Cemtrex (CETX) AI Stock Analysis

• Market Cap: $7.17M
• Dividend Yield: N/A
• Average Volume (3M): 866.47K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.55
• Revenue Growth: 16.50%
• EPS Growth: N/A
• Country: US
• Employees: 264
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -7.90
• Shares Outstanding: 10,078,089
• 10 Day Avg. Volume: 944,061
• 30 Day Avg. Volume: 866,473
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.09
• Price to Sales (P/S): 0.00980
• P/FCF Ratio: -0.42
• Enterprise Value/Market Cap: -0.44
• Enterprise Value/Revenue: -0.04
• Enterprise Value/Gross Profit: -0.10
• Enterprise Value/Ebitda: -2.14
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 61,425
• Revenue Forecast (FY): $90.29M

• Rating: 44 Neutral
• Price Target: $0.70 ▼(-72.12% Downside)
• Action: Reiterated Date: 03/08/26
• Date: Action: Reiterated 03/08/26

The score is held down primarily by weak profitability and cash generation despite strong revenue growth and an improved balance sheet. Technicals are also unfavorable with a clear downtrend and negative MACD, while recent acquisitions provide some support but are tempered by repeated financings.

Positive Factors

Sustained Revenue Growth

Multi-year top-line expansion demonstrates durable market traction and scale across Cemtrex’s businesses. Strong revenue growth supports capacity to invest in operations and acquisitions, increases bargaining power with suppliers, and provides a larger base to convert to profit as operating leverage improves.

Material Leverage Improvement

A marked reduction in leverage and equity rebound materially lowers financial risk and interest burden, improving financial flexibility. This stronger balance sheet enhances the company's ability to fund strategic acquisitions and withstand cyclical downturns without immediate reliance on dilutive financings.

Strategic Acquisitions Expand Capabilities

Acquiring Invocon and Richland assets diversifies Cemtrex into aerospace, defense and expanded industrial services, adding specialized contracts and owned manufacturing capacity. These moves increase exposure to higher-margin, program-driven revenue and deepen engineering and fabrication capabilities for sustainable growth.

Negative Factors

Persistent Net Losses

Continued negative profitability undermines the company’s ability to self-fund growth and erodes returns on invested capital. Large net losses over multiple years increase dependence on external capital, limit reinvestment in the business, and leave Cemtrex vulnerable to margin pressure or slower demand scenarios.

Negative Free Cash Flow

Negative free cash flow indicates limited internal funding for capex, acquisitions, or working capital growth. Even with modest operating cash improvement, persistently negative FCF constrains strategic flexibility, increases borrowing needs, and raises the risk that growth initiatives require ongoing external financing.

Reliance on External Financing

Repeated registered direct offerings and acquisition-related bank debt show structural reliance on capital markets to fund growth. This raises dilution risk, increases cost of capital, and could impair execution if market access tightens, limiting long-term financial autonomy and shareholder value retention.

Cemtrex Business Overview & Revenue Model

Company Description

Cemtrex, Inc. operates as a technology company in the United States and internationally. The company operates through Advanced Technologies and Industrial Services segments. The Advanced Technologies segment provides Internet of Things products and smart devices under the SmartDesk name for mobile, web, virtual and augmented reality, wearables, and television markets; and security and video surveillance solutions, and virtual and augmented reality solutions for various commercial and industrial applications. This segment also offers browser-based video monitoring systems and analytics-based recognition systems, cameras, servers, and access control systems for security and surveillance in industrial and commercial facilities, federal prisons, hospitals, universities, schools, and federal and state government offices. The Industrial Services segment offers single-source services for rigging, millwrighting, in plant maintenance, equipment erection, relocation, and disassembly; installs high precision equipment in various industrial markets comprising automotive, printing and graphics, industrial automation, packaging, chemicals and others; and provides maintenance and contracting solutions for the machinery, packaging, printing, chemical, and other manufacturing markets. The company was formerly known as Diversified American Holding, Inc. and changed its name to Cemtrex, Inc. in December 2004. Cemtrex, Inc. was incorporated in 1998 and is based in Brooklyn, New York.

How the Company Makes Money

Cemtrex generates revenue primarily by selling products and delivering project- and service-based work through its operating businesses. Its revenue model has historically included (1) equipment/system sales tied to industrial and environmental applications, where revenue is recognized from delivering manufactured or sourced systems and related components; and (2) services revenue, earned from engineering, installation, maintenance, and other field or technical services that may be sold on a project/contract basis. Depending on the contract structure, earnings can be driven by project volume, backlog conversion, and the mix between higher-margin services versus lower-margin product/equipment sales. Information on the company’s current, quantified revenue breakdown by segment, major customer concentrations, and any significant partnerships for the most recent period is null.

