📊 DAIO Key Takeaways
Is Data I/O Corp. (DAIO) a Good Investment?
Data I/O Corp is experiencing severe operational deterioration with negative operating income, negative free cash flow, and declining revenue (-22.4% YoY). The company is burning cash despite maintaining adequate liquidity, and profitability metrics show substantial losses across all measures. Without clear evidence of operational turnaround or demand stabilization, the company faces significant financial distress.
DATA I/O’s fundamentals are weak: revenue is contracting sharply, profitability has turned negative across operating and net levels, and returns on equity and assets are both negative. The balance sheet is a meaningful offset, with strong liquidity, net cash, and no long-term debt, but current financial performance suggests the business needs a clear revenue stabilization and margin recovery before fundamentals improve materially.
Why Buy Data I/O Corp. Stock? DAIO Key Strengths
- Strong liquidity position with current ratio of 3.84x and $9.7M cash
- Healthy gross margin of 50.7% indicates pricing power and cost control at product level
- Zero debt/equity ratio eliminates financial leverage risk
- Strong liquidity with a 3.84x current ratio and $9.66M in cash
- Debt-free capital structure provides financial flexibility
- Gross margin of 50.7% suggests the core product mix still has underlying value if volume recovers
DAIO Stock Risks: Data I/O Corp. Investment Risks
- Operating cash flow is negative (-$576K) with worsening free cash flow (-$928K), indicating inability to fund operations from business
- Revenue declining 22.4% YoY while company is unprofitable, suggesting lost market share or demand destruction
- Operating margin of -14.9% and net margin of -14.2% with negative ROE (-15.5%) and ROA (-11.0%) indicate systematic unprofitability
- Revenue declined 22.4% YoY, indicating meaningful demand or execution pressure
- Operating and net margins are deeply negative, showing poor cost absorption at current sales levels
- Free cash flow and operating cash flow are negative, which could erode the cash cushion if losses persist
Key Metrics to Watch
- Revenue stabilization and return to growth trajectory
- Operating cash flow recovery to positive territory
- Path to operating profitability and positive operating margin
- Revenue growth trend and order recovery
- Operating margin and free cash flow improvement
Data I/O Corp. (DAIO) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.84x current ratio provides a solid financial cushion.
DAIO Profit Margin, ROE & Profitability Analysis
DAIO vs Utilities Sector: How Data I/O Corp. Compares
How Data I/O Corp. compares to Utilities sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Data I/O Corp. Stock Overvalued? DAIO Valuation Analysis 2026
Based on fundamental analysis, Data I/O Corp. has mixed fundamental signals relative to the Utilities sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Data I/O Corp. Balance Sheet: DAIO Debt, Cash & Liquidity
DAIO Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Data I/O Corp.'s revenue has grown significantly by 30% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.05 reflects profitable operations.
DAIO Revenue Growth, EPS Growth & YoY Performance
DAIO Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $5.4M | -$307.0K | $-0.03 |
| Q2 2025 | $5.1M | -$382.0K | $-0.08 |
| Q1 2025 | $6.1M | -$382.0K | $-0.04 |
| Q3 2024 | $5.4M | -$53.0K | $-0.01 |
| Q2 2024 | $5.1M | $95.0K | $0.03 |
| Q1 2024 | $6.1M | $95.0K | $0.01 |
| Q3 2023 | $6.6M | -$53.0K | $-0.01 |
| Q2 2023 | $4.8M | $95.0K | $0.03 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Data I/O Corp. Dividends, Buybacks & Capital Allocation
DAIO SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Data I/O Corp. (CIK: 0000351998)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DAIO
What is the AI rating for DAIO?
Data I/O Corp. (DAIO) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 84% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are DAIO's key strengths?
Claude: Strong liquidity position with current ratio of 3.84x and $9.7M cash. Healthy gross margin of 50.7% indicates pricing power and cost control at product level. ChatGPT: Strong liquidity with a 3.84x current ratio and $9.66M in cash. Debt-free capital structure provides financial flexibility.
What are the risks of investing in DAIO?
Claude: Operating cash flow is negative (-$576K) with worsening free cash flow (-$928K), indicating inability to fund operations from business. Revenue declining 22.4% YoY while company is unprofitable, suggesting lost market share or demand destruction. ChatGPT: Revenue declined 22.4% YoY, indicating meaningful demand or execution pressure. Operating and net margins are deeply negative, showing poor cost absorption at current sales levels.
What is DAIO's revenue and growth?
Data I/O Corp. reported revenue of $17.5M.
Does DAIO pay dividends?
Data I/O Corp. does not currently pay dividends.
Where can I find DAIO SEC filings?
Official SEC filings for Data I/O Corp. (CIK: 0000351998) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DAIO's EPS?
Data I/O Corp. has a diluted EPS of $-0.27.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is DAIO a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Data I/O Corp. has a SELL rating with 84% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is DAIO stock overvalued or undervalued?
Valuation metrics for DAIO: ROE of -15.5% (sector avg: 10%), net margin of -14.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy DAIO stock in 2026?
Our dual AI analysis gives Data I/O Corp. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is DAIO's free cash flow?
Data I/O Corp.'s operating cash flow is $-576.0K, with capital expenditures of $352.0K. FCF margin is -5.3%.
How does DAIO compare to other Utilities stocks?
Vs Utilities sector averages: Net margin -14.2% (avg: 12%), ROE -15.5% (avg: 10%), current ratio 3.84 (avg: 0.8).