SKYX Platforms Corp. (SKYX:NASDAQ), a leader in smart platform technology, has announced the start of production of its newly patented, advanced smart plug-and-play recessed lighting. Read on to find out how this innovation will change the smart home market.
SKYX Platforms Corp. (SKYX:NASDAQ), a leader in smart platform technology, announced the start of production of its newly patented advanced smart plug-and-play recessed lighting. The global recessed lighting market, a multi-billion unit industry, stands to benefit greatly from this innovative product. SKYX's latest product is patented in key markets including the U.S., China, Canada, Hong Kong and Mexico, strengthening the company's strong intellectual property portfolio.
According to a company news release, the new plug-and-play recessed light aims to revolutionize the installation process by offering a safer, more efficient solution that eliminates contact with dangerous electrical wires. The light can be controlled via the SKYX app or voice commands and is compatible with leading smart home systems including Apple Siri, Amazon Alexa, Google Home and Samsung's SmartThings. The product highlights SKYX's commitment to enhancing safety and convenience in homes and buildings around the world.
Smart Home Technology and Embedded Lighting Market
A June 2024 report from StartUs Insights showed that the smart home technology sector will experience significant growth, with an annual growth rate of 25.86% and over 7,200 companies involved. According to the report, the sector employs more than 340,000 workers, with over 26,000 new employees added in the past year. The smart home industry has filed for more than 7,000 patents and secured more than 220 grants, indicating strong support for various initiatives and developments in the sector.
According to the report, investments in the smart home industry include an average funding round value of $22.5 million, with over 1,700 funding rounds closed, involving over 450 investors and benefiting over 580 companies. The global annual growth rate of internet searches for the smart home industry reached 31.99%, reflecting growing interest and relevance. The joint efforts of a growing workforce, numerous companies, and financial support highlight the dynamic and evolving nature of the smart home industry, playing a key role in driving technological advancements and improving everyday life through smart home solutions.
In a newsletter dated May 31, Joseph Gunner & Company recommended buying SKYX with a target price of $2.00.
Mike Thomas wrote in a June 5 article for BuiltIn that he predicts that by 2029, the global IoT industry (the Internet of Things, or devices, applications, and networked equipment that work together to collect, monitor, and analyze data from industrial activities) will exceed $2.4 trillion in market size, moving from simple connectivity to IoT-enabled applications, platforms, and services. Technology pioneer Kevin Ashton succinctly described IoT as “the union of the interconnectedness of human culture (i.e., 'our things') with the interconnectedness of digital information systems (i.e., 'the Internet').”
Regarding the recessed lighting market, Market Research Future's July 2024 report predicts that the industry will grow from USD 78.32 billion in 2024 to USD 190.04 billion by 2032, at a compound annual growth rate (CAGR) of 11.72% during the forecast period. The report highlights the key drivers of market growth, including energy efficiency, cost savings, aesthetics and design flexibility, improved lighting quality, and technological advancements.
The market for recessed lighting has expanded rapidly and is expected to continue to grow in the future. Recessed lighting is becoming increasingly popular due to its energy efficiency with LED technology, which requires less energy than traditional lighting sources. Cost savings also contribute to the expansion of the market as LED-powered recessed lighting fixtures have a longer lifespan and require less maintenance, resulting in overall cost savings for both consumers and businesses.
Shining a light on SKYX catalysts
A key driver of SKYX's growth is the company's extensive patent portfolio, which includes over 94 issued and pending patents, 36 of which have been issued in the US and around the world, including China, India and Europe, specifically related to the company's advanced plug-and-play and smart home technologies. As cited by SKYX, the company's total addressable market (TAM) is estimated to be over US$500 billion, highlighting the huge potential of the company's technology solutions in smart home, AI, electrical, lighting, ceiling fans, etc. across multiple industries, including lighting, smart home, builders, apartments, hotels, cruise ships, insurance companies and outlet box manufacturers.
“We are pleased to announce the start of production of our patented, advanced smart plug-and-play recessed lighting,” said Lani Cohen, founder and chairman of the board of directors of SKYX Platforms, in a press release. “Our strong global intellectual property portfolio in the key areas of advanced safety, smart home and sensor technology positions SKYX as a leading technology provider of advanced smart home platform solutions for the smart home, AI, electrical, lighting and ceiling fan industries.”
What the experts are saying about SKYX
Analysts have a favorable view of SKYX, noting that the company's first-quarter revenue of $19 million and adjusted EBITDA loss of $4.5 million were in line with expectations, according to a May 15 Noble Research report. The report highlighted SKYX's potential to benefit from several strategic alliances with major industrial companies, as well as a significant contract with a homebuilder to build 1,000 homes.
Analysts believed that these partnerships, which include a five-year licensing agreement with General Electric (GE) and collaborations with other lighting giants such as Kichler, Quoisel and Golden Lighting, would contribute to significant revenue growth and market penetration.
The Noble Research report also notes SKYX's filing for mandatory safety standards with the National Electrical Code (NEC) in September. The filing was led by Mark Early, who headed the NEC for 35 years. If approved, the filing could lead to significant long-term licensing opportunities. The report highlights the company's focus on executing strategic growth initiatives and rates the stock Outperform, suggesting a favorable risk-reward relationship. SKYX's innovative technologies, including weight-bearing ceiling outlets and smart home devices, are recognized by several industry standard-setting organizations, including UL, FCC, NEC, ANSI, NEMA, IAEI, and the American Institute of Architects. The report gave the company a $5.00 price target and an Outperform rating.
Joseph Gunner & Company recommended buying SKYX with a target price of $2.00 in their May 31 newsletter. The newsletter mentioned the company's announcement of a new partnership with Chinese lighting fixture supplier and manufacturer Ruee Appliance, which will provide significant manufacturing and distribution capabilities. The partnership further strengthens SKYX's already robust IP portfolio.
Joseph Gunner & Company also highlighted SKYX's projected positive cash flows through 2025 and the potential financial impact of its partnership with Ruee Appliance, which is expected to strengthen SKYX's retail and distribution capabilities and provide access to global markets, including the US, China and Europe.
The newsletter states that Ruee Appliance's existing relationships with major US brands and retail chains such as Home Depot, Costco and Walmart should have an immediate impact on SKYX's market presence.
Ownership and Share Structure
According to Reuters, strategic investors make up 41.16% of the company. Director Dov Schiff is an insider with a 14.99% stake. Steven Seeglaub owns 3.21% and President and Director Thomas J. Ridge owns 1.02%.
According to Reuters data, 78 institutional investors hold 11.67% of SKYX as of July 1, 2024. The top three institutional investors are BlackRock Institutional Trust Company NA with 3.26% and 3.27 Million shares, The Vangaurd Group Inc. with 2.68% and 2.68 Million shares, and Geod Capital Management LLC with 1.23% and 1.23 Million shares.
The rest is held by private investors.
According to MarketWatch, SKYX Platforms has 100.17 million shares outstanding and a float of 58.94 million shares.
Over the past 52 weeks, the company's stock has traded between $0.72 and $2.74 per share.
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Important Disclosures:
SKYX Platforms Corp. has a two-year consulting relationship with Street Smart, an affiliate of Streetwise Reports, and pays $84,000 per year in stock for such services. James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. This article is not investment advice or a solicitation of any investment. Streetwise Reports does not provide general or specific investment advice, and Streetwise Reports' information should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with their own personal financial advisor and conduct their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' Terms of Use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services, or securities of any company.
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