GSI Technology, Inc. (GSIT) AI Stock Analysis
GSIT AI stock analysis summary
AI ResearchGSI Technology, Inc. (GSIT) is a fabless semiconductor company focused on associative processing units and specialized SRAM memory products. For FY2026, revenue increased 22.4% to $25.1M, though the company remained unprofitable with a net income of -$13.2M. GSIT maintains a solid liquidity cushion, reporting $68.9M in net cash as of June 30, 2026.
- Market cap
- $154.5M
- Revenue (TTM)
- $25.2M
- P/E
- — fwd 66.2x
- 1Y return
- -18.8% S&P 500 16.8%
- Avg. target
- $9.00 123.9% vs last close
Bull case
- The company holds a solid net cash position of $68.9M with a current ratio of 9.16 as of June 30, 2026.
- FY2026 revenue rebounded 22.4% year-over-year to $25.1M, supported by a 54.5% gross margin.
- The sole covering analyst has a price target of $9.00, representing 123.9% upside from the October 16, 2026 closing price of $4.02.
Bear case
- The company generated negative free cash flow of -$16.4M in FY2026 alongside a trailing twelve-month operating margin of -85.3%.
- The stock trades at a premium forward P/E of 66.2x versus the median of its US-listed Technology peers of 18.8x.
- The 5-year share count expanded 53.0%, reflecting significant equity dilution to fund ongoing operations.
What GSI Technology does
GSI Technology, Inc. is a fabless semiconductor company that develops associative processing units and static random access memory (SRAM) products. Its associative processing units cater to similarity search applications including visual search queries, computer vision, drug discovery, and cybersecurity. The company's SRAM portfolio features SyncBurst SRAMs, No Bus Turnaround SRAMs, and SigmaQuad/SigmaDDR products for networking, telecom, industrial automation, and medical technology. In addition, GSI Technology supplies Low Latency DRAMs, Asynchronous SRAMs, and specialty radiation-hardened or radiation-tolerant SRAMs used in aerospace and military systems, including satellites and missile platforms.
Growth and profitability
GSI Technology's revenue decreased at a 5-year CAGR of -2.0% from FY2021 to FY2026. Annual revenue dropped from $33.4M in FY2022 to $20.5M in FY2025 before rebounding 22.4% to $25.1M in FY2026. Gross margin stood at 54.5% in FY2026, while operating margin was -69.6% and net margin was -52.7%, yielding an EPS of -$0.41. Over the trailing twelve months ended June 30, 2026, revenue was $25.2M with an operating margin of -85.3% and net margin of -62.9%. In the latest quarter ended June 30, 2026, quarterly revenue growth was 0.5% year-over-year.
Balance sheet and cash flow
As of June 30, 2026, GSI Technology held $77.0M in cash and short-term investments against total debt of $8.2M, resulting in net cash of $68.9M. The balance sheet exhibits strong liquidity with a current ratio of 9.16 and a debt-to-equity ratio of 0.09 on shareholders' equity of $91.9M. In FY2026, the company recorded an operating cash flow of -$15.9M and free cash flow of -$16.4M. Capital expenditures for FY2026 were $486,000, while the company's share count increased 53.0% over 5 years.
Valuation and performance
At $4.02 per share, GSI Technology has a market cap of $154.5M and an enterprise value of $147.3M. The stock trades at a price-to-sales ratio of 6.1x and a forward P/E of 66.2x, compared to the median of its US-listed Technology peers of 2.8x price-to-sales and 18.8x forward P/E. Over the past year, GSIT shares fell 18.8%, underperforming the S&P 500 (SPY) return of 16.8%. Over 5 years, the stock returned -20.4% compared to an 83.0% gain for the benchmark.
What analysts expect
One analyst covers GSI Technology with a Buy rating. The mean price target is $9.00, representing an upside of 123.9% over the last close of $4.02. For the fiscal year ending March 31, 2027, consensus estimates project revenue of $24.9M and an EPS of -$0.45. For the following fiscal year, estimates call for revenue of $28.1M and an EPS of -$0.42. Over the last 4 quarters, the company recorded 0 EPS beats. The next earnings date is October 29, 2026.
Key risks and what to watch
- Continued negative operating cash flow, which stood at -$15.9M in FY2026, threatens cash reserves if profitability is not achieved.
- Elevated short interest at 13.1% of the float indicates substantial market skepticism.
- High share volatility is reflected in a beta of 2.10 and a price positioned 41.7% below its 200-day moving average.
- The company has recorded 0 EPS beats across the last 4 quarters.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this GSIT AI stock analysis
This page is an AI-written research summary of GSI Technology, Inc. (GSIT). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: GSIT income statement, GSIT balance sheet, GSIT key metrics, GSIT analyst forecast, GSIT chart. See the GSIT stock overview for the latest quote and news.
GSIT AI stock analysis FAQ
Does GSI Technology pay a dividend?
GSI Technology does not pay a dividend. The company directs its capital toward operations, recording FY2026 capital expenditures of $486,000.
What is GSI Technology's debt position?
As of June 30, 2026, GSI Technology held $8.2M in total debt against $77.0M in cash and short-term investments, resulting in net cash of $68.9M and a debt-to-equity ratio of 0.09.
What is the consensus analyst target for GSIT?
The single covering analyst has assigned a Buy rating with a mean price target of $9.00, which is 123.9% above the closing price of $4.02 on October 16, 2026.
When is the next earnings release scheduled?
GSI Technology is scheduled to report its next earnings on October 29, 2026.