Parazero’s New Board Member Is Already On Israeli Military Company Maris-Tech’s Board – And It Hasn’t Helped The Stock Price

Parazero (PRZO) today announced a new board member, the former Director of Israeli Defense Security, likely won’t earn the company any more business.  He has already been on the board of Maris-Tech (MTEK), starting on 2/22/23, and its stock has stayed flat, at around $1, since then.

Furthermore, unlike PRZO, MTEK IS a military company. In its description on Yahoo Finance it states:

Its products are used in drone, robotic, defense, homeland security, HLS, intelligence gathering, autonomous vehicle, and space markets and applications.

Compare that to PRZO’s description on Yahoo finance, it doesn’t mention its product is used in homeland security or defense. And looking at PRZO’s statement in a recent filing:

As developments in the mobile industry have enabled manufacturers to decrease the size, weight, and cost of batteries and cameras, the drone industry has expanded beyond its largely military-based origins and scale for commercial and civil government use cases.

This suggests that PRZO’s product is primarily for non-military drones.

MTEK has historically made $2.5M in revenue per year. PRZO has historically had below $1M in revenue per year.

Fully diluted, PRZO’s outstanding share count is about 15M shares. At $1.50, that makes its market cap a whopping $22.5M. Compare that to MTEK’s market cap is currently at about $8M. We expect PRZO’s market cap to be close to that of MTEK’s over the long term, which would put PRZO’s share price at around $0.60.