Electrovaya is a buy, this analyst says

Electrovaya (Electrovaya Stock Quote, Chart, News, Analysts, Financials NASDAQ:ELVA) delivered strong fiscal Q3 2025 results, its second GAAP-profitable quarter and 10th in a row with positive Adjusted EBITDA, Roth Capital Markets analyst Craig Irwin said Aug. 12. He reiterated a “Buy” rating and $10.00 price target. Management now expects to exceed its $60-million fiscal 2025 revenue guidance, with a current backlog of more than $80-million.

“New products in airport ground support equipment (GSE) and energy storage should be additive to the trajectory in FY26, and we believe investors underappreciate Electrovaya’s early leadership from supporting adoption of robotics by a leading e-commerce company,” Irwin said. He added that visibility on the production ramp at the new Jamestown, N.Y., facility should provide several potential catalysts for valuation.

Electrovaya is a Canadian company that makes lithium-ion batteries for electric vehicles, energy storage, and industrial use. Its products are designed to be safe, long-lasting, and help reduce carbon emissions. The company is also working on solid-state battery technology and operates facilities in Canada and New York.

In fiscal Q3 2025, Electrovaya posted revenue of $17.1-million, EPS of $0.02, and Adjusted EBITDA of $2.9-million, in line with Roth Capital’s estimates and close to consensus. Gross margin was 30.8%, down from 31.1% in Q2 and 33.7% a year earlier, reflecting mix and tariff impacts. Management expects supplier pricing improvements as volumes grow to benefit margins ahead.

The company closed the quarter with $80-million in backlog and secured $21-million in materials handling orders. New products and markets should add to 2026 results, with airport ground support equipment shipping soon, increased sales to Japanese OEMs through Sumitomo, and growing robotics opportunities in the 2–5 kWh range, including potential defence and surveillance uses.

Irwin said that Electrovaya should do $9.7-million in Adjusted EBITDA on revenue of $65.1-million in fiscal 2025, compared with his prior estimates of $9.5-million and $65.0-million. He thinks those numbers will improve to $20.9-million on revenue of $95.0-million in fiscal 2026, versus previous forecasts of $21.0-million and $95.0-million.

In June, Electrovaya added a second shift at its Mississauga facility to meet demand and began production on its first module line in Jamestown. Management said the second Mississauga shift is expected to be permanent. The company remains on track to start cell production in Jamestown by mid-2026.

Irwin reiterated his $10.00 price target, applying a 10x EV/EBITDA multiple to his fiscal 2027 estimate of $40-million. He said a 10x multiple is fair given Electrovaya’s leadership in heavy-duty lithium-ion batteries and its long-term growth prospects.

“At the $150m revenue run rate, Electrovaya would be tracking at roughly 50% of the company’s revenue potential post Jamestown construction,” he said.

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