📊 TRNS Key Takeaways
Is Transcat Inc. (TRNS) a Good Investment?
Transcat demonstrates moderate revenue growth of 7.3% and positive free cash flow of $16.9M, but profitability metrics are severely constrained with operating margin of 3.7% and net margin of only 1.4%. Declining diluted EPS of -3.7% YoY coupled with returns on equity of 1.2% and ROA of 0.7% suggest significant operational inefficiency that must be addressed before the company can deliver shareholder value.
Why Buy Transcat Inc. Stock? TRNS Key Strengths
- Positive free cash flow of $16.9M with 7.0% FCF margin demonstrates operational cash generation and covers capital expenditure needs
- Conservative leverage with debt/equity ratio of 0.34x and interest coverage of 4.9x provides financial stability and debt service capacity
- Revenue growth of 7.3% YoY with 32.1% gross margin indicates market demand and reasonable product-level economics
TRNS Stock Risks: Transcat Inc. Investment Risks
- Operating margin of 3.7% and net margin of 1.4% are critically low, indicating severe profitability pressure or structural cost disadvantages
- Diluted EPS declining 3.7% YoY while revenue grows signals margin compression and deteriorating operational leverage
- Extremely low cash position of $3.5M relative to $472.9M in assets and $99.9M in debt creates refinancing and operational flexibility concerns
Key Metrics to Watch
- Operating margin trend - path to sustainable 5%+ is critical for viability
- Free cash flow sustainability and capital allocation discipline
- Return on equity improvement trajectory toward double-digit levels
Transcat Inc. (TRNS) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.21x current ratio provides a solid financial cushion.
TRNS Profit Margin, ROE & Profitability Analysis
TRNS vs Utilities Sector: How Transcat Inc. Compares
How Transcat Inc. compares to Utilities sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Transcat Inc. Stock Overvalued? TRNS Valuation Analysis 2026
Based on fundamental analysis, Transcat Inc. has mixed fundamental signals relative to the Utilities 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.
Transcat Inc. Balance Sheet: TRNS Debt, Cash & Liquidity
TRNS Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Transcat Inc.'s revenue has grown significantly by 61% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.40 reflects profitable operations.
TRNS Revenue Growth, EPS Growth & YoY Performance
TRNS Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $66.8M | -$1.1M | $-0.12 |
| Q2 2026 | $67.8M | $1.3M | $0.14 |
| Q1 2026 | $66.7M | $3.3M | $0.35 |
| Q3 2025 | $65.2M | $460.0K | $0.25 |
| Q2 2025 | $62.8M | $460.0K | $0.06 |
| Q1 2025 | $60.6M | $2.9M | $0.38 |
| Q3 2024 | $57.4M | $460.0K | $0.21 |
| Q3 2023 | $50.9M | $1.6M | $0.21 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Transcat Inc. Dividends, Buybacks & Capital Allocation
TRNS SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Transcat Inc. (CIK: 0000099302)
📋 Recent SEC Filings
❓ Frequently Asked Questions about TRNS
What is the AI rating for TRNS?
Transcat Inc. (TRNS) has an AI rating of HOLD with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are TRNS's key strengths?
Claude: Positive free cash flow of $16.9M with 7.0% FCF margin demonstrates operational cash generation and covers capital expenditure needs. Conservative leverage with debt/equity ratio of 0.34x and interest coverage of 4.9x provides financial stability and debt service capacity.
What are the risks of investing in TRNS?
Claude: Operating margin of 3.7% and net margin of 1.4% are critically low, indicating severe profitability pressure or structural cost disadvantages. Diluted EPS declining 3.7% YoY while revenue grows signals margin compression and deteriorating operational leverage.
What is TRNS's revenue and growth?
Transcat Inc. reported revenue of $242.6M.
Does TRNS pay dividends?
Transcat Inc. does not currently pay dividends.
Where can I find TRNS SEC filings?
Official SEC filings for Transcat Inc. (CIK: 0000099302) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is TRNS's EPS?
Transcat Inc. has a diluted EPS of $0.37.
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 TRNS a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Transcat Inc. has a HOLD rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is TRNS stock overvalued or undervalued?
Valuation metrics for TRNS: ROE of 1.2% (sector avg: 10%), net margin of 1.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy TRNS stock in 2026?
Our dual AI analysis gives Transcat 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 TRNS's free cash flow?
Transcat Inc.'s operating cash flow is $28.6M, with capital expenditures of $11.7M. FCF margin is 7.0%.
How does TRNS compare to other Utilities stocks?
Vs Utilities sector averages: Net margin 1.4% (avg: 12%), ROE 1.2% (avg: 10%), current ratio 2.21 (avg: 0.8).