One Stop Systems, Inc.
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Range $18 – $21
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About the company
One Stop Systems, Inc. (OSS) is a key developer and producer of high-performance computing (HPC) modules and systems, specifically tailored for demanding edge deployments both domestically and across global markets. These advanced systems are engineered around cutting-edge graphical processing unit (GPU) and solid-state flash technologies.
- CEO
- Michael Knowles
- IPO
- 2018
- Employees
- 57
- HQ
- Escondido, CA, US
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- Market Cap
- $282.37M
- P/E
- 101.79
- Fwd P/E
- 190.00
- PEG
- 1.09
- P/S
- 12.14
- P/B
- 7.33
- EV/EBITDA
- -41.04
- Div Yield
- 0.00%
- Gross Margin
- 61.10%
- Op Margin
- -34.18%
- Net Margin
- 5.53%
- ROE
- 3.29%
- ROIC
- -19.42%
Latest fiscal year · YoY change
- Revenue
- $32.22M-41.1%
- Gross Profit
- $14.99M+94.2%
- Op Income
- $-3,379,112
- Net Income
- $5.09M+137.3%
- EPS
- $0.23+135.4%
- OCF Growth
- -5719.1%
- FCF Growth
- -1260.3%
- 52W High
- $20.88
- 52W Low
- $4.17
- 50D MA
- $14.42
- 200D MA
- $10.78
- Beta
- 1.49
- RSI (14)
- 39
- Avg Volume
- 1.23M
Earnings call summaries
Pick a quarter — each call distilled into takeaways, results, and a bull vs bear read.
One Stop Systems posted a strong second quarter with revenue up 62.3% year over year, record bookings, and an increased full-year growth outlook, while gross margin stayed near 40% despite a legal settlement charge and mix pressure.· August 5, 2026
- Revenue rose 62.3% year over year to $9.3 million, driven by defense and commercial programs moving from development into production.
- Bookings were a record, with over $15 million in Q2 and more than $30 million year to date; book-to-bill was about 1.7.
- Management raised full-year 2026 revenue growth guidance to 25% to 30% from 20% to 25%.
- Gross margin was 39.1%, down from 41.3% a year ago, mainly because of customer-funded development, early prototype, and low-rate initial production work.
- The company ended Q2 with $31.4 million of cash, cash equivalents, and short-term investments and no debt.
Total revenue from continuing operations in Q2 2026 was $9.3 million, up 62.3% year over year from $5.8 million. Gross margin from continuing operations was 39.1% versus 41.3% in the prior-year quarter. GAAP net loss from continuing operations was $7.3 million, or $0.29 per share, versus a $2.5 million loss, or $0.11 per share, last year; non-GAAP net loss from continuing operations was $0.2 million, or $0.01 per share, versus $2.0 million, or $0.09 per share. Adjusted EBITDA loss from continuing operations was $0.3 million versus $1.8 million a year ago. Q2 bookings were $15.1 million and year-to-date bookings were more than $30 million, with a book-to-bill ratio of approximately 1.7. The company also recorded a $6.25 million legal settlement charge in Q2. For 2026, management raised revenue growth guidance to 25% to 30% from 20% to 25%, reiterated full-year gross margin of about 40%, and expects positive EBITDA and adjusted EBITDA.
Mike Knowles said the first half of 2026 exceeded internal expectations and showed the benefits of OSS’s shift to a more focused, pure-play rugged edge compute business. He emphasized that revenue growth is being driven by programs that started as development work years ago and are now moving into multi-year production and deployment, supported by a broader customer base and expanding pipeline. His tone was constructive and confident, while also noting the company will keep investing in R&D, personnel, and selective M&A.
Daniel Gabel highlighted that Q2 revenue from continuing operations was $9.3 million and gross margin was 39.1%, with the margin decline tied to product mix and earlier-stage work. He noted operating expenses rose to $11.3 million including the $6.25 million settlement charge, but excluding that item operating expenses increased only 2.9% to $5.1 million and were 54.3% of revenue versus 85.5% a year ago, showing operating leverage. He also said the balance sheet remained strong with $31.4 million in cash, cash equivalents, and short-term investments, no debt, and $629,000 of cash used in operations for the first half, driven largely by a $7.1 million inventory build to support demand and supply chain risk.
