Trio-Tech International (TRT) AI Stock Analysis

• Market Cap: $40.34M
• Dividend Yield: N/A
• Average Volume (3M): 24.61K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: 0.10%
• EPS Growth: -54.98%
• Country: US
• Employees: 673
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): <0.01
• Shares Outstanding: 8,749,616
• 10 Day Avg. Volume: 49,918
• 30 Day Avg. Volume: 24,607
• PEG Ratio: 5.44
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.63
• P/FCF Ratio: -38.84
• Enterprise Value/Market Cap: 0.81
• Enterprise Value/Revenue: 0.66
• Enterprise Value/Gross Profit: 3.36
• Enterprise Value/Ebitda: 14.05
• 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: 54 Neutral
• Price Target: $4.50 ▼(-30.34% Downside)
• Action: Reiterated Date: 02/16/26
• Date: Action: Reiterated 02/16/26

The score is driven primarily by mixed financial performance: strong revenue growth and a low-debt balance sheet are offset by compressed margins, slightly negative TTM earnings, and sharply reduced free cash flow. Technical signals are neutral-to-soft, valuation is constrained by losses (negative P/E), while recent corporate actions (stock split and subsidiary consolidation) provide a modest positive offset.

Positive Factors

Balance Sheet Strength

Extremely low leverage meaningfully reduces financial risk and preserves flexibility. Over the next 2–6 months this supports the company's ability to fund equipment needs, pursue opportunistic investments or acquisitions, and absorb cyclical downturns without straining liquidity.

Sustained Revenue Growth

Consistent top-line growth reflects durable demand for IC testing, burn-in and failure analysis services. A fee-based lab services model and product distribution diversify revenue and help absorb semiconductor cyclical swings while enabling better absorption of fixed facility costs.

Operational Consolidation

Making the Malaysian subsidiary wholly owned is a structural change that improves operational control and integration. This can enable cost synergies, closer customer relationships in an important manufacturing market, and more efficient deployment of capital and processes.

Negative Factors

Margin Erosion

Declining gross margins and a razor-thin EBIT margin reduce the firm's capacity to generate sustainable profits. With limited operating cushion, the company is more exposed to input cost increases, pricing pressure, or volume volatility, undermining durable profitability.

Weak Free Cash Flow

Severely compressed FCF curtails the company's ability to invest in capital-intensive testing equipment and service capacity without external financing. Persistently weak cash generation limits strategic flexibility and raises the risk of underinvesting in critical technology to stay competitive.

Low Returns on Capital

Very low ROE indicates the business is not converting equity into meaningful earnings. Even with revenue growth, poor returns reduce reinvestment effectiveness and shareholder value creation, making it harder to scale operations profitably and attract long-term capital.

Trio-Tech International Business Overview & Revenue Model

Company Description

Trio-Tech International, together with its subsidiaries, provides manufacturing, testing, and distribution services to the semiconductor industry. The company's Testing Services segment offers stabilization bake, thermal shock, temperature cycling, mechanical shock, constant acceleration, gross and fine leak, electrical, static and dynamic burn-in, and vibration testing, as well as reliability lab and microprocessor equipment contract cleaning services. This segment also provides qualification testing services that test small samples of output from manufacturers for qualification of their processes and devices. Its Manufacturing segment manufactures front-end semiconductor test equipment, such as artic temperature-controlled wafer chucks used for test, characterization, and failure analysis of semiconductor wafers and other components; and wet process stations for cleaning, rinsing, and drying semiconductor wafers, flat panel display magnetic disks, and other microelectronic substrates. This segment also manufactures back-end products comprising autoclaves and highly accelerated stress test equipment; burn-in equipment and boards; and component centrifuges and leak detection equipment. The company's Distribution segment distributes complementary products, including environmental chambers, handlers, interface systems, vibration systems, shaker systems, solderability testers, and other semiconductor equipment, as well as components, such as connectors, sockets, LCD display panels, and touch-screen panels. Its Real Estate segment invests in and rents real estate properties. The company primarily serves semiconductor chip manufacturers or testing facilities that purchase testing equipment. The company operates in the United States, Singapore, Malaysia, Thailand, and China. Trio-Tech International was incorporated in 1958 and is headquartered in Van Nuys, California.

How the Company Makes Money

Trio-Tech International generates revenue through several key streams. Primarily, the company earns income from its semiconductor test services, where clients pay for the testing and validation of their semiconductor products. Additionally, TRT's burn-in services, which involve stressing semiconductor devices to identify potential issues before market release, contribute significantly to its earnings. The sale of advanced packaging solutions and test equipment also forms a crucial part of their revenue model. Strategic partnerships with major semiconductor manufacturers and technology firms enhance TRT's market presence and drive consistent business growth. Furthermore, the company may benefit from long-term contracts with clients, providing a steady stream of income and increasing operational stability.

Trio-Tech International Financial Statement Overview

Summary

Revenue growth is strong (+16.7% TTM), but profitability has weakened materially: gross margin has drifted lower, EBIT margin is thin (~1.5%), and TTM net income is slightly negative. The balance sheet is a key support with very low leverage (debt-to-equity ~0.06), but cash flow quality is a concern as free cash flow is minimal ($0.14M) and down sharply (~93.8% TTM).

Income Statement

TTM (Trailing-Twelve-Months) revenue growth is strong (+16.7%), showing improving demand, but profitability has weakened materially versus prior years. Gross margin has drifted down (TTM ~22.3% vs ~25–27% historically) and operating profitability is thin (TTM EBIT margin ~1.5%, EBITDA margin ~7.5%). Net results have also turned slightly negative again (TTM net income -$0.1M vs positive profits in 2022–2024), indicating limited cushion if costs rise or volumes soften.

Balance Sheet

The balance sheet looks conservatively financed with low leverage: debt-to-equity is ~0.06 in TTM (and generally low across the years), which reduces financial risk and provides flexibility. Equity has remained sizable relative to assets, supporting resilience. The main drawback is that returns on equity have faded alongside earnings (TTM ROE ~0.8% vs mid-single-digit levels in stronger years), suggesting the company is not currently generating strong profits from its capital base.

Cash Flow

Cash generation is mixed and has recently weakened. TTM operating cash flow is positive ($1.18M) but is modest relative to revenue, and free cash flow is very thin ($0.14M) with a steep decline in growth (TTM free cash flow down ~93.8%). The company did produce strong operating cash flow in 2023 and solid free cash flow in 2024, but the more recent compression points to either working-capital strain and/or higher spending needs, reducing near-term financial flexibility.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Sep 2021
Income Statement
Total Revenue	49.22M	36.47M	42.31M	43.25M	44.06M	32.46M
Gross Profit	9.69M	9.14M	10.76M	11.71M	11.73M	7.67M
EBITDA	2.32M	2.96M	5.94M	7.58M	6.25M	2.29M
Net Income	-109.00K	-41.00K	1.05M	1.54M	2.40M	-591.00K
Balance Sheet
Total Assets	45.73M	41.07M	42.54M	42.19M	43.42M	38.31M
Cash, Cash Equivalents and Short-Term Investments	17.28M	16.71M	16.53M	14.21M	13.12M	12.49M
Total Debt	5.48M	1.73M	2.85M	4.11M	6.06M	4.46M
Total Liabilities	13.99M	7.08M	10.96M	12.62M	15.42M	12.25M
Stockholders Equity	33.51M	34.03M	31.33M	29.41M	27.87M	25.63M
Cash Flow
Free Cash Flow	137.00K	-596.00K	2.17M	3.61M	655.00K	526.00K
Operating Cash Flow	1.18M	371.00K	2.72M	8.11M	2.12M	1.64M
Investing Cash Flow	1.47M	167.00K	-113.00K	-6.07M	-444.00K	-567.00K
Financing Cash Flow	-1.24M	-40.00K	-90.00K	-1.24M	911.00K	-2.00K

Trio-Tech International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.46
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRT, the sentiment is Negative. The current price of 6.46 is above the 20-day moving average (MA) of 5.42, above the 50-day MA of 5.97, and above the 200-day MA of 3.78, indicating a neutral trend. The MACD of -0.38 indicates Positive momentum. The RSI at 33.62 is Neutral, neither overbought nor oversold. The STOCH value of 6.36 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRT.

