware (AWRE)
Market Price (6/3/2026): $1.465Market Cap: $31.6 MilSector: Information TechnologyIndustry: Technology Hardware, Storage & Peripherals
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -49% Megatrend and thematic driversMegatrends include Digital Identity, and Digital Transformation. Themes include Biometric Identity Management, and Digital Onboarding & Authentication. | Weak multi-year price returns2Y Excs Rtn is -65%, 3Y Excs Rtn is -89% | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -8.4 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -49% Weak revenue growthRev Chg QQuarterly Revenue Change % is -6.2% Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -30%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -31% Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -29% Key risksAWRE key risks include [1] volatile and declining revenues stemming from its dependence on large, Show more. |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -49% |
| Megatrend and thematic driversMegatrends include Digital Identity, and Digital Transformation. Themes include Biometric Identity Management, and Digital Onboarding & Authentication. |
| Weak multi-year price returns2Y Excs Rtn is -65%, 3Y Excs Rtn is -89% |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -8.4 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -49% |
| Weak revenue growthRev Chg QQuarterly Revenue Change % is -6.2% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -30%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -31% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -29% |
| Key risksAWRE key risks include [1] volatile and declining revenues stemming from its dependence on large, Show more. |
Qualitative Assessment
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Updated on 6/1/2026
Aware (AWRE) stock has lost about 10% since 2/28/2026 because of the following key factors:
1. Aware reported a significant deterioration in its financial performance for the first quarter of 2026, ending March 31, 2026.
Revenue declined by 5.6% year-over-year to $3.4 million from $3.6 million in Q1 2025, falling below internal expectations. The company's net loss widened considerably to $3.5 million, or $(0.16) per diluted share, compared to a net loss of $1.6 million, or $(0.08) per diluted share, in the prior year's quarter. This disappointing earnings report led to a sharp market reaction, with Aware's stock declining 20.55% on April 29, 2026, the day the results were published.
2. Operating expenses increased substantially due to restructuring costs, impacting profitability.
Operating expenses rose to $7.0 million in Q1 2026, an increase from $5.5 million in Q1 2025. This rise was primarily driven by approximately $0.7 million in one-time severance costs associated with restructuring efforts, as well as higher compensation expenses from hires made in 2025. While management announced plans to reduce annualized operating expenses by $4.0 million starting in Q2 2026, the immediate impact of increased costs contributed to the widened net loss in Q1.
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Aware (AWRE) stock has lost about 10% since 2/28/2026 because of the following key factors:
1. Aware reported a significant deterioration in its financial performance for the first quarter of 2026, ending March 31, 2026.
Revenue declined by 5.6% year-over-year to $3.4 million from $3.6 million in Q1 2025, falling below internal expectations. The company's net loss widened considerably to $3.5 million, or $(0.16) per diluted share, compared to a net loss of $1.6 million, or $(0.08) per diluted share, in the prior year's quarter. This disappointing earnings report led to a sharp market reaction, with Aware's stock declining 20.55% on April 29, 2026, the day the results were published.
2. Operating expenses increased substantially due to restructuring costs, impacting profitability.
Operating expenses rose to $7.0 million in Q1 2026, an increase from $5.5 million in Q1 2025. This rise was primarily driven by approximately $0.7 million in one-time severance costs associated with restructuring efforts, as well as higher compensation expenses from hires made in 2025. While management announced plans to reduce annualized operating expenses by $4.0 million starting in Q2 2026, the immediate impact of increased costs contributed to the widened net loss in Q1.
