📊 GSIT Key Takeaways
Is Gsi Technology Inc. (GSIT) a Good Investment?
GSI Technology exhibits severe operational challenges with -52.7% net margins and negative operating cash flow of -15.9M despite 22.4% revenue growth, indicating an unsustainable business model. While the balance sheet is exceptionally strong with 67.2M in cash reserves and zero debt, providing 4+ years of runway, the fundamental issue is that the company loses money operationally and cannot sustain current trajectory without significant operational restructuring.
GSI Technology maintains a strong, debt-free balance sheet with substantial cash and healthy gross margins, but operations remain deeply unprofitable with declining revenue and significant negative free cash flow. Liquidity offers a multi-year runway, yet a clear path to operating leverage and sustainable growth is not evident from current results. Maintain neutrality until revenue inflects and operating losses narrow meaningfully.
Gsi Technology Inc. Key Strengths (GSIT)
- Strong revenue growth of 22.4% YoY showing market traction
- Excellent liquidity position with 67.2M cash (68% of assets) and 8.61x current ratio
- No long-term debt and minimal liabilities (16.2M), providing financial flexibility
- Debt-free balance sheet with ~$70.7M cash
- Exceptional liquidity (current ratio ~10x; quick ~9.9x)
- Healthy gross margin (~55%) indicating pricing power
GSIT Stock Risks: Gsi Technology Inc. Investment Risks
- Severe profitability crisis with -69.6% operating margin and -52.7% net margin on growing revenue
- Negative operating cash flow of -15.9M indicates operational cash burn despite gross profit of 13.7M, suggesting bloated operating expenses
- Unsustainable cost structure: gap between 54.5% gross margin and -69.6% operating margin reveals operating expenses exceed total revenue
- Persistent operating losses (operating margin ~-65%) and cash burn
- Revenue contraction (-5.7% YoY) indicating demand/scale risk
- Runway erosion and potential need for external capital if losses persist
Key Metrics to Watch
- Operating cash flow trend - must turn positive within 12-18 months or runway depletes
- Operating margin path to breakeven - need evidence of cost reduction or pricing power
- Cash consumption rate - monitor quarterly burn to verify 4+ year runway remains valid
- YoY revenue growth
- Operating cash flow
Gsi Technology Inc. (GSIT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 8.61x current ratio provides a solid financial cushion.
GSIT Profit Margin, ROE & Profitability Analysis
GSIT vs Technology Sector: How Gsi Technology Inc. Compares
How Gsi Technology Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Gsi Technology Inc. Stock Overvalued? GSIT Valuation Analysis 2026
Based on fundamental analysis, Gsi Technology Inc. has mixed fundamental signals relative to the Technology 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.
Gsi Technology Inc. Balance Sheet: GSIT Debt, Cash & Liquidity
GSIT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Gsi Technology Inc.'s revenue has declined by 42% over the 5-year period, indicating business contraction. The most recent EPS of $-0.80 indicates the company is currently unprofitable.
GSIT Revenue Growth, EPS Growth & YoY Performance
GSIT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $5.4M | -$3.0M | $-0.09 |
| Q2 2026 | $4.6M | -$3.2M | $-0.11 |
| Q1 2026 | $4.7M | $1.1M | $0.04 |
| Q3 2025 | $5.3M | -$4.0M | $-0.16 |
| Q2 2025 | $4.6M | -$4.1M | $-0.16 |
| Q1 2025 | $4.7M | $1.1M | $0.04 |
| Q3 2024 | $5.3M | -$4.8M | $-0.20 |
| Q2 2024 | $5.7M | -$3.2M | $-0.13 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Gsi Technology Inc. Dividends, Buybacks & Capital Allocation
GSIT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Gsi Technology Inc. (CIK: 0001126741)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GSIT
What is the AI rating for GSIT?
Gsi Technology Inc. (GSIT) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 69% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GSIT's key strengths?
Claude: Strong revenue growth of 22.4% YoY showing market traction. Excellent liquidity position with 67.2M cash (68% of assets) and 8.61x current ratio. ChatGPT: Debt-free balance sheet with ~$70.7M cash. Exceptional liquidity (current ratio ~10x; quick ~9.9x).
What are the risks of investing in GSIT?
Claude: Severe profitability crisis with -69.6% operating margin and -52.7% net margin on growing revenue. Negative operating cash flow of -15.9M indicates operational cash burn despite gross profit of 13.7M, suggesting bloated operating expenses. ChatGPT: Persistent operating losses (operating margin ~-65%) and cash burn. Revenue contraction (-5.7% YoY) indicating demand/scale risk.
What is GSIT's revenue and growth?
Gsi Technology Inc. reported revenue of $25.1M.
Does GSIT pay dividends?
Gsi Technology Inc. does not currently pay dividends.
Where can I find GSIT SEC filings?
Official SEC filings for Gsi Technology Inc. (CIK: 0001126741) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GSIT's EPS?
Gsi Technology Inc. has a diluted EPS of $-0.42.
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 grade reflects both perspectives for balanced insights.
What is GSIT's fundamental grade?
Based on our AI fundamental analysis in June 2026, Gsi Technology Inc. has a C grade with 69% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is GSIT stock overvalued or undervalued?
Valuation metrics for GSIT: ROE of -16.2% (sector avg: 22%), net margin of -52.7% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is GSIT's AI grade for 2026?
Our dual AI analysis gives Gsi Technology Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is GSIT's free cash flow?
Gsi Technology Inc.'s operating cash flow is $-15.9M, with capital expenditures of $486.0K. FCF margin is -65.3%.
How does GSIT compare to other Technology stocks?
Vs Technology sector averages: Net margin -52.7% (avg: 18%), ROE -16.2% (avg: 22%), current ratio 8.61 (avg: 2.5).