TechPrecision (TPCS) AI Stock Analysis

• Market Cap: $45.46M
• Dividend Yield: N/A
• Average Volume (3M): 29.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.00
• Revenue Growth: 1.15%
• EPS Growth: 94.58%
• Country: US
• Employees: 162
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): -0.15
• Shares Outstanding: 10,012,950
• 10 Day Avg. Volume: 28,454
• 30 Day Avg. Volume: 29,066
• PEG Ratio: 0.12
• Price to Book (P/B): 2.49
• Price to Sales (P/S): 0.64
• P/FCF Ratio: -4.61
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 1.68
• Enterprise Value/Gross Profit: 9.33
• Enterprise Value/Ebitda: 37.75
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: $4.50 ▼(-15.41% Downside)

The score is held down primarily by weak financial quality (ongoing losses, elevated leverage, and materially negative TTM free cash flow). Technicals also lean bearish with the stock below key moving averages and a negative MACD. The earnings call adds some support via funded backlog/grants and margin improvement, but near-term liquidity tightness and Stadco execution risk remain significant.

Positive Factors

Funded Backlog & Grants

A $46M funded backlog plus over $24M of fully funded grants gives multi-year revenue visibility and lowers near-term sales risk. This supports capacity planning and predictable workstreams across 1–3 years, helping stabilize throughput and margin planning while the company shifts to repeatable programs.

Ranor Segment Profitability

Sustained profitability at Ranor provides an internal cash- and profit-generating anchor for TechPrecision. A profitable subsidiary reduces consolidated volatility, funds working capital, and demonstrates the company can operate competitively in mission-critical defense programs.

Margin Improvement & Debt Reduction

Improving gross margins alongside positive operating/investing cash and a ~9.5% reduction in debt indicate better operational discipline. These trends enhance financial flexibility, reduce interest burden, and increase runway to execute backlog while management focuses on controllable costs and cash conservation.

Negative Factors

Weak Cash Generation

Deeply negative free cash flow and essentially depleted cash balances present structural liquidity risk. The company will likely need external financing or working-capital improvements to fund operations and backlog completion, which can dilute equity or constrain investment in growth and capacity.

Stadco Execution Losses

Persistent operating losses and legacy contract provisions at Stadco are structural execution problems that erode consolidated margins and consume management attention. Continued underperformance may require capital injections, contract renegotiations, or restructuring, all of which weigh on long-term profitability.

Concentration & Scalability Limits

Heavy customer and program concentration plus reliance on one-off/first-article work limit scalability and increase revenue volatility. Unless TechPrecision converts funded backlog and grants into recurring program work, top-line expansion and durable margin improvement will remain uncertain.

TechPrecision Business Overview & Revenue Model

Company Description

TechPrecision Corporation, together with its subsidiaries, manufactures and sells precision, fabricated, and machined metal structural components and systems in the United States. The company operates through two segments, Ranor and Stadco. It provides custom components for ships, submarines, military helicopters, aerospace equipment, components for nuclear power plants, and components for medical systems. The company also provides support services to its manufacturing capabilities comprising manufacturing engineering, quality control, materials procurement, production control, and final assembly. Its finished products are used various markets, including defense, aerospace, nuclear, medical, and precision industrial. TechPrecision Corporation was founded in 1956 and is headquartered in Westminster, Massachusetts.

How the Company Makes Money

TechPrecision generates revenue primarily through the provision of precision manufacturing services and the sale of specialized components. Its revenue model is based on contract manufacturing agreements, where the company partners with clients to produce components on a per-project basis, often involving long-term contracts with recurring revenue potential. Key revenue streams include custom machining services, assembly operations, and the production of specialized parts for high-demand industries. Additionally, the company may benefit from strategic partnerships with major industry players, which can lead to increased order volumes and collaborative projects, further contributing to its earnings.

TechPrecision Financial Statement Overview

Summary

Operating profile is improving (TTM gross margin rebound to ~18% and smaller losses vs prior years), but performance remains weak: TTM revenue slightly down (-1.57%), net margin negative (~-3.4%), leverage is elevated (TTM debt-to-equity ~1.32), and free cash flow is deeply negative (TTM about -$4.44M), indicating ongoing cash burn and balance-sheet risk until profitability and cash generation materially improve.

