📊 SCKT Key Takeaways
Is Socket Mobile, Inc.. (SCKT) a Good Investment?
Socket Mobile exhibits terminal financial distress with collapsing profitability, severe operating losses (-21.3% margin), and negative free cash flow consuming limited $2.0M in cash reserves. Declining revenue (-19.6% YoY) combined with accelerating net losses (-541.2% YoY) indicate an unsustainable business model approaching insolvency without immediate operational turnaround.
Why Buy Socket Mobile, Inc.. Stock? SCKT Key Strengths
- Zero long-term debt eliminates leverage risk and financial distress from borrowing obligations
- Gross margin of 49.7% demonstrates product demand and pricing power at unit level
- Minimal asset base of $14.4M reduces absolute cash burn rate relative to larger enterprises
SCKT Stock Risks: Socket Mobile, Inc.. Investment Risks
- Operating losses of -21.3% indicate core business is unprofitable and unsustainable at current scale
- Negative free cash flow of -$1.8M burning through limited $2.0M cash reserves with 6-12 month runway at current burn rate
- Revenue declining 19.6% YoY with no evidence of stabilization or growth path recovery
- Quick ratio of 0.52x signals imminent liquidity crisis; insufficient liquid assets to cover current liabilities
- Catastrophic shareholder returns: ROE of -336.1% and ROA of -99.6% destroying equity value
- 13 Form 4 insider filings in 90 days may indicate management confidence erosion or insider selling
Key Metrics to Watch
- Quarterly cash runway and monthly cash burn rate (critical to solvency timeline)
- Quarterly revenue trend and gross profit sustainability
- Operating cash flow improvement and path to operating profitability
- Current ratio and quick ratio (liquidity crisis indicators)
Socket Mobile, Inc.. (SCKT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Socket Mobile, Inc.. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
SCKT Profit Margin, ROE & Profitability Analysis
SCKT vs Technology Sector: How Socket Mobile, Inc.. Compares
How Socket Mobile, Inc.. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Socket Mobile, Inc.. Stock Overvalued? SCKT Valuation Analysis 2026
Based on fundamental analysis, Socket Mobile, Inc.. has mixed fundamental signals relative to the Technology sector in 2026.
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.
Socket Mobile, Inc.. Balance Sheet: SCKT Debt, Cash & Liquidity
SCKT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Socket Mobile, Inc..'s revenue has declined by 19% over the 5-year period, indicating business contraction. The most recent EPS of $-0.30 indicates the company is currently unprofitable.
SCKT Revenue Growth, EPS Growth & YoY Performance
SCKT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $3.1M | -$557.4K | $-0.15 |
| Q2 2025 | $4.0M | -$557.4K | $-0.08 |
| Q1 2025 | $4.0M | -$557.4K | $-0.07 |
| Q3 2024 | $3.2M | -$512.8K | $-0.15 |
| Q2 2024 | $5.1M | -$512.8K | $-0.06 |
| Q1 2024 | $4.3M | -$557.4K | $-0.07 |
| Q3 2023 | $3.2M | $104.0K | $-0.05 |
| Q2 2023 | $5.1M | $104.0K | $0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Socket Mobile, Inc.. Dividends, Buybacks & Capital Allocation
SCKT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Socket Mobile, Inc.. (CIK: 0000944075)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SCKT
What is the AI rating for SCKT?
Socket Mobile, Inc.. (SCKT) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SCKT's key strengths?
Claude: Zero long-term debt eliminates leverage risk and financial distress from borrowing obligations. Gross margin of 49.7% demonstrates product demand and pricing power at unit level.
What are the risks of investing in SCKT?
Claude: Operating losses of -21.3% indicate core business is unprofitable and unsustainable at current scale. Negative free cash flow of -$1.8M burning through limited $2.0M cash reserves with 6-12 month runway at current burn rate.
What is SCKT's revenue and growth?
Socket Mobile, Inc.. reported revenue of $15.1M.
Does SCKT pay dividends?
Socket Mobile, Inc.. does not currently pay dividends.
Where can I find SCKT SEC filings?
Official SEC filings for Socket Mobile, Inc.. (CIK: 0000944075) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SCKT's EPS?
Socket Mobile, Inc.. has a diluted EPS of $-1.81.
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 SCKT a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Socket Mobile, Inc.. has a STRONG SELL rating with 95% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is SCKT stock overvalued or undervalued?
Valuation metrics for SCKT: ROE of -336.1% (sector avg: 22%), net margin of -95.4% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy SCKT stock in 2026?
Our dual AI analysis gives Socket Mobile, Inc.. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SCKT's free cash flow?
Socket Mobile, Inc..'s operating cash flow is $-1.2M, with capital expenditures of $537.1K. FCF margin is -11.9%.
How does SCKT compare to other Technology stocks?
Vs Technology sector averages: Net margin -95.4% (avg: 18%), ROE -336.1% (avg: 22%), current ratio 1.02 (avg: 2.5).