Star Equity Holdings, Inc. (STRR) AI Stock Analysis

Star Equity Holdings, Inc. operates as a diversified provider of healthcare solutions and construction activities across the United States and internationally. The company is organized into four key segments: Diagnostic Services, Diagnostic Imaging, Construction, and Investments. Its Diagnostic Services segment provides imaging services and advanced imaging systems, including nuclear cardiac systems, to healthcare facilities and physician offices. Diagnostic Imaging develops, sells, and maintains solid-state gamma cameras alongside maintenance contracts. In its construction activities, the company manufactures modular housing units, structural wall panels, and permanent wood foundation systems, while also supplying building materials to general contractors and managing real estate assets.

Star Equity Holdings generated $172.2M in revenue in FY2025, representing a 222.6% increase after a 66.9% drop to $53.4M in FY2024. Gross margin widened from 20.7% in FY2024 to 45.7% in FY2025, while operating margin improved to -2.1% from -15.8%. Net income remained negative at -$5.9M in FY2025, narrowing from -$10.4M in FY2024. Over five years from FY2020 to FY2025, revenue achieved a CAGR of 17.1%. For the trailing twelve months ended June 30, 2026, revenue stood at $209.8M with an operating margin of -2.5% and diluted EPS of -$2.76. In the latest quarter, quarterly revenue grew 54.6% year-over-year, while quarterly earnings contracted 21.6%.

As of June 30, 2026, Star Equity Holdings held $12.6M in cash and short-term investments alongside $28.2M in total debt, resulting in net debt of $15.6M. Shareholders' equity was $59.8M, supported by total assets of $108.2M. The company reported a current ratio of 1.96 and a debt-to-equity ratio of 0.47. In FY2025, operating cash flow was -$7.3M and free cash flow was -$9.0M. Cash deployment in FY2025 included $1.7M in capital expenditures, $2.6M for share buybacks, and $740,000 in dividends paid.

At $9.81 per share, Star Equity Holdings holds a market capitalization of $36.2M and an enterprise value of $55.2M. The stock trades at a forward P/E of 11.6x, below the 17.2x median of its US-listed Industrials peers. Its price-to-sales ratio of 0.2x and EV-to-EBITDA of 3.7x also compare to US-listed Industrials peer medians of 1.5x and 13.9x, respectively. Over the past year, STRR fell 9.0%, underperforming the S&P 500 return of 16.8%. Over a 5-year span, the stock dropped 41.9%, trailing the S&P 500 gain of 83.0%.

Wall Street coverage includes 2 Strong Buy ratings, with zero Buy, Hold, Sell, or Strong Sell recommendations. The mean price target is $17.33, implying 76.7% upside relative to the last close of $9.81. For the current fiscal year ending December 31, 2026, consensus estimates project EPS of -$1.03 on revenue of $222.8M. For the next fiscal year, 2 analysts project revenue of $249.4M and EPS of $1.18, reflecting expected EPS growth of 214.1%. The company recorded 0 EPS beats over the last 4 quarters, with the next earnings date set for November 12, 2026.

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