Interlink Electronics (LINK) AI Stock Analysis

• Market Cap: $69.35M
• Dividend Yield: N/A
• Average Volume (3M): 35.16K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.74
• Revenue Growth: -18.62%
• EPS Growth: -112.68%
• Country: US
• Employees: 102
• Sector: Technology
• Sector Strength: 91
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.09
• Shares Outstanding: 9,864,214
• 10 Day Avg. Volume: 18,901
• 30 Day Avg. Volume: 35,156
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 5.47
• Enterprise Value/Gross Profit: 14.22
• Enterprise Value/Ebitda: -41.34
• 1Y Price Target: $10.00
• Price Target Upside: 42.25% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 51 Neutral
• Price Target: $6.50 ▼(-7.54%Downside)

Interlink Electronics' overall score is impacted primarily by financial pressures such as declining revenues and negative profitability. While technical indicators show some potential for recovery, valuation concerns persist with a negative P/E ratio. The recent stock issuance agreement provides a positive outlook for strategic growth.

Positive Factors

AI Demand

AI demand remains strong, providing a positive outlook for semiconductor components linked to Interlink Electronics, Inc.

China Market

Improving GPU supply to the China market is driving a new product cycle.

India's C&W Sector

There is a positive sentiment towards near-term demand fundamentals in India’s C&W sector.

Negative Factors

NIH Funding

Delayed funding is likely to significantly impact instruments and capital equipment, which could worsen sentiment around NIH funding.

Oil and Gas Prices

Oil and gas prices, changes to global deflationary environment leading to equipment oversupply and pricing pressures, which can negatively impact margins, FCF generation.

Piotech Profitability

New product ramp up could weigh on Piotech's near-term profitability and take time to recover.

Interlink Electronics Business Overview & Revenue Model

Company Description

Interlink Electronics, Inc. (LINK) is a global leader in human-machine interface (HMI) and force-sensing technology. The company operates in the electronics sector, focusing on the design, development, and manufacturing of intuitive HMI solutions such as touchpads, force-sensing resistors, and other related components. These products serve various industries, including consumer electronics, automotive, industrial controls, and medical devices, enabling enhanced user interaction and control.

How the Company Makes Money

Interlink Electronics generates revenue through the sale of its HMI and force-sensing products to a diverse range of industries. Its key revenue streams include direct sales of its components and solutions to OEMs (Original Equipment Manufacturers) and through distribution channels. The company also engages in custom design and engineering services, which provide additional revenue by tailoring solutions to specific client needs. Significant partnerships with major companies in the automotive, industrial, and consumer electronics sectors further bolster its earnings by expanding market reach and securing long-term contracts. Interlink's ability to innovate and adapt its technology to emerging market demands plays a crucial role in sustaining its revenue growth.

Interlink Electronics Financial Statement Overview

Summary

Interlink Electronics faces financial pressures with declining revenue and profitability. Despite a strong equity base, negative cash flows and ongoing losses highlight significant financial challenges.

Income Statement

Interlink Electronics has faced declining revenue and profitability in recent periods. The TTM revenue shows a slight decrease compared to the previous year, and the company has been unable to achieve positive net income, leading to negative net profit margins. The gross profit margin has also declined from previous years, indicating potential cost pressures. The consistent negative EBIT and EBITDA margins suggest challenges in operational efficiency.

Balance Sheet

The company maintains a solid equity base with an equity ratio consistently above 70%, reflecting financial stability. However, the debt-to-equity ratio has increased slightly due to rising liabilities, although it remains at a manageable level. The return on equity has been negative due to ongoing net losses, indicating a need for improved profitability.

Cash Flow

Operating and free cash flows have been negative, highlighting cash flow challenges. The company's operating cash flow to net income ratio is negative, suggesting inefficient cash generation relative to reported losses. Free cash flow has experienced volatility, impacting the company's ability to fund operations and growth internally.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.68M	13.94M	7.49M	7.48M	6.89M
Gross Profit	4.85M	6.56M	3.86M	4.06M	3.90M
EBITDA	-1.06M	424.00K	-420.00K	202.00K	110.00K
Net Income	-1.98M	-383.00K	1.27M	-734.00K	113.00K
Balance Sheet
Total Assets	13.12M	15.06M	14.98M	13.78M	10.02M
Cash, Cash Equivalents and Short-Term Investments	2.95M	4.30M	10.09M	10.78M	6.12M
Total Debt	1.13M	159.00K	177.00K	175.00K	545.00K
Total Liabilities	2.62M	2.03M	1.14M	1.07M	1.18M
Stockholders Equity	10.49M	13.03M	13.85M	12.71M	8.84M
Cash Flow
Free Cash Flow	-544.00K	-239.00K	-957.00K	72.00K	-51.00K
Operating Cash Flow	-367.00K	-116.00K	-915.00K	231.00K	39.00K
Investing Cash Flow	-491.00K	-4.88M	735.00K	-159.00K	-90.00K
Financing Cash Flow	-400.00K	-750.00K	-350.00K	4.52M	186.00K

Interlink Electronics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.03
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LINK, the sentiment is Positive. The current price of 7.03 is below the 20-day moving average (MA) of 7.29, above the 50-day MA of 6.51, and above the 200-day MA of 6.19, indicating a neutral trend. The MACD of 0.06 indicates Positive momentum. The RSI at 50.75 is Neutral, neither overbought nor oversold. The STOCH value of 11.95 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LINK.

Interlink Electronics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ELTK	70 Outperform	$70.70M	20.41	8.80%	1.80%	1.05%	-51.90%
Sector *	69 Neutral	¥234.01B	14.95	7.54%	2.58%	9.26%	5.89%
SOTK	56 Neutral	$52.06M	36.53	8.17%	―	8.40%	-18.22%
LINK	51 Neutral	$69.35M	―	-18.75%	―	-18.62%	-112.68%
LPTH	47 Neutral	$126.98M	―	-24.86%	―	2.59%	-48.02%
OPTX	47 Neutral	$62.74M	41.30	-2.17%	―	―	―
WRAP	43 Neutral	$67.77M	―	-166.89%	―	-44.97%	75.63%

Interlink Electronics Corporate Events

Interlink Electronics Holds Successful 2025 Annual Meeting

Interlink Electronics, Inc. held its 2025 annual meeting of stockholders on June 3, 2025, where 95.69% of the shares entitled to vote were represented. During the meeting, Steven N. Bronson, Joy C. Hou, David J. Wolenski, and Maria N. Fregosi were elected as directors, the compensation of executive officers was approved, and LMHS, P.C. was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (LINK) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on Interlink Electronics stock, see the LINK Stock Forecast page.

Interlink Electronics Announces New Stock Issuance Agreement

On May 15, 2025, Interlink Electronics, Inc. entered into an At-The-Market Issuance Sales Agreement with Lake Street Capital Markets, LLC, allowing the company to offer and sell up to $6,000,000 of its common stock. The proceeds from this offering are intended for working capital, capital expenditures, general corporate purposes, and potential acquisitions, enhancing the company’s financial flexibility and strategic growth opportunities.

The most recent analyst rating on (LINK) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on Interlink Electronics stock, see the LINK Stock Forecast page.