Electrovaya Inc.

Electrovaya reported third-quarter fiscal 2026 revenue of $17.7 million, up from $17.1 million a year earlier, while approximately $5 million of high-voltage battery-system deliveries expected in fiscal 2026 have moved into the first quarter of fiscal 2027 due to supply-chain constraints and project delays. Gross margin improved to 34.9% from 30.8%, and adjusted EBITDA reached a record $3.7 million. The company revised its fiscal 2026 normalized revenue outlook to approximately $70 million to $73 million. Electrovaya also announced an expanded commercial agreement with Amazon covering potential collaboration in material handling, robotics, and stationary energy storage, though related warrants could create future non-cash revenue reductions and dilution. The company launched its ElvaPulse 1500 stationary storage system and is progressing toward commissioning its Jamestown, New York, facility, with initial deliveries and revenue targeted for the second quarter of calendar 2027.

Electrovaya's fair value estimate has been raised from CA$12.55 to CA$13.99, reflecting updated analyst assumptions tied to the Amazon commercial agreement and progress at the Jamestown, New York facility. Revenue growth in the model now uses 44.07% instead of 42.30%, net profit margin is set at 15.05% compared with 14.48% previously, the future P/E multiple assumption has shifted from 22.9x to 24.0x, and the discount rate has adjusted from 8.78% to 8.66%. Roth Capital, H.C. Wainwright, and Raymond James have all lifted their price targets in recent months, with Roth moving from US$12 to US$20 after visiting Jamestown, H.C. Wainwright raising from US$10 to US$15 following fiscal Q2 results, and Raymond James increasing from US$14 to US$22 citing the Amazon relationship as a potential market expander. Roth Capital also noted near-term uncertainty around airline customers weighing on airport equipment demand, even as forklift battery demand tracks above earlier assumptions.

Electrovaya has signed a commercial agreement and warrant transaction with Amazon, tying future Infinity Battery Technology deployments to Amazon purchase volumes and potential equity ownership. The announcement sent Electrovaya shares up nearly 50%, with the stock last closing at CA$13.29. The company has seen a year-to-date share price return of 20.93% and a one-year total shareholder return of 160.59%. A widely followed narrative fair value estimate places the stock at CA$12.55, suggesting it is slightly overvalued. Strategic investments in North American manufacturing, including the Jamestown facility and Mississauga expansion, along with eligibility for U.S. production tax credits, support the growth story.

Electrovaya shares soared 36.4% this week after the company announced a commercial agreement with Amazon for its Infinity Battery Technology. The deal covers lithium-ion batteries for industrial applications and includes potential future purchases of robotics and energy storage equipment. Once Amazon reaches $280 million in cumulative purchases, it will receive warrants to buy up to 13,880,345 common shares of Electrovaya. Raymond James analyst Daniel Magder raised his price target on Electrovaya to $22 from $14 and kept a strong buy rating.