Duos Technologies Group Inc. Common Stock (DUOT)

FairStock Score: 47/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach this as a Graham-style owner: I want durable earning power, honest cash generation, and a price that protects me if I am wrong. Duos Technologies is a tiny technology firm, with 35 employees, selling vehicle inspection and monitoring systems plus edge data center infrastructure. The filed record is erratic. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $6.2M and net income was $47.8M, diluted EPS $1.35. That is a spectacular swing. But in fiscal Q1 2026, revenue was $2.7M and net loss was $3.5M; in FY2025, revenue was $27.0M and net loss was $9.8M. The given data show revenue growth of -45.03% and profit growth of -67.92%, so I cannot treat the latest quarter as proven recurring earning power. The balance sheet has no debt, with D/E 0.00, and FairStock's Altman Z-Score is 3.95, but ROCE is -4.96%. Free cash flow is -$88.2M and FCF yield is -43.7%; that is not the mark of a cash-compounding business. At the 2026-10-13 close of $6.41, FairStock reports a P/E of 6.54, P/B of 0.97, ROE of 36.04%, EV/EBITDA of 1.86, and a Graham Number of $12.09, implying 46.98% margin of safety. The P/E and P/B look cheap, but the profit base is unstable and the cash burn is severe. Piotroski is 6/9, and the FairStock Score is 47/100. There is little evidence of a durable moat. I see a speculative situation, not a classic value investment, unless the Q2 profit and cash generation become repeatable.

In plain English: Duos Technologies Group makes intelligent inspection and monitoring systems for fast-moving vehicles and also works on edge data centers. The business has mostly lost money in recent years, though it reported a very large profit in the latest quarter, and its sales have been uneven; it has no debt. At $6.41, the stock looks cheap against some accounting measures, but heavy negative cash flow makes the price hard to call simply cheap.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer