Koss Corporation Common Stock (KOSS)

FairStock Score: 33/100 — RISKY

Key Financials

AI Analysis

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

As a Buffett-style investor, I begin with durable earning power. Koss is a 28-employee consumer-electronics firm selling headphones and accessories. In fiscal 2026, the year ended 2026-06-30, revenue was $13.0 million and net loss was $391,464, or EPS -$0.04. Fiscal 2025 revenue was $12.6 million with a net loss of $874,831, or EPS -$0.09, and fiscal 2024 revenue was $12.3 million with a net loss of $950,911, or EPS -$0.10. Revenue is barely growing and the company remains unprofitable, though losses are narrowing. FairStock calculations based on the $3.83 close on 2026-10-13 show P/E -95.75, P/B 1.20, ROE -1.29%, ROCE -4.48%, FCF yield 0.3%, and FairStock Score 33/100. Free cash flow is only $122,721. The balance sheet looks solid: D/E 0.08, Altman Z-Score 4.88, and Piotroski F-Score 8/9, but these mostly tell me survival is not the issue. The problem is competitive advantage. A tiny scale player in consumer electronics rarely has pricing power or a moat. The computed Lynch category is TURNAROUND—loss in the latest year after earlier profits—and that is how I would treat it: a speculative turnaround, not a compounding business. A Graham investor might note the stock trades near book value, but without consistent profits there is no reliable margin of safety. I would want evidence of durable positive earnings and meaningful free cash flow before calling this attractive.

In plain English: Koss makes headphones and related audio products. It is a very small business that has been losing money in recent full years, though losses have shrunk and debt is low. At the recent price, the stock looks close to the value of the company's net assets, but it is not clearly cheap because profits are weak.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-03-31) · fiscal Q2 2026 10-Q (period ended 2025-12-31) · fiscal Q1 2026 10-Q (period ended 2025-09-30) · fiscal Q3 2025 10-Q (period ended 2025-03-31) · FY2026 10-K (period ended 2026-06-30) · FY2025 10-K (period ended 2025-06-30) · FY2024 10-K (period ended 2024-06-30)

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