Samsara (IOT) AI Stock Analysis

• Market Cap: $22.49B
• Dividend Yield: N/A
• Average Volume (3M): 5.57M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.81
• Revenue Growth: 28.96%
• EPS Growth: 84.06%
• Country: US
• Employees: 3,500
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.15
• Shares Outstanding: 358,191,770
• 10 Day Avg. Volume: 8,765,092
• 30 Day Avg. Volume: 5,571,186
• PEG Ratio: 3.84
• Price to Book (P/B): 26.80
• Price to Sales (P/S): 22.93
• P/FCF Ratio: 257.00
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 15.02
• Enterprise Value/Gross Profit: 19.53
• Enterprise Value/Ebitda: 3.73K
• 1Y Price Target: $50.85
• Price Target Upside: 33.01% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: $45.00 ▲(17.71% Upside)

Samsara's strong earnings call performance, including ARR growth and achieving GAAP profitability, significantly boosts its score. Financial performance shows improvement but remains a challenge due to ongoing unprofitability. Technical indicators suggest positive momentum, but caution is advised due to potential overbought conditions. Valuation is negatively impacted by the lack of profitability and dividend yield.

Positive Factors

Revenue Growth

Samsara's strong ARR growth indicates robust demand for its IoT solutions, supporting long-term revenue expansion and market leadership.

Strategic Partnerships

The partnership with Allianz UK enhances Samsara's market reach and product adoption, leveraging data-driven insights to improve fleet safety and efficiency.

Product Innovation

Innovative product launches expand Samsara's offerings, meeting diverse customer needs and strengthening its competitive advantage in IoT solutions.

Negative Factors

Profitability Challenges

Ongoing net losses and negative profit margins highlight profitability challenges, potentially impacting Samsara's long-term financial sustainability.

Tariff and Regulatory Uncertainty

Tariff and regulatory uncertainties can disrupt sales cycles and introduce variability in results, challenging Samsara's operational stability.

Negative Return on Equity

Negative return on equity indicates inefficiencies in capital utilization, potentially limiting Samsara's ability to generate shareholder value.

Samsara Business Overview & Revenue Model

Company Description

Samsara Inc. provides solutions that connect physical operations data to its Connected Operations Cloud in the United States and internationally. The company's Connected Operations Cloud includes Data Platform, which ingests, aggregates, and enriches data from its IoT devices and has embedded capabilities for AI, workflows and analytics, alerts, API connections, and data security and privacy; and applications for video-based safety, vehicle telematics, apps and driver workflows, equipment monitoring, and site visibility. It serves customers across a range of industries, including transportation and logistics, construction, field services, utilities and energy, government, healthcare and education, manufacturing, wholesale and retail trade, and food and beverage. The company was incorporated in 2015 and is based in San Francisco, California.

How the Company Makes Money

Samsara generates revenue primarily through a subscription-based model, where customers pay recurring fees for access to its IoT platform and services. Key revenue streams include hardware sales, such as GPS devices and sensors, and monthly or annual subscription fees for software services that include data analytics, real-time monitoring, and reporting tools. Additionally, Samsara benefits from long-term contracts with clients, which provide predictable revenue. The company also cultivates significant partnerships with businesses in various industries, enhancing its product offerings and expanding its market reach, thereby contributing to its overall earnings.

Samsara Financial Statement Overview

Summary

Samsara shows strong revenue growth and improving profitability metrics, though it remains unprofitable. The balance sheet is solid with low leverage, and cash flow metrics indicate effective cash management. Continued focus on reducing losses and enhancing cash flow is crucial.

Income Statement

Samsara's income statement shows a strong gross profit margin of 76.9% TTM, indicating efficient cost management. Revenue growth is positive at 6.6% TTM, although it has slowed compared to previous periods. The net profit margin remains negative, but has improved significantly from -12.4% to -2.8% TTM, reflecting a narrowing loss. EBIT and EBITDA margins are also negative, but show improvement, suggesting progress towards profitability.

Balance Sheet

The balance sheet reflects a solid equity position with a low debt-to-equity ratio of 0.058 TTM, indicating low financial leverage. However, the return on equity is negative at -7.97% TTM, highlighting ongoing profitability challenges. The equity ratio is strong, suggesting a stable financial structure despite the negative ROE.

Cash Flow

Cash flow analysis reveals a robust free cash flow growth of 14.5% TTM, indicating improved cash generation. The operating cash flow to net income ratio is positive, reflecting better cash conversion. The free cash flow to net income ratio is high at 0.88 TTM, suggesting efficient cash management despite net losses.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.25B	937.38M	652.54M	428.35M	249.91M
Gross Profit	950.88M	690.35M	469.89M	303.86M	174.51M
EBITDA	-164.45M	-171.08M	-167.10M	-304.39M	-173.01M
Net Income	-154.91M	-286.73M	-247.42M	-355.02M	-210.21M
Balance Sheet
Total Assets	2.02B	1.73B	1.62B	1.57B	886.63M
Cash, Cash Equivalents and Short-Term Investments	694.80M	547.66M	689.86M	921.22M	399.89M
Total Debt	80.28M	99.49M	122.92M	144.96M	173.27M
Total Liabilities	955.11M	819.70M	678.99M	578.98M	1.42B
Stockholders Equity	1.07B	915.15M	938.02M	988.95M	-532.80M
Cash Flow
Free Cash Flow	111.48M	-22.77M	-136.26M	-190.83M	-203.87M
Operating Cash Flow	131.66M	-11.81M	-103.02M	-171.48M	-171.77M
Investing Cash Flow	-66.62M	-78.69M	-631.85M	-20.04M	-32.20M
Financing Cash Flow	27.10M	21.00M	14.21M	701.64M	401.97M

Samsara Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 38.23
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IOT, the sentiment is Negative. The current price of 38.23 is below the 20-day moving average (MA) of 39.61, below the 50-day MA of 38.99, and below the 200-day MA of 39.14, indicating a bearish trend. The MACD of 0.61 indicates Positive momentum. The RSI at 44.48 is Neutral, neither overbought nor oversold. The STOCH value of 8.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IOT.

Samsara Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PANW	73 Outperform	$130.40B	116.35	15.33%	―	15.30%	-60.71%
FTNT	71 Outperform	$61.33B	32.68	228.04%	―	14.78%	22.52%
IOT	69 Neutral	$22.49B	-509.73	-3.68%	―	28.96%	84.06%
CRWD	67 Neutral	$123.16B	-372.03	-8.88%	―	22.05%	-341.24%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
NET	61 Neutral	$69.19B	-643.68	-8.88%	―	28.06%	-7.44%
ZS	60 Neutral	$37.12B	-862.92	-2.41%	―	23.24%	-8.83%

Samsara Corporate Events

Samsara Appoints Gary Steele to Board of Directors

On August 16, 2025, Samsara Inc. announced the appointment of Gary Steele to its Board of Directors, effective September 1, 2025. Steele, with over 30 years of experience in software, cybersecurity, and AI innovation, is expected to bring significant value to Samsara’s ongoing product innovation and operational excellence. His previous roles include CEO positions at Shield AI, Splunk Inc., and Proofpoint, Inc. Steele’s appointment aligns with Samsara’s commitment to expanding its product offerings and driving multi-product adoption, reinforcing its position as a leader in connected operations.

The most recent analyst rating on (IOT) stock is a Buy with a $46.00 price target. To see the full list of analyst forecasts on Samsara stock, see the IOT Stock Forecast page.