Knightscope Inc Class A (KSCP) AI Stock Analysis

• Market Cap: $19.80M
• Dividend Yield: N/A
• Average Volume (3M): 244.51K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.99
• Revenue Growth: -9.30%
• EPS Growth: 49.84%
• Country: US
• Employees: 95
• Sector: Industrials
• Sector Strength: 72
• Industry: Corporate Services
• EPS (TTM): -13.86
• Shares Outstanding: 3,875,350
• 10 Day Avg. Volume: 191,041
• 30 Day Avg. Volume: 244,506
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.77
• Price to Cash Flow (P/CF): -1.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $24.00
• Price Target Upside: 410.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

The overall stock score reflects Knightscope Inc's significant financial difficulties, including declining revenues and persistent losses. Technical analysis suggests weak momentum, compounded by a negative valuation. The absence of substantial insights from recent earnings discussions limits clarity on strategic direction.

Positive Factors

Market Position

Knightscope is the only ASR company that has received authorization to operate within the U.S. federal government by FedRAMP.

Negative Factors

Commercialization Challenges

Knightscope has not provided forward guidance, and there are commercialization challenges ahead for its main products.

Financial Performance

The stock’s 62% decline over the past year has been driven by restructuring of the CASE acquisition and a slower rollout of the new recurring revenue model.

Knightscope Inc Class A Business Overview & Revenue Model

Company Description

Knightscope Inc Class A (KSCP) is a company that specializes in the development and deployment of advanced physical security technologies, primarily through the use of autonomous security robots. These robots are designed to enhance safety and security in diverse environments such as malls, corporate campuses, hospitals, and public spaces. By leveraging robotics, artificial intelligence, and machine learning, Knightscope aims to provide comprehensive security solutions that can deter crime and improve overall public safety.

How the Company Makes Money

Knightscope Inc makes money through the sale and leasing of its autonomous security robots to various clients including businesses, government agencies, and other organizations seeking to enhance their security measures. The company offers different models of robots tailored to specific environments and security needs, which can be customized with various features and capabilities. Additionally, Knightscope may generate revenue from ongoing maintenance and support services, as well as through data and analytics solutions that provide clients with actionable insights. Partnerships with security firms and technology companies can also contribute to Knightscope's earnings by expanding its market reach and technological capabilities.

Knightscope Inc Class A Financial Statement Overview

Summary

Knightscope Inc faces significant financial challenges, including declining revenues, persistent losses, and negative cash flows. Despite a positive shift in equity, the company must address operational inefficiencies to stabilize financially.

Income Statement

Knightscope Inc shows a challenging financial situation with consistent negative gross and net profit margins. The gross profit margin for the TTM is -41.92%, indicating significant cost concerns. Revenue has decreased by 14% from the previous year, and the company continues to report negative EBIT and EBITDA margins, reflecting ongoing operational inefficiencies and high operating expenses.

Balance Sheet

The balance sheet reveals a debt-to-equity ratio of 0.79, which reflects moderate leverage; however, the company’s equity position has improved, moving into positive territory compared to negative equity in prior years. The equity ratio is 37.13%, indicating a stronger asset base relative to equity. Return on equity remains negative due to persistent net losses.

Cash Flow

Operating cash flow remains negative, reflecting ongoing cash outflows from operations. The free cash flow growth is negative, highlighting difficulties in sustaining cash-generating activities. The operating cash flow to net income ratio is less indicative due to negative cash flows and net income.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
11.01M	12.80M	5.63M	3.41M	3.33M	3.03M
	Gross Profit
-4.62M	-2.35M	-3.32M	-2.06M	-1.30M	-1.61M
	EBIT
-29.83M	-26.14M	-31.97M	-24.55M	-14.64M	-10.07M
	EBITDA
-25.33M	-19.20M	-14.70M	-37.96M	-15.72M	-8.39M
	Net Income Common Stockholders
-31.30M	-22.12M	-4.79M	-48.94M	-19.34M	-11.96M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
608.67K	2.38M	4.81M	10.75M	7.06M	608.67K
	Total Assets
7.74M	22.97M	22.08M	17.58M	12.94M	7.74M
	Total Debt
0.00	2.93M	10.74M	8.24M	6.27M	6.47M
	Net Debt
-608.67K	548.00K	5.93M	-2.51M	-784.38K	5.86M
	Total Liabilities
9.23M	15.40M	29.89M	43.30M	13.97M	11.47M
	Stockholders Equity
-1.49M	7.57M	-7.80M	-25.71M	-1.02M	-3.74M
Cash Flow		Free Cash Flow
-26.68M	-29.28M	-24.18M	-20.22M	-15.80M	-8.54M
	Operating Cash Flow
-23.37M	-24.16M	-24.06M	-20.11M	-15.17M	-8.52M
	Investing Cash Flow
-4.02M	-5.12M	-9.93M	-2.33M	-632.45K	-1.16M
	Financing Cash Flow
27.98M	26.85M	27.96M	26.13M	22.25M	8.83M

Knightscope Inc Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KSCP, the sentiment is Negative. The current price of 4.7 is below the 20-day moving average (MA) of 7.09, below the 50-day MA of 10.00, and below the 200-day MA of 12.34, indicating a bearish trend. The MACD of -1.56 indicates Positive momentum. The RSI at 18.20 is Positive, neither overbought nor oversold. The STOCH value of 3.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KSCP.

Knightscope Inc Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADT	78 Outperform	$6.74B	15.00	14.41%	2.86%	-13.19%	10.03%
ALRM	73 Outperform	$2.90B	25.60	17.54%	―	6.59%	53.89%
OSIS	72 Outperform	$3.03B	23.21	16.85%	―	20.69%	17.89%
Sector *	62 Neutral	$8.16B	12.85	0.64%	3.04%	3.83%	-15.83%
CRSR	60 Neutral	$1.14B	―	-15.60%	―	-9.83%	-3191.56%
RELL	58 Neutral	$180.67M	388.54	0.30%	2.39%	-10.16%	-94.32%
KSCP	39 Underperform	$19.80M	―	-340.32%	―	-9.30%	49.84%

Knightscope Inc Class A Corporate Events

Knightscope Inc Class A Announces Stock Offering

Knightscope, Inc., a leader in robotics and AI technologies for public safety, has announced a public offering of Class A common stock, aiming to raise approximately $12.1 million. The company plans to use the proceeds for general corporate purposes, including working capital. Titan Partners Group acts as the sole bookrunner for the offering, which is subject to customary closing conditions. This offering signals Knightscope’s ongoing efforts to enhance its financial position and support its growth objectives.