TSS, Inc. (TSSI)

In the past six months, TSS, Inc.'s stock has experienced significant activity, including a share price increase of 52.17% between November 14, 2024, and October 24, 2025. Key events include a reported 262% year-over-year revenue surge in Q2 2025 and a 520% (or 523%) revenue growth in Q1 2025, largely driven by procurement for AI infrastructure. The company undertook public offerings of common stock in August 2025, raising $51 million and $58.7 million, and presented at Needham and Jefferies Conferences in August 2025. Strategic developments included a shift in focus to operationalizing a new Georgetown facility to enhance production and power infrastructure, supporting AI-driven modular deployments. Management has projected full-year 2025 adjusted EBITDA growth of at least 50%. However, the stock experienced an 18.85% drop post-Q2 2025 earnings due to flat EPS and margin compression. Insider selling by the Chief Operating Officer and Chief Financial Officer was reported in September 2025, and the stock has shown volatility over the past three months, though short interest decreased by 11.16% from the prior month as of October 24, 2025.

Demand for TSS, Inc.'s products and services is influenced by a project-driven business model and federal seasonality, leading to fluctuations in volumes. The company is currently capitalizing on a "massive demand" for AI rack integration and AI-enabled technologies, indicating a strong underlying market trend. However, the project-based nature of its work and reliance on federal contracts introduce an element of seasonality to its demand.

TSS, Inc. is a technology solutions and services provider specializing in planning, design, development, and maintenance of mission-critical facilities and information infrastructure, as well as integration services. The company operates primarily within the IT sector, specifically in IT Services, and its business is segmented into Facilities, Systems Integration, and Procurement, with Procurement being a major revenue driver. TSS, Inc. offers a range of products and services including the design, project management, and maintenance of data centers and mission-critical business operations, IT equipment deployment, second-touch configuration services for OEM and end-user customers, consulting, strategic procurement, and solutions in emerging technologies like AI-driven analytics, cloud computing, IoT, and blockchain.

TSS, Inc. is headquartered in Round Rock, Texas, and primarily operates within the United States. The company serves IT OEM equipment, technology, and service companies, private sector businesses, and government or commercial end-users across various industries.

In the past year, TSS, Inc. has maintained a strong reputation for excellence in technology integration and customer service. The company has demonstrated impressive growth, outperforming the IT industry, which has contributed to positive market sentiment. Strategic expansions, such as the new Georgetown facility, have also been viewed favorably. While the company's stock has been noted for its volatility, reflecting its small-cap status and the inherent uncertainties of the sector, there haven't been specific events negatively impacting its brand reputation beyond general market perceptions of a "high-risk, high-reward" investment. Concerns regarding profitability and cash flow consistency have been noted by analysts, which could indirectly affect investor perception.

TSS, Inc. has a diverse ownership structure, with retail investors holding approximately 39% to 48.06% of the company's shares. Institutional owners collectively hold a substantial amount, with 181 institutions holding a total of 8,384,658 shares. Major institutional shareholders include BlackRock, Inc., Vanguard Group Inc., Susquehanna International Group, Llp, Citadel Advisors Llc, Millennium Management Llc, Geode Capital Management, Llc, Value Aligned Research Advisors, LLC, Raymond James Financial Inc., Renaissance Technologies Llc, D. E. Shaw & Co., Inc., State Street Corp., and Jump Financial, Llc. Hedge funds own about 10% of the shares, with MHW Capital Management, LLC being the largest hedge fund shareholder. Darryll Dewan, the CEO, holds 2.2% of the shares.