Knightscope Inc Class A (KSCP) AI Stock Analysis

• Market Cap: $50.71M
• Dividend Yield: N/A
• Average Volume (3M): 819.25K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.63
• Revenue Growth: -6.61%
• EPS Growth: 40.20%
• Country: US
• Employees: 71
• Sector: Industrials
• Sector Strength: 83
• Industry: Security & Protection Services
• EPS (TTM): -13.80
• Shares Outstanding: 8,185,615
• 10 Day Avg. Volume: 466,157
• 30 Day Avg. Volume: 819,246
• 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: 1.68
• Enterprise Value/Revenue: 7.72
• Enterprise Value/Gross Profit: -25.15
• Enterprise Value/Ebitda: -3.40
• 1Y Price Target: $12.88
• Price Target Upside: 123.61% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 48 Neutral
• Price Target: $5.50 ▼(-4.51% Downside)

Knightscope Inc.'s overall stock score is primarily influenced by its financial performance challenges, including negative profitability and cash flow issues. While the earnings call provided some positive insights into revenue growth and operational improvements, the technical indicators and valuation metrics remain weak. The company's ongoing efforts to improve efficiency and achieve profitability are positive, but significant risks and uncertainties persist.

Positive Factors

Cost Management

General and administrative expenses were down approximately 24.0% year over year, which highlights the company's ongoing cost discipline.

Market Opportunity

In the U.S., a fragmented marketplace of over 8,000 private security firms and 19,000 law enforcement agencies presents a growth opportunity for Knightscope's technologies.

Revenue Growth

Revenue of $2.9M was up approximately 29.0% from the year ago period as the company works through its existing backlog and moves towards more material growth beginning in 2H25.

Negative Factors

Investor Sentiment

Recent deterioration in share value is largely driven by shifting investor risk tolerances as the level of macro uncertainty rises.

Macroeconomic Challenges

The near term environment remains challenging with potential tariffs, and general macro uncertainty likely to put some pressure on new sales.

Operational Disruption

The company's move to a new facility this Summer could potentially cause some short term disruption.

Knightscope Inc Class A Business Overview & Revenue Model

Company Description

Knightscope, Inc. designs, develops, builds, deploys, and supports physical security technologies in the United States. The company's solutions combine the physical presence of autonomous security robots (ASR) with real-time on-site data collection and analysis, and a human-machine interface to reduce crime. Its products include K3 and K5 ASRs designed to roam a geo-fenced area autonomously by utilizing numerous sensors and lasers, either on a random basis or based on a particular patrolling algorithm to navigate around people, vehicles, and objects in dynamic indoor or outdoor environments; K1, an ASR for used in indoors or outdoors and at ingress/egress points for both people and vehicles; and K7, a multi-terrain ASR. The company also develops and operates the Knightscope security operations center (KSOC), a browser-based interface, which allows real-time data access service to its clients for alert of an abnormal event; and Knightscope network operations center (KNOC), a custom set of tools that enables it to manage and monitor the network of ASRs with alerts related to critical indicators and statistics, including charging, software, navigation, and temperatures, as well as to execute over-the-air software upgrades, patches, and other related items. In addition, it offers Knightscope+ remote monitoring, an optional service for clients that operate without a fully staffed 24/7 security operations center. The company serves law enforcement agencies, hospitals, and security teams. Knightscope, Inc. was incorporated in 2013 and is headquartered in Mountain View, California.

How the Company Makes Money

Knightscope Inc makes money primarily through the sale and leasing of its autonomous security robots. The company offers subscription-based services, which include the deployment and maintenance of its robots, providing clients with ongoing access to its security technology. Knightscope also generates revenue through service contracts that provide continuous monitoring and support. The company's key revenue streams are its leasing agreements and service contracts, which are often established with businesses, corporate campuses, and public institutions seeking enhanced security solutions.

Knightscope Inc Class A Financial Statement Overview

Summary

Knightscope Inc. is facing significant financial challenges, with persistent net losses and negative cash flow. Despite some improvements in the balance sheet and past revenue growth, the company struggles with profitability and relies heavily on financing. Improvements in equity and debt levels are positive, but operational inefficiencies and cash flow deficits remain major concerns.

Income Statement

Knightscope Inc. shows a persistent pattern of negative net income and low gross profit margins, with gross profit margin at -25.5% for TTM and a worsening EBIT margin at -243.6%. Revenue growth is present but inconsistent, with a notable 103.6% increase from 2021 to 2022, but a decline of 15.6% from 2023 to 2024. The company struggles with profitability, reflected in its consistently negative EBITDA and net profit margins.

