Key Points
Rezolve AI's revenue exploded to $6.3 million in the first half of fiscal 2025, up from just $1.2 million a year earlier.
The company's annual recurring revenue hit $90 million year to date, with management targeting at least $150 million by year end (and $500 million next year).
The stock's valuation seems too rich right now, even if you base calculations on those lofty recurring revenue targets.
Shares of Rezolve AI (NASDAQ: RZLV) soared sky-high on Wednesday morning, boosted by a strong earnings report. The big gains didn't last long, though. After peaking at a 25.1% overnight jump just after the opening bell, Rezolve AI's stock fell back to a milder 2.8% gain by 1:15 p.m. ET.
Rezolve AI's morning surge by the numbers
Rezolve AI's sales skyrocketed to $6.3 million in the first half of fiscal year 2025, far above the $1.2 million reported in the same period of 2024. On the bottom line, unadjusted net losses increased from $0.09 to $0.25 per share.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Investors shrugged off the deeply unprofitable net income line to focus on Rezolve AI's surging sales instead. The company added more support for that approach when it unveiled a $90 million total of annual recurring revenue (ARR) year-to-date. Guidance targets set the year-end ARR expectation to "at least $150 million," with room for upside surprises.
Image source: Getty Images.
The AI ambitions are maybe too huge
As might be expected of a company with "AI" in the name, Rezolve AI focuses on artificial intelligence. Its flagship product is the brainpowa platform, a large language model (LLM) tailored to boost clients' e-commerce businesses. The $150 million ARR target sure looks ambitious, but the optimism doesn't end there. Management also expects to hit ARR of $500 million in 2026.
The stock may be worth a cautious nibble if Rezolve AI can deliver on these lofty promises, but those targets look like a stretch. Today, Rezolve AI shares are trading at 8.1 times the $150 million annual revenue target. That would be reasonable for a proven tech giant with a history of large-scale operations. I'm not so sure about Rezolve AI's loose forecast for high-octane growth.
I'll watch this promising agentic AI stock from the sidelines for a few more half-year reports.
Should you invest $1,000 in Rezolve Ai Plc right now?
Before you buy stock in Rezolve Ai Plc, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Rezolve Ai Plc wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $646,567!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,143,710!*
Now, it’s worth noting Stock Advisor’s total average return is 1,072% — a market-crushing outperformance compared to 191% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of September 29, 2025
Anders Bylund has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.