Income Statement

TTM (Trailing-Twelve-Months) revenue is roughly flat to down (revenue growth -1.57%) and profitability remains weak, with a net loss (net margin about -3.4%). The company is showing improvement versus the deeper losses in FY2024 and FY2025 annual results, and gross margin has rebounded in TTM (~18.0%) from FY2025 (~12.7%), but earnings power is still not consistently positive (negative net income and near-breakeven operating results). Overall: recovering margins and smaller losses, but not yet sustainably profitable.

Balance Sheet

Leverage is elevated with debt higher than equity (TTM debt-to-equity ~1.32), though it has improved from FY2024 (~1.63). Equity remains positive, but returns to shareholders are still negative (TTM return on equity about -5.4%), reflecting ongoing losses. The balance sheet is not distressed on equity, but the debt load limits flexibility until profitability and cash generation improve.

Cash Flow

Cash generation is the key weak spot: TTM operating cash flow is only about $0.14M versus a net loss of ~$1.13M, and free cash flow is deeply negative (TTM about -$4.44M) with a sharp deterioration in the provided growth figure (TTM free cash flow growth -17.12). While prior years included periods of positive free cash flow (FY2023), the current profile suggests meaningful cash burn and likely reliance on financing or working-capital improvements to stabilize.

Breakdown	TTM	Jun 2025	Jun 2024	Mar 2023	Jun 2022	Mar 2021
Income Statement
Total Revenue	33.04M	34.03M	31.59M	31.43M	22.28M	15.60M
Gross Profit	5.95M	4.33M	4.12M	4.90M	3.38M	3.46M
EBITDA	1.47M	587.00K	-2.16M	1.79M	-144.30K	1.33M
Net Income	-1.13M	-2.75M	-7.04M	-979.01K	-349.83K	320.63K
Balance Sheet
Total Assets	32.80M	33.53M	34.75M	36.21M	37.85M	16.72M
Cash, Cash Equivalents and Short-Term Investments	50.00K	195.00K	138.40K	534.47K	1.05M	2.13M
Total Debt	10.51M	11.76M	12.70M	11.82M	13.66M	3.82M
Total Liabilities	24.82M	24.79M	26.94M	21.61M	22.59M	6.78M
Stockholders Equity	7.98M	8.74M	7.80M	14.59M	15.26M	9.94M
Cash Flow
Free Cash Flow	-4.44M	-4.72M	-1.93M	812.54K	-681.16K	18.34K
Operating Cash Flow	143.00K	-599.00K	1.30M	3.14M	257.84K	635.85K
Investing Cash Flow	27.00K	-1.08M	-3.17M	-2.32M	-8.73M	-607.93K
Financing Cash Flow	-285.00K	1.74M	1.47M	-1.34M	7.40M	1.17M

TechPrecision Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TPCS, the sentiment is Negative. The current price of 5.32 is above the 20-day moving average (MA) of 4.73, above the 50-day MA of 4.73, and above the 200-day MA of 4.51, indicating a neutral trend. The MACD of -0.07 indicates Positive momentum. The RSI at 43.85 is Neutral, neither overbought nor oversold. The STOCH value of 32.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TPCS.

TechPrecision Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
HIHO	52 Neutral	$4.28M	-7.88	-8.38%	9.60%	-19.68%	-2.61%
MTEN	47 Neutral	$2.13M	-0.06	-81.84%	―	―	―
AP	46 Neutral	$158.34M	-29.70	-8.73%	―	0.20%	88.39%
TPCS	44 Neutral	$45.46M	-87.64	-5.10%	―	1.15%	94.58%

TechPrecision Corporate Events

TechPrecision Extends Revolving Credit Line Maturity Date

On January 12, 2026, TechPrecision subsidiary Ranor, Inc. and other affiliated borrowers amended their existing loan arrangements by entering into a new agreement with Beacon Bank & Trust, the successor by merger to Berkshire Bank, to extend the maturity date of their $4.5 million revolving line of credit from January 16, 2026 to May 15, 2026. The extension provides the company with additional short-term liquidity and financing flexibility, and management emphasized that, aside from the lending arrangements and prior borrowing relationship, there is no other material relationship between TechPrecision’s affiliates and Beacon.

The most recent analyst rating on (TPCS) stock is a Sell with a $4.00 price target. To see the full list of analyst forecasts on TechPrecision stock, see the TPCS Stock Forecast page.