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Stock Movement Drivers
Fundamental Drivers
The -10.4% change in AWRE stock from 2/28/2026 to 6/2/2026 was primarily driven by a -6.8% change in the company's P/S Multiple.| (LTM values as of) | 2282026 | 6022026 | Change |
|---|---|---|---|
| Stock Price ($) | 1.64 | 1.47 | -10.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 17 | 17 | -2.0% |
| P/S Multiple | 2.0 | 1.9 | -6.8% |
| Shares Outstanding (Mil) | 21 | 22 | -1.8% |
| Cumulative Contribution | -10.4% |
Market Drivers
2/28/2026 to 6/2/2026| Return | Correlation | |
|---|---|---|
| AWRE | -10.4% | |
| Market (SPY) | 11.0% | -2.6% |
| Sector (XLK) | 43.0% | 7.2% |
Fundamental Drivers
The -31.9% change in AWRE stock from 11/30/2025 to 6/2/2026 was primarily driven by a -29.2% change in the company's P/S Multiple.| (LTM values as of) | 11302025 | 6022026 | Change |
|---|---|---|---|
| Stock Price ($) | 2.16 | 1.47 | -31.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 17 | 17 | -2.0% |
| P/S Multiple | 2.6 | 1.9 | -29.2% |
| Shares Outstanding (Mil) | 21 | 22 | -1.8% |
| Cumulative Contribution | -31.9% |
Market Drivers
11/30/2025 to 6/2/2026| Return | Correlation | |
|---|---|---|
| AWRE | -31.9% | |
| Market (SPY) | 11.8% | 4.6% |
| Sector (XLK) | 38.9% | 9.9% |
Fundamental Drivers
The -12.5% change in AWRE stock from 5/31/2025 to 6/2/2026 was primarily driven by a -13.7% change in the company's P/S Multiple.| (LTM values as of) | 5312025 | 6022026 | Change |
|---|---|---|---|
| Stock Price ($) | 1.68 | 1.47 | -12.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 17 | 17 | 3.0% |
| P/S Multiple | 2.2 | 1.9 | -13.7% |
| Shares Outstanding (Mil) | 21 | 22 | -1.5% |
| Cumulative Contribution | -12.5% |
Market Drivers
5/31/2025 to 6/2/2026| Return | Correlation | |
|---|---|---|
| AWRE | -12.5% | |
| Market (SPY) | 30.4% | 15.3% |
| Sector (XLK) | 72.7% | 15.0% |
Fundamental Drivers
The -7.0% change in AWRE stock from 5/31/2023 to 6/2/2026 was primarily driven by a -12.6% change in the company's P/S Multiple.| (LTM values as of) | 5312023 | 6022026 | Change |
|---|---|---|---|
| Stock Price ($) | 1.58 | 1.47 | -7.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 16 | 17 | 9.3% |
| P/S Multiple | 2.1 | 1.9 | -12.6% |
| Shares Outstanding (Mil) | 21 | 22 | -2.6% |
| Cumulative Contribution | -7.0% |
Market Drivers
5/31/2023 to 6/2/2026| Return | Correlation | |
|---|---|---|
| AWRE | -7.0% | |
| Market (SPY) | 88.9% | 19.3% |
| Sector (XLK) | 146.4% | 17.4% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| AWRE Return | -10% | -46% | -3% | 17% | -5% | -19% | -57% |
| Peers Return | 6977% | -60% | 32% | 11% | 6% | 33% | 5738% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 11% | 102% |
Monthly Win Rates [3] | |||||||
| AWRE Win Rate | 50% | 25% | 42% | 50% | 50% | 17% | |
| Peers Win Rate | 48% | 27% | 52% | 45% | 42% | 47% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 67% | |
Max Drawdowns [4] | |||||||
| AWRE Max Drawdown | -52% | -63% | -44% | -51% | -37% | -44% | |
| Peers Max Drawdown | -40% | -71% | -43% | -42% | -48% | -34% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: IDN, MITK, AUID, OSPN, OKTA.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 6/2/2026 (YTD)
How Low Can It Go
| Event | AWRE | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -11.0% | -18.8% |
| % Gain to Breakeven | 12.3% | 23.1% |
| Time to Breakeven | 16 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -30.0% | -9.5% |
| % Gain to Breakeven | 42.9% | 10.5% |
| Time to Breakeven | 1 days | 24 days |
| 2020 COVID-19 Crash | ||
| % Loss | -30.9% | -33.7% |
| % Gain to Breakeven | 44.8% | 50.9% |
| Time to Breakeven | 56 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -11.2% | -19.2% |
| % Gain to Breakeven | 12.6% | 23.8% |
| Time to Breakeven | 62 days | 105 days |
| 2016-2017 Trump Reflation Bond Selloff | ||
| % Loss | -18.2% | -3.7% |
| % Gain to Breakeven | 22.2% | 3.9% |
| Time to Breakeven | 1377 days | 6 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -12.9% | -12.2% |
| % Gain to Breakeven | 14.8% | 13.9% |
| Time to Breakeven | 23 days | 62 days |
In The Past
Aware's stock fell -11.0% during the 2025 US Tariff Shock. Such a loss loss requires a 12.3% gain to breakeven.
