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IOT Stock Analysis 2026 - Samsara Inc. AI Rating

IOT NYSE Services-Computer Integrated Systems Design DE CIK: 0001642896
Recently Updated • Analysis: Mar 29, 2026 • SEC Data: 2026-01-31
HOLD
62% Conf
Pending
Analysis scheduled

📊 IOT Key Takeaways

Revenue: $1.6B
Net Margin: -0.6%
Free Cash Flow: $207.4M
Current Ratio: 1.64x
Debt/Equity: 0.00x
EPS: $-0.02
AI Rating: HOLD with 62% confidence

Is IOT a Good Investment? Thesis Analysis

Claude

Samsara demonstrates strong revenue growth (29.6% YoY) and exceptional cash generation (207.4M FCF, 12.8% FCF margin) with healthy balance sheet fundamentals, but profitability remains challenged with negative operating margins (-3.2%) and net losses despite scale. The company is at an inflection point where revenue scale must translate into profitability to validate the business model.

Why Buy IOT? Key Strengths

Claude
  • + Strong revenue growth of 29.6% YoY reaching $1.6B scale
  • + Exceptional free cash flow generation of $207.4M (12.8% of revenue) indicating underlying business quality
  • + Excellent gross margins of 76.7% demonstrating strong unit economics and pricing power
  • + Solid balance sheet with $318.8M cash, 1.64x current ratio, and zero long-term debt providing financial flexibility
  • + Operating cash flow of $236.2M positive and significantly exceeds net income, suggesting earnings quality issues rather than operational problems

IOT Investment Risks to Consider

Claude
  • ! Negative operating margins (-3.2%) and net losses (-$9.1M) at $1.6B revenue scale indicate profitability challenges persist despite maturity
  • ! Operating income deteriorating faster than gross profit growth suggests operating expense leverage is not materializing as scale increases
  • ! High insider trading activity (27 Form 4 filings in 90 days) warrants monitoring for potential confidence signals or compensation-driven transactions
  • ! Path to sustained profitability unclear; company must demonstrate operating leverage as revenue scales or face continued margin pressure

Key Metrics to Watch

Claude
  • * Operating margin trajectory - must reach positive territory to validate business model at scale
  • * Operating expense growth rate relative to revenue growth - determines if leverage is achievable
  • * Gross margin stability - must maintain 75%+ levels to support profitability transition
  • * Free cash flow conversion - sustainability of 12%+ FCF margins as company scales
  • * Customer acquisition cost and retention metrics - indicate growth quality and unit economics sustainability

IOT Financial Metrics

Revenue
$1.6B
Net Income
$-9.1M
EPS (Diluted)
$-0.02
Free Cash Flow
$207.4M
Total Assets
$2.5B
Cash Position
$318.8M

💡 AI Analyst Insight

Samsara Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

IOT Profitability Ratios

Gross Margin 76.7%
Operating Margin -3.2%
Net Margin -0.6%
ROE -0.6%
ROA -0.4%
FCF Margin 12.8%

IOT vs Technology Sector

How Samsara Inc. compares to Technology sector averages

Net Margin
IOT -0.6%
vs
Sector Avg 18.0%
IOT Sector
ROE
IOT -0.6%
vs
Sector Avg 22.0%
IOT Sector
Current Ratio
IOT 1.6x
vs
Sector Avg 2.5x
IOT Sector
Debt/Equity
IOT 0.0x
vs
Sector Avg 0.5x
IOT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is IOT Overvalued or Undervalued?

Based on fundamental analysis, Samsara Inc. has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
-0.6%
Sector avg: 22%
Net Profit Margin
-0.6%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.5x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

IOT Balance Sheet & Liquidity

Current Ratio
1.64x
Quick Ratio
1.59x
Debt/Equity
0.00x
Debt/Assets
44.1%
Interest Coverage
N/A
Long-term Debt
N/A

IOT 5-Year Financial Trend & Growth Analysis

IOT 5-year financial data: Year 2023: Revenue $652.5M, Net Income -$210.2M, EPS $-0.92. Year 2024: Revenue $937.4M, Net Income -$355.0M, EPS $-1.28. Year 2025: Revenue $1.2B, Net Income -$247.4M, EPS $-0.48. Year 2026: Revenue $1.6B, Net Income -$286.7M, EPS $-0.54.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Samsara Inc.'s revenue has grown significantly by 148% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.54 indicates the company is currently unprofitable.

IOT Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
12.8%
Free cash flow / Revenue

IOT Quarterly Performance

Quarterly financial performance data for Samsara Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2026 $322.0M $7.8M $0.01
Q2 2026 $300.2M -$16.8M $-0.03
Q1 2026 $280.7M -$22.1M $-0.04
Q3 2025 $237.5M -$37.8M $-0.07
Q2 2025 $219.3M -$49.6M $-0.09
Q1 2025 $204.3M -$56.3M $-0.10
Q3 2024 $169.8M -$45.5M $-0.08
Q2 2024 $153.5M -$60.0M $-0.11

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

IOT Capital Allocation

Operating Cash Flow
$236.2M
Cash generated from operations
Capital Expenditures
$28.8M
Investment in assets
Dividends
None
No dividend program

IOT SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for Samsara Inc. (CIK: 0001642896)

📋 Recent SEC Filings

Date Form Document Action
Mar 23, 2026 4 xslF345X06/form4-03232026_100307.xml View →
Mar 18, 2026 4 xslF345X06/form4-03182026_080304.xml View →
Mar 18, 2026 4 xslF345X06/form4-03182026_080342.xml View →
Mar 17, 2026 4 xslF345X05/form4-03172026_080322.xml View →
Mar 17, 2026 4 xslF345X05/form4-03172026_080303.xml View →

Frequently Asked Questions about IOT

What is the AI rating for IOT?

Samsara Inc. (IOT) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are IOT's key strengths?

Claude: Strong revenue growth of 29.6% YoY reaching $1.6B scale. Exceptional free cash flow generation of $207.4M (12.8% of revenue) indicating underlying business quality.

What are the risks of investing in IOT?

Claude: Negative operating margins (-3.2%) and net losses (-$9.1M) at $1.6B revenue scale indicate profitability challenges persist despite maturity. Operating income deteriorating faster than gross profit growth suggests operating expense leverage is not materializing as scale increases.

What is IOT's revenue and growth?

Samsara Inc. reported revenue of $1.6B.

Does IOT pay dividends?

Samsara Inc. does not currently pay dividends.

Where can I find IOT SEC filings?

Official SEC filings for Samsara Inc. (CIK: 0001642896) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is IOT's EPS?

Samsara Inc. has a diluted EPS of $-0.02.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is IOT a good stock to buy right now?

Based on our AI fundamental analysis in March 2026, Samsara Inc. has a HOLD rating with 62% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is IOT stock overvalued or undervalued?

Valuation metrics for IOT: ROE of -0.6% (sector avg: 22%), net margin of -0.6% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

Should I buy IOT stock in 2026?

Our dual AI analysis gives Samsara Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is IOT's free cash flow?

Samsara Inc.'s operating cash flow is $236.2M, with capital expenditures of $28.8M. FCF margin is 12.8%.

How does IOT compare to other Technology stocks?

Vs Technology sector averages: Net margin -0.6% (avg: 18%), ROE -0.6% (avg: 22%), current ratio 1.64 (avg: 2.5).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 29, 2026 | Data as of: 2026-01-31 | Powered by Claude AI