Power Solutions International, Inc. (PSIX) AI Stock Analysis

NASDAQ: PSIXAI research summary: business, growth, valuation, analysts, bull and bear case.

PSIX AI stock analysis summary

AI Research

Power Solutions International, Inc. (PSIX) manufactures integrated engines and custom power systems for global industrial and energy markets. In FY2025, revenue grew 51.8% to $722.4M and net income climbed to $114.0M, though recent quarterly revenue for the period ending June 30, 2026, declined 20.5% year-over-year. The stock trades at a trailing price-to-earnings ratio of 15.7x with a market capitalization of $1.06B.

Market cap
$1.06B
Revenue (TTM)
$676.2M
P/E
15.7x
fwd 32.7x
1Y return
-48.1%
S&P 500 16.8%
Avg. target
$69.79
51.5% vs last close

Bull case

  • FY2025 net income reached $114.0M, marking substantial profit expansion from $11.3M in FY2022.
  • The stock generated a 5-year return of 1051.8%, outperforming the S&P 500 return of 83.0% over the same period.
  • Analysts maintain 3 Strong Buy ratings with a mean price target of $69.79, representing 51.5% upside over the last close.

Bear case

  • Quarterly revenue declined 20.5% and quarterly earnings dropped 67.1% year-over-year in the period ending June 30, 2026.
  • The stock experienced a 1-year decline of 48.1% and trades 14.6% below its 200-day average.
  • Current fiscal year EPS is projected to fall 42.6% to $2.86 compared to the $4.97 reported in FY2025.

What Power Solutions International does

Power Solutions International, Inc. designs, engineers, manufactures, markets, and sells engines and power systems across North America, the Pacific Rim, Europe, and internationally. The company provides basic engine blocks integrated with fuel systems and completely packaged power systems featuring cooling, electronics, air intake, exhaust, and telematics componentry. It also produces custom-engineered electrical power generation systems for standby and prime power applications, emission-certified internal combustion engines, and power enclosures. Additionally, it offers mobile and stationary gensets, service parts programs, and systems for diverse markets, including data centers, oil and gas, microgrids, school buses, and industrial machinery.

Growth and profitability

Revenue expanded from $456.3M in FY2021 to $722.4M in FY2025, reflecting a 5-year CAGR of 11.6%. Profitability turned positive following FY2021, when net margin was -10.6% and operating margin was -9.1%. By FY2024, operating margin reached 17.2% with net income of $69.3M, followed by FY2025 revenue growth of 51.8% and net income of $114.0M. Free cash flow stood at $14.1M in FY2025, down from $57.8M in FY2024. In the latest quarter ending June 30, 2026, quarterly revenue fell 20.5% year-over-year, while quarterly earnings dropped 67.1%. Over the trailing twelve months, revenue reached $676.2M with EPS of $2.94.

PSIX income statement →

Balance sheet and cash flow

As of June 30, 2026, Power Solutions International held $70.1M in cash and short-term investments alongside total debt of $134.7M, resulting in net debt of $64.7M. Shareholders' equity was $203.1M against total assets of $453.3M, yielding a debt-to-equity ratio of 0.66. The company maintained liquidity with a current ratio of 2.57. During FY2025, operating cash flow stood at $24.1M, and capital expenditures totaled $10.0M. Additionally, the share count increased by 0.5% over 5 years.

PSIX balance sheet →

Valuation and performance

At a share price of $46.07, Power Solutions International has a market capitalization of $1.06B and an enterprise value of $1.15B. The stock trades at a trailing P/E of 15.7x, below the median of 24.8x for its US-listed Industrials peers, while its forward P/E of 32.7x exceeds the peer median of 17.2x. Its enterprise value-to-EBITDA ratio is 12.2x, compared to the peer median of 13.9x. Over the past year, PSIX fell 48.1%, underperforming the S&P 500 return of 16.8%, but over 5 years returned 1051.8% versus 83.0% for the index.

PSIX key metrics →

What analysts expect

Wall Street coverage includes 3 Strong Buy ratings and no Buy, Hold, or Sell ratings. The mean price target is $69.79, reflecting a 51.5% premium to the last closing price of $46.07. For the fiscal year ending December 31, 2026, analysts expect revenue of $673.3M and EPS of $2.86, a projected earnings decrease of 42.6%. The company has beat EPS estimates in 3 of the last 4 quarters. The next earnings date is November 5, 2026.

PSIX forecast and price target →

Key risks and what to watch

  • The company carries total debt of $134.7M against cash and short-term investments of $70.1M, creating net debt of $64.7M.
  • Short interest represents 13.9% of the float, reflecting significant bearish positioning.
  • The stock exhibits elevated volatility with a beta of 2.01 and a wide 52-week trading range between $25.28 and $106.50.

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 PSIX AI stock analysis

This page is an AI-written research summary of Power Solutions International, Inc. (PSIX). 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: PSIX income statement, PSIX balance sheet, PSIX key metrics, PSIX analyst forecast, PSIX chart. See the PSIX stock overview for the latest quote and news.

PSIX AI stock analysis FAQ

What is Power Solutions International's ticker and exchange?

Power Solutions International trades under the ticker PSIX on the NASDAQ exchange.

Does Power Solutions International pay a dividend?

The company does not currently pay a regular dividend.

What was PSIX's revenue and net income in FY2025?

In FY2025, PSIX generated $722.4M in revenue and reported net income of $114.0M.

What are analysts expecting for PSIX's full-year earnings?

For the fiscal year ending December 31, 2026, analysts estimate an EPS of $2.86 on revenue of $673.3M.

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