Start here if you're new
what it is
It sells network gear and IT help for a 123-person company that lives on keeping other companies online.
how it gets paid
Last year Csp made $59M in revenue. High Performance Products was the main engine at $24M, or 41% of sales.
why it's growing
Revenue grew 6.4% last year. The $12M quarter mattered because it was 23% below last year and the full year was only $59M.
what just happened
Revenue landed at $12M while gross margin held at 39.3%.
At a glance
B balance sheet — gets the job done, barely
30/100 earnings predictability — expect surprises
1.3% dividend yield — cash in your pocket every quarter
0.2% return on capital — nothing to write home about
-$0.01 fy2025 eps est
xvary composite: 39/100 — weak
What they do
It sells network gear and IT help for a 123-person company that lives on keeping other companies online.
CSPI wins by bundling hardware and services. That means your customer buys boxes and support from one vendor, not two. Long-term debt, or money owed for more than a year, is $1M. That is 1% of capital, so lenders are not steering the bus.
How they make money
$59M
annual revenue · their business grew +6.4% last year
High Performance Products
$24M
+4.0%
Technology Solutions
$18M
+8.0%
Managed Services
$8M
+14.6%
Security Solutions
$5M
+5.0%
Network Adapters and Cluster Systems
$4M
3.0%
The products that matter
managed it and cloud services
Technology Solutions
$44M · 75% of revenue
it's the core business at $44M, and the services side grew 14.6% last quarter while helping hold gross margin at 39.3%. If you are looking for the part that has to work, this is it.
growth engine
security and packet capture products
ARIA Cybersecurity
first deployment noted
the company highlighted its first pet food AZT deployment in march 2026. That's real traction. It's also still early enough that you should treat it as a clue, not a conclusion.
early traction
legacy compute and hardware
High-Performance Products
$15M · 25% of revenue
this $15M segment is only one-quarter of sales, but in a $59M company that is still big enough to distort the mix and the quarterly narrative.
mixed signal
Key numbers
$59M
annual revenue
This is the whole business. At this size, a single quarter matters because one contract can move the year.
39.3%
gross margin
Gross margin means money left after direct costs. At 39.3%, the company still keeps a decent slice before overhead.
$1M
long-term debt
Debt is money owed for more than a year. At $1M, the balance sheet is not what breaks this story.
1.05
beta
Beta is how jumpy a stock is versus the market. At 1.05, CSPI moves a little more than the crowd.
Financial health
B
strength
- balance sheet grade B — adequate — nothing special
- risk rank 4 — safer than 20% of stocks
- price stability 10 / 100
- long-term debt $1M (1% of capital)
B — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for CSPI right now.
source: institutional data · return history unavailable
What just happened
missed estimates
Revenue landed at $12M while gross margin held at 39.3%.
Sales fell 23% from a year ago, but the margin held up. That says the company still has pricing power, even when demand cools.
$12M
revenue
$0.01
eps
39.3%
gross margin
the number that mattered
The $12M quarter mattered because it was 23% below last year and the full year was only $59M.
source: company earnings report, 2026
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What could go wrong
the main risk is specific and visible: services momentum stops outrunning the weaker parts of the business. In a company this small, the mix shift is not background noise. It is the thesis.
high
the mix shift stops working
Last quarter's profit came from better mix, not broad revenue strength. If services stop outgrowing the rest of the business, the cushion goes with it.
A $12.0M quarter produced only $91K of net income. That is not much room for error.
high
there is no visible moat
csp sells into IT services and cybersecurity categories with bigger competitors, faster product cycles, and constant pricing pressure.
Technology Solutions is 75% of revenue. If pricing or demand softens there, the whole story changes fast.
med
micro-cap liquidity cuts both ways
At roughly $89M in market value and a 10 / 100 price stability score, you should expect wider swings and thinner trading.
The 52-week range of $8–$18 tells you sentiment can move this stock harder than fundamentals do in the short term.
med
capital allocation matters more at break-even
The company pays a $0.03 quarterly dividend and has discussed repurchases, but analysts still expect -$0.01 EPS for fy2025.
When a company is roughly break-even, every cash decision carries more weight than management teams like to admit.
Technology Solutions is 75% of revenue, recent gross margin is 39.3%, and fy2025 EPS is projected at -$0.01. If services growth slips, there is not much earnings power underneath to catch you.
source: institutional data · regulatory filings · risk analysis
Pay attention to
the number
gross margin holds near 39.3%
This is the cleanest read on whether higher-margin services are actually changing the business or just rescuing one quarter.
calendar
q2 2026 earnings report
Estimated for thursday, may 14, 2026. You want to see whether services growth still offsets softer product demand.
trend
ARIA goes from first deployment to repeat business
One deployment is a headline. A second or third would start to look more like a pipeline.
cash flow
$3.3M financing payment collection
Management expects about $3.3M from financing payments. For an $89M company, that is not a footnote.
Analyst rankings
earnings predictability
30 / 100
Low predictability means quarterly results can move around more than you'd like. In human-speak: analysts do not trust this earnings stream yet.
risk rank
4
This places CSPI on the riskier side of the market. Small size and uneven profitability are doing most of the talking.
price stability
10 / 100
The stock has been jumpy. A low stability score fits the $8–$18 52-week range.
source: institutional data
Institutional activity
institutional ownership data for CSPI is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$12
current price
n/a
target midpoint · n/a from current
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