Lumida
/CSPI
⌘K
CSP Inc

CSP Inc

CSPI
$7.76USD↑+0.13%+0.01 today

MARKET CAP

78.2M

P/E (TTM)

—

FWD P/E

—

DAY RANGE

$8 – $8

52W RANGE

$7
$15

AI Summary

Stalk
Sell NowMedium

A decisive break below a key support zone under declining EMAs confirms a bearish medium-term bias, with price failing to find demand even in extreme oversold conditions. We recommend selling now to capture further downside continuation.

  • ↑Service revenue rose 14.6% YoY to $5.3M, driven by AZT Protect uptake
  • ↑Achieved 100% one-year contract renewals, highlighting strong client satisfaction
  • ↓Revenue fell 6.5% YoY to $14.4M, hampered by vendor and delivery delays
Full analysis →

The case for & against

Bull & Bear analysis

Bearish

CSP Inc. (NASDAQ: CSPI) is an emerging player in the technology solutions sector, primarily focusing on cybersecurity solutions and managed services, particularly its flagship AZT Protect product. The company is well-positioned along the value chain to capitalize on the ongoing digital transformation across various industries, reflecting a growing emphasis on operational technology and the imperative need for robust cybersecurity amid increasing cyber threats.

Bull says

  • ↑Service revenue rose 14.6% YoY to $5.3M, driven by AZT Protect uptake
  • ↑Achieved 100% one-year contract renewals, highlighting strong client satisfaction
  • ↑Backlog expansion with multi-site operational technology deals supports future growth
  • ↑Ended quarter with $24.7M cash and reinstated $0.03/share dividend
  • ↑Positive analyst earnings revisions and above-average dividend yield signal confidence
  • ↑Strong fundamentals and manageable leverage enhance financial resilience

Bear says

  • ↓Revenue fell 6.5% YoY to $14.4M, hampered by vendor and delivery delays
  • ↓Net loss surged to $846K from $264K YoY, as opex and R&D rose
  • ↓Lengthy sales cycles and integration hurdles slow AZT Protect deployments
  • ↓High short interest and low institutional ownership reflect bearish sentiment
  • ↓Weak profitability metrics and liquidity pressures raise sustainability concerns
  • ↓Intense competition from PANW, CRWD, FTNT, ZS, and CHKP threatens market share

Earnings Call · Q3 2025 · Mgmt. Guidance

Updated 08-15-2026bullish

Transcript signals

Bull points

  • For the third quarter ended June 30th, 2025, we reported revenue of $15.4 million compared to $13.1 million for the prior year.
  • Product revenue grew 29% over last year's third quarter while service revenue of $5.3 million was slightly higher than the third quarter of fiscal 2024.
  • For the nine months, our revenue of $44.3 million was $2.1 million over the $42.2 million in revenue generated during the first nine months of fiscal 2024.

Bear points

  • Gross profit for the three months ended June 30th, 2025 was $4.5 million or 29% of sales compared to gross profit of $4.6 million or 35% of sales for the quarter ended June 30th, 2024.
  • Our engineering and development expenses increased 7% comparing the current quarter to the prior year quarter due to increased consulting on the AZT product.
  • The SG&A expenses for the quarter were up over the prior year by $0.2 million largely due to increased sales and marketing expenses related to the AZT protect.
Read full transcript analysis ›