Knightscope Inc (KSCP)
NASDAQIndustrialsSecurity & Protection ServicesSnapshot 2026-09-09
$1.42-0.70%
Close 2026-09-09 · 1-day change
NASDAQIndustrialsSecurity & Protection ServicesSnapshot 2026-09-09
Broken: Primary pillar broken — Achieve at least $35M revenue by FY26: FY26 revenue guidance $9.0M vs $35M target.
Knightscope aims to reach $35M revenue with a 20% gross margin by year-end. Revenue doubled from $2.54M in 2025-Q4 to $6.02M in 2026-Q1. The company secured nearly $4M in new contracts recently. The acquisition completed in early 2026 supports growth.
The company is still loss-making with negative EPS expected through 2027. Profit margins remain low, with only $0.465M gross profit in 2026-Q1. Recent selloff shows market doubts about execution and margin improvement. Revenue growth may slow and margin targets may not be met.
The price is about 0% above our fair value near $2. Analysts expect about 40% revenue growth. Our view aligns with this but we see risk in margin and profitability targets.
Breaks if: Gross margin remains below 15% by FY26
Breaks if: EPS loss worsens beyond -$2.5 in FY27
Breaks if: Revenue falls below $30M in FY26
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround scenario. The company is currently loss-making and facing headwinds in the sector, but it has set ambitious management priorities aimed at growth.
The market seems to have priced in a low expectations gap, indicating that it does not anticipate significant improvements in performance. KSCP is viewed as cheap compared to its peers, but this valuation comes with a medium level of confidence.
Fundamentals may continue to show weakness in the near term, especially given the elevated risk of another earnings miss. However, the company has reported strong revenue growth recently, which could support its long-term goals if execution remains on track.
The future performance of KSCP hinges on its ability to execute on management's plans, particularly the deployment of new products. Additionally, the performance of sector bellwethers will be crucial; if they miss expectations, KSCP could face further challenges.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The company plans to deploy initial K7 autonomous security robots in 2026. This development aligns with management's objectives and may enhance future performance. There are no new threats impacting the thesis at this time.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Over the next 1 to 3 years, KSCP's outlook is uncertain, heavily influenced by execution risks and sector dynamics. Not investment advice.