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Cycurion, Inc. (CYCU)
NASDAQ:CYCU
US Market

Cycurion (CYCU) AI Stock Analysis

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CYCU

Cycurion

(NASDAQ:CYCU)

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Neutral 44 (OpenAI - 5.2)
Rating:44Neutral
Price Target:
$2.50
▲(13.64% Upside)
The score is held down primarily by weak financial performance (TTM profitability collapse and ongoing negative cash flow) and bearish technical momentum (below key moving averages with negative MACD). Positive corporate developments provide some support, but they do not outweigh the current earnings and cash-burn risks, and valuation is not supportive due to loss-making results.
Positive Factors
Improved leverage / no debt
A TTM balance sheet with no debt and a larger equity base materially reduces refinancing and interest-rate risk, giving management durable optionality to fund operations, invest in product development, or pursue M&A without immediate reliance on costly borrowing. This supports multi‑quarter execution and strategic flexibility.
Backlog and secured public contracts
A $73.6M backlog and recurring public‑sector contracts provide durable revenue visibility and cashflow runway, reducing near‑term revenue volatility. Multi‑year government and county projects support predictable demand, aid capacity planning, and underpin longer‑term sales cycles and cross‑sell opportunities into mission‑critical accounts.
Market positioning and industry recognition
Placement on MSSP’s Top 250 and emphasis on an AI‑powered Cyber Shield platform signal growing market credibility and competitive differentiation. This recognition supports sustained enterprise and public‑sector demand, strengthens sales pipelines, and bolsters long‑term ability to win managed‑security, subscription, and cross‑sell contracts.
Negative Factors
Negative operating and free cash flow
Persistent negative operating and free cash flow, with a large TTM burn, erodes internal funding capacity and forces reliance on external financing. Over multiple quarters this constrains reinvestment, limits margin recovery options, and raises the probability of dilutive capital raises or cutbacks to growth initiatives if cash generation doesn't improve.
Sharp TTM revenue decline and large net losses
A material TTM revenue decline and outsized net losses signal weakened earnings power and degraded return on capital. If this trend persists, it threatens margin sustainability, long‑term profitability, and the company’s ability to scale operations profitably, increasing pressure on the balance sheet and strategic options over coming quarters.
Financing and dilution risk from equity raises/acquisitions
Recent equity financing and plans for an equity‑heavy acquisition create durable dilution risk for current shareholders. When combined with ongoing cash burn, reliance on stock or preferred‑stock consideration to conserve cash can reduce per‑share economics and investor returns unless acquisitions drive sustained revenue and margin expansion.

Cycurion (CYCU) vs. SPDR S&P 500 ETF (SPY)

Cycurion Business Overview & Revenue Model

Company DescriptionCycurion, Inc. is a cybersecurity company providing advanced network security solutions for government agencies, enterprises, and critical infrastructure. The company specializes in threat detection, risk management, and secure communications, leveraging AI-driven analytics and real-time monitoring to protect against evolving cyber threats.
How the Company Makes MoneyCycurion generates revenue through several key streams. Primarily, the company earns income by selling its cybersecurity software solutions and subscription-based services, which provide clients with continuous access to its security tools and updates. Additionally, Cycurion offers consulting services to help organizations assess their security posture and implement tailored security strategies, generating further revenue. The company may also engage in strategic partnerships with other tech firms and service providers, which can result in joint offerings and expanded market reach, thereby contributing to its overall earnings.