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Asset Allocation
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| Event | AWRE | S&P 500 |
|---|---|---|
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -30.0% | -9.5% |
| % Gain to Breakeven | 42.9% | 10.5% |
| Time to Breakeven | 1 days | 24 days |
| 2020 COVID-19 Crash | ||
| % Loss | -30.9% | -33.7% |
| % Gain to Breakeven | 44.8% | 50.9% |
| Time to Breakeven | 56 days | 140 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -31.1% | -6.8% |
| % Gain to Breakeven | 45.1% | 7.3% |
| Time to Breakeven | 92 days | 15 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -22.7% | -17.9% |
| % Gain to Breakeven | 29.4% | 21.8% |
| Time to Breakeven | 114 days | 123 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -64.7% | -53.4% |
| % Gain to Breakeven | 182.9% | 114.4% |
| Time to Breakeven | 1167 days | 1085 days |
| Summer 2007 Credit Crunch | ||
| % Loss | -33.5% | -8.6% |
| % Gain to Breakeven | 50.4% | 9.5% |
| Time to Breakeven | 1716 days | 47 days |
In The Past
Aware's stock fell -11.0% during the 2025 US Tariff Shock. Such a loss loss requires a 12.3% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Aware (AWRE)
Aware, Inc. provides biometrics software products and solutions in the United States, Brazil, the United Kingdom, and internationally. It offers biometrics software products, including biometric search and matching software development kits (SDKs); biometric enrollment SDKs and application programming interfaces (APIs); and imaging products for medical and advanced imaging applications, such as JPEG2000 product to compress, store, and display images, as well as software maintenance services. The company also provides Knomi mobile biometric authentication framework; AwareABIS, an automated biometric identification system; AFIX suite of products for small-scale law enforcement focused biometric identification; BioSP, a biometric services platform; WebEnroll, a browser-based biometric enrollment and data management solution; AwareID, a software-as-a-service that provides biometric face and voice analysis for liveness-verification, and document validation; and Fortress Identity Biometric Authenticator and Onboarding Authentication Platform, which offers multi-factor authentication through passive and active biometrics for multiple modalities, including voice, fingerprint, face, and behavior to enable online onboarding and identity proofing. In addition, it offers program management and software engineering services, including project planning and management; system and architecture design; software design, development, customization, configuration, and testing; and software integration and installation. The company's software portfolio enables government agencies and commercial entities to enroll, identify, authenticate, and enable using biometrics, such as fingerprints, faces, irises, and voices. The company sells its products through systems integrators, original equipment manufacturers, value added resellers, and partners, as well as directly to end user customers. Aware, Inc. was incorporated in 1986 and is headquartered in Bedford, Massachusetts.
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Here are a few analogies for Aware, Inc. (AWRE):
- The "Intel Inside" for biometric identity technology. (Aware provides the foundational software engines that power biometric identification and authentication systems for governments and businesses.)
- Twilio for biometric authentication APIs and SDKs. (Aware offers developer tools that enable companies to easily integrate advanced biometric capabilities like face, fingerprint, and voice into their applications.)
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- Biometric Software Development Kits (SDKs) and APIs: Tools enabling the development of biometric search, matching, and enrollment functionalities.
- Imaging Products: Software for compressing, storing, and displaying images, primarily for medical and advanced imaging applications.
- Knomi: A mobile biometric authentication framework designed for secure access and identity verification.
- AwareABIS: An automated biometric identification system used for large-scale identification and deduplication.
- AFIX suite: A collection of products tailored for small-scale law enforcement focused biometric identification.
- BioSP: A biometric services platform that orchestrates and manages various biometric processes.
- WebEnroll: A browser-based solution for efficient biometric enrollment and data management.
- AwareID: A Software-as-a-Service (SaaS) offering biometric face and voice analysis for liveness verification and document validation.
- Fortress Identity Biometric Authenticator and Onboarding Authentication Platform: A multi-factor biometric authentication platform for online onboarding and identity proofing.
