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Geospace Technologies (GEOS)
NASDAQ:GEOS
US Market
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Geospace Technologies (GEOS) AI Stock Analysis

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GEOS

Geospace Technologies

(NASDAQ:GEOS)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
$7.00
▼(-1.13% Downside)
Action:Reiterated
Date:08/07/26
GEOS scores low primarily due to weakening operating performance and sustained cash burn (negative margins and negative operating/free cash flow), which outweigh the benefit of a very conservatively levered balance sheet. Technicals reinforce the cautious view with the stock trading below major moving averages and muted momentum. The earnings call adds mixed signals—important longer-dated contract catalysts and cost controls, but near-term revenue contraction and larger losses dominate. Valuation is hard to support on earnings given the negative P/E and no dividend yield data.
Positive Factors
Conservative balance sheet, very low leverage
Extremely low leverage provides durable financial flexibility to absorb oilfield cyclicality and lumpy order timing. A conservatively funded balance sheet reduces near-term refinancing risk, supports working capital and allows management to prioritize product development or selective R&D during downturns.
Negative Factors
Material negative operating and free cash flow
Sustained cash burn erodes financial runway and forces reliance on credit lines or working capital; that constrains investment, product development and hiring. Without consistent positive operating cash flow, the company risks curtailing growth initiatives or needing dilutive financing within months.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet, very low leverage
Extremely low leverage provides durable financial flexibility to absorb oilfield cyclicality and lumpy order timing. A conservatively funded balance sheet reduces near-term refinancing risk, supports working capital and allows management to prioritize product development or selective R&D during downturns.
Read all positive factors

Geospace Technologies Key Performance Indicators (KPIs)

Any
Any
Revenue by Geography
Revenue by Geography
Chart Insights
Data provided by:The Fly

Geospace Technologies (GEOS) vs. SPDR S&P 500 ETF (SPY)

Geospace Technologies Business Overview & Revenue Model

Company Description
Geospace Technologies Corporation, founded in Houston, Texas, in 1980, specializes in the development and manufacturing of cutting-edge instruments and equipment. Its primary focus is on supporting the oil and gas industry by providing tools desig...
How the Company Makes Money
Geospace makes money mainly by selling and, in some cases, leasing seismic data acquisition equipment to oil and gas exploration and production customers and to seismic service providers/contractors that conduct surveys for those operators. The co...

Geospace Technologies Earnings Call Summary

Earnings Call Date:Aug 06, 2026
(Q3-2026)
|
% Change Since: |
Next Earnings Date:Nov 19, 2026
Earnings Call Sentiment Negative
The call presents a mixed but predominantly negative near-term picture: the company reported material year-over-year revenue declines and a large swing to net losses, with several end markets (Smart Water, Energy Solutions, Intelligent Industrial) showing sizable revenue contractions and margin pressure from inflation and supply-chain issues. Positive developments include a $10.8 million U.S. Navy contract, the Series V connector release, entry into full production on the PRM contract (with no change to contract value), cost reductions, and early momentum on new products (heartbeat detector). However, the magnitude of the revenue declines and cash-burn concerns outweigh the positives in the near term.
Positive Updates
U.S. Navy Contract Awarded
Quantum Technology Sciences received a $10.8 million contract from the U.S. Navy to deliver a seismic acoustic detection and ranging system (SADAR + PRM integration). The contract is an SBIR-style initial award with expected delivery by December 2027 and revenue recognition spanning fiscal 2027–2028 on a progress/percentage-of-completion basis, and could support larger follow-on opportunities if the Navy proceeds.
Negative Updates
Significant Revenue Decline — Companywide
Q3 revenue was $15.8 million versus $24.8 million in the prior-year quarter, a decline of approximately 36.3%. For the 9 months, revenue was $61.1 million versus $80.1 million a year ago, a decline of approximately 23.7%.
Read all updates
Q3-2026 Updates
Negative
U.S. Navy Contract Awarded
Quantum Technology Sciences received a $10.8 million contract from the U.S. Navy to deliver a seismic acoustic detection and ranging system (SADAR + PRM integration). The contract is an SBIR-style initial award with expected delivery by December 2027 and revenue recognition spanning fiscal 2027–2028 on a progress/percentage-of-completion basis, and could support larger follow-on opportunities if the Navy proceeds.
Read all positive updates
Company Guidance
Management declined to give formal forward revenue or earnings guidance but disclosed key metrics and timing: Q3 revenue was $15.8M with a net loss of $9.7M (−$0.75/diluted) versus prior‑year Q3 revenue of $24.8M; 9‑month revenue was $61.1M with a 9‑month net loss of $30.5M (−$2.37/diluted) versus $80.1M and a $0.7M loss a year ago. Segment detail: Smart Water Q3 $4.6M (down 56% YoY; 9M $14.1M vs $27.3M), Energy Solutions Q3 $5.9M (down 28%; 9M $30.1M vs $35.0M), Intelligent Industrial Q3 $5.2M (down 14%; 9M ~ $16.7M vs $17.6M). Operating expenses fell $1.2M in Q3 and $0.4M for 9M; 9‑month capex was $3.3M; available borrowings $25M; working capital $41M (including $17M trade/financing receivables). Management said the $10.8M Navy SBIR will be recognized over time (revenue beginning FY27, complete by Dec‑2027/FY28), the Petrobras PRM contract was extended with no change in value but revenue shifted into FY27 (final production expected between fiscal Q3–Q4 2027), and emphasized cash management, cost reductions and converting pipeline opportunities.