Cycurion Financial Statement Overview

Summary
Financial performance is pressured by a sharp TTM profitability deterioration (large net losses relative to revenue) and continued negative operating/free cash flow indicating ongoing cash burn and potential financing/dilution risk. This is partially offset by a stronger leverage profile in TTM (no debt) and prior-year profitability in 2024.
Income Statement
22
Negative
TTM (Trailing-Twelve-Months) results show a sharp deterioration: revenue fell materially and profitability swung deeply negative, with net losses far exceeding the revenue base. While 2024 was profitable with positive operating margins, the step-down into very large TTM losses and declining revenue trajectory are major red flags, partially offset by the prior-year profitability improvement versus 2023.
Balance Sheet
55
Neutral
The balance sheet looks mixed but improved on leverage: TTM shows no debt and a larger equity base, which materially strengthens financial flexibility versus 2023–2024 when leverage was high (debt well above equity). The key weakness is poor earnings power, reflected in very weak returns on equity in the TTM period, which could pressure the balance sheet if losses persist.
Cash Flow
28
Negative
Cash generation is weak: operating cash flow and free cash flow are negative across all periods shown, including a large TTM cash burn. Free cash flow improved versus the prior period (less negative), but the business is still not self-funding, and the ongoing cash outflows raise financing and dilution risk if profitability does not recover.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue15.67M17.77M19.35M0.000.00
Gross Profit2.73M3.63M2.64M0.000.00
EBITDA-15.72M2.47M6.68K-450.19K-11.37K
Net Income-17.44M1.23M-2.10M-700.92K-11.37K
Balance Sheet
Total Assets32.31M25.56M20.80M16.54M327.03K
Cash, Cash Equivalents and Short-Term Investments3.65M38.74K607.87K96.19K3.91K
Total Debt0.0010.22M9.78M7.57M80.00K
Total Liabilities16.90M20.18M15.55M11.52M313.40K
Stockholders Equity19.09M5.38M5.25M5.02M13.63K
Cash Flow
Free Cash Flow-9.90M-1.82M-2.00M-1.32M-2.97K
Operating Cash Flow-9.63M-1.37M-1.99M-1.32M-2.97K
Investing Cash Flow207.96K-885.07K-706.71K-115.63M-98.12K
Financing Cash Flow12.43M1.69M3.21M117.75M105.00K

Cycurion Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.20
Price Trends
50DMA
3.11
Negative
100DMA
4.76
Negative
200DMA
7.98
Negative
Market Momentum
MACD
-0.26
Positive
RSI
28.94
Positive
STOCH
8.72
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CYCU, the sentiment is Negative. The current price of 2.2 is below the 20-day moving average (MA) of 2.60, below the 50-day MA of 3.11, and below the 200-day MA of 7.98, indicating a bearish trend. The MACD of -0.26 indicates Positive momentum. The RSI at 28.94 is Positive, neither overbought nor oversold. The STOCH value of 8.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CYCU.

Cycurion Risk Analysis

Cycurion disclosed 99 risk factors in its most recent earnings report. Cycurion reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Cycurion Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$19.27B19.7534.19%6.31%25.27%
75
Outperform
$123.35B111.2615.33%15.30%-60.71%
71
Outperform
$60.43B33.46228.04%14.78%22.52%
66
Neutral
$111.28B-347.36-8.88%22.05%-341.24%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
44
Neutral
$7.95M-184.82%-81.60%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CYCU
Cycurion
2.05
-587.34
-99.65%
CHKP
Check Point
180.21
-33.66
-15.74%
FTNT
Fortinet
81.29
-19.61
-19.44%
PANW
Palo Alto Networks
175.42
-7.37
-4.03%
CRWD
CrowdStrike Holdings
438.85
41.28
10.38%

Cycurion Corporate Events

Business Operations and StrategyM&A Transactions
Cycurion Plans Acquisition of Kustom Entertainment Video Division
Positive
Jan 27, 2026

On January 22, 2026, Cycurion, Inc. announced it had signed a non-binding memorandum of understanding to acquire the video solutions division of Kustom Entertainment, Inc., a developer of body-worn cameras, in-car video systems, and digital evidence management tools for law enforcement, public safety, and commercial customers. The contemplated deal, valued at $6.0 million to $8.4 million with a predominantly equity-based purchase price and limited cash component, is designed to be accretive by adding about $5.1 million in annual revenue in 2026—roughly a 35% uplift versus 2025—as well as an $8.0 million secured backlog and more than 300 subscription contracts across roughly 400 key accounts globally. Management highlights the strategic fit between Kustom’s video and evidence-management technologies and Cycurion’s AI-powered cybersecurity platforms, positioning the combined business to offer integrated, end-to-end public safety and cyber-secure video solutions, unlock cross-selling into Kustom’s broad client base, and support margin expansion through high‑margin recurring revenues, though closing remains subject to customary approvals and the parties are not obligated to complete the transaction.

