NVE Corporation (NVEC) AI Stock Analysis

NVE Corporation specializes in spintronics technology, manufacturing devices that utilize electron spin to acquire, store, and transmit information. Its product catalog includes standard sensors for factory automation that detect magnetic or metallic materials for position and speed sensing, as well as customized medical sensors replacing electromechanical switches. The company also provides spintronic couplers for industrial Internet of Things connectivity solutions. Additionally, NVE participates in research and development contracts and licenses its proprietary spintronic magnetoresistive random access memory (MRAM) technology. Founded in 1989 and based in Eden Prairie, Minnesota, the company employs 40 people.

Revenue grew at a 5-year CAGR of 4.3% from FY2021 to FY2026. Annual revenue peaked at $38.3M in FY2023 with net income of $22.7M, before falling 22.1% in FY2024 to $29.8M and 13.2% in FY2025 to $25.9M. For FY2026, revenue edged up 1.8% to $26.3M, supported by a gross margin of 78.7%, operating margin of 60.5%, and net income of $15.2M. In the latest quarter ended June 30, 2026, revenue increased 80.7% year-over-year and quarterly earnings grew 78.6%. Over the trailing twelve months, revenue was $31.3M with a 57.6% profit margin and EPS of $3.72.

As of June 30, 2026, NVE Corporation held $21.8M in cash and short-term investments against total debt of $905,825, yielding net cash of $20.9M. The balance sheet reflects strong liquidity with a current ratio of 23.72 and a debt-to-equity ratio of 0.02 against shareholders' equity of $59.8M. During FY2026, operating cash flow reached $16.7M and free cash flow was $14.5M. Cash deployment included capital expenditures of $2.2M and dividends paid of $19.3M, while share count changed by 0.2% over five years.

NVEC trades at a trailing P/E of 26.6x, below the median of 28.1x for its US-listed Technology peers. However, its forward P/E of 21.1x and EV/EBITDA of 25.3x exceed peer medians of 18.8x and 16.6x, respectively. The stock's price-to-sales ratio is 15.3x compared to 2.8x for peers. Over the past year, NVEC gained 41.9%, outperforming the S&P 500 (SPY) return of 16.8%, and over five years it returned 102.1% against 83.0% for the index.

NVE Corporation offers an annual forward dividend of $4.00 per share, representing a dividend yield of 4.04% and a payout ratio of 2.0%. The company has paid quarterly dividends for 12 consecutive years, though its 5-year annualized dividend growth stands at 0.0%. Its last ex-dividend date was August 3, 2026.

Analysts maintain a mean price target of $79.00 for NVEC, which represents an implied decline of 20.3% from the last close of $99.13 on October 16, 2026. The company's next earnings date is scheduled for October 21, 2026. Institutional ownership stands at 94.5%, with insider ownership at 0.4% and short interest accounting for 14.1% of the float.

This page is an AI-written research summary of NVE Corporation (NVEC). 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.

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