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Soundthinking, Inc.. (SSTI) Stock Fundamental Analysis & AI Rating 2026

SSTI Nasdaq Services-Prepackaged Software DE CIK: 0001351636
Recently Updated • Analysis: Apr 16, 2026 • SEC Data: 2025-12-31
SELL
76% Conf
Pending
Analysis scheduled

📊 SSTI Key Takeaways

Revenue: $104.1M
Net Margin: -9.0%
Free Cash Flow: $4.9M
Current Ratio: 0.85x
Debt/Equity: 0.00x
EPS: $-0.74
AI Rating: SELL with 76% confidence
Soundthinking, Inc.. (SSTI) receives a SELL rating with 76% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $104.1M, net profit margin of -9.0%, and return on equity (ROE) of -13.1%, Soundthinking, Inc.. demonstrates mixed fundamentals in the Technology sector. Below is our complete SSTI stock analysis for 2026.

Is Soundthinking, Inc.. (SSTI) a Good Investment?

Claude

SOUNDTHINKING is unprofitable with negative net income (-$9.4M) and operating losses (-$8.7M), while generating negligible revenue growth of only 2.1% YoY. Despite a healthy 54.4% gross margin and positive free cash flow, the company is destroying shareholder value (ROE: -13.1%, ROA: -6.9%) with deteriorating liquidity (current ratio: 0.85x). Without clear evidence of cost discipline or revenue acceleration, the fundamental trajectory is unsustainable.

Why Buy Soundthinking, Inc.. Stock? SSTI Key Strengths

Claude
  • + Strong gross margin of 54.4% indicates robust unit economics and pricing power in core business
  • + Positive free cash flow of $4.9M demonstrates operational cash generation despite unprofitability
  • + Fortress balance sheet with no long-term debt and $72.2M stockholders equity provides financial runway

SSTI Stock Risks: Soundthinking, Inc.. Investment Risks

Claude
  • ! Operating losses of $8.7M on $104.1M revenue base; company is not operationally profitable
  • ! Stagnant revenue growth at 2.1% YoY suggests market saturation or competitive pressures
  • ! Current ratio of 0.85x indicates near-term liquidity stress and potential working capital constraints
  • ! Negative shareholder returns (ROE -13.1%, ROA -6.9%) with $9.4M net loss destroying equity value
  • ! Operating expense burden unclear but appears excessive; lack of expense discipline evident

Key Metrics to Watch

Claude
  • * Operating margin trend - path to breakeven is critical for viability
  • * Revenue growth rate - must accelerate significantly above 2.1% for business durability
  • * Current ratio improvement - must exceed 1.0 to ensure liquidity sufficiency
  • * Free cash flow sustainability - monitor if positive FCF continues or deteriorates

Soundthinking, Inc.. (SSTI) Financial Metrics & Key Ratios

Revenue
$104.1M
Net Income
$-9.4M
EPS (Diluted)
$-0.74
Free Cash Flow
$4.9M
Total Assets
$135.8M
Cash Position
$15.8M

💡 AI Analyst Insight

The relatively thin 4.7% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.

SSTI Profit Margin, ROE & Profitability Analysis

Gross Margin 54.4%
Operating Margin -8.4%
Net Margin -9.0%
ROE -13.1%
ROA -6.9%
FCF Margin 4.7%

SSTI vs Technology Sector: How Soundthinking, Inc.. Compares

How Soundthinking, Inc.. compares to Technology sector averages

Net Margin
SSTI -9.0%
vs
Sector Avg 18.0%
SSTI Sector
ROE
SSTI -13.1%
vs
Sector Avg 22.0%
SSTI Sector
Current Ratio
SSTI 0.8x
vs
Sector Avg 2.5x
SSTI Sector
Debt/Equity
SSTI 0.0x
vs
Sector Avg 0.5x
SSTI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Soundthinking, Inc.. Stock Overvalued? SSTI Valuation Analysis 2026

Based on fundamental analysis, Soundthinking, Inc.. has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
-13.1%
Sector avg: 22%
Net Profit Margin
-9.0%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.5x

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.