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

DividendsPrivate Placements and Financing
Cycurion Updates Special Stock Dividend Distribution Ratio
Neutral
Dec 30, 2025

On December 26, 2025, Cycurion, Inc. announced it had corrected the distribution ratio for its previously declared special dividend of $500,000 in CYCU common shares to approximately 0.0080 shares per share on a fully diluted basis, down from the earlier stated 0.0180 ratio. The adjustment reflects the inclusion of common shares issuable upon exercise of warrants from a private placement that closed on December 5, 2025, while all other terms of the dividend, including the December 15, 2025 record date, the expected December 30, 2025 payment date, and the total of about 83,333 shares valued at $6.00 each, remain unchanged, clarifying the final dilution and payout mechanics for existing shareholders.

The most recent analyst rating on (CYCU) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and Strategy
Cycurion Earns Spot on 2025 MSSP Alert Rankings
Positive
Dec 19, 2025

On December 16, 2025, Cycurion announced that it debuted at No. 116 on MSSP Alert’s 2025 Top 250 Managed Security Service Providers list, placing it in the top half of ranked firms and marking its first year of inclusion in the global survey. The recognition, based on metrics such as recurring revenue, profitability, growth, security staff strength and breadth of managed services, underscores Cycurion’s positioning as an emerging, AI-focused cybersecurity MSSP and highlights the growing prominence of its flagship Cyber Shield platform as it seeks to solidify its standing among leading security service providers.

The most recent analyst rating on (CYCU) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

DividendsPrivate Placements and Financing
Cycurion Updates Dividend Distribution Ratio
Neutral
Dec 16, 2025

On December 11, 2025, Cycurion, Inc. announced an update to its dividend distribution ratio, now set at 0.0180 CYCU common shares per existing share, due to terms from a recent private placement and outstanding securities. This update pertains to a special dividend valued at $500,000, with a record date of December 15, 2025, and payment expected around December 30, 2025, impacting shareholders by adjusting the distribution of shares without cash for fractional shares.

The most recent analyst rating on (CYCU) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and Strategy
Cycurion CEO Highlights 2025 Strategic Achievements
Positive
Dec 10, 2025

In a year-end interview, Cycurion‘s CEO Kevin Kelly reflected on the company’s strategic achievements in 2025, highlighting its growth, strengthened technology portfolio, and expanded market presence. After going public in February 2025, Cycurion focused on right-sizing, reducing debt, and using its ELOC for acquisitions, setting the stage for organic growth and corporate expansion in 2026.

The most recent analyst rating on (CYCU) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and StrategyDividendsStock Split
Cycurion Announces Special Dividend in Common Shares
Positive
Dec 9, 2025

On December 5, 2025, Cycurion Inc. announced a special dividend of $500,000 in CYCU common shares to be distributed to shareholders of record as of December 15, 2025, with payment expected around December 30, 2025. This move, following a 30-for-1 reverse stock split earlier in the year, aims to strengthen shareholder ownership and maintain a robust balance sheet for future growth, reflecting Cycurion’s strategic focus on enhancing investor value and positioning within the cybersecurity industry.

The most recent analyst rating on (CYCU) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Cycurion Secures $6M in Private Placement Deal
Positive
Dec 5, 2025

On December 4, 2025, Cycurion announced a securities purchase agreement with a single institutional investor, resulting in a private placement of common stock and warrants for approximately $6 million. The closing of this offering occurred on December 5, 2025, with A.G.P./Alliance Global Partners acting as the placement agent. The proceeds are intended to support Cycurion’s working capital and general corporate purposes, accelerating its inorganic growth strategy and enhancing its position in AI-powered cybersecurity and government IT solutions.

The most recent analyst rating on (CYCU) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and Strategy
Cycurion Secures Florida Management Consulting Contract
Positive
Dec 3, 2025

On December 2, 2025, Cycurion, Inc. announced it has been awarded a position on the State of Florida’s Management Consulting Services State Term Contract. This contract allows Cycurion to provide management consulting services to state agencies across Florida, supporting operational excellence and modernization. The award reflects Cycurion’s trusted track record and dedication to partnering with government customers, offering strategic planning, program management, and other advisory services to enhance public sector operations.

