XVARY Composite Score
49
/ 100
Below Average
Combines growth, value, risk, and momentum factors into a single institutional-grade score.
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What it is
PSIX builds engines and power systems for trucks, industrial equipment, and backup power applications.
How it gets paid
Last year Power Solutions Intl made $722M in revenue.
Why it's growing
Revenue grew 51.8% last year. The 26.9% gross margin matters most because margin → money left after making the product → so what: the growth came with real pricing power.
What just happened
PSIX delivered a monster quarter with $531M in revenue and EPS of $4.25.
At a Glance
B+ balance sheet — decent shape, but not bulletproof
20/100 earnings predictability — expect surprises
14.6x trailing p/e — the market's not buying it — or you found a deal
114.8% return on capital — a money-printing machine
$3.01 fy2024 eps est
XVARY composite: 49/100 — below average
What They Do
PSIX builds engines and power systems for trucks, industrial equipment, and backup power applications.
You do not get a 114.8% return on capital by selling interchangeable hardware. Return on capital → profit earned for each dollar tied up in the business → so what: PSIX is turning a small asset base into outsized profit. If your customer needs an emission-certified engine and a full packaged power system, switching vendors can delay approvals, redesign the equipment, and slow delivery.
How They Make Money
$722M
annual revenue · their business grew +51.8% last year
total revenue
$722M
+51.8%
The Products That Matter
Manufactures certified industrial power systems
Emission-Certified Engines
~$505M of recent mix
this is still the core business, representing roughly 70% of the $722.4M revenue base shown here. It matters because it funds the rest of the story.
core cash engine
Supplies backup power to data centers
Data Center Power Systems
~$217M of recent mix
this looks like roughly 30% of current revenue mix and was described as growing ~100%+. That's why the stock moved like a hype story — and why the market punished any communication misstep.
growth driver
Adds fabrication and production capacity
MTL Manufacturing
$11.1M acquisition
the February 2026 deal is small relative to a $722.4M business, but it matters because capacity is the bottleneck when demand spikes faster than your factory footprint.
capacity bet
Key Numbers
$722M
annual revenue
That is the SEC-filed sales base, up 51.8% vs. prior year, and it tells you this is no longer a niche business stuck below half a billion dollars.
114.8%
return on capital
Return on capital → profit earned on money invested in the business → so what: PSIX is squeezing unusual earnings out of its asset base.
18.2%
operating margin
Operating margin → profit after running the business but before interest and taxes → so what: this is much fatter than most industrial suppliers.
$147M
long-term debt
Debt is still real, but $147M is small next to a roughly $1B market value and a business now producing positive earnings.
Financial Health
B+
Strength
- balance sheet grade B+ — solid but not elite
- risk rank 3 — safer than 50% of stocks
- price stability 5 / 100
- long-term debt $147M (10% of capital)
B+ — functional but not a standout on the balance sheet.
Total Return vs. Market
source: institutional data · return history unavailable
What Just Happened
beat estimates
PSIX delivered a monster quarter with $531M in revenue and EPS of $4.25.
Revenue rose 161% vs. prior year, while EPS climbed 254%. Gross margin reached 26.9%, which says the surge was not just volume. It was profitable volume.
$531M
revenue
$4.25
eps
26.9%
gross margin
the number that mattered
The 26.9% gross margin matters most because margin → money left after making the product → so what: the growth came with real pricing power, not desperation discounts.
source: company earnings report, 2026
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What Could Go Wrong
The #1 risk is data center demand proving less durable than the stock narrative.
High
Data center order concentration
Recent mix points to roughly $217M tied to data center power systems, or about 30% of the $722.4M revenue base shown here. If that demand normalizes, the part of the story getting the premium attention is also the part that can disappear fastest.
impact: a slower data center pipeline would pressure both revenue growth and the argument for paying up after a huge run.
High
Disclosure and communication risk
The stock fell 36.3% from its $116 peak after a private investor call followed an unauthorized social media post. That is not normal volatility. That is the market repricing trust.
impact: when confidence in management slips, small-cap multiples compress fast and stay compressed longer than investors expect.
Med
Margin giveback
The company posted a 26.9% gross margin and 15.8% profit margin. Those are good numbers for a manufacturer. They are also the numbers that make the current valuation look reasonable. If input costs rise or pricing softens, the math changes quickly.
impact: a margin slip would hit earnings harder than revenue and make 14.6x earnings look less cheap than it does today.
Med
Forecast visibility
Earnings predictability is 20/100 and price stability is 5/100. In plain English: the business may be improving faster than the models, but the models are also not dependable enough to give you much comfort.
impact: even good quarters can come with ugly stock moves if investors question what the next quarter looks like.
A company that just did $722.41M in sales can still feel binary when one growth pocket drives the excitement and the stock can lose more than a third of its value in days.
Source: institutional data · regulatory filings · risk analysis
Pay Attention To
Metric
Data center revenue mix
The number to watch is whether data center power stays anywhere near the ~30% mix shown here. If that share shrinks quickly, the growth story changes with it.
Calendar
Next earnings print
Management needs another clean quarter after Q4 2025's $191.2M revenue and $0.70 EPS. You want results and cleaner messaging in the same release.
Trend
MTL integration
The $11.1M acquisition only matters if it converts into usable capacity. More factory footprint without smooth execution is just more complexity.
Risk
Management disclosure discipline
After the private-call controversy, every communication choice matters more. Small caps do not get many free trust resets.
Analyst Rankings
earnings predictability
20 / 100
Low predictability means future quarters are hard to model. In human-speak: analysts do not trust this earnings stream to behave politely.
price stability
5 / 100
A 5/100 stability score tells you the chart can get violent fast. This is a trading temperament issue as much as a business issue.
Source: institutional data
Institutional Activity
institutional ownership data for PSIX is being compiled.
Source: institutional data
Price Targets
3-5 year target range
$77
Current price
Target midpoint · from current
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