Spain’s credit rating upgraded to ’A+’ by S&P on strong growth
Investing.com - H.C. Wainwright has reiterated its Buy rating and $12.00 price target on Knightscope Inc (NASDAQ:KSCP) following the company’s second-quarter 2025 results released last month. According to InvestingPro data, the stock currently trades significantly below its 52-week high of $28.57, with an overall financial health score rated as WEAK.
The security technology company reported $2.7 million in revenue for the quarter, below H.C. Wainwright’s $3.1 million estimate, with the shortfall attributed to component shortages affecting Emergency Communication Device (ECD) product sales. These supply chain constraints are expected to continue impacting ECD deliveries through the remainder of 2025. InvestingPro analysis reveals trailing twelve-month revenue of $11.01 million, with concerning gross profit margins at -29.8%.
Despite weaker ECD performance, Knightscope’s Autonomous Security Robot (ASR) service revenue increased approximately 7.0% year-over-year, helping to offset some of the product revenue decline. The company has also reduced its operating expenses by approximately 14.0% compared to the same period last year. InvestingPro indicates the company maintains a current ratio of 1.9, suggesting adequate liquidity to meet short-term obligations.
Knightscope has strengthened its financial position by paying down $3.0 million in existing debt and raising additional capital, resulting in a cash balance of $24.2 million as of August 8, 2025. The company is consolidating its operations in a new facility in Sunnyvale, California, which may lead to some non-cash inventory write-downs in the near term but is expected to improve manufacturing efficiencies long-term. InvestingPro subscribers can access 14 additional key insights about KSCP’s financial health and market position in the comprehensive Pro Research Report.
H.C. Wainwright anticipates new ASR contracts will serve as positive catalysts for Knightscope shares during the second half of 2025, preceding stronger financial results expected to begin in late 2025. For detailed analysis and real-time updates on KSCP’s valuation and financial metrics, visit InvestingPro, where you’ll find exclusive insights and expert analysis.
In other recent news, Knightscope, Inc. has secured over $1.3 million in new contracts for its autonomous security robots and emergency communication devices. This growth includes significant bookings across sectors such as aviation, casinos, higher education, and healthcare. Additionally, Knightscope has amended its bylaws to reduce the quorum required for stockholder meetings from a majority to one-third of the voting power. The company has also filed a prospectus supplement for a potential $50 million stock offering, which will be conducted under an existing agreement with H.C. Wainwright & Co., LLC. Furthermore, Knightscope has joined Palantir Technologies’ FedStart program to expand its reach in the U.S. federal marketplace. This collaboration aims to accelerate Knightscope’s access to secure federal environments, crucial for deploying its AI-driven security technologies. These developments highlight Knightscope’s strategic initiatives to broaden its market presence and operational efficiency.
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