Soundthinking, Inc.. Balance Sheet: SSTI Debt, Cash & Liquidity

Current Ratio
0.85x
Quick Ratio
0.85x
Debt/Equity
0.00x
Debt/Assets
46.8%
Interest Coverage
-7.94x
Long-term Debt
N/A

SSTI Revenue & Earnings Growth: 5-Year Financial Trend

SSTI 5-year financial data: Year 2021: Revenue $58.2M, Net Income $1.8M, EPS $0.15. Year 2022: Revenue $81.0M, Net Income $1.2M, EPS $0.10. Year 2023: Revenue $92.7M, Net Income -$4.4M, EPS $-0.38. Year 2024: Revenue $102.0M, Net Income $6.4M, EPS $0.52. Year 2025: Revenue $104.1M, Net Income -$2.7M, EPS $-0.22.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Soundthinking, Inc..'s revenue has grown significantly by 79% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.22 indicates the company is currently unprofitable.

SSTI Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
4.7%
Free cash flow / Revenue

SSTI Quarterly Earnings & Performance

Quarterly financial performance data for Soundthinking, Inc.. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $25.1M -$752.0K $-0.11
Q2 2025 $25.9M -$752.0K $-0.06
Q1 2025 $25.4M -$1.5M $-0.12
Q3 2024 $24.0M -$752.0K $-0.11
Q2 2024 $22.1M -$752.0K $-0.06
Q1 2024 $20.6M -$1.8M $-0.15
Q3 2023 $18.8M $387.0K $-0.15
Q2 2023 $20.0M $387.0K $-0.22

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Soundthinking, Inc.. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$9.3M
Cash generated from operations
Stock Buybacks
$3.0M
Shares repurchased (TTM)
Capital Expenditures
$4.4M
Investment in assets
Dividends
None
No dividend program

SSTI SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Soundthinking, Inc.. (CIK: 0001351636)

📋 Recent SEC Filings

Date Form Document Action
Mar 30, 2026 10-K ssti-20251231.htm View →
Mar 24, 2026 4 xslF345X06/primary_doc.xml View →
Mar 10, 2026 8-K ssti-20260310.htm View →
Mar 10, 2026 4 xslF345X05/ownership.xml View →
Mar 10, 2026 4 xslF345X05/ownership.xml View →

Frequently Asked Questions about SSTI

What is the AI rating for SSTI?

Soundthinking, Inc.. (SSTI) has an AI rating of SELL with 76% confidence, based on fundamental analysis of SEC EDGAR filings.

What are SSTI's key strengths?

Claude: Strong gross margin of 54.4% indicates robust unit economics and pricing power in core business. Positive free cash flow of $4.9M demonstrates operational cash generation despite unprofitability.

What are the risks of investing in SSTI?

Claude: Operating losses of $8.7M on $104.1M revenue base; company is not operationally profitable. Stagnant revenue growth at 2.1% YoY suggests market saturation or competitive pressures.

What is SSTI's revenue and growth?

Soundthinking, Inc.. reported revenue of $104.1M.

Does SSTI pay dividends?

Soundthinking, Inc.. does not currently pay dividends.

Where can I find SSTI SEC filings?

Official SEC filings for Soundthinking, Inc.. (CIK: 0001351636) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is SSTI's EPS?

Soundthinking, Inc.. has a diluted EPS of $-0.74.

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 SSTI a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Soundthinking, Inc.. has a SELL rating with 76% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is SSTI stock overvalued or undervalued?

Valuation metrics for SSTI: ROE of -13.1% (sector avg: 22%), net margin of -9.0% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

Should I buy SSTI stock in 2026?

Our dual AI analysis gives Soundthinking, Inc.. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is SSTI's free cash flow?

Soundthinking, Inc..'s operating cash flow is $9.3M, with capital expenditures of $4.4M. FCF margin is 4.7%.

How does SSTI compare to other Technology stocks?

Vs Technology sector averages: Net margin -9.0% (avg: 18%), ROE -13.1% (avg: 22%), current ratio 0.85 (avg: 2.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 16, 2026 | Data as of: 2025-12-31 | Powered by Claude AI