- Software Maintenance Services: Ongoing support, updates, and upkeep for their software products.
- Program Management and Software Engineering Services: Comprehensive services covering project planning, system design, software development, customization, testing, integration, and installation.
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Aware (AWRE) primarily sells its biometrics software products and solutions to other companies and government agencies, rather than directly to individuals. The provided background information describes its major customers and sales channels by category, but does not list the names of specific customer companies or government agencies.
Based on the description, Aware's major customers and channels include:
- Government agencies
- Commercial entities
- Systems integrators
- Original Equipment Manufacturers (OEMs)
- Value Added Resellers (VARs)
- Partners
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Ajay Amlani, Chief Executive Officer & President
Appointed in February 2025, Ajay Amlani is a recognized leader in identity technology. He co-founded the entity that became CLEAR, a biometric identity verification service, and also co-founded YOU Technology, a mobile-first identity platform. His career includes senior positions at Idemia and Head of the Americas at iProov. Amlani's government service includes launching the Defense Innovation Unit for the Department of Defense and being an early founder of the Department of Homeland Security (DHS) in 2003.
David Traverse, Chief Financial Officer & Treasurer
Appointed CFO in June 2024, David Traverse has an extensive background in finance and public accounting. He previously served as Interim CEO in January 2025. Traverse joined Aware in April 2020 as Vice President and Corporate Controller, and was named Principal Financial Officer and Treasurer in October 2023. Prior to Aware, he was Vice President and Corporate Controller at SeaChange International and Vice President of Finance and CFO at Artel Video Systems. He has also worked as a Certified Public Accountant at several public accounting firms.
Brian Krause, Chief Revenue Officer
Welcomed in March 2025, Brian Krause is tasked with accelerating commercial execution and scaling go-to-market strategy, bringing over a decade of experience in biometric and digital identity technology.
Mohamed Lazzouni, Ph.D., Chief Technology Officer
Serving since November 2019, Mohamed Lazzouni provides deep technological expertise necessary to maintain the company's science-forward approach.
Lona Therrien, Chief Marketing Officer
Lona Therrien brings over 15 years of strategic marketing experience in the cybersecurity industry. In 2024, she was honored as one of the Top 50 Women Chief Marketing Officers. Previously, she served as CMO at ExtraHop.
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Key Business Risks for Aware (AWRE)
Aware, Inc. faces several significant risks inherent to its operations in the biometrics software and solutions market.
- Ongoing Financial Losses and Revenue Volatility: Aware has consistently reported widening net losses and adjusted EBITDA losses, indicating challenges in achieving profitability despite strategic investments. For instance, the company reported a net loss of $4.4 million for the nine months ended September 30, 2025, and a full-year net loss of $5.9 million in 2025, up from $4.4 million in 2024. Revenue has remained largely flat or slightly declined, with 2025 total revenue at $17.3 million, essentially unchanged from $17.4 million in 2024. This financial instability is exacerbated by the unpredictable nature of its contracts, particularly with government entities, leading to significant fluctuations in operating results based on the size and timing of individual orders. The company is also undergoing a critical pivot from a reliance on perpetual licenses to a Biometric-as-a-Service (BaaS) model, which presents challenges in managing cash burn while scaling sales and marketing efforts to drive sustainable recurring revenue growth. Government procurement delays further contribute to revenue recognition timelines and near-term bookings uncertainty.
- Intense Competition and Rapid Technological Change: Operating in the dynamic technology sector, Aware, Inc. is exposed to rapid technological changes and fierce competitive pressures. The biometrics identity market includes strong competitors such as Idemia, Thales, and NEC, which are diversified technology providers offering integrated solutions. To remain relevant and competitive, the company must continuously innovate and adapt its biometric solutions. Failure to keep pace with evolving technology or to effectively differentiate its products could lead to a decline in market share and revenue.
- Evolving Regulatory and Ethical Landscape for Biometric Data: The collection and use of sensitive biometric data by companies like Aware, Inc. operate within a rapidly evolving regulatory and ethical framework. Increasing data privacy legislation globally, such as GDPR and BIPA, introduces the risk of legal penalties and litigation for non-compliance. There are also inherent privacy concerns, including risks of unauthorized access, misuse, and the need for transparent consent, as biometric data is unique and generally irreplaceable, making its exploitation more severe than other forms of personal data. Additionally, the potential for biased biometric systems, which can lead to misidentification or discriminatory outcomes, poses significant reputational damage, loss of customer trust, and legal risks.