Geospace Technologies Financial Statement Overview

Summary
Overall fundamentals are pressured despite a strong balance sheet. Income statement trends show sharp profitability deterioration (TTM net and EBIT margins around -29% with gross margin ~14%) and a reversal from 2023 profitability. Cash flow is a key weakness with materially negative TTM operating cash flow (~-$25.5M) and free cash flow (~-$31.6M), indicating ongoing cash burn. Offsetting this, leverage is extremely low (debt-to-equity ~0.7%), providing financial flexibility, but returns remain negative (ROE about -24% TTM).
Income Statement
28
Negative
Balance Sheet
78
Positive
Cash Flow
22
Negative
BreakdownTTMSep 2025Sep 2024Sep 2023Sep 2022Sep 2021
Income Statement
Total Revenue100.89M110.80M135.60M124.51M89.25M94.86M
Gross Profit14.39M32.90M52.57M51.69M18.04M16.29M
EBITDA-18.33M979.00K8.49M28.94M-3.06M7.30M
Net Income-29.11M-9.72M-6.58M12.21M-22.86M-14.06M
Balance Sheet
Total Assets136.72M153.04M152.19M153.04M135.06M163.93M
Cash, Cash Equivalents and Short-Term Investments13.36M26.34M37.12M33.72M17.00M23.56M
Total Debt769.00K974.00K512.00K769.00K1.01M1.23M
Total Liabilities31.58M27.53M17.57M20.33M13.41M21.47M
Stockholders Equity105.13M125.51M134.62M132.72M121.65M142.46M
Cash Flow
Free Cash Flow-31.59M-30.20M-12.94M1.67M-16.00M-12.48M
Operating Cash Flow-25.50M-22.23M-9.08M15.56M-10.04M-7.17M
Investing Cash Flow31.21M42.69M3.82M-11.88M14.15M-3.32M
Financing Cash Flow-703.00K-1.01M-6.38M-525.00K-1.71M-8.23M

Geospace Technologies Technical Analysis

Technical Analysis Sentiment
Negative
Last Price7.08
Price Trends
50DMA
7.27
Negative
100DMA
8.59
Negative
200DMA
12.84
Negative
Market Momentum
MACD
-0.02
Negative
RSI
44.44
Neutral
STOCH
64.34
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GEOS, the sentiment is Negative. The current price of 7.08 is above the 20-day moving average (MA) of 7.08, below the 50-day MA of 7.27, and below the 200-day MA of 12.84, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 44.44 is Neutral, neither overbought nor oversold. The STOCH value of 64.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GEOS.

Geospace Technologies Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$123.35M8.7716.53%3.44%9.13%
68
Neutral
$708.44M-445.46-0.55%3.93%99.16%
67
Neutral
$462.93M20.947.99%1.29%11.28%27.38%
66
Neutral
$185.27M7.699.10%21.72%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
56
Neutral
$488.17M-4.33-17.80%-2.80%-1752.76%
48
Neutral
$94.56M-3.22-24.22%-13.43%-78.10%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GEOS
Geospace Technologies
6.82
-10.50
-60.62%
FET
Forum Energy Tech
75.23
57.07
314.26%
NGS
Natural Gas Services Group
36.40
12.67
53.38%
OIS
Oil States International
8.31
3.40
69.25%
SND
Smart Sand
4.42
2.71
158.63%
NCSM
Ncs Multistage Holdings
48.64
14.76
43.57%
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: Aug 07, 2026