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Transact Technologies Inc. (TACT)
NASDAQ:TACT
US Market
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Transact Technologies (TACT) AI Stock Analysis

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TACT

Transact Technologies

(NASDAQ:TACT)

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Neutral 61 (OpenAI - 5.2)
Rating:61Neutral
Price Target:
$5.50
▲(42.86% Upside)
Action:Reiterated
Date:06/30/26
The score is driven primarily by improving operating performance and raised EBITDA guidance from the latest earnings call, supported by a low-leverage balance sheet and positive free cash flow. These positives are tempered by still-inconsistent profitability (negative TTM earnings), an unattractive/less-informative negative P/E, and limited visibility into technical momentum due to missing indicator data.
Positive Factors
Consistent positive operating and free cash flow
Sustained positive operating and free cash flow provides durable financial flexibility to fund BOHA! platform rollout, targeted buybacks, and working capital needs without relying on new debt. This supports reinvestment and cushions against cyclical revenue swings.
Negative Factors
Inconsistent and still-negative trailing profitability
Profitability has swung materially year-to-year; lingering negative TTM net margin and volatile historical earnings reduce predictability for sustained reinvestment, dividend or buyback pacing and raise execution risk for scaling higher-margin software.
Read all positive and negative factors
Positive Factors
Negative Factors
Consistent positive operating and free cash flow
Sustained positive operating and free cash flow provides durable financial flexibility to fund BOHA! platform rollout, targeted buybacks, and working capital needs without relying on new debt. This supports reinvestment and cushions against cyclical revenue swings.
Read all positive factors

Transact Technologies (TACT) vs. SPDR S&P 500 ETF (SPY)

Transact Technologies Business Overview & Revenue Model

Company Description
TransAct Technologies Incorporated designs, develops, and markets transaction-based and specialty printers and terminals in the United States and internationally. It offers thermal printers and terminals to generate labels, coupons, and transactio...
How the Company Makes Money
TransAct primarily makes money by selling transaction-printing hardware (specialty printers) into its served markets, generating product revenue at the time of shipment. A meaningful portion of its business is tied to recurring or repeat purchase ...

Transact Technologies Earnings Call Summary

Earnings Call Date:May 12, 2026
(Q1-2026)
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% Change Since: |
Next Earnings Date:Aug 12, 2026
Earnings Call Sentiment Positive
The call presented a largely positive operational and financial picture: top-line growth (+10% YoY), a meaningful adjusted EBITDA turnaround to $1.4M, strong recurring software and ARR momentum (+23% software, recurring FST +26% YoY), accelerated software platform go-live, and reaffirmed guidance with an increased EBITDA outlook. Offsets include a modest decline in FST hardware sales, a drop in ARPU (-7% YoY), declining legacy consumables/TSG revenue, and some SG&A increases. On balance the positive improvements in profitability, recurring revenue growth, and strategic progress outweigh the headwinds, supporting an overall constructive outlook.
Positive Updates
Top-Line Growth
Total net sales of $14.4M in Q1 FY26, up 10% year-over-year (from $13.1M). Management reaffirmed 2026 net sales guidance of $55M–$57M.
Negative Updates
FST Net Sales Softness
FST net sales were $4.7M in Q1, down 4% YoY (from $4.9M) and down 2% sequentially from Q4 FY25 ($4.8M), reflecting lower hardware sales despite recurring revenue growth.
Read all updates
Q1-2026 Updates
Negative
Top-Line Growth
Total net sales of $14.4M in Q1 FY26, up 10% year-over-year (from $13.1M). Management reaffirmed 2026 net sales guidance of $55M–$57M.
Read all positive updates
Company Guidance
Management reaffirmed 2026 net sales guidance of $55–$57 million and raised full‑year adjusted EBITDA guidance to $1.0–$1.75 million, citing a strong Q1 start: Q1 net sales $14.4M, adjusted EBITDA $1.4M, net income $0.8M ($0.07/share), gross margin 50.3% (they expect high‑40s for FY), cash $18.8M and $3.0M of debt. They emphasized recurring/software momentum — software revenue +23% YoY, recurring/ARR revenue $3.3M, ARPU $709 (down from $761 a year ago) — and healthy unit metrics: 1.37k BOHA! terminals sold in Q1 and nearly 20k online terminals (↑1.06k YoY). Other Q1 highlights included 22 new logos (~1.4k potential future units), labels revenue $2.6M (+26% YoY), casino & gaming sales $8.3M (+24% YoY, +55% sequential), a cloud go‑live for BOHA! pulled forward to late Q2 2026, and a long‑term target of $100–$200 recurring software revenue per machine per month.

