Kornit Digital (KRNT) AI Stock Analysis

• Market Cap: $641.38M
• Dividend Yield: N/A
• Average Volume (3M): 404.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.33
• Revenue Growth: 5.53%
• EPS Growth: 75.65%
• Country: US
• Employees: 715
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.03
• Shares Outstanding: 45,327,503
• 10 Day Avg. Volume: 467,633
• 30 Day Avg. Volume: 404,929
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 2.34
• Enterprise Value/Gross Profit: 5.02
• Enterprise Value/Ebitda: -28.51
• 1Y Price Target: $23.70
• Price Target Upside: 65.97% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 44 Neutral
• Price Target: $15.00 ▲(5.04% Upside)

Kornit Digital's overall score is primarily impacted by its financial performance and technical analysis. Strong revenue growth is overshadowed by profitability challenges and bearish technical indicators. Valuation concerns due to a negative P/E ratio further weigh down the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and demand for Kornit's products, supporting long-term business expansion.

Strategic Development Agreement

This agreement enhances Kornit's market presence and demonstrates the value of its technology to major global brands, potentially leading to new revenue streams.

Annual Recurring Revenue Increase

Growing recurring revenues contribute to a more predictable and stable financial outlook, reducing reliance on one-time sales.

Negative Factors

Profitability Challenges

Negative EBITDA margins indicate ongoing profitability issues, which could hinder investment in growth and innovation.

Decline in Service and Consumable Revenues

A decline in these revenues suggests potential challenges in maintaining customer engagement and recurring income.

ARR Tracking Below Expectations

Underperformance in ARR growth may impact long-term revenue stability and indicate slower adoption of new business models.

Kornit Digital Business Overview & Revenue Model

Company Description

Kornit Digital (KRNT) is a leading provider of digital textile printing solutions, specializing in advanced technology that enables on-demand and environmentally friendly production of customized and high-quality textiles. The company operates primarily in the textile and apparel sectors, offering a range of products including direct-to-garment (DTG) printers, digital textile printers, and associated inks and software solutions. Kornit’s innovative systems cater to various industries, from fashion and home décor to promotional items, empowering businesses with the ability to streamline their printing processes and reduce waste.

How the Company Makes Money

Kornit Digital generates revenue through a combination of product sales, service contracts, and consumables. Its primary revenue streams include the sale of digital printing systems, proprietary inks, and software licenses. The company also earns recurring revenue from service agreements and maintenance contracts for its printing equipment. Additionally, Kornit has established strategic partnerships with major brands and retailers, enhancing its market presence and expanding its customer base. These collaborations often lead to joint development initiatives and increased adoption of Kornit's technology, further contributing to its overall earnings.

Kornit Digital Financial Statement Overview

Summary

Kornit Digital shows strong revenue growth but struggles with profitability and cash flow sustainability. The balance sheet is stable with low leverage, but negative ROE highlights inefficiencies. Operational efficiency improvements are needed.

Income Statement

Kornit Digital's income statement shows a mixed performance. The company has experienced a significant revenue growth rate of 39.6% in the TTM period, indicating strong top-line growth. However, profitability remains a concern with negative net profit and EBIT margins, reflecting ongoing operational challenges. The gross profit margin is relatively healthy at 46.67%, suggesting efficient production processes, but the negative net profit margin of -5.43% highlights the need for cost control and improved operational efficiency.

Balance Sheet

The balance sheet of Kornit Digital is relatively stable with a low debt-to-equity ratio of 0.027, indicating conservative leverage and financial stability. However, the return on equity is negative at -1.53%, reflecting the company's struggle to generate returns for shareholders. The equity ratio is strong, suggesting a solid capital structure, but the negative ROE indicates potential inefficiencies in asset utilization.