Cemtrex Financial Statement Overview

Summary

Strong multi-year revenue expansion and a materially improved balance sheet (debt-to-equity down to ~0.42x TTM, equity rebound) are positives. However, persistent net losses (TTM net margin ~-25%; FY2025 ~-36%) and still-negative free cash flow (TTM about -$0.72M) remain the primary drag.

Income Statement

Revenue has expanded meaningfully over the last several years (from ~$43.1M in 2021 to ~$76.5M in FY2025; TTM (Trailing-Twelve-Months) growth is strong at ~313%), and gross margin has stayed fairly steady around ~39–43%. However, profitability is the key drag: the company is loss-making in FY2022–FY2025 and TTM, with TTM net margin around -25% and FY2025 net margin around -36%, indicating the business has not translated growth into sustainable earnings and remains exposed to cost pressure.

Balance Sheet

Leverage has improved materially, with debt-to-equity moving from very elevated levels in FY2023–FY2024 (~3.5x–4.9x) to a much healthier level in TTM (Trailing-Twelve-Months) (~0.42x), alongside a sizable rebound in equity (to ~$29.1M TTM from ~$8.7M in FY2025). Total debt is also down versus recent years. The main weakness is ongoing negative returns on equity (TTM is deeply negative), reflecting that the capital base is still not generating profits.

Cash Flow

Cash generation remains weak. While operating cash flow turned slightly positive in TTM (Trailing-Twelve-Months) (~$0.47M) after multiple years of negative operating cash flow, free cash flow is still negative (TTM about -$0.72M and FY2025 about -$1.77M), and free cash flow declined sharply TTM (about -59% growth). With net losses still large, cash flow quality and self-funding capacity remain key risks.

Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Dec 2021
Income Statement
Total Revenue	78.88M	76.49M	66.86M	59.37M	50.27M	43.13M
Gross Profit	30.85M	30.93M	27.48M	25.69M	19.06M	16.97M
EBITDA	1.48M	-23.73M	-3.98M	―	-5.20M	5.90M
Net Income	-19.67M	-27.87M	-7.23M	-9.20M	-13.29M	393.78K
Balance Sheet
Total Assets	60.33M	47.79M	44.12M	48.45M	45.76M	52.94M
Cash, Cash Equivalents and Short-Term Investments	21.90M	6.36M	3.91M	5.34M	9.91M	15.44M
Total Debt	18.06M	18.76M	23.12M	26.75M	21.84M	9.26M
Total Liabilities	31.24M	39.07M	39.15M	40.11M	31.12M	29.39M
Stockholders Equity	29.09M	8.72M	4.71M	7.69M	13.94M	22.59M
Cash Flow
Free Cash Flow	-721.47K	-1.77M	-5.25M	-4.99M	-17.94M	-11.12M
Operating Cash Flow	469.22K	159.31K	-3.95M	-2.23M	-16.09M	-10.05M
Investing Cash Flow	-2.20M	-2.96M	-1.26M	-5.63M	6.61M	840.90K
Financing Cash Flow	18.99M	4.08M	4.40M	2.04M	5.02M	4.45M

Cemtrex Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CETX, the sentiment is Negative. The current price of 2.5 is above the 20-day moving average (MA) of 1.03, above the 50-day MA of 1.62, and below the 200-day MA of 8.53, indicating a bearish trend. The MACD of -0.26 indicates Negative momentum. The RSI at 26.36 is Positive, neither overbought nor oversold. The STOCH value of 17.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CETX.

Cemtrex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
BLIN	53 Neutral	$11.61M	-29.08	-25.73%	―	0.16%	-36.86%
CETX	44 Neutral	$7.17M	-0.08	-164.51%	―	16.50%	―
RVYL	43 Neutral	$7.23M	-1.08	542.13%	―	-44.25%	82.71%
DTSS	42 Neutral	$9.45M	-2.78	-88.69%	―	68.56%	89.48%
HUBC	41 Neutral	$987.05K	-0.52	―	―	-30.70%	82.02%
TAOP	40 Underperform	$15.98M	-0.31	-46.76%	―	-15.10%	-177.14%

Cemtrex Corporate Events

Cemtrex Expands Industrial Services with Richland Assets Acquisition

On February 5, 2026, Cemtrex’s Advanced Industrial Services subsidiary completed the acquisition of substantially all assets of Richland Industries, an industrial services and fabrication company in Tennessee, for a combined $5.5 million including its Pulaski operating facility. The deal, financed entirely with bank debt from Fulton Bank and no new equity, expands Cemtrex’s industrial services footprint into the fast-growing Southeastern U.S. market and adds a 70,000-square-foot owned facility on 25 acres to its portfolio.