The most recent analyst rating on (CYCU) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Cycurion and IQSTEL Strengthen Strategic Alliance
Positive
Dec 1, 2025

On November 25, 2025, Cycurion and IQSTEL announced a strengthened strategic alliance by retaining $1,000,000 worth of cross-holdings and distributing $500,000 of their own shares to respective shareholders. This decision emphasizes their long-term commitment and joint development plans, enhancing shareholder value and market confidence. Both companies are co-developing advanced technologies in cybersecurity and AI, targeting telecom operators, financial institutions, and enterprise clients globally.

The most recent analyst rating on (CYCU) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and StrategyDelistings and Listing ChangesRegulatory Filings and Compliance
Cycurion Regains Nasdaq Compliance Amid New Contract Win
Positive
Nov 14, 2025

Cycurion, Inc. faced a potential delisting from the Nasdaq Global Market due to non-compliance with the minimum bid price rule but successfully regained compliance by November 11, 2025, allowing its securities to continue trading without interruption. Additionally, Cycurion was awarded a significant contract by a major telecommunications company to modernize a federal agency’s emergency warning network, a project spanning over 1,300 sites and valued at over $1 million, highlighting its strong industry positioning and trusted partnerships.

The most recent analyst rating on (CYCU) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and Strategy
Cycurion Subsidiary Secures $1.1M Data Modernization Contract
Positive
Nov 6, 2025

On November 5, 2025, Cycurion‘s subsidiary, SLG Innovation, Inc., secured a $1.1 million contract to modernize legacy data systems for a major county-level public guardian office in the U.S. This project, which involves migrating sensitive data to a secure Microsoft SQL Server platform, enhances Cycurion’s role in mission-essential modernization services. The initiative is part of Cycurion’s $73.6 million backlog and demonstrates its capacity to maintain operational continuity during government shutdowns, reinforcing its industry position as a critical provider of cybersecurity and IT modernization services.

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

Business Operations and StrategyProduct-Related Announcements
Cycurion Launches Strategic Cybersecurity Webinar Series
Positive
Oct 30, 2025

On October 30, 2025, Cycurion, Inc. announced a strategic cybersecurity webinar series in collaboration with the National Association of County and City Health Officials (NACCHO) aimed at empowering healthcare organizations with critical threat intelligence and defensive strategies. This initiative positions Cycurion as a leader in proactive cybersecurity awareness, providing public sector leaders with the necessary tools to combat evolving digital threats. The three-part series, featuring industry expert Eric Singleton, will focus on equipping decision-makers and IT professionals with practical frameworks to enhance their cyber posture, particularly in the healthcare sector. The sessions will address the sophistication of cyber threats, especially during vulnerable periods like the holiday season, and offer actionable defense strategies tailored to the unique challenges of public health organizations.

The most recent analyst rating on (CYCU) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Business Operations and Strategy
Cycurion Secures Florida IT Staff Augmentation Contract
Positive
Oct 29, 2025

On October 29, 2025, Cycurion, Inc. announced its selection as an approved vendor under the Florida State Term Contract for IT Staff Augmentation Services. This multi-year contract allows Cycurion to provide IT talent to Florida state agencies, municipalities, and eligible public entities, positioning the company at the forefront of Florida’s digital modernization efforts. The contract facilitates direct engagement with Cycurion for mission-critical IT services without competitive bidding, ensuring cost transparency and streamlined procurement. This development underscores Cycurion’s role in supporting Florida’s strategic IT initiatives, such as smart cities and telehealth expansion, and highlights its strong track record in delivering secure and results-driven IT staffing.

The most recent analyst rating on (CYCU) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Delistings and Listing ChangesStock Split
Cycurion Implements Reverse Stock Split Amid Nasdaq Appeal
Neutral
Oct 28, 2025

On October 27, 2025, Cycurion, Inc. announced the successful implementation of a one-for-thirty reverse stock split, which reduced the number of outstanding shares from approximately 86.5 million to 2.9 million. This move, which aims to position the company for institutional investment and strengthen its balance sheet, comes amid an appeal to the Nasdaq Hearings Panel regarding a delisting determination, with a hearing scheduled for November 20, 2025.

The most recent analyst rating on (CYCU) stock is a Hold with a $0.50 price target. To see the full list of analyst forecasts on Cycurion stock, see the CYCU Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jan 28, 2026