CSP Inc. (CSPI)

Over the past six months, CSP, Inc.'s stock price has declined. Key events include an 18% increase in total revenue in Q3 FY2025, driven by growth in the Technology Solutions segment and product revenue, despite a net loss. The company reported decreased revenue and a net loss in Q2 FY2025. CSP, Inc. was added to the Russell 3000® Index and declared quarterly dividends of $0.03 per share.

Specific seasonal trends for CSP, Inc.'s products and services are not explicitly outlined. The company's Managed Services Practice generates recurring revenue, suggesting consistent demand for managed IT services. Increased demand for cloud-based services and growth in maritime customers drive revenue in the Technology Solutions segment. Project-based work may introduce cyclicality based on client budgeting and project timelines.

CSP, Inc. is a technology company specializing in IT integration solutions, security products, managed IT services, cloud services, network adapters, and high-performance cluster computer systems for commercial and defense sectors globally. The company operates in two segments: Technology Solutions (TS), which focuses on value-added reseller integrated solutions, and High-Performance Products (HPP), which designs and manufactures specialized cybersecurity, networking, and signal processing products.

CSP, Inc. primarily generates revenue from the Americas and is headquartered in Lowell, Massachusetts, with a North American headquarters in Deerfield Beach, Florida. The company serves global markets and recently partnered in South Africa to address cyberattacks in critical infrastructure, with potential global expansion in the telecommunications sector.

CSP, Inc. has experienced positive developments in its brand reputation, particularly in cybersecurity and managed IT services. CSPi Technology Solutions was ranked #5 Cloud Computing Company in South Florida. ARIA Cybersecurity secured critical systems for a Midwest manufacturer and prevented disruptive updates at a major US steel mill. Acronis partnered with ARIA Cybersecurity to integrate AZT PROTECT™ into its Acronis Cyber Protect Solution. However, profitability remains a concern due to deteriorating margins in the Technology Solutions segment and challenges with AZT PROTECT.

CSP, Inc. has a dispersed ownership structure with significant institutional, insider, and retail investor presence. Institutional shareholders hold 29.22% of the stock, insiders hold 30.77%, and retail investors hold 40.01%. Major institutional owners include Visionary Wealth Advisors, Vanguard Group Inc, and Dimensional Fund Advisors Lp. Key individual insiders with significant holdings include Joseph R. Nerges, Victor Dellovo, and Christopher I. Hall. Insider activity in the past 12 months shows 17,538 shares bought, with 2,200 shares bought in the last three months.