Conservative Leverage / Strong Balance SheetVery low debt and steadily growing equity give Surge durable financial flexibility. A conservative capital structure reduces refinancing risk, supports working capital for distribution, and permits opportunistic investments or weathering cyclical downturns without stressing liquidity over the next several months.

Consistent Positive Free Cash FlowPositive free cash flow across reported years underpins operational health for a distributor with inventory needs. Persistent FCF supports supplier payments, inventory funding, and self-funded growth or buyback/dividend optionality, reducing reliance on external financing over the medium term.

Stable Gross MarginsStable gross margins indicate durable product economics and consistent distributor markups on passive components. That stability provides a margin floor insulating gross profitability from input cost swings and supports margin recovery if operating expenses are controlled over subsequent quarters.

Bears Say

Weakening Operating Cash FlowA sharp decline in operating cash flow signals deteriorating cash generation tied to inventory, receivables, or margin pressure. For a distribution business, weakened OCF reduces the ability to fund working capital and capital expenditures internally and increases sensitivity to supplier/customer credit terms over coming quarters.

Revenue Volatility And Earnings VisibilityMaterial swings in revenue reduce predictability of demand and complicate inventory and supplier planning for a reseller. Volatility undermines forecasting, can inflate working capital needs, and limits management’s ability to commit to long-term investments or margin-improving initiatives reliably.

Lower Returns On Equity / Capital EfficiencyDeclining ROE indicates the company is generating significantly less profit from its equity base than in prior years. Reduced capital efficiency may reflect competitive margin pressure or suboptimal asset utilization, limiting capacity to generate shareholder value without operational improvements.

Surge Components News

Surge Components Holds Annual Meeting, Elects Directors

Surge Components ( ($SPRS) ) has shared an announcement. On November 25, 2025, Surge Components held its Annual...

3M ago

SPRS

SPRS FAQ

What was Surge Components Inc’s price range in the past 12 months?

Surge Components Inc lowest stock price was $1.94 and its highest was $3.63 in the past 12 months.

What is Surge Components Inc’s market cap?

Surge Components Inc’s market cap is $20.12M.

When is Surge Components Inc’s upcoming earnings report date?

Surge Components Inc’s upcoming earnings report date is Apr 20, 2026 which is in 48 days.

How were Surge Components Inc’s earnings last quarter?

Surge Components Inc released its earnings results on Feb 27, 2026. The company reported $0.086 earnings per share for the quarter, beating the consensus estimate of N/A by $0.086.

Is Surge Components Inc overvalued?

According to Wall Street analysts Surge Components Inc’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Surge Components Inc pay dividends?

Surge Components Inc does not currently pay dividends.

What is Surge Components Inc’s EPS estimate?

Surge Components Inc’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Surge Components Inc have?

Surge Components Inc has 5,716,792 shares outstanding.

What happened to Surge Components Inc’s price movement after its last earnings report?

Surge Components Inc reported an EPS of $0.086 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 5.038%.

Which hedge fund is a major shareholder of Surge Components Inc?

Currently, no hedge funds are holding shares in SPRS

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Surge Components Inc

Surge Components, Inc., together with its subsidiaries, supplies electronic products and components. The company offers capacitors, which are electrical energy storage devices; and discrete semiconductor components, such as rectifiers, transistors, diodes, and circuit protection devices. It also provides audible components, including audible transducers, buzzers, speakers, microphones, resonators, alarms, chimes, filters, and discriminators, as well as fuses, printed circuit boards, and switches. The company's products are used in the electronic circuitry of various industries, including automotive, computer, communications, cellular telephones, consumer electronics, garage door openers, security equipment, audio equipment, telecom products, computer related products, power supply products, utility meters, and household appliances. It sells its products to original equipment manufacturers and distributors through independent sales representatives or organizations in the United States, Canada, China, other Asian countries, South America, and Europe. The company was incorporated in 1981 and is headquartered in Deer Park, New York.