Lake Street sees One Stop Systems having ‘turned a corner,’ upgrades to Buy

Lake Street analyst Eric Martinuzzi upgraded One Stop Systems (OSS) to Buy from Hold with a price target of $3.50, up from $2.50, noting that the company reported positive revenue growth this quarter for the first time in 2024. While Q4 profitability was below the firm’s estimate, it sees a lower margin product mix and a one-time contract loss as “issues from which the company can quickly recover” and believes the core business has “turned a corner and is teed up for success in 2025.”