FREMONT, Calif. - Actelis Networks, Inc. (NASDAQ:ASNS), known for its cyber-hardened networking solutions, has clinched a $2.3 million contract to provide the Washington D.C. Department of Transportation (DDOT) with a hybrid-fiber intelligent networking solution. The company announced today that the order will be fulfilled within the next two to three months, aiming to enhance the city's transportation infrastructure.
The new system is expected to standardize and modernize the connectivity framework throughout Washington D.C.'s roadways and intersections. Actelis will supply over 1,600 of its network switching and aggregation devices to support the city's Intelligent Transportation System (ITS), which includes traffic signals, CCTV, weather systems, and data collection points.
These ITS components are crucial for DDOT's management of traffic signals and overall traffic flow, especially during special events and daily disruptions that affect transportation safety. The Actelis solution will integrate with various central systems at DDOT's transportation management centers, linking with the city's Advanced Traffic Management System (ATMS) and homeland security support systems.
Actelis' technology is designed to enable rapid, fiber-grade connectivity across existing copper or fiber networks, offering a secure and cost-effective alternative to laying new fiber at each intersection.
Tuvia Barlev, Chairman and CEO of Actelis, expressed enthusiasm about aiding the U.S. capital in upgrading its traffic management systems, emphasizing the benefits of improved safety and efficiency for both residents and visitors.
The project was awarded to M2 Technology, Inc., a prominent value-added reseller and long-standing business partner of Actelis. The deployment will feature Actelis' MetaLight 684D and MetaLight 230 devices, which are known for their robust networking capabilities, including Gigabit switching and high-density Ethernet aggregation.
Actelis Networks emphasizes its role in providing networking solutions that cater to a wide range of IoT applications for various government entities, as well as sectors like military, utility, rail, telecom, and campus applications. The company's portfolio includes environmentally hardened switches, Ethernet devices, management software, and cybersecurity features.
This announcement is based on a press release statement from Actelis Networks, Inc.
InvestingPro Insights
Actelis Networks, Inc. (ASNS) has recently secured a significant contract with the Washington D.C. Department of Transportation, which could be a pivotal moment for the company. However, it's important for investors to consider the company's financial health and stock performance when evaluating its prospects. According to InvestingPro data, Actelis Networks has a market capitalization of just $2.39 million, reflecting a small-cap status that may appeal to niche investors looking for targeted growth opportunities within the tech sector.
InvestingPro Tips suggest that Actelis Networks operates with a significant debt burden and has been quickly burning through cash. These factors, combined with the fact that the company's short-term obligations exceed its liquid assets, might raise concerns about the company's ability to sustain operations and fulfill new contracts without additional financing. Moreover, the stock has fared poorly over the last month, with a -19.69% return, and has experienced a significant decline over the last year with a -87.87% return, which could signal caution to potential investors.
On the financial metrics front, Actelis Networks has a negative P/E Ratio, currently standing at -0.38, and a Price to Book ratio of 10.42, indicating that the market values the company significantly higher than its net asset value. These data points, along with a substantial decline in revenue growth of -36.52% over the last twelve months as of Q1 2023, may suggest that the company is facing challenges in growing its top line, which could be a red flag for investors looking for growth stocks.
For those interested in a deeper dive into Actelis Networks, there are additional InvestingPro Tips available that could provide further insights into the company's financial health and stock performance. Discover more tips to inform your investment strategy by visiting InvestingPro. Remember to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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