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The increasing integration and robust offerings of biometric authentication and identity proofing solutions by major technology platforms (e.g., Apple, Google, Microsoft) directly into their operating systems and cloud services. These platforms, leveraging their scale, existing biometric technology, and user base, could expand their enterprise-grade offerings, potentially displacing specialized biometric software providers like Aware in areas such as mobile authentication, liveness verification, and identity proofing.
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Aware (NASDAQ: AWRE) operates within several significant and growing addressable markets globally. The company's diverse portfolio of biometric software products and solutions caters to both government agencies and commercial entities. Here are the addressable market sizes for Aware's main products and services: * **Global Biometrics Market:** The global biometrics market was estimated at USD 50.08 billion in 2024 and is projected to increase to approximately USD 307.24 billion by 2034, expanding at a Compound Annual Growth Rate (CAGR) of 19.89% from 2025 to 2034. North America held the largest market share of 32% in 2024. Another report valued the global biometric technology market at USD 59.65 billion in 2025, expecting it to exceed USD 322.94 billion by 2035, with an 18.4% CAGR from 2026 to 2035. North America is projected to hold the largest share (33%) by 2035, while Asia Pacific is anticipated to be the fastest-growing region. The biometric system market was valued at USD 48.40 billion in 2025 and is projected to reach USD 86.02 billion by 2035, growing at a CAGR of 5.92% from 2026 to 2035. * **Biometric Authentication and Identification Market:** The global biometric authentication and identification market size was valued at USD 6.57 billion in 2024 and is expected to grow to USD 26.38 billion by 2033, with a CAGR of 16.7% from 2025 to 2033. Another estimate placed the global biometric authentication identification market size at USD 34.23 billion in 2023, with a projection to reach USD 107.42 billion by 2032, growing at a CAGR of 13.57% during 2024-2032. * **Biometrics in Government Market:** The global biometrics in government market size was valued at USD 33.03 billion in 2024 and is poised to grow to USD 113.51 billion by 2033, at a CAGR of 14.7% during the forecast period (2026–2033). North America held the major market share of over 40% of the global revenue in 2025, valued at USD 10.98 billion, and is expected to grow at a CAGR of 13.0% from 2025 to 2033. The biometrics in government market size is expected to grow to USD 13.13 billion in 2030 at a CAGR of 13%. For North America specifically, the government and security biometrics market size is estimated at USD 6.11 billion in 2025 and is expected to reach USD 10.87 billion by 2030, at a CAGR of 12.2% during the forecast period (2025-2030). * **Mobile Biometrics Market:** The global mobile biometrics market size was valued at USD 51.17 billion in 2025 and is projected to grow to USD 267.91 billion by 2034, exhibiting a CAGR of 20.10% during the forecast period. North America dominated this market with a 39.20% share in 2025, valued at USD 20.08 billion, which is expected to reach USD 23.79 billion in 2026. Another report estimated the mobile biometrics market size at USD 44.09 billion in 2025 and projected it to reach USD 145.12 billion by 2031, at a CAGR of 21.95% during 2026-2031. Asia-Pacific led with a 44.35% revenue share in 2025. The U.S. mobile biometrics market is valued at USD 14.26 billion in 2025 and is expected to reach USD 70.38 billion by 2033, growing at a CAGR of 22.14% from 2026-2033. * **Biometric Software Market:** The market size of the Biometrics Scan Software industry in the United States is USD 12.3 billion in 2026. The software segment of the biometrics market is projected to grow at a 16.35% CAGR to 2031. For the overall biometric system market, software is expected to register the highest CAGR of 12.8%, while another source states that software represents approximately 38% of the Automated Fingerprint Identification Systems Market Share. * **Automated Biometric Identification System (ABIS) / Automated Fingerprint Identification System (AFIS) Market:** The global automated fingerprint identification system (AFIS) market size was valued at USD 9.72 billion in 2024 and is predicted to increase to approximately USD 56.02 billion by 