Last Updated: 10 Nov 2024
Executive Summary
Research Solutions Inc. (RSSS) is a provider of cloud-based software-as-a-service research intelligence platform. The company's latest stock price is $2.67, and it has a market capitalization of $86.9 million. RSSS is currently experiencing negative earnings, with a trailing twelve months (TTM) EPS of -$0.13. However, the company has a strong balance sheet with a book value of $0.385 per share. Analysts are bullish on RSSS, with a consensus target price of $5.12 and three out of three analysts rating the stock as a Buy.
Company Overview
Research Solutions Inc. was founded in 1991 and is headquartered in Henderson, Nevada. The company provides annual licenses that allow customers to access and use functions of its cloud-based software-as-a-service research intelligence platform. RSSS's platform helps customers to identify and track industry trends, competitive landscapes, and market opportunities. The company's customers include a variety of businesses, including Fortune 500 companies, government agencies, and non-profit organizations.
Fundamental Analysis
RSSS's financial performance has been mixed in recent years. The company's revenue has grown steadily, but its earnings have been volatile. In the most recent quarter, RSSS reported revenue of $44.6 million, up 0.2% year-over-year. However, the company's net income was -$2.1 million, down 74.1% year-over-year.
RSSS's balance sheet is strong. The company has $25.2 million in cash and equivalents and no debt. This gives RSSS a strong financial foundation to weather any economic downturn.
Technical Analysis
RSSS's stock price has been trading in a range between $2.21 and $3.50 over the past 52 weeks. The stock is currently trading near the bottom of this range. The 50-day moving average is $2.692, and the 200-day moving average is $2.795. The relative strength index (RSI) is 38.4, which indicates that the stock is oversold.
Short Term Outlook
The technical analysis suggests that RSSS's stock price is likely to remain in a trading range in the near term. The stock is currently oversold, which could lead to a short-term bounce. However, the stock is also facing resistance at the 50-day moving average.
Long Term Outlook
The long-term outlook for RSSS is positive. The company has a strong balance sheet and a growing customer base. The company's platform is well-positioned to benefit from the increasing demand for research intelligence.
Analyst Recommendations
Three out of three analysts rate RSSS as a Buy. The consensus target price is $5.12, which represents a potential upside of 91.8% from the current price.
