Smith Micro Software, Inc. (SMSI) AI Stock Analysis

Smith Micro Software, Inc. is a global provider of software solutions designed to enhance mobile experiences for wireless and cable service providers. Founded in 1982 and based in Pittsburgh, Pennsylvania, the company creates products for connected devices and digital lifestyles. Its flagship offerings include the SafePath Family, SafePath IoT, and SafePath Home suites, which provide tools to monitor and protect connected devices. Additionally, the company offers CommSuite, an advanced messaging platform supporting multi-language Voice-to-Text transcription, and ViewSpot, a retail display management platform for interactive demonstrations.

Revenue decreased from $58.4M in FY2021 to $48.5M in FY2022, $40.9M in FY2023, $20.6M in FY2024, and $17.4M in FY2025, reflecting a 5-year revenue CAGR of -19.5%. Operating margin declined from -53.0% in FY2021 to -110.8% in FY2025, while net losses were -$31.0M in FY2021 and -$30.1M in FY2025, reaching a low of -$48.7M in FY2024. For the trailing twelve months, revenue was $16.9M with a profit margin of -92.6% and an operating margin of -54.6%. In the latest quarter ended June 30, 2026, quarterly revenue fell 1.8% year-over-year, while quarterly earnings declined 84.0%.

As of June 30, 2026, Smith Micro Software held $2.8M in cash and short-term investments against total debt of $4.5M, resulting in net debt of $1.7M. The company reported a current ratio of 1.45, total assets of $25.9M, and shareholders' equity of $17.3M, with a debt-to-equity ratio of 0.26. For FY2025, operating cash flow was -$7.2M and free cash flow was -$7.3M. Cash deployment during FY2025 included capital expenditures of $88,000 and dividends paid of $769,000, while the share count increased 282.8% over five years.

Smith Micro Software trades at a forward P/E of 5.8x, compared to 18.8x for the median of its US-listed Technology peers. Its price-to-sales ratio is 0.8x, below the peer median of 2.8x, while its EV/EBITDA multiple of 45.6x is above the peer median of 16.6x. The company's enterprise value is $16.6M against a market capitalization of $13.2M. Over the past year, the stock fell 33.2%, trailing the S&P 500 (SPY) return of 16.8%. Over five years, the stock dropped 98.9%, compared to an 83.0% gain for SPY.

Wall Street coverage includes 2 Strong Buy ratings and 0 Buy, Hold, Sell, or Strong Sell ratings. The mean price target of $11.00 represents a 364.1% upside from the last close of $2.37 on October 16, 2026. For the fiscal year ending December 31, 2026, analysts estimate an EPS of -$0.67 on revenue of $19.6M. For FY2027, the single analyst covering the period projects EPS of $0.46 and revenue of $30.7M. The company beat EPS estimates in 2 of the last 4 quarters, with next earnings scheduled for November 4, 2026.

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