Start here if you're new
what it is
It makes truck parts, energy hardware, and secure electronics for industrial and defense customers.
how it gets paid
Last year Sypris Solutions made $140M in revenue. Commercial vehicle driveline components was the main engine at $58M, or 41% of sales.
what just happened
Revenue hit $90M, but EPS stayed at -$0.08 and gross margin was 8.9%.
At a glance
C+ balance sheet — struggling to keep the lights on
35/100 earnings predictability — expect surprises
11.2% return on capital — nothing to write home about
-$0.08 fy2024 eps est
$140M fy2024 rev est
xvary composite: 29/100 — weak
What they do
It makes truck parts, energy hardware, and secure electronics for industrial and defense customers.
713 employees support $140M of annual sales. That is a lean setup, not a bloated one. When you make parts to the customer's blueprint, leaving is painful because audits and retooling cost time and money.
How they make money
$140M
annual revenue
Commercial vehicle driveline components
$58M
+7.0%
Defense communications and electronic systems
$34M
+9.0%
Energy closures and piping components
$20M
+5.0%
Aerospace and defense integration
$18M
+11.0%
Specialty services and other products
$10M
+3.0%
The products that matter
manufactures heavy truck parts
Truck Drivetrain Components
$49M · 40% of revenue
it's one of two $49M segments, and management tied the recent supply-contract renewal to a market expected to grow 3.5% in 2026. that's support for volume, not a miracle cure for margins.
40% of revenue
makes pipeline closures and components
TUBE TURNS® Pipeline Products
$49M · 40% of revenue
this is another $49M slice of the business. it matters because maintenance and replacement demand can be steadier than new-build energy projects, but the snapshot still shows thin companywide economics.
energy exposure
builds aerospace and defense electronics
Defense & Space Electronics
$25M · 20% of revenue
at roughly 20% of revenue, this is the smallest segment. it may offer better backlog visibility than the truck and energy businesses, but it is not yet large enough to carry a $123M company on its own.
20% of revenue
Key numbers
$140M
annual sales
You are looking at a $140M business, not a giant. One contract swing can move the whole report.
8.9%
gross margin
Gross margin means the money left after direct costs. At 8.9%, the company keeps less than $9 on every $100 of sales.
4.4%
operating margin
Operating margin means profit after running the shop. At 4.4%, only $4.40 survives from every $100 of sales.
$22M
long-term debt
Debt is 23% of capital. That is not crushing, but it does take away some breathing room.
Financial health
C+
strength
- balance sheet grade C+ — weak — may struggle to fund operations
- risk rank 5 — safer than 5% of stocks
- price stability 10 / 100
- long-term debt $22M (23% of capital)
C+ — below average. watch for debt servicing and cash burn.
Total return vs. market
Return history isn't available for SYPR right now.
source: institutional data · return history unavailable
What just happened
missed estimates
Revenue hit $90M, but EPS stayed at -$0.08 and gross margin was 8.9%.
Sales rose 213% vs. prior year. Profit still lagged because the margin stayed thin at 8.9%.
$90M
revenue
-$0.08
eps
8.9%
gross margin
margin was the tell
Gross margin at 8.9% showed the business was busy, but not yet fat on profit.
source: company earnings report
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What could go wrong
the #1 risk is the unresolved material weakness in financial controls, and it lands on top of already-thin operating margins.
high
material weakness in financial controls
auditor Barbara J. Comly cited a material weakness in internal controls over financial reporting in both 2023 and 2024.
this raises the risk of misstated numbers, delayed filings, and a permanent credibility discount.
high
80% of revenue comes from cyclical industrial markets
energy and transportation account for $98M of the $123M revenue base. those are the two end markets most exposed to production slowdowns and weaker capital spending.
if volumes slip, sypris has very little margin cushion to absorb it.
med
thin gross margin leaves almost no buffer
gross margin is just 10.88%. after direct production cost, there is not much left to cover overhead, debt service, and execution mistakes.
a small input-cost spike or underutilized facility can push the company back into deeper losses.
80% of revenue sits in cyclical markets, gross margin is only 10.88%, and the control weakness is still unresolved. that's a fragile setup for a $72M company.
source: institutional data · regulatory filings · risk analysis
Pay attention to
calendar
q4 2026 earnings report
scheduled for march 26, 2026. the real question is whether the $0.02 quarterly profit was a one-off or the start of consistent profitability.
margin
gross margin above 10.88%
this is the operating pressure gauge. if gross margin stays stuck near 10.88%, there is not enough room for reliable net profit.
controls
material weakness resolution
auditors flagged the weakness in both 2023 and 2024. you want to see that language disappear before giving management much benefit of the doubt.
mix
revenue mix shift away from cyclical markets
right now, $98M of $123M comes from energy and transportation. if defense grows faster than that 20% share, the earnings profile could get less fragile.
Analyst rankings
earnings predictability
35 / 100
in human-speak, analysts do not view these earnings as stable. expect surprises and not always the good kind.
risk rank
5
this sits near the risky end of the scale. only a small slice of stocks score worse on safety.
price stability
10 / 100
the stock has not traded like a steady compounder. it has traded like a small-cap speculation.
source: institutional data
Institutional activity
institutional ownership data for SYPR is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$3
current price
n/a
target midpoint · n/a from current
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