Balance Sheet

The balance sheet indicates some improvement, with positive stockholders' equity of $18.2 million in the TTM period, a reversal from past negative equity. The debt-to-equity ratio improved significantly to 0.09, suggesting reduced leverage. However, the equity ratio is still concerning at 61.0%, indicating moderate reliance on external financing. Overall, there is a move towards stability, but past high leverage and equity deficits are risk factors.

Cash Flow

The cash flow statement reveals ongoing challenges with negative operating cash flow and free cash flow, at -$20.2 million and -$21.1 million respectively for TTM. Free cash flow has slightly improved compared to the prior period, but remains negative. The operating cash flow to net income ratio is not favorable due to persistent net losses. Cash flows depend heavily on financing activities, highlighting potential liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.01M	10.80M	12.80M	5.63M	3.41M	3.33M
Gross Profit	-3.38M	-3.70M	-2.35M	-3.32M	-2.06M	-1.30M
EBITDA	-25.00M	-26.55M	-19.20M	-14.70M	-37.96M	-15.72M
Net Income	-31.10M	-31.73M	-22.12M	-25.64M	-43.84M	-19.34M
Balance Sheet
Total Assets	29.22M	28.18M	22.97M	22.08M	17.58M	12.94M
Cash, Cash Equivalents and Short-Term Investments	8.21M	11.12M	2.38M	4.81M	10.75M	7.06M
Total Debt	7.58M	5.73M	2.93M	10.74M	8.24M	6.27M
Total Liabilities	14.11M	12.40M	15.40M	29.89M	43.30M	13.97M
Stockholders Equity	15.12M	15.78M	7.57M	-7.80M	-25.71M	-1.02M
Cash Flow
Free Cash Flow	-21.90M	-22.50M	-29.28M	-24.18M	-20.22M	-15.80M
Operating Cash Flow	-21.68M	-22.45M	-24.16M	-24.06M	-20.11M	-15.17M
Investing Cash Flow	-2.60M	-3.18M	-5.12M	-9.93M	-2.33M	-632.45K
Financing Cash Flow	29.76M	34.48M	26.85M	27.96M	26.13M	22.25M

Knightscope Inc Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.76
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KSCP, the sentiment is Negative. The current price of 5.76 is below the 20-day moving average (MA) of 6.53, below the 50-day MA of 6.26, and below the 200-day MA of 8.99, indicating a bearish trend. The MACD of -0.24 indicates Positive momentum. The RSI at 43.84 is Neutral, neither overbought nor oversold. The STOCH value of 64.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KSCP.

Knightscope Inc Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.80B	16.55	6.58%	2.06%	2.37%	-15.86%
SPCB	59 Neutral	$43.26M	27.80	9.92%	―	―	―
UUU	54 Neutral	$7.63M	15.24	9.89%	―	18.39%	―
GFAI	51 Neutral	$23.86M	―	-20.57%	―	0.18%	91.18%
KSCP	48 Neutral	$50.71M	―	-236.56%	―	-6.61%	40.20%
DGLY	47 Neutral	$3.01M	―	-118.58%	―	-28.69%	65.07%
IVDA	―	$5.04M	―	-112.33%	―	―	―

Knightscope Inc Class A Corporate Events

Knightscope Inc Reduces Quorum Requirement in Bylaws

On July 18, 2025, Knightscope, Inc. announced an amendment to its bylaws, reducing the quorum requirement for stockholder meetings from a majority to one-third of voting power. This change aims to minimize the risk of failing to achieve quorum, which could lead to additional costs and disruptions for the company.

The most recent analyst rating on (KSCP) stock is a Buy with a $32.00 price target. To see the full list of analyst forecasts on Knightscope Inc Class A stock, see the KSCP Stock Forecast page.

Knightscope Inc Announces $50M Stock Offering Plan

On July 18, 2025, Knightscope, Inc. announced the filing of a prospectus supplement related to the issuance and sale of up to $50 million in Class A common stock under an At The Market Offering Agreement. This move is part of the company’s strategy to raise capital and potentially strengthen its market position, although it does not constitute an immediate offer or sale of shares.

The most recent analyst rating on (KSCP) stock is a Buy with a $9.00 price target. To see the full list of analyst forecasts on Knightscope Inc Class A stock, see the KSCP Stock Forecast page.