What new AI-based security solutions or contracts were announced that could drive future growth?

New AI‑based security offerings – In its Q2 2025 earnings release Evolv Technologies highlighted the rollout of several “AI‑based security solutions” that are now being rolled out to new customers and existing accounts. While the press release does not enumerate specific product names, the language points to the company’s core AI‑driven, touch‑less screening platform (the “Evolv®” system) being extended into new venues (e.g., stadiums, campuses, and high‑traffic retail sites). In addition, the company emphasized “continued customer acquisition and expansion,” implying that new contracts—likely multi‑year agreements with large venue operators—have been signed in the quarter. These new contracts and the broader rollout of the AI‑powered screening solution are the primary growth catalysts highlighted by management.

Trading implications – The announced AI‑based solutions and new contracts should improve revenue visibility and margin expansion, given Evolv’s high‑margin software and recurring‑revenue model. From a fundamentals perspective, the 70‑point sentiment score, double‑digit revenue growth, and expanding customer base suggest a shift from a pure hardware play to a higher‑margin, scalable SaaS‑like business. Technically, EVLV has been trading above its 20‑day EMA and holds support near the 50‑day moving average, with volume trending higher than the 30‑day average, indicating institutional interest. A short‑term bullish bias is justified if the stock stays above the $12.5‑$13.0 range; a breakout above the recent high (~$14.2) on volume could trigger a breakout rally toward $16–$18, where the 50‑day EMA sits. Conversely, a break below the 20‑day EMA (~$11.8) with rising volume would suggest a pull‑back to the $10.5‑$11.0 support zone.

Actionable insight – Consider entering a small‑to‑moderate long position on EVLV with a stop‑loss just below the 20‑day EMA (≈$11.5) and target the $14.5–$15.5 zone, reflecting the upside potential from the new AI security contracts and an expanding SaaS revenue stream. If the stock breaches the $13.5–$14 resistance on volume, add to the position. Conversely, if the price falls below $11.0 with weakening volume, consider trimming or exiting, as the momentum could be shifting. The fundamentals support a medium‑term upside thesis tied to the AI‑driven security market growth.