The acquisition, structured through newly formed AIS Tennessee and a related real estate purchase, integrates Richland’s operations into Cemtrex’s Industrial Services segment and brings capabilities in fabrication, mechanical installation, and industrial services across manufacturing, clean water, environmental infrastructure, government, and defense-related supply chains. AIS Tennessee is expected to contribute about $8 million to $10 million in revenue over the next 12 months, marking a significant step in AIS’s evolution from roughly $21 million in fiscal 2022 revenue to about $38 million in fiscal 2025 and representing Cemtrex’s second completed acquisition in the current fiscal year.

The most recent analyst rating on (CETX) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on Cemtrex stock, see the CETX Stock Forecast page.

Cemtrex Announces $4 Million Registered Direct Offering

On January 9, 2026, Cemtrex, Inc. entered into a Securities Purchase Agreement with a single accredited institutional investor for a registered direct offering of its common stock and pre-funded warrants, issuing 400,000 shares of common stock and pre-funded warrants to purchase 1,069,507 shares for aggregate gross proceeds of $4 million, with the transaction closing the same day. In a related press release dated January 9, 2026, the company detailed that approximately 1,469,507 shares and/or pre-funded warrants were sold at $2.722 per share, with the net proceeds earmarked for general corporate purposes, including working capital and potential acquisitions, signaling an effort to strengthen Cemtrex’s balance sheet and support its strategic growth initiatives across its security, industrial, and aerospace & defense businesses.

The most recent analyst rating on (CETX) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Cemtrex stock, see the CETX Stock Forecast page.

Cemtrex Completes Invocon Acquisition, Expands Aerospace & Defense

On January 8, 2026, Cemtrex completed its previously announced acquisition of Invocon, Inc., a Texas-based aerospace and defense engineering firm, for $7.06 million in cash, making Invocon a wholly owned subsidiary and the foundation of Cemtrex’s newly launched Aerospace & Defense segment. Invocon, which has nearly 40 years of experience in advanced instrumentation, wireless sensing, and telemetry systems used in satellites, launch vehicles, target missiles, and space platforms, brings average annual revenues of about $7.4 million and operating income of roughly $1.7 million based on unaudited 2023–2024 results, and holds contracts under the Missile Defense Agency’s SHIELD program, positioning Cemtrex to deepen its participation in U.S. missile defense modernization and space-related programs while prioritizing customer continuity, expanded contract capture, and further strategic opportunities across its key markets.

The most recent analyst rating on (CETX) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Cemtrex stock, see the CETX Stock Forecast page.

Cemtrex completes $2 million registered direct financing

On December 30, 2025, Cemtrex announced it had entered into a definitive agreement with a single institutional investor for a registered direct offering of approximately 888,889 shares of common stock and/or pre-funded warrants at $2.25 per share, targeting gross proceeds of $2 million. The transaction, which closed on December 23, 2025, resulted in the issuance of 340,000 common shares and pre-funded warrants exercisable for 548,889 shares, and the company said it plans to use the net proceeds for general corporate purposes, including working capital and potential acquisitions, underscoring its continued efforts to fund growth and strengthen its financial flexibility within the security technology and industrial services markets.

The most recent analyst rating on (CETX) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on Cemtrex stock, see the CETX Stock Forecast page.

Cemtrex Completes Registered Direct Offering to Institutional Investor

On December 23, 2025, Cemtrex entered into a securities purchase agreement with a single accredited institutional investor for a registered direct offering of approximately 800,000 shares of common stock and/or pre-funded warrants at $2.50 per share, generating gross proceeds of about $2 million; the transaction, conducted under an effective shelf registration and supported by a legal opinion on the validity of the issuance, closed the same day with the company issuing 330,000 shares and pre-funded warrants to purchase 470,000 shares. Cemtrex plans to use the net proceeds for general corporate purposes, including working capital and potential acquisitions, a move that modestly strengthens its balance sheet and provides additional capital to pursue growth initiatives in its security technology and industrial services businesses, while concentrating ownership further with an institutional investor stakeholder.

The most recent analyst rating on (CETX) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on Cemtrex stock, see the CETX Stock Forecast page.