American Superconductor (AMSC) AI Stock Analysis

• Market Cap: $1.61B
• Dividend Yield: N/A
• Average Volume (3M): 1.21M
• Price to Earnings (P/E): 11.8
• Beta (1Y): 2.18
• Revenue Growth: 51.17%
• EPS Growth: N/A
• Country: US
• Employees: 569
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 2.75
• Shares Outstanding: 47,612,286
• 10 Day Avg. Volume: 1,086,844
• 30 Day Avg. Volume: 1,210,061
• PEG Ratio: -0.78
• Price to Book (P/B): 3.40
• Price to Sales (P/S): 3.01
• P/FCF Ratio: 25.94
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 5.09
• Enterprise Value/Gross Profit: 16.63
• Enterprise Value/Ebitda: 61.12
• 1Y Price Target: $53.33
• Price Target Upside: 53.95% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 0.82
• Revenue Forecast (FY): $294.85M

• Rating: 74 Outperform
• Price Target: $41.00 ▲(18.36% Upside)
• Action: Upgraded Date: 02/18/26
• Date: Action: Upgraded 02/18/26

The score is driven primarily by improving fundamentals and strong balance-sheet strength, reinforced by bullish operational commentary and forward guidance. The rating is tempered by earnings quality/cash conversion concerns (including the one-time tax benefit) and a mixed technical setup where longer-term trend indicators remain weak.

Positive Factors

Balance Sheet Strength

Extremely low leverage and a sharply expanded equity base provide durable financial flexibility. This conservatism supports R&D, M&A and working-capital needs, reduces refinancing risk, and gives management runway to scale operations and absorb integration costs over the next several quarters.

Margin Expansion & Profitability Run

Sustained gross margins above 30% across multiple quarters and consecutive GAAP/non‑GAAP profitability show structural improvement in cost and pricing dynamics. This indicates better product mix, operational leverage, and durable unit economics that can support higher recurring operating cash flow as revenue scales.

Backlog and Strategic Market Expansion

A >$250M 12‑month backlog provides meaningful revenue visibility and cadence. The Comtrafo acquisition adds transformer capacity, Brazilian manufacturing and local customer relationships, structurally broadening addressable markets and cross‑sell potential in Latin America and utility segments.

Negative Factors

One-Time Tax Benefit Distortion

The large valuation-allowance release meaningfully inflates headline GAAP earnings, obscuring underlying operating profitability. Relying on this one-off boost risks overestimating sustainable earnings power until recurring operating margins and cash conversion validate the improved GAAP performance.

Near-Term Liquidity Reduction from Acquisition

The acquisition materially reduced cash reserves, trimming the liquidity buffer available for working capital and organic growth. If revenue conversion or working-capital needs persist, the company may face pressure to deploy additional financing or slow investments, affecting execution over the next several quarters.

Integration, Capacity and Working-Capital Risks

Early-stage integration and potential capacity expansion in Brazil create execution risk that can inflate SG&A/CapEx and delay margin benefits. Combined with elevated receivables and inventory, these operational demands can strain cash conversion and make near-term revenue realization lumpy and costlier than modeled.

American Superconductor Business Overview & Revenue Model

Company Description

American Superconductor Corporation, together with its subsidiaries, provides megawatt-scale power resiliency solutions worldwide. The company operates in two segments, Grid and Wind. The Grid segment offers products and services that enable electric utilities, industrial facilities, and renewable energy project developers to connect, transmit, and distribute power under the Gridtec Solutions brand; and engineering planning services. It provides transmission planning services, which identify power grid congestion, poor power quality, and other risks; grid interconnection solutions for wind farms and solar power plants, power quality systems, and transmission and distribution cable systems; resilient electric grid systems, resilient electric grid systems; D-VAR systems used for controlling power flow and voltage in the AC transmission system; actiVAR system, a fast-switching medium-voltage reactive compensation solution; armorVAR system installed for reactive compensation, power factor correction, loss reduction, utility bill savings, and mitigation of common power quality concerns related to power converter-based generation and load devices; and D-VAR volt var optimization (VVO) that serves the distribution power grid market. This segment also offers ship protection systems, which reduce a naval ship's magnetic signature; and in board power delivery systems, power generation systems, and propulsion systems; and transformers and rectifiers systems. The Wind segment designs wind turbine systems and licenses these designs to third parties under the Windtec Solutions brand. It supplies power electronics and software-based control systems, engineered designs, and support services; and provides customer support services to wind turbine manufacturers. This segment's design portfolio comprises a range of drivetrains and power ratings of 2 megawatts and higher. The company was incorporated in 1987 and is headquartered in Ayer, Massachusetts.

How the Company Makes Money

AMSC generates revenue through several key streams, primarily by selling its proprietary superconducting materials and systems to utility companies and wind turbine manufacturers. The company earns income from the sale of its Superconducting Wire products, which are used in various applications, including power transmission and magnetic energy storage. Additionally, AMSC provides engineering and consulting services, which contribute to its revenue. Significant partnerships with major utility companies and collaborations in the renewable energy sector also enhance its earnings potential, as they enable AMSC to expand its market reach and develop innovative solutions tailored to evolving energy needs.

American Superconductor Financial Statement Overview

Summary

Turnaround is real with positive recent profitability and ~30% gross margins, plus an exceptionally low-leverage balance sheet. Offsets are mixed earnings quality (recent GAAP results boosted by non-recurring items) and only moderate earnings-to-cash conversion with softer TTM free cash flow versus the prior period.

