Northland Securities Expects Weaker Earnings for PowerFleet

Key Points

• Northland Securities lowered PowerFleet’s Q3 fiscal 2027 EPS estimate to $0.00 from $0.02, while full-year consensus earnings remain $0.17 per share.
• PowerFleet’s latest quarter beat EPS expectations with a loss of $0.01 versus the expected $0.02 loss, but revenue of $110.79 million fell short of the $115.54 million consensus estimate.
• Shares fell 7.2% to $2.84, near their 52-week low. Analyst sentiment is mixed, with a consensus “Hold” rating and an average price target of $7.40, while the company has authorized a $30 million share buyback.

PowerFleet, Inc. (NASDAQ:AIOT - Free Report) - Equities research analysts at Northland Securities cut their Q3 2027 EPS estimates for shares of PowerFleet in a research report issued to clients and investors on Tuesday, August 11th. Northland Securities analyst G. Gibas now forecasts that the company will post earnings per share of $0.00 for the quarter, down from their prior estimate of $0.02. The consensus estimate for PowerFleet's current full-year earnings is $0.17 per share.

PowerFleet (NASDAQ:AIOT - Get Free Report) last announced its quarterly earnings data on Monday, August 10th. The company reported ($0.01) EPS for the quarter, beating the consensus estimate of ($0.02) by $0.01. The business had revenue of $110.79 million during the quarter, compared to analysts' expectations of $115.54 million. PowerFleet had a negative net margin of 4.16% and a positive return on equity of 0.48%.

Several other equities research analysts also recently weighed in on AIOT. Craig Hallum cut their price target on PowerFleet from $9.00 to $6.00 and set a "buy" rating on the stock in a research report on Tuesday. Barrington Research set a $10.00 target price on PowerFleet in a report on Monday. Wall Street Zen raised PowerFleet from a "sell" rating to a "hold" rating in a report on Saturday, May 9th. Weiss Ratings cut shares of PowerFleet from a "hold (c-)" rating to a "sell (d-)" rating in a research note on Tuesday, June 16th. Finally, Raymond James Financial lowered shares of PowerFleet from an "outperform" rating to a "market perform" rating in a report on Tuesday. Three analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $7.40.

PowerFleet Trading Down 7.2%

Shares of PowerFleet stock opened at $2.84 on Wednesday. The stock has a market cap of $381.21 million, a PE ratio of -20.28 and a beta of 1.43. The firm has a fifty day moving average price of $4.03 and a 200 day moving average price of $3.75. PowerFleet has a 1 year low of $2.78 and a 1 year high of $5.88. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.13 and a quick ratio of 0.99.

PowerFleet announced that its Board of Directors has approved a share buyback plan on Tuesday, June 30th that allows the company to repurchase $30.00 million in shares. This repurchase authorization allows the company to repurchase up to 6% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's leadership believes its shares are undervalued.

Institutional Trading of PowerFleet

A number of institutional investors have recently made changes to their positions in AIOT. Hurley Capital LLC acquired a new position in PowerFleet in the 4th quarter valued at $32,000. State of Wyoming acquired a new stake in PowerFleet during the 2nd quarter worth $27,000. Kemnay Advisory Services Inc. acquired a new stake in PowerFleet during the 4th quarter worth $48,000. MGO One Seven LLC purchased a new stake in shares of PowerFleet during the fourth quarter worth $55,000. Finally, Krilogy Financial LLC purchased a new stake in shares of PowerFleet during the fourth quarter worth $58,000. 73.40% of the stock is owned by institutional investors and hedge funds.

Key PowerFleet News

Here are the key news stories impacting PowerFleet this week:

• Positive Sentiment: PowerFleet reported adjusted first-quarter fiscal 2027 EPS of $(0.01), ahead of the $(0.02) analyst consensus. Operating cash flow rose 79% year over year to $8.4 million, supporting the company’s liquidity and execution story. PowerFleet Reports Results for First Quarter Fiscal 2027
• Positive Sentiment: Services revenue increased 9.1% to $94.3 million, accounting for 85% of total revenue. PowerFleet also issued fiscal 2026 revenue guidance of $468 million to $473 million, above the $442.3 million consensus estimate, and analysts’ average price target was reported at $9.67. PowerFleet Receives $9.67 Average Price Target from Analysts
• Neutral Sentiment: Reported short interest was listed at zero shares, with a zero-day short-interest ratio. Because the data also showed an “NaN” percentage change, it provides no meaningful evidence of changing short-selling pressure. PowerFleet Short Interest Information
• Negative Sentiment: Quarterly revenue came in at $110.8 million, below the $115.5 million consensus estimate. The revenue miss, continued negative net margin of 4.63%, and concerns about weaker aspects of the outlook overshadowed the EPS beat, prompting a sharp selloff in the shares. PowerFleet Shares Tumble as Revenue Miss and Guidance Overshadow Earnings Beat

PowerFleet Company Profile

PowerFleet, Inc NASDAQ: AIOT develops and delivers Internet of Things (IoT)–based telematics and asset-tracking solutions designed to help businesses monitor, manage and optimize fleets of vehicles and industrial equipment. Its core offerings include wireless sensors, GPS tracking devices and cloud-hosted software platforms that provide real-time visibility into vehicle whereabouts, usage patterns, fuel consumption and maintenance needs. The company's systems also support regulatory compliance and safety monitoring, enabling customers to reduce operational costs, minimize theft and improve overall asset utilization.

The company's hardware portfolio features RFID readers, active and passive tags, onboard diagnostics (OBD) adapters and temperature or motion sensors that can be deployed on trucks, trailers, forklifts, containers and other high-value assets.

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