One Stop Systems (OSS) AI Stock Analysis

• Market Cap: $169.16M
• Dividend Yield: N/A
• Average Volume (3M): 651.89K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.57
• Revenue Growth: 14.33%
• EPS Growth: 36.97%
• Country: US
• Employees: 103
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): 0.03
• Shares Outstanding: 24,515,491
• 10 Day Avg. Volume: 443,906
• 30 Day Avg. Volume: 651,888
• PEG Ratio: -0.05
• Price to Book (P/B): 2.58
• Price to Sales (P/S): 1.28
• P/FCF Ratio: -149.08
• Enterprise Value/Market Cap: 0.72
• Enterprise Value/Revenue: 2.03
• Enterprise Value/Gross Profit: 7.00
• Enterprise Value/Ebitda: -24.72
• 1Y Price Target: $9.00
• Price Target Upside: 30.43% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: $7.00 ▲(1.45% Upside)

Overall score reflects weak underlying profitability and cash flow in the financial statements as the largest constraint, partially offset by a strong, guidance-raising earnings update and a positive divestiture that should strengthen the balance sheet. Technicals are neutral-to-modestly constructive, while valuation remains less supportive due to negative earnings.

Positive Factors

Balance-sheet strength from divestiture

The sale of Bressner for ~$22.4M and an expected pre-tax gain materially increases cash and reduces foreign operating complexity. This provides durable flexibility to shore up liquidity, fund R&D or targeted M&A, and address prior cash-generation constraints over the medium term.

Accelerating revenue and raised guidance

Sustained double-digit revenue growth and an upgraded full-year revenue range signal durable demand for OSS’s high-performance and ruggedized compute products. Coupled with improved gross margins and positive quarterly EBITDA, this supports long-term scalability and reinvestment capacity into product roadmaps.

Strong bookings and repeat customer wins

A book-to-bill of 1.4 and repeat production orders (e.g., Safran) indicate durable customer relationships and program-based revenue with multi-year visibility. These recurring, defense-oriented programs support backlog-driven revenue predictability and higher long-term customer lifetime value.

Negative Factors

Negative operating and free cash flow

Persistent negative operating and free cash flows weaken internal funding ability and increase reliance on external capital or asset sales to support operations. Over months this constrains discretionary R&D, raises execution risk, and can force dilutive financing if cash conversion does not improve.

Ongoing unprofitable margins

While revenue has grown, negative EBIT and net margins and a negative ROE show the company has yet to translate sales into sustainable profitability. Without persistent margin expansion, profitability shortfalls will limit retained earnings and long-term capacity to self-fund growth initiatives.

Revenue timing risk from government dependence

Heavy exposure to government and defense bookings creates structural timing and concentration risk: sole-source awards and contract timing can be delayed by political events. That uncertainty can materially affect multi-quarter revenue recognition and operational planning for hardware programs.

One Stop Systems Business Overview & Revenue Model

Company Description

One Stop Systems, Inc. designs, manufactures, and markets high-performance computing modules and systems for edge deployments in the United States and internationally. Its systems are built using the graphical processing unit and solid-state flash technologies. The company provides custom servers, data acquisition platforms, compute accelerators, solid-state storage arrays, PCIe expansion products, and system I/O expansion systems, as well as edge optimized industrial and panel PCs. It also offers ruggedized mobile tablets and handhelds that meet the specialized requirement for devices deployed at the edge in a diverse set of environmental conditions. The company sells its products to multinational companies, governmental agencies, military contractors, and technology providers through its website, web store, direct sales team, and original equipment manufacturer focused sales, as well as through a network of resellers and distributors. One Stop Systems, Inc. was founded in 1998 and is headquartered in Escondido, California.

How the Company Makes Money

OSS generates revenue through the sale of its high-performance computing systems, including ruggedized servers and custom solutions tailored to specific industry requirements. The company has established key revenue streams through direct sales to government and military contracts, partnerships with original equipment manufacturers (OEMs), and collaborations with technology firms to integrate OSS products into their offerings. Additionally, OSS benefits from ongoing maintenance and support contracts, which provide a stable source of recurring revenue. The company's focus on innovation and responsiveness to market demands also allows it to capitalize on emerging trends in AI and data processing, further enhancing its earnings potential.

One Stop Systems Financial Statement Overview

Summary

One Stop Systems is facing financial challenges, particularly in profitability and cash flow management. While there is some revenue growth, the company needs to address its negative margins and improve cash flow generation to enhance financial health. The balance sheet remains relatively stable, but the negative return on equity highlights the need for better operational efficiency.