2034, expanding at a CAGR of 19.14% from 2025 to 2034. North America dominated the global market with the largest market share of 38% in 2024. Another source states the global AFIS market size was USD 8.14 billion in 2023 and is projected to grow at a CAGR of 19.1% from 2024 to 2030. The global automated fingerprint identification systems market size was valued at USD 11.59 billion in 2025 and is projected to grow to USD 57.05 billion by 2034, exhibiting a CAGR of 19.38%. * **Identity Verification Market:** The global identity verification market size was valued at USD 13.75 billion in 2025. The market is projected to grow from USD 15.84 billion in 2026 to USD 50.58 billion by 2034, exhibiting a CAGR of 15.60% during the forecast period. The global identity verification market size was valued at USD 13.8 billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 46.4 billion by 2033, exhibiting a CAGR of 14.4% from 2025-2033. North America currently dominates this market. Biometric identification dominated the market with a revenue share of over 68.0% in 2022, and the biometric engines held 35.84% of the identity verification market share in 2025, projected to surpass USD 10.1 billion by 2031. * **Biometric as a Service (BaaS) Market:** The global Biometric as a Service market size was valued at USD 1.4 billion in 2020 and is expected to grow at a CAGR of 19.7% from 2020 to 2025, with a projected revenue of USD 3.6 billion in 2025. North America is expected to hold the largest market size.AI Analysis | Feedback
Here are 3-5 expected drivers of future revenue growth for Aware, Inc. (AWRE) over the next 2-3 years:
- Growth in Recurring Revenue: Aware is actively transitioning its business model to focus on generating predictable recurring revenue. The company has highlighted its strategic shift towards becoming a platform company with a strong emphasis on annual recurring revenue (ARR). In Q3 2025, recurring revenue increased by 26.2% year-over-year and constituted 69.3% of the total revenue, driven by a surge in software subscriptions.
- Expansion in Federal Government Partnerships and Deployments: Aware plans to enhance its partnerships with the federal government and has already seen significant progress, including the deployment of its first mobile biometric solution within a U.S. federal agency in Q4 2025. The company is prioritizing "large, durable opportunities in federal and enterprise that can translate into multiyear recurring revenue and product leverage".
- Growth in Commercial Market and Enterprise Customers: Aware is expanding its customer base within the commercial sector, observing increasing demand for biometric solutions from commercial enterprises for both workforce and customer identity verification needs.
- New Product Innovations and Advancements in Biometric Technology: The company is focused on evolving and enhancing its product portfolio, including advancements in its core biometric technology. Key initiatives include the launch and traction of AwareID and advancements in adaptive liveness technology. Aware also developed new product innovations in Q2 2025, such as 14X faster face matching performance and smarter face capture for mobile.
- Scaling Through Partners and Marketplaces: Aware is focused on driving growth by expanding its reach through robust partnership programs and marketplaces. This strategy aims to increase sales and penetrate new markets, particularly in areas like financial services.
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```htmlShare Repurchases
- In 2024, Aware repurchased 137,051 shares for approximately $0.2 million.
- In May 2020, Aware's Board of Directors approved a program authorizing the company to purchase up to $10 million of its common stock, with the authorization expiring on December 31, 2021.
Share Issuance
- A director was granted a 45,000-share unrestricted stock award in February 2026 under the company's 2023 Equity and Incentive Plan.
- The 45,000 shares are scheduled to be issued in two equal tranches of 22,500 shares on June 30, 2026, and December 31, 2026, contingent on continued service.
- Aware had 21 million shares outstanding in Q4 2025, reflecting a 0.3% increase from the prior quarter.
Outbound Investments
- Aware, Inc. acquired Fortress Identity in December 2021.
Capital Expenditures
- Aware invested $165,000 in capital expenditures for the full year 2025.
- In Q4 2025, capital expenditures amounted to $120,000, funding long-term assets and infrastructure.