Cash Flow

Kornit Digital's cash flow statement presents a mixed picture. The operating cash flow to net income ratio is positive at 1.10, indicating that the company is generating cash from its operations. However, the free cash flow growth rate is negative at -15.48%, suggesting challenges in maintaining cash flow growth. The free cash flow to net income ratio of 0.56 indicates that a significant portion of net income is being converted into free cash flow, but the decline in free cash flow growth is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	207.64M	203.82M	219.79M	271.52M	322.01M	193.33M
Gross Profit	96.91M	91.76M	66.96M	96.50M	151.91M	87.80M
EBITDA	-17.07M	-24.27M	-72.83M	-54.11M	12.79M	-2.02M
Net Income	-11.27M	-16.80M	-64.35M	-79.06M	15.53M	-4.78M
Balance Sheet
Total Assets	765.96M	787.48M	865.58M	957.67M	1.04B	628.99M
Cash, Cash Equivalents and Short-Term Investments	431.61M	463.87M	332.50M	400.01M	648.84M	364.30M
Total Debt	19.20M	18.38M	23.61M	26.02M	26.96M	22.64M
Total Liabilities	61.21M	60.59M	69.91M	88.84M	122.70M	109.97M
Stockholders Equity	704.75M	726.90M	795.67M	868.82M	919.55M	519.02M
Cash Flow
Free Cash Flow	27.71M	33.59M	-41.69M	-117.70M	37.03M	18.80M
Operating Cash Flow	49.76M	48.73M	-34.68M	-99.35M	52.46M	32.41M
Investing Cash Flow	53.81M	31.49M	26.21M	-407.27M	88.93M	-114.63M
Financing Cash Flow	-100.71M	-84.81M	-56.52M	-332.00K	344.38M	167.04M

Kornit Digital Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 14.28
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KRNT, the sentiment is Neutral. The current price of 14.28 is above the 20-day moving average (MA) of 13.76, below the 50-day MA of 14.44, and below the 200-day MA of 20.17, indicating a neutral trend. The MACD of -0.16 indicates Negative momentum. The RSI at 52.09 is Neutral, neither overbought nor oversold. The STOCH value of 67.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KRNT.

Kornit Digital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CVV	57 Neutral	$28.22M	―	-1.47%	―	34.35%	93.12%
BWEN	51 Neutral	$52.07M	―	-3.73%	―	-18.38%	-128.11%
LASE	45 Neutral	$55.25M	―	-61.47%	―	123.75%	66.85%
KRNT	44 Neutral	$641.38M	―	-1.51%	―	5.53%	75.65%
BURU	35 Underperform	$45.35M	―	―	―	-98.68%	91.24%

Kornit Digital Corporate Events

Kornit Digital Announces Results of 2025 Annual Shareholder Meeting

On September 15, 2025, Kornit Digital Ltd. held its annual general meeting of shareholders at its offices in Israel. During the meeting, shareholders approved the re-election of Dov Ofer and Ofer Ben-Zur as Class I directors for a three-year term, and the re-appointment of Kost Forer Gabbay & Kasierer as the company’s independent registered public accounting firm for the year ending December 31, 2025. These approvals reflect the company’s ongoing commitment to maintaining strong leadership and financial oversight, which are crucial for its strategic growth and market positioning.

Kornit Digital Announces 2025 Annual General Meeting

Kornit Digital Ltd. has announced its 2025 annual general meeting of shareholders, scheduled for September 15, 2025, at its offices in Rosh Ha’Ayin, Israel. Shareholders of record as of August 11, 2025, are entitled to vote on the re-election of directors and the re-appointment of the company’s independent auditors. The meeting will also include discussions on the company’s financial statements for the year ended December 31, 2024. This meeting is crucial for stakeholders as it involves decisions on leadership continuity and financial oversight, impacting Kornit’s strategic direction and governance.

Kornit Digital Announces Second Quarter 2025 Financial Results

Kornit Digital reported its second-quarter 2025 results on August 6, 2025, with revenues of $49.8 million, aligning with previous guidance. Despite a challenging market environment, the company saw positive adoption of its Apollo and AIC systems, particularly among screen-printing customers. Kornit continues to focus on scaling its business towards recurring revenue and long-term growth, maintaining adjusted EBITDA profitability and operating cash flow generation.