BlackSky Technology (BKSY) AI Stock Analysis

• Market Cap: $645.81M
• Dividend Yield: N/A
• Average Volume (3M): 2.17M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.14
• Revenue Growth: -1.21%
• EPS Growth: -112.08%
• Country: US
• Employees: 340
• Sector: Industrials
• Sector Strength: 79
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -1.27
• Shares Outstanding: 35,464,516
• 10 Day Avg. Volume: 1,501,078
• 30 Day Avg. Volume: 2,174,903
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 6.72
• Enterprise Value/Gross Profit: 10.81
• Enterprise Value/Ebitda: -25.90
• 1Y Price Target: $25.60
• Price Target Upside: 41.59% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 54 Neutral
• Price Target: $18.00 ▼(-0.44% Downside)

BlackSky Technology's overall stock score reflects significant financial challenges, including negative cash flow and ongoing losses, which weigh heavily on its prospects. While technical indicators and valuation suggest caution, the company's strategic initiatives and international growth potential offer some optimism. The recent convertible notes offering improves liquidity, but uncertainties in U.S. government spending and revised financial guidance remain concerns.

Positive Factors

International Demand

The company sees substantial growth in international demand for imagery and satellite solutions, with a significant portion of backlog representing international contracts.

Satellite Deployment

Higher capability Gen-3 satellites becoming commercially available in late 2025 are expected to unlock meaningful revenue from both new and existing customers, driving accelerating revenue growth in 2026.

Negative Factors

Revenue Contraction

The year-over-year revenue contraction was primarily driven by a 43.5% decrease in revenues from the Professional & Engineering services business segment.

Revenue Guidance

Management reduced its FY25 revenue guidance to $117.5M at the midpoint, reflecting a ~12% decline from initial midpoint guidance due to uncertainty relating to the FY26 US government budget.

BlackSky Technology Business Overview & Revenue Model

Company Description

BlackSky Technology Inc. provides geospatial intelligence, imagery and related data analytic products and services, and mission systems that include the development, integration, and operations of satellite and ground systems to commercial and government customers worldwide. The company processes a range of observations from its constellation, as well as various space, internet-of-things, and terrestrial based sensors and data feeds. Its products are used in government defense and intelligence; commercial, construction, and industrial; and catastrophe, climate, and environment applications. The company was incorporated in 2014 and is headquartered in Herndon, Virginia.

How the Company Makes Money

BlackSky Technology generates revenue through the sale of satellite imagery and geospatial analytics services. The company employs a subscription-based model for its analytics platform, allowing clients to access real-time data and insights. Additionally, BlackSky engages in contracts with government agencies and commercial enterprises, providing tailored geospatial intelligence solutions. Key partnerships and collaborations with other technology and aerospace companies further enhance its service offerings, contributing to its revenue streams. The combination of subscription fees, contract-based services, and strategic partnerships forms the foundation of BlackSky's financial model.

BlackSky Technology Financial Statement Overview

Summary

BlackSky Technology faces considerable financial challenges with declining revenue growth, significant net losses, and negative cash flow growth. While the gross profit margin is reasonable and debt levels are manageable, operational inefficiencies and cash constraints are major concerns.

Income Statement

BlackSky Technology's income statement reveals a challenging financial position. The company has experienced a decline in revenue growth rate of -2.55% in the TTM, indicating a contraction in sales. The gross profit margin stands at 37.65%, which is relatively healthy, but the net profit margin is significantly negative at -82.23%, highlighting substantial losses. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.15, suggesting manageable leverage. However, the return on equity is negative at -90.67%, indicating that the company is not generating profit from its equity base. The equity ratio is not explicitly calculated, but the relatively low debt levels provide some stability.

Cash Flow

Cash flow analysis indicates significant challenges, with a negative free cash flow growth rate of -179.12% in the TTM. The operating cash flow to net income ratio is 0.51, showing that operating cash flows are insufficient to cover net losses. The free cash flow to net income ratio is low at 0.10, further emphasizing cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2023	Dec 2023	Dec 2023
Income Statement
Total Revenue	104.66M	102.09M	94.49M	94.49M	94.49M	94.49M
Gross Profit	65.09M	74.66M	60.71M	60.71M	60.71M	60.71M
EBITDA	-27.17M	-542.00K	434.00K	434.00K	434.00K	434.00K
Net Income	-86.06M	-57.22M	-53.86M	-53.86M	-53.86M	-53.86M
Balance Sheet
Total Assets	310.80M	254.15M	224.07M	224.07M	224.07M	224.07M
Cash, Cash Equivalents and Short-Term Investments	94.94M	52.46M	52.51M	52.51M	52.51M	52.51M
Total Debt	130.26M	9.97M	87.16M	87.16M	87.16M	87.16M
Total Liabilities	224.24M	160.16M	130.91M	130.91M	130.91M	130.91M
Stockholders Equity	86.56M	93.99M	93.16M	93.16M	93.16M	93.16M
Cash Flow
Free Cash Flow	1.99M	-22.06M	-61.14M	-61.14M	-61.14M	-61.14M
Operating Cash Flow	19.18M	-6.38M	-17.42M	-17.42M	-17.42M	-17.42M
Investing Cash Flow	-95.10M	-68.33M	-15.21M	-15.21M	-15.21M	-15.21M
Financing Cash Flow	72.98M	55.66M	29.05M	29.05M	29.05M	29.05M

BlackSky Technology Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 18.08
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BKSY, the sentiment is Positive. The current price of 18.08 is above the 20-day moving average (MA) of 17.80, below the 50-day MA of 19.53, and above the 200-day MA of 13.16, indicating a neutral trend. The MACD of -0.43 indicates Negative momentum. The RSI at 49.33 is Neutral, neither overbought nor oversold. The STOCH value of 81.90 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BKSY.

BlackSky Technology Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.96B	16.35	8.89%	1.96%	2.68%	-15.17%
KOPN	55 Neutral	$358.17M	―	-173.01%	―	13.03%	77.68%
BKSY	54 Neutral	$645.81M	―	-105.30%	―	-1.21%	-112.08%
KULR	48 Neutral	$195.68M	―	-24.65%	―	35.81%	55.13%
NEON	47 Neutral	$393.22M	―	-48.54%	―	-41.25%	47.09%
SATL	44 Neutral	$395.88M	―	-118.08%	―	―	―
MVIS	43 Neutral	$337.08M	―	-115.11%	―	-71.30%	17.62%

BlackSky Technology Corporate Events

BlackSky Technology Completes $185M Convertible Notes Offering

On July 22, 2025, BlackSky Technology Inc. completed a private offering of $185 million in 8.25% Convertible Senior Notes due 2033, which included an additional $25 million purchased by initial buyers. The proceeds, approximately $177.9 million after expenses, were used to repay and terminate existing loan agreements, with remaining funds allocated for general corporate purposes. This financial maneuver aims to enhance BlackSky’s liquidity and operational flexibility, potentially strengthening its market position.

BlackSky Technology Revises 2025 Financial Guidance

BlackSky Technology has revised its financial guidance for the full year ending December 31, 2025, due to anticipated impacts of U.S. Government budget uncertainties and volatility in contract timing. The company now expects full-year revenue to be between $105 million and $130 million and Adjusted EBITDA to be between breakeven and $10 million. Despite these adjustments, BlackSky maintains its long-term targets, including a year-over-year revenue growth of 20% to 30% and gross margins in excess of 75%.