Mittelman Wealth Opens Large Evolv Technologies Stake: Is the Growth Stock a Buy?

Mittelman Wealth Management disclosed in a Nov. 17, 2025 Form 13-F that it initiated a new position in Evolv Technologies (NASDAQ:EVLV), acquiring 1,511,866 shares valued at $11.41 million as of Sept. 30, 2025—representing 7.47% of the fund's $152.74 million in reportable U.S. equity AUM and making Evolv its sixth-largest holding. Evolv shares were $5.66 on Nov. 20 (up 107% year-over-year), with a market cap of about $987 million, TTM revenue of $136.5 million and a TTM net loss of $59.7 million; the company reported 57% sales growth in the most recent quarter, 25% ARR growth, and management expects a return to positive operating cash flow soon, while the stock trades around 7x sales versus a peer multiple near 16x. The purchase is notable because Mittelman is largely ETF-focused, so the sizable individual equity stake signals material institutional conviction in Evolv's AI-based touchless security growth story, even as the business remains unprofitable.

Analysis

Mittelman Wealth Management disclosed a new 1,511,866-share stake in Evolv Technologies (EVLV) via a Nov. 17, 2025 Form 13-F, valuing the position at $11.41 million as of Sept. 30, 2025 and representing 7.47% of the fund's $152.74 million in reportable U.S. equity AUM; the stake immediately became the firm's sixth-largest holding despite the fund's largely ETF-focused portfolio. This institutional entry signals material conviction and provides a demand-side catalyst for a stock that has already outperformed strongly, with shares at $5.66 on Nov. 20, 2025 (up 107% year-over-year), outperforming the S&P 500 by roughly 97 percentage points.

Fundamentals show rapid top-line expansion alongside ongoing losses: TTM revenue is $136.5 million (sales grew from $23 million in 2021 to ~$137 million last year), the most recent quarter reported 57% sales growth and 25% ARR growth, while TTM net income was negative $59.74 million. Management expects a return to positive operating cash flow in the upcoming quarter, and the stock trades at roughly 7x sales versus a cited peer multiple near 16x, implying valuation room if execution and cash-flow improvement materialize.

Risks include continued operating losses, execution and deployment timing across stadiums and other venues, and potential share-price volatility given the company's sub-$1 billion market cap and the concentrated exposure Mittelman has taken. Key near-term indicators for investors are confirmation of positive operating cash flow, continued quarter-over-quarter ARR and sales acceleration, and evidence of sustainable gross-margin improvement before increasing position size.

Key Decisions for Investors

• Consider a cautious, size-limited entry or wait for management's promised positive operating cash flow to be reported and validated before increasing exposure
• If holding shares, set a monitoring checklist tied to quarterly revenue growth, ARR progression, and cash-flow conversion and consider trimming into rallies until cash-flow improvement is confirmed
• Treat the 7x sales valuation versus a peer at ~16x as attractive only conditional on execution; use position sizing and consider hedges for downside given negative net income and small-cap volatility
• Watch for further institutional buying or 13-F filings as a momentum and conviction signal, and reassess exposure if customer deployment cadence or guidance disappoints