📊 TLS Key Takeaways
Is Telos Corp. (TLS) a Good Investment?
TELOS demonstrates exceptional top-line growth (+52.2% YoY) with improving profitability trajectory despite current operating losses, supported by robust positive free cash flow of $29.4M indicating strong underlying business fundamentals. The company maintains fortress-like balance sheet health with 2.57x current ratio, minimal leverage (0.18x debt/equity), and substantial cash reserves, positioning it well to sustain growth investments and reach profitability at scale.
Why Buy Telos Corp. Stock? TLS Key Strengths
- Strong revenue growth at +52.2% YoY with gross margin of 37% demonstrating solid pricing power
- Positive free cash flow of $29.4M (17.9% FCF margin) despite accounting losses suggests strong underlying cash generation
- Fortress balance sheet: 2.57x current ratio, 0.18x debt/equity, $53.2M cash with only $17.2M long-term debt
- Improving profitability trend with net losses shrinking 30.4% YoY and EPS improving 31.5% YoY
TLS Stock Risks: Telos Corp. Investment Risks
- Significant operating losses (-24.2% operating margin) and negative net income (-22.2% net margin) indicate company is not yet profitable at scale
- Negative interest coverage ratio (-227.9x) shows operating income insufficient to cover debt service, dependent on cash reserves
- Execution risk on path to profitability - rapid growth must translate to margin expansion or company faces sustainability concerns
- High insider activity (15 Form 4 filings in 90 days) requires investigation into whether insiders are buying or selling
Key Metrics to Watch
- Operating margin trajectory - must show consistent improvement toward breakeven and profitability
- Free cash flow sustainability - ensure positive FCF continues as company scales revenue
- Gross margin stability - any contraction could signal pricing pressure or unfavorable mix shift
- Operating expense ratio relative to revenue - key to proving path to profitability exists
Telos Corp. (TLS) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.57x current ratio provides a solid financial cushion.
TLS Profit Margin, ROE & Profitability Analysis
TLS vs Technology Sector: How Telos Corp. Compares
How Telos Corp. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Telos Corp. Stock Overvalued? TLS Valuation Analysis 2026
Based on fundamental analysis, Telos Corp. 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.
Telos Corp. Balance Sheet: TLS Debt, Cash & Liquidity
TLS Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Telos Corp.'s revenue has declined by 32% over the 5-year period, indicating business contraction. The most recent EPS of $-0.73 indicates the company is currently unprofitable.
TLS Revenue Growth, EPS Growth & YoY Performance
TLS Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $23.8M | -$2.1M | $-0.03 |
| Q2 2025 | $28.5M | -$7.8M | $-0.11 |
| Q1 2025 | $29.6M | -$7.4M | $-0.10 |
| Q3 2024 | $23.8M | -$8.7M | $-0.12 |
| Q2 2024 | $28.5M | -$7.8M | $-0.11 |
| Q1 2024 | $29.6M | -$7.4M | $-0.10 |
| Q3 2023 | $36.2M | -$8.5M | $-0.12 |
| Q2 2023 | $32.9M | -$8.0M | $-0.12 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Telos Corp. Dividends, Buybacks & Capital Allocation
TLS SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Telos Corp. (CIK: 0000320121)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Mar 27, 2026 | DEF 14A | ny20059959x1_def14a.htm | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774037088.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774037065.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774037043.xml | View → |
| Mar 20, 2026 | 4 | xslF345X06/wk-form4_1774037024.xml | View → |
❓ Frequently Asked Questions about TLS
What is the AI rating for TLS?
Telos Corp. (TLS) has an AI rating of BUY with 68% confidence, based on fundamental analysis of SEC EDGAR filings.
What are TLS's key strengths?
Claude: Strong revenue growth at +52.2% YoY with gross margin of 37% demonstrating solid pricing power. Positive free cash flow of $29.4M (17.9% FCF margin) despite accounting losses suggests strong underlying cash generation.
What are the risks of investing in TLS?
Claude: Significant operating losses (-24.2% operating margin) and negative net income (-22.2% net margin) indicate company is not yet profitable at scale. Negative interest coverage ratio (-227.9x) shows operating income insufficient to cover debt service, dependent on cash reserves.
What is TLS's revenue and growth?
Telos Corp. reported revenue of $164.8M.
Does TLS pay dividends?
Telos Corp. does not currently pay dividends.
Where can I find TLS SEC filings?
Official SEC filings for Telos Corp. (CIK: 0000320121) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is TLS's EPS?
Telos Corp. has a diluted EPS of $-0.50.
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 TLS a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Telos Corp. has a BUY rating with 68% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is TLS stock overvalued or undervalued?
Valuation metrics for TLS: ROE of -38.1% (sector avg: 22%), net margin of -22.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy TLS stock in 2026?
Our dual AI analysis gives Telos Corp. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is TLS's free cash flow?
Telos Corp.'s operating cash flow is $30.2M, with capital expenditures of $739.0K. FCF margin is 17.9%.
How does TLS compare to other Technology stocks?
Vs Technology sector averages: Net margin -22.2% (avg: 18%), ROE -38.1% (avg: 22%), current ratio 2.57 (avg: 2.5).