Last Updated: 09 Nov 2024
Executive Summary
Cps Technologies (CPSH) is a manufacturer of advanced materials solutions for various industries. Despite its strong revenue growth, the company has been facing challenges with profitability, resulting in negative EBITDA and EPS. The stock is currently trading at $1.44, below its 52-week high of $2.59.
Company Overview
CPS Technologies Corporation offers a range of products and services, including ceramic materials, metal powders, and composites. The company serves a diverse customer base across industries such as transportation, automotive, and energy. Headquartered in Massachusetts, CPS Technologies has a global presence with manufacturing facilities in the United States, Europe, and Asia.
Fundamental Analysis
Revenue: CPS Technologies has reported steady revenue growth in recent quarters. Revenue for the latest quarter (ending September 2024) was $219.37 million, a 0.324% increase year-over-year.
Profitability: The company has been struggling with profitability. EBITDA for the latest quarter was -$24.23 million, and diluted EPS was -$0.14. Profit margins have been negative in recent quarters.
Valuation: At a stock price of $1.44, CPS Technologies has a market capitalization of $20.92 million. The company's Price-to-Sales (P/S) ratio is 0.967, and its Price-to-Book (P/B) ratio is 1.401.
Technical Analysis
Trend: The stock has been trading in a downtrend since mid-2023. It is currently below its 50-day and 200-day moving averages.
Support and Resistance: Key support levels are at $1.27 (52-week low) and $1.42 (50-day moving average). Resistance levels are at $1.74 (200-day moving average) and $2.59 (52-week high).
Momentum Indicators: Momentum indicators, such as the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD), are currently neutral, indicating a lack of clear momentum.
Short Term Outlook
In the short term, CPS Technologies faces challenges with profitability. The company needs to improve its margins and reduce expenses to return to profitability. The stock is currently trading near its support level of $1.42. A break below this level could lead to further downside.
Long Term Outlook
The long-term outlook for CPS Technologies depends on the company's ability to execute its growth strategy and improve profitability. The company has a strong product portfolio and a diverse customer base. If it can overcome its current challenges, it has the potential for long-term growth.
Analyst Recommendations
Currently, there are no analyst recommendations available for CPS Technologies.
