Cemtrex (CETX) AI Stock Analysis

• Market Cap: $11.39M
• Dividend Yield: N/A
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): <0.1
• Beta (1Y): 1.54
• 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: 452,523
• 30 Day Avg. Volume: 1,019,995
• 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: -0.25
• Enterprise Value/Revenue: -0.04
• Enterprise Value/Gross Profit: -0.09
• Enterprise Value/Ebitda: -1.91
• 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: 46 Neutral
• Price Target: $1.00 ▼(-60.00% Downside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is held down primarily by weak financial performance (ongoing net losses and negative free cash flow) and bearish technicals (price below major moving averages with negative MACD). Corporate events provide some offset via expansion initiatives and added capital, but valuation support is limited due to a negative P/E and no dividend yield provided.

Positive Factors

Revenue growth with steady gross margins

Multi-year revenue expansion with relatively stable gross margins indicates underlying product and service demand and scalable operations. Sustained top-line growth plus mid-to-high 30s gross margins create a structural opportunity to reach operating leverage if SG&A and operating costs are managed over the next several quarters.

Material improvement in leverage and equity base

Marked reduction in leverage and a meaningful rebound in equity strengthen financial flexibility and lower interest burden. A healthier capital structure supports M&A, working capital needs, and reduces refinancing risk, making the business more resilient over a 2–6 month horizon and beyond.

Acquisition expands industrial footprint and revenue base

The Richland acquisition gives owned real estate, added fabrication and installation capabilities, and Southeastern U.S. market access. Expected near-term revenue contribution and expanded capacity are durable structural gains that can deepen customer relationships and increase recurring service and project backlog.

Negative Factors

Persistent unprofitability

Sustained negative net margins over multiple years show the company has not yet converted revenue growth into profitable operations. Persistent losses erode retained capital, constrain reinvestment capacity, and mean management must deliver operational improvements to achieve durable profitability within a medium-term horizon.

Negative free cash flow and weak cash generation

Ongoing negative free cash flow despite slight positive operating cash flow TTM signals limited self-funding capacity for growth and working capital. Continued cash deficits require external financing to support operations and acquisitions, increasing execution risk if operating margins do not improve sustainably.

Dependence on dilutive financings and share issuances

Frequent equity raises and share issuance to settle debt highlight dependence on dilutive financing to fund operations and reduce leverage. This structural funding approach can compress future per-share earnings recovery, alter ownership incentives, and raise the bar for achieving durable EPS improvement absent sustained profit conversion.

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 through multiple key streams. Primarily, the company earns from the sale of industrial automation products and systems, which are utilized by manufacturing and industrial clients to enhance productivity and efficiency. Additionally, Cemtrex generates income from its environmental monitoring solutions, which are essential for businesses looking to comply with regulations and maintain sustainable operations. The consumer electronics segment contributes to revenue through the sale of smart devices and related technologies. Furthermore, Cemtrex often engages in partnerships with other technology firms and industrial clients to develop tailored solutions, which can lead to additional revenue opportunities through joint ventures or collaborative projects.

Cemtrex Financial Statement Overview

Summary

Strong multi-year revenue expansion and stable gross margins are outweighed by persistent net losses (TTM net margin ~-25%, FY2025 ~-36%) and still-negative free cash flow (TTM about -$0.72M). Balance sheet leverage has improved materially (debt-to-equity down to ~0.42x TTM), but negative returns on equity underscore weak profitability.

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: Neutral
• 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 1.43, above the 50-day MA of 2.03, and below the 200-day MA of 10.18, indicating a bearish trend. The MACD of -0.28 indicates Negative momentum. The RSI at 33.10 is Neutral, neither overbought nor oversold. The STOCH value of 11.77 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	$10.83M	-4.23	-25.73%	―	0.16%	-36.86%
CETX	46 Neutral	$11.39M	0.05	-145.07%	―	16.50%	―
RVYL	43 Neutral	$7.61M	-0.12	-993.23%	―	-44.25%	82.71%
DTSS	42 Neutral	$9.40M	-2.55	-93.31%	―	68.56%	89.48%
HUBC	41 Neutral	$3.47M	-0.02	―	―	-30.70%	82.02%
TAOP	40 Underperform	$13.03M	-0.12	-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.

Cemtrex Completes $2 Million Direct Offering

On December 11, 2025, Cemtrex, Inc. announced the completion of a $2 million registered direct offering with a single institutional investor, involving the issuance of common stock and pre-funded warrants. The proceeds are intended for general corporate purposes, including working capital and potential acquisitions, reflecting the company’s strategic focus on growth and operational enhancement.

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 Issues Shares to Settle Debt and Warrants

On December 8, 2025, Cemtrex issued 2,500,609 shares of its common stock to satisfy $6,084,000 of debt with certain lenders. As of December 10, 2025, the company had 6,217,047 shares of common stock outstanding. Additionally, Cemtrex issued 29,943 shares upon the exercise of Series A Warrants and 2,234,247 shares upon the exercise of Series B Warrants, receiving $5.5 million from the Series B Warrants exercise.

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.