Income Statement

One Stop Systems has shown a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) revenue growth rate is positive at 9.16%, indicating some recovery. However, the company is struggling with profitability, as evidenced by negative net profit and EBIT margins. The gross profit margin has improved slightly, but the overall profitability remains a concern.

Balance Sheet

The balance sheet reflects a moderate level of financial stability. The debt-to-equity ratio is relatively low at 0.21, suggesting manageable leverage. However, the return on equity is negative, indicating that the company is not generating sufficient returns on its equity base. The equity ratio is not explicitly calculated, but the company's equity position appears stable.

Cash Flow

Cash flow analysis reveals significant challenges. The operating cash flow and free cash flow are both negative, with the free cash flow growth rate showing volatility. The operating cash flow to net income ratio is negative, indicating inefficiencies in converting income into cash. The free cash flow to net income ratio is above 1, suggesting that the company is managing to generate some cash relative to its net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	60.26M	54.69M	60.90M	72.42M	61.98M	51.90M
Gross Profit	17.48M	7.72M	17.95M	20.40M	19.64M	16.43M
EBITDA	-4.95M	-11.41M	-3.35M	3.41M	4.95M	1.55M
Net Income	-6.91M	-13.63M	-6.72M	-2.23M	2.33M	-6.54K
Balance Sheet
Total Assets	43.06M	36.93M	48.27M	56.36M	51.59M	39.13M
Cash, Cash Equivalents and Short-Term Investments	6.51M	10.01M	11.82M	13.24M	19.64M	6.32M
Total Debt	6.50M	2.83M	4.23M	4.30M	3.73M	5.39M
Total Liabilities	16.72M	9.76M	8.68M	12.04M	9.63M	9.84M
Stockholders Equity	26.34M	27.17M	39.58M	44.32M	41.96M	29.29M
Cash Flow
Free Cash Flow	-7.71M	-470.85K	-1.26M	-8.34M	5.06M	-1.07M
Operating Cash Flow	-7.18M	-108.10K	-439.68K	-7.81M	5.62M	-250.17K
Investing Cash Flow	2.64M	4.19M	1.52M	3.91M	-15.11M	-818.79K
Financing Cash Flow	1.47M	-1.18M	-171.34K	1.95M	8.43M	2.11M

One Stop Systems Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.90
• 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 OSS, the sentiment is Positive. The current price of 6.9 is below the 20-day moving average (MA) of 7.22, above the 50-day MA of 6.04, and above the 200-day MA of 4.68, indicating a neutral trend. The MACD of 0.26 indicates Positive momentum. The RSI at 52.42 is Neutral, neither overbought nor oversold. The STOCH value of 18.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OSS.

One Stop Systems Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
OSS	56 Neutral	$169.16M	-21.27	-24.26%	―	14.33%	36.97%
ALOT	51 Neutral	$70.27M	-4.12	-19.92%	―	-2.07%	-535.26%
TACT	51 Neutral	$39.03M	-4.79	-23.00%	―	8.27%	-308.63%
INVE	47 Neutral	$85.28M	-4.40	-12.36%	―	-66.00%	28.84%
UAVS	45 Neutral	$64.02M	-0.37	-110.92%	―	-6.34%	98.60%
QMCO	44 Neutral	$105.24M	-0.36	―	―	-9.11%	-61.28%

One Stop Systems Corporate Events

One Stop Systems Completes Sale of German Subsidiary

On December 30, 2025, One Stop Systems sold 100% of the equity of its German holding company One Stop Systems GmbH, the sole owner of Bressner Technology GmbH, to Hiper Euro GmbH for a base purchase price of $22.0 million, subject to customary post-closing adjustments for working capital, cash, indebtedness and transaction expenses. The transaction included an escrow for potential purchase price adjustments, a buyer-side representation and warranty insurance policy with $5.0 million of coverage, and mutual indemnification and restrictive covenants, and the company has issued unaudited pro forma condensed consolidated financial statements to reflect the significant disposition and illustrate how OSS’s balance sheet and operations would have looked had the separation occurred earlier, signaling a streamlined post-transaction profile with increased cash and reduced German operational exposure for stakeholders.

The most recent analyst rating on (OSS) stock is a Buy with a $9.00 price target. To see the full list of analyst forecasts on One Stop Systems stock, see the OSS Stock Forecast page.