Analysts asked about the Army 360-degree vision programs, bookings durability, customer-funded development, customer diversification, supply chain, and when programs could move from R&D evaluation into LRIP or serial production. Management said the Army programs are in test and evaluation, bookings can be lumpy but the pipeline and book-to-bill support continued growth, and customer-funded development should stay strong in the second half. They also said supply chain lead times, especially for memory, remain long but the company used inventory buys to de-risk deliveries, and they do not yet have a precise timeline for early-stage programs to reach program-of-record or serial production.
The bullish case is that OSS is turning years of development work into real production revenue across defense and commercial end markets. Management pointed to record bookings, a 1.7 book-to-bill, a broader customer base, and 14 programs with estimated multi-year revenue potential exceeding $42 million. They also raised full-year revenue guidance and said margins should hold around 40% while the business keeps scaling.
The main risks discussed were lumpiness in bookings, long and uncertain defense procurement timelines, and gross margin pressure from customer-funded development and early-stage production. Management also flagged ongoing supply chain constraints, especially memory lead times, which forced a $7.1 million inventory build to protect deliveries. The $6.25 million settlement charge also weighed on reported results, even though management said it was a one-time matter unrelated to current operations.
AI summary of the company's earnings call · Paraphrased · Not investment advice
- Free Float
- 82.4%
- Shares Outstanding
- 24.77M
- Float Shares
- 20.42M
of shares held by institutions
74 13F filers
Buy/sell ratio 1.00. Sells can include pre-scheduled 10b5-1 plan sales, not just discretionary selling.
Top institutional holders
Largest 13F positions, with quarter-over-quarter change.
| Holder | Shares | Δ Quarter |
|---|---|---|
| Vanguard Group Inc | 1.05M | ▲ 181.57K |
| Amh Equity Ltd | 200.00K | ▲ 200.00K |
| Cubist Systematic Strategies, LLC | 58.19K | ▲ 36.90K |
| Two Sigma Advisers, LP | 55.50K | ▲ 27.71K |
| Anfield Capital Management, LLC | 17.00K | ▲ 17.00K |
| Strait & Sound Wealth Management LLC | 11.04K | ▲ 11.04K |
Held by 79 ETFs
Biggest fund positions in OSS by dollar value.
Recent insider transactions
Who's buying, who's selling, and how much.
| Date | Insider | Type | Shares |
|---|---|---|---|
| Jun 5, 26 | KNOWLES MICHAEL | other | 19,675 |
| May 11, 26 | Gabel Daniel G. | other | 1,613 |
| May 20, 26 | BASSETT DAVID GEORGE | other | 11,984 |
| May 26, 26 | BASSETT DAVID GEORGE | sell | 8,000 |
| May 21, 25 | BASSETT DAVID GEORGE | other | 21,000 |
| May 20, 26 | Matz Gregory W | other | 11,984 |
| May 26, 26 | Matz Gregory W | sell | 8,000 |
| May 20, 26 | Dumont Michael J. | other | 11,984 |
| May 20, 26 | Herbets Mitchell H | other | 11,984 |
| May 26, 26 | Herbets Mitchell H | sell | 5,000 |
A “Sell” may be a pre-scheduled 10b5-1 plan sale rather than a discretionary decision — read insider selling with that in mind.
Our OSS coverage
Recent articles, reports, and earnings notes.
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Generate OSS report →OSS Establishes New U.S. Navy Relationship with $1.3 Million Rugged Data Storage Order
globenewswire.com · Aug 18
One Stop Systems, Inc. (OSS) Q2 2026 Earnings Call Transcript
seekingalpha.com · Aug 5
One Stop Systems Q2 Earnings Call Highlights
marketbeat.com · Aug 5
One Stop Systems, Inc. (OSS) Reports Q2 Loss, Beats Revenue Estimates
zacks.com · Aug 5
One Stop Systems Reports Q2 2026 Results
globenewswire.com · Aug 5
One Stop Systems to Report Second Quarter 2026 Financial Results
globenewswire.com · Jul 22
OSS Receives Production Order from Commercial Robotics Customer
globenewswire.com · Jul 21
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businesswire.com · Jul 15
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