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Kustom Entertainment ( (KUST) ) just unveiled an announcement.
On January 22, 2026, Kustom Entertainment, Inc. announced that it had entered into a non-binding Memorandum of Understanding with Cycurion, Inc. to divest its video solutions division in a transaction expected to be valued between $6.0 million and $8.5 million, comprising $1.0 million to $1.4 million in cash and the remainder in Cycurion preferred stock, subject to customary closing conditions and final negotiations. The contemplated sale marks a significant step in Kustom’s strategy to streamline operations and concentrate on its rapidly growing live event production and proprietary online ticketing businesses, leveraging the long-running Country Stampede Music Festival as a blueprint to expand its national footprint in the estimated $100 billion global live entertainment and ticketing market and potentially reshaping the company’s operational focus and growth prospects for investors and partners.
The most recent analyst rating on (KUST) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Kustom Entertainment stock, see the KUST Stock Forecast page.
Spark’s Take on KUST Stock
According to Spark, TipRanks’ AI Analyst, KUST is a Neutral.
The score is weighed down primarily by weak financial performance—deep negative margins and substantial negative operating/free cash flow—along with bearish longer-term technicals (price below key moving averages and negative MACD). A positive offset is the recent corporate action to streamline the business by exiting healthcare, but valuation remains unattractive due to ongoing losses and no dividend support.
To see Spark’s full report on KUST stock, click here.
More about Kustom Entertainment
Kustom Entertainment, Inc., listed on Nasdaq as KUST, operates as a leader in live event production and ticketing technology, focusing on large-scale music festivals and end-to-end event management, with its flagship Country Stampede Music Festival held annually at the Azura Amphitheater in Bonner Springs, Kansas. The company also maintains a legacy video solutions segment that provides in‑car and body‑worn camera technology for law enforcement and security, incorporating artificial intelligence into its specialized product lines.
Average Trading Volume: 251,375
Technical Sentiment Signal: Strong Sell
Current Market Cap: $1.72M
See more data about KUST stock on TipRanks’ Stock Analysis page.