- Higher operating expenses in 2025 were driven by increased investments in research and development, personnel, and product development, with R&D spending expected to remain higher into 2026.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| Aware Earnings Notes | 12/16/2025 | |
| How Low Can Aware Stock Really Go? | 10/17/2025 |
| Title | |
|---|---|
| ARTICLES |
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 9.83 |
| Mkt Cap | 0.3 |
| Rev LTM | 106 |
| Op Inc LTM | 15 |
| FCF LTM | 24 |
| FCF 3Y Avg | 14 |
| CFO LTM | 26 |
| CFO 3Y Avg | 19 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 9.3% |
| Rev Chg 3Y Avg | 7.6% |
| Rev Chg Q | 8.4% |
| QoQ Delta Rev Chg LTM | 2.1% |
| Op Inc Chg LTM | 21.1% |
| Op Inc Chg 3Y Avg | 113.1% |
| Op Mgn LTM | 7.1% |
| Op Mgn 3Y Avg | -2.0% |
| QoQ Delta Op Mgn LTM | 0.7% |
| CFO/Rev LTM | 20.9% |
| CFO/Rev 3Y Avg | 8.9% |
| FCF/Rev LTM | 18.5% |
| FCF/Rev 3Y Avg | 4.3% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 0.3 |
| P/S | 4.0 |
| P/Op Inc | 20.2 |
| P/EBIT | 18.2 |
| P/E | 23.8 |
| P/CFO | 13.2 |
| Total Yield | 1.6% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | 1.3% |
| D/E | 0.0 |
| Net D/E | -0.1 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 24.9% |
| 3M Rtn | 4.0% |
| 6M Rtn | 15.7% |
| 12M Rtn | -5.2% |
| 3Y Rtn | 30.6% |
| 1M Excs Rtn | 19.6% |
| 3M Excs Rtn | -7.7% |
| 6M Excs Rtn | 2.4% |
| 12M Excs Rtn | -34.8% |
| 3Y Excs Rtn | -48.4% |
Price Behavior
Price Behavior
| Market Price | $1.47 | |
| Market Cap ($ Bil) | 0.0 | |
| First Trading Date | 11/19/1996 | |
| Distance from 52W High | -50.0% | |
| 50 Days | 200 Days | |
| DMA Price | $1.29 | $1.91 |
| DMA Trend | down | down |
| Distance from DMA | 13.8% | -23.1% |
| 3M | 1YR | |
| Volatility | 95.0% | 70.8% |
| Downside Capture | -77.12 | 132.22 |
| Upside Capture | -84.44 | 75.95 |
| Correlation (SPY) | -2.5% | 15.3% |
AWRE Betas & Captures as of 5/31/2026
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | -1.40 | -0.79 | -0.17 | 0.28 | 0.91 | 0.88 |
| Up Beta | 2.63 | 0.72 | 0.78 | 0.42 | 0.51 | 0.72 |
| Down Beta | 1.98 | 4.37 | 0.96 | -0.21 | 0.99 | 0.99 |
| Up Capture | 37% | -42% | -65% | -8% | 72% | 56% |
| Bmk +ve Days | 13 | 28 | 36 | 67 | 141 | 432 |
| Stock +ve Days | 9 | 20 | 28 | 47 | 109 | 324 |
| Down Capture | -987% | -754% | -102% | 97% | 121% | 102% |
| Bmk -ve Days | 7 | 13 | 27 | 57 | 109 | 318 |
| Stock -ve Days | 8 | 17 | 31 | 68 | 128 | 374 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with AWRE | |
|---|---|---|---|---|
| AWRE | -12.1% | 70.8% | 0.11 | - |
| Sector ETF (XLK) | 73.0% | 20.8% | 2.53 | 14.9% |
| Equity (SPY) | 30.5% | 11.8% | 1.95 | 15.3% |
| Gold (GLD) | 35.9% | 26.7% | 1.12 | 1.4% |
| Commodities (DBC) | 44.5% | 18.9% | 1.81 | 4.4% |
| Real Estate (VNQ) | 10.1% | 13.2% | 0.47 | 2.8% |
| Bitcoin (BTCUSD) | -32.2% | 41.6% | -0.82 | 12.9% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with AWRE | |
|---|---|---|---|---|
| AWRE | -16.1% | 62.1% | -0.04 | - |
