Is Rezolve AI (RZLV) Pricing Reflecting Recent Share Rebound And DCF Value Gap

• If you are wondering whether Rezolve AI's share price lines up with its underlying worth, this article will walk through what the current numbers might be telling you.
• The stock last closed at US$3.25, with returns of 26.5% over 7 days, 18.2% over 30 days, 13.2% year to date, 9.4% over 1 year and a 68.0% decline over 3 years, which gives a mixed picture of recent and longer term sentiment.
• Recent market attention on Rezolve AI has been shaped by ongoing coverage of artificial intelligence businesses and investor interest in smaller software names. These factors can influence risk appetite and price volatility. This backdrop helps frame the recent share price moves, even though short term trading can sometimes run ahead of fundamentals.
• Rezolve AI currently has a valuation score of 2 out of 6, so we will look at what different valuation methods suggest about that score. We will then finish by talking about a broader way to think about valuation beyond just the headline metrics.

Rezolve AI scores just 2/6 on our valuation checks. See what other red flags we found in the full valuation breakdown.

Approach 1: Rezolve AI Discounted Cash Flow (DCF) Analysis

A Discounted Cash Flow, or DCF, model takes estimates of a company’s future cash flows and discounts them back to today to arrive at an estimate of what the business might be worth per share.

For Rezolve AI, the model used is a 2 Stage Free Cash Flow to Equity approach, based on cash flow projections rather than earnings. The latest twelve month free cash flow is a loss of about $71.3 million, so the company is currently burning cash. Analysts have provided free cash flow estimates out to 2027, with Simply Wall St extrapolating the path further to create a ten year cash flow profile.

Within those projections, discounted free cash flow for 2035 is $109.95 million, and the model includes a step up from $4.69 million of discounted free cash flow in 2026 through to $109.95 million in 2035. Aggregating and discounting these projected cash flows produces an estimated intrinsic value of about $8.83 per share.

Against a recent share price of US$3.25, this implies the stock trades at about a 63.2% discount to that DCF estimate. This suggests that the shares may be undervalued relative to the modeled intrinsic value, assuming the projections are achieved.

Result: UNDERVALUED

Our Discounted Cash Flow (DCF) analysis suggests Rezolve AI is undervalued by 63.2%. Track this in your watchlist or portfolio, or discover 882 more undervalued stocks based on cash flows.

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Rezolve AI.

Approach 2: Rezolve AI Price vs Book

For companies where earnings are not a reliable guide, the P/B ratio can be a useful way to think about value because it compares the market price to the net assets on the balance sheet.

What counts as a “normal” or “fair” multiple generally reflects what investors are willing to pay for each dollar of assets. This is shaped by expectations for future growth and the risks around achieving it. Higher expected growth and lower perceived risk often support higher multiples, while weaker growth expectations or higher risk usually go the other way.

Rezolve AI is currently trading on a P/B of 68.47x, compared with the Software industry average of 3.52x and a peer group average of 4.99x. Simply Wall St’s Fair Ratio is a proprietary estimate of what P/B might be appropriate after considering factors like earnings growth, profit margins, market cap, risk profile and industry characteristics.

Because the Fair Ratio brings these company specific inputs together, it can give you a more tailored reference point than a simple comparison with industry or peer averages, which treat very different businesses as if they were the same.

In Rezolve AI’s case, the Fair Ratio is not available, so it is not possible to state whether the current P/B suggests the shares are overvalued, undervalued, or about right on this basis alone.

Result: ABOUT RIGHT

P/B ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1444 companies where insiders are betting big on explosive growth.

Upgrade Your Decision Making: Choose your Rezolve AI Narrative

Earlier we mentioned that there is an even better way to understand valuation, so let us introduce you to Narratives. A Narrative is simply your story about a company, linked to your numbers, where you set your own assumptions for Rezolve AI’s future revenue, earnings and margins, and the platform turns that into a financial forecast and an estimated fair value. On Simply Wall St, within the Community page used by millions of investors, Narratives are designed to be easy to use. This means you can quickly see how your view of the business translates into a fair value and how that compares to the current share price to help you decide whether the stock looks attractive or expensive on your terms. Narratives also update automatically when new information such as earnings releases or significant news is added. This helps your story and valuation stay aligned with the latest data. For Rezolve AI, one investor might build a Narrative that points to a much higher fair value, while another might set more cautious assumptions and arrive at a much lower fair value, and seeing that range helps you judge where your own view fits.

Do you think there's more to the story for Rezolve AI? Head over to our Community to see what others are saying!

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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