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TSSI:NASDAQTSS, Inc. Analysis

Data as of 2026-07-18 - not real-time

$9.76

Latest Price

8/10Risk

Risk Level: High

Executive Summary

TSS, Inc. (TSSI) is trading at $9.76, just above its calculated support of $9.29 and well below its 20‑day, 50‑day, and 200‑day moving averages, indicating a price weakness that aligns with a bearish MACD histogram and a sub‑30 RSI, suggesting oversold conditions. Volatility is extreme at 68% over the past 30 days and the beta exceeds 3, exposing the stock to amplified market swings, while volume has been on a declining trend, raising concerns about liquidity. Fundamentally, the company faces steep challenges: revenue has contracted by 44% YoY, operating cash flow is negative, and free cash flow shows a $29 M deficit, yet the current P/E of 19 is well below the industry average of 33, and the upside/downside estimate points to an 84% potential upside. Recent investor‑focused presentations highlighted a strategic push into liquid‑cooled AI rack integration, positioning TSSI as a niche player in data‑center cooling, which could serve as a catalyst if the execution materializes.

Market Outlook

Short Term

< 1 year
Cautious
Model confidence: 7/10

Key Factors

  • Price hovering at technical support with bearish MACD
  • High volatility and beta increasing downside risk
  • Decreasing trading volume indicating liquidity pressure

Medium Term

1–3 years
Neutral
Model confidence: 5/10

Key Factors

  • Potential upside from AI‑focused cooling solutions
  • Valuation discount relative to industry peers
  • Continued cash‑flow deficits and revenue decline

Long Term

> 3 years
Positive
Model confidence: 6/10

Key Factors

  • Strategic positioning in a growing data‑center cooling market
  • Undervalued multiples offering margin of safety
  • Long‑term upside potential despite current operational challenges

Key Metrics & Analysis

Financial Health

Revenue Growth-44.10%
Profit Margin7.14%
P/E Ratio19.1
ROE32.75%
ROA4.45%
Debt/Equity51.09
P/B Ratio3.5
Op. Cash Flow$-702000
Free Cash Flow$-29195000
Industry P/E32.8

Technical Analysis

TrendNeutral
RSI33.5
Support$9.29
Resistance$13.95
MA 20$11.56
MA 50$12.40
MA 200$12.13
MACDBearish
VolumeDecreasing
Fear & Greed Index87.91

Valuation

Target Price$18.00
Upside/Downside84.43%
GradeUndervalued
TypeBlend

Risk Assessment

Beta3.26
Volatility68.39%
Sector RiskMedium
Reg. RiskLow
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.