SmartRent (SMRT) Plunges 33.91% to Record Low on Revenue Decline

SmartRent (SMRT) experienced a significant decline today, with its share price dropping to a record low, marking an intraday decrease of 33.91%.

SmartRent is currently grappling with financial difficulties, including a substantial 26% decrease in operating revenue over the past year. Despite maintaining a positive free cash flow last year, the decline in revenue has raised concerns about the company's future cash flow and growth prospects. With a cash runway of approximately 3.5 years, SmartRent has some time to develop its business. However, the downward trend in revenue suggests potential challenges in sustaining operations without securing additional funding. The company may need to consider issuing new shares or taking on debt to obtain the necessary capital for future growth, which could result in shareholder dilution. These factors contribute to uncertainty about the company's financial health and its potential impact on the stock price.