| Sector ETF (XLK) | 24.3% | 24.9% | 0.86 | 19.7% |
| Equity (SPY) | 14.2% | 17.0% | 0.66 | 20.7% |
| Gold (GLD) | 18.3% | 18.0% | 0.83 | 6.1% |
| Commodities (DBC) | 10.4% | 19.4% | 0.42 | 8.0% |
| Real Estate (VNQ) | 2.9% | 18.8% | 0.06 | 14.2% |
| Bitcoin (BTCUSD) | 13.0% | 54.6% | 0.43 | 7.1% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with AWRE | |
|---|---|---|---|---|
| AWRE | -9.8% | 52.3% | 0.00 | - |
| Sector ETF (XLK) | 26.4% | 24.5% | 0.97 | 17.7% |
| Equity (SPY) | 15.9% | 17.9% | 0.76 | 18.6% |
| Gold (GLD) | 13.2% | 16.0% | 0.68 | 3.6% |
| Commodities (DBC) | 7.5% | 17.9% | 0.34 | 8.0% |
| Real Estate (VNQ) | 5.5% | 20.7% | 0.23 | 13.3% |
| Bitcoin (BTCUSD) | 66.0% | 66.9% | 1.05 | 3.9% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 6/2/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 4/29/2026 | -20.5% | -12.3% | 4.1% |
| 3/4/2026 | -6.5% | -13.7% | -22.0% |
| 10/29/2025 | -6.0% | -12.1% | -14.3% |
| 7/30/2025 | -10.2% | -6.8% | -5.5% |
| 4/30/2025 | -2.7% | 3.0% | 1.2% |
| 3/5/2025 | -5.3% | 0.0% | 2.0% |
| 10/30/2024 | -21.3% | -21.7% | -22.7% |
| 8/8/2024 | 26.9% | 24.5% | 1.4% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 6 | 7 | 8 |
| # Negative | 18 | 17 | 16 |
| Median Positive | 2.3% | 5.2% | 3.7% |
| Median Negative | -6.8% | -9.5% | -10.7% |
| Max Positive | 45.7% | 42.9% | 55.2% |
| Max Negative | -21.3% | -28.6% | -30.7% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/01/2026 | 10-Q |
| 12/31/2025 | 03/06/2026 | 10-K |
| 09/30/2025 | 10/31/2025 | 10-Q |
| 06/30/2025 | 08/01/2025 | 10-Q |
| 03/31/2025 | 05/02/2025 | 10-Q |
| 12/31/2024 | 03/13/2025 | 10-K |
| 09/30/2024 | 11/01/2024 | 10-Q |
| 06/30/2024 | 08/09/2024 | 10-Q |
| 03/31/2024 | 05/03/2024 | 10-Q |
| 12/31/2023 | 03/15/2024 | 10-K |
| 09/30/2023 | 11/03/2023 | 10-Q |
| 06/30/2023 | 08/02/2023 | 10-Q |
| 03/31/2023 | 05/03/2023 | 10-Q |
| 12/31/2022 | 03/15/2023 | 10-K |
| 09/30/2022 | 10/28/2022 | 10-Q |
| 06/30/2022 | 07/29/2022 | 10-Q |
Insider Activity
Updated 5/26/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Amlani, Ajay K | President & CEO | Direct | Buy | 5262026 | 1.23 | 5,163 | 6,350 | 1,124,234 | Form |
| 2 | Amlani, Ajay K | President & CEO | Direct | Buy | 5262026 | 1.26 | 3,000 | 3,780 | 1,145,148 | Form |
| 3 | Amlani, Ajay K | President & CEO | Direct | Buy | 5262026 | 1.23 | 2,600 | 3,198 | 1,110,995 | Form |
| 4 | Amlani, Ajay K | President & CEO | Direct | Buy | 5182026 | 1.25 | 10,140 | 12,675 | 1,129,060 | Form |
| 5 | Amlani, Ajay K | President & CEO | Direct | Buy | 5182026 | 1.21 | 734 | 888 | 1,080,661 | Form |
Industry Resources
| Information Technology Resources |
| TechCrunch |
| Wired |
| CIO |
| MIT Technology Review |
| Gartner Insights |
| Ars Technica |
| Technology Hardware, Storage & Peripherals Resources |
| The Verge |
| TechRadar |
| Tom’s Hardware |
| PCMag |
| CNET |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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Core Cache Last Updated: 6/2/2026