Transact Technologies Financial Statement Overview

Summary
Mixed fundamentals: strong balance sheet (low leverage; Balance Sheet Score 72) and positive operating/free cash flow (Cash Flow Score 64) support flexibility, but profitability is not yet consistently positive (Income Statement Score 45) and results have been volatile across years.
Income Statement
45
Neutral
Balance Sheet
72
Positive
Cash Flow
64
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue52.84M51.48M43.38M72.63M58.14M39.39M
Gross Profit25.91M25.02M21.48M38.40M24.41M15.38M
EBITDA292.00K-73.00K-2.21M7.70M-6.36M-4.97M
Net Income-493.00K-1.24M-9.86M4.75M-5.94M-4.04M
Balance Sheet
Total Assets47.89M44.77M44.03M54.48M51.83M50.93M
Cash, Cash Equivalents and Short-Term Investments18.84M20.43M14.39M12.32M7.95M19.46M
Total Debt6.36M3.56M4.19M3.90M4.81M2.57M
Total Liabilities15.60M13.65M13.40M15.07M17.97M11.95M
Stockholders Equity32.29M31.12M30.63M39.41M33.86M38.98M
Cash Flow
Free Cash Flow6.56M7.56M1.54M4.61M-13.52M-3.89M
Operating Cash Flow6.89M7.67M1.86M5.51M-12.22M-2.51M
Investing Cash Flow-2.16M-1.61M-322.00K-901.00K-1.30M222.00K
Financing Cash Flow-138.00K-119.00K634.00K-87.00K2.06M11.47M

Transact Technologies Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.85
Price Trends
50DMA
4.47
Positive
100DMA
3.93
Positive
200DMA
4.14
Positive
Market Momentum
MACD
0.18
Positive
RSI
54.15
Neutral
STOCH
32.57
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TACT, the sentiment is Positive. The current price of 3.85 is below the 20-day moving average (MA) of 5.25, below the 50-day MA of 4.47, and below the 200-day MA of 4.14, indicating a neutral trend. The MACD of 0.18 indicates Positive momentum. The RSI at 54.15 is Neutral, neither overbought nor oversold. The STOCH value of 32.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TACT.

Transact Technologies Risk Analysis

Transact Technologies disclosed 39 risk factors in its most recent earnings report. Transact Technologies reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Transact Technologies Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
$221.64M-162.51-1.75%-2.47%91.69%
65
Neutral
$340.08M44.4618.31%-2.54%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
$53.33M-121.55-1.56%15.50%94.41%
54
Neutral
$44.41M-2.56-15.75%-18.35%-170.78%
46
Neutral
$13.87M-0.94-7.04%11.39%30.41%
40
Underperform
$4.47M-0.30-17.53%-16.56%-412.98%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TACT
Transact Technologies
5.19
1.47
39.52%
ALOT
AstroNova
28.52
17.11
149.96%
KTCC
Key Tronic
4.09
1.09
36.33%
SCKT
Socket Mobile
0.54
-0.65
-54.45%
OSS
One Stop Systems
13.73
8.66
170.81%
EBON
Ebang International Holdings
2.12
-3.02
-58.75%

Transact Technologies Corporate Events

Business Operations and StrategyExecutive/Board Changes
TransAct Technologies Names Troy Ingianni as New CFO
Positive
Jun 29, 2026
On June 29, 2026, TransAct Technologies announced that veteran finance executive Troy W. Ingianni has been appointed Chief Financial Officer, Secretary, Treasurer and Principal Accounting Officer, effective July 1, 2026. Ingianni, a CPA with more ...
Executive/Board ChangesShareholder Meetings
TransAct Shareholders Approve Directors, Auditor and Executive Pay
Positive
May 27, 2026
At its 2026 Annual Meeting of Stockholders held on May 26, 2026, TransAct Technologies shareholders elected six directors — John M. Dillon, Audrey P. Dunning, Daniel M. Friedberg, Randall S. Friedman, Emanuel P. N. Hilario, and Haydee Ortiz ...
Business Operations and StrategyExecutive/Board ChangesStock BuybackFinancial Disclosures
TransAct Reports Strong Q1 Results and Leadership Transition
Positive
May 12, 2026
On May 12, 2026, TransAct reported preliminary first-quarter 2026 results showing net sales up 10% year over year to $14.4 million, a return to GAAP profitability, and a 26% rise in recurring food service technology revenue to $3.3 million, suppor...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 30, 2026