Trio-Tech International 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%
ASYS	56 Neutral	$176.77M	-5.74	-44.72%	―	-21.59%	-254.69%
INTT	56 Neutral	$123.96M	-53.36	-2.24%	―	-2.20%	-204.45%
TRT	54 Neutral	$40.34M	-222.71	0.84%	―	0.10%	-54.98%
PXLW	49 Neutral	$37.26M	-1.26	―	―	-38.72%	16.01%
LEDS	47 Neutral	$12.83M	-10.34	-45.37%	―	729.81%	61.92%
SQNS	46 Neutral	$43.67M	―	-120.35%	―	2.80%	―

Trio-Tech International Corporate Events

Trio-Tech International Implements Two-for-One Forward Stock Split

On December 19, 2025, Trio-Tech International’s board approved a two-for-one forward stock split of the company’s common stock, with the split formally implemented through an amendment to its Articles of Incorporation filed on December 31, 2025 and becoming effective at 12:01 a.m. Eastern Time on January 1, 2026; trading on a split-adjusted basis was scheduled to begin on January 5, 2026. The split doubled each shareholder’s number of issued and outstanding common shares, with equivalent adjustments made to outstanding stock options by doubling the shares underlying each option and halving the exercise price, while leaving authorized share capital, par value, percentage ownership, voting power, and shareholder rights unchanged, and was carried out under California law without requiring separate shareholder approval.

The most recent analyst rating on (TRT) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Trio-Tech International stock, see the TRT Stock Forecast page.

Trio-Tech International Announces 2-for-1 Forward Stock Split

On December 19, 2025, Trio-Tech International announced that its board had approved a 2-for-1 forward stock split of its outstanding common stock, to be implemented via an amendment to its Articles of Incorporation. Shareholders of record at the close of trading on December 29, 2025, are scheduled to receive one additional share for each share held after the close on January 2, 2026, with trading expected to begin on a split-adjusted basis on January 5, 2026, and fractional shares to be rounded up. The company’s chairman and CEO framed the move as a signal of confidence in Trio-Tech’s long-term growth prospects and a step toward improving share liquidity and making the stock more accessible to a broader investor base, potentially enhancing market participation and shareholder value without changing the total authorized share count.

The most recent analyst rating on (TRT) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Trio-Tech International stock, see the TRT Stock Forecast page.

Trio-Tech Elects Directors at Annual Meeting

On December 10, 2025, Trio-Tech International, Inc. held its 2025 Annual Meeting of Stockholders where several key proposals were voted upon. Stockholders elected S. W. Yong, Richard M. Horowitz, Victor H. M. Ting, and Jason T. Adelman as Directors. They also approved, on a non-binding advisory basis, the executive compensation and decided to hold advisory votes on executive compensation every three years. Additionally, the appointment of Mazars LLP as the independent registered public accounting firm for the fiscal year ending June 30, 2026, was ratified.

The most recent analyst rating on (TRT) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Trio-Tech International stock, see the TRT Stock Forecast page.

Trio-Tech Completes Acquisition of Malaysian Subsidiary

On December 3, 2025, Trio-Tech International, through its subsidiary Trio-Tech International Pte. Ltd., completed the acquisition of the remaining 50% equity interest in Trio-Tech (Malaysia) Sdn. Bhd., making it a wholly-owned subsidiary. This strategic move consolidates Trio-Tech’s operations in Malaysia, potentially strengthening its market position and operational efficiency.

The most recent analyst rating on (TRT) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on Trio-Tech International stock, see the TRT Stock Forecast page.