Income Statement

Profitability has improved materially versus prior years: annual results moved from sizable losses in 2021–2024 to positive net income in 2025, and TTM (Trailing-Twelve-Months) margins are stronger (gross margin ~30%, positive operating and EBITDA margins). Revenue growth is solid in TTM (high single digits) after a slower growth rate in the latest annual period. Key watch-outs are that operating profitability remains relatively modest versus revenue (low-to-mid single digit operating/EBITDA margins), and the very large TTM net income relative to prior history suggests potential one-time or non-recurring influences, making durability of earnings a risk.

Balance Sheet

Balance sheet strength is a clear positive: leverage is extremely low (debt-to-equity roughly ~1% in TTM (Trailing-Twelve-Months) and low in annual periods as well), providing significant financial flexibility. Equity has expanded sharply over time, and return on equity has turned positive in the most recent periods after being negative in 2021–2024. The main weakness is that profitability is still early in the recovery cycle, so future returns on the expanded equity base need to prove sustainable.

Cash Flow

Cash generation has improved meaningfully from negative operating cash flow in 2021–2023 to positive operating cash flow and free cash flow in 2024–2025 and TTM (Trailing-Twelve-Months). However, TTM free cash flow declined versus the prior annual period, and cash flow quality relative to reported earnings looks mixed given operating cash flow covers only a modest portion of net income in both TTM and the latest annual period—suggesting working-capital swings or non-cash/non-recurring items may be impacting earnings-to-cash conversion.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	279.40M	222.82M	145.64M	105.98M	108.44M	87.13M
Gross Profit	85.47M	61.85M	35.28M	8.52M	13.49M	17.45M
EBITDA	23.26M	12.14M	-1.97M	-26.53M	-21.60M	-14.75M
Net Income	130.49M	6.03M	-11.11M	-35.04M	-19.19M	-22.68M
Balance Sheet
Total Assets	719.53M	310.52M	232.77M	175.56M	173.89M	168.87M
Cash, Cash Equivalents and Short-Term Investments	141.07M	79.49M	90.52M	23.36M	40.58M	72.95M
Total Debt	11.38M	3.37M	2.71M	3.08M	3.80M	3.86M
Total Liabilities	182.70M	113.41M	88.20M	93.76M	64.50M	52.27M
Stockholders Equity	536.84M	197.11M	144.57M	81.80M	109.39M	116.59M
Cash Flow
Free Cash Flow	16.01M	25.87M	1.20M	-23.72M	-19.91M	-10.45M
Operating Cash Flow	20.15M	28.29M	2.14M	-22.48M	-18.98M	-8.68M
Investing Cash Flow	-76.41M	-35.21M	-961.00K	-1.52M	-7.16M	2.47M
Financing Cash Flow	124.01M	8.00K	65.44M	162.00K	142.00K	50.83M

American Superconductor Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.64
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMSC, the sentiment is Positive. The current price of 34.64 is above the 20-day moving average (MA) of 31.95, above the 50-day MA of 31.47, and below the 200-day MA of 40.84, indicating a neutral trend. The MACD of 0.85 indicates Negative momentum. The RSI at 56.34 is Neutral, neither overbought nor oversold. The STOCH value of 46.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMSC.

American Superconductor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPAC	75 Outperform	$2.20B	25.06	21.75%	0.10%	3.91%	1.48%
AMSC	74 Outperform	$1.61B	11.84	35.77%	―	51.17%	―
KAI	68 Neutral	$3.95B	38.81	11.32%	0.46%	-0.96%	-11.55%
SXI	68 Neutral	$2.94B	54.36	7.72%	0.57%	18.51%	-28.69%
PSIX	65 Neutral	$2.20B	18.17	118.50%	―	54.78%	122.61%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CXT	61 Neutral	$2.96B	20.62	13.54%	1.42%	9.30%	-12.55%

American Superconductor Corporate Events

American Superconductor registers shares for potential secondary sale

On December 23, 2025, American Superconductor Corporation disclosed that it filed a prospectus supplement with the U.S. Securities and Exchange Commission to register shares of its common stock for potential sale from time to time by certain existing stockholders, under an already effective shelf registration statement that became operative on August 12, 2024. The company also reported that its legal counsel, Latham & Watkins LLP, issued a legal opinion on the validity of these shares on the same date, a step that clears a procedural hurdle and facilitates potential secondary sales by those stockholders without directly raising new capital for the company itself.

The most recent analyst rating on (AMSC) stock is a Buy with a $60.00 price target. To see the full list of analyst forecasts on American Superconductor stock, see the AMSC Stock Forecast page.

American Superconductor Acquires Brazilian Transformer Company

On December 5, 2025, American Superconductor Corporation, through its subsidiary AMSC Brazil, acquired all shares of Comtrafo Indústria de Transformadores Elétricos S.A., a Brazilian manufacturer of large power and distribution transformers, for a combination of cash and restricted shares. This strategic acquisition includes real estate and transportation assets and positions American Superconductor to expand its footprint in the Brazilian market, with Comtrafo’s substantial backlog and established customer base providing a strong foundation for future growth.

The most recent analyst rating on (AMSC) stock is a Hold with a $33.00 price target. To see the full list of analyst forecasts on American Superconductor stock, see the AMSC Stock Forecast page.