Interlink Electronics Inc. Common Stock (LINK)

FairStock Score: 22/100 — RISKY

Key Financials

AI Analysis

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

I approach a $73.3 million sensor maker with Graham’s caution. Interlink Electronics sells force-sensing and printed-electronics components into human-machine interface and IoT applications, and it employs only 93 people. That is a niche business, but the filed numbers show no durable moat: FY2025 revenue was $11.9 million, up slightly from $11.7 million in FY2024 but still below $13.9 million in FY2023. More importantly, FY2025 net income was a loss of $1.6 million, or diluted EPS of -$0.13, following a $2.0 million loss in FY2024 and a $383,000 loss in FY2023. The latest reported quarter, fiscal Q2 2026 ended 2026-06-30, was better: revenue of $3.8 million and net income of $248,000, or $0.02 per diluted share. That is a hopeful sign, but one quarter does not make a turnaround. Financial health is mixed. Debt is low—D/E 0.11—and FairStock’s Altman Z-Score is 14.12, so insolvency risk does not look immediate. Yet trailing free cash flow is negative $555,000 and FairStock’s FCF yield is -0.8%, and FairStock calculates ROE of -10.49% and ROCE of -6.58%. At the 2026-10-13 close of $4.65, the market cap is $73.3 million; FairStock’s P/B is 8.16 and P/E is -58.13. Paying over eight times book for a loss-making, cash-burning microcap is not a Graham bargain. FairStock classifies it as a TURNAROUND — Loss in the latest year after earlier profits — and its 22/100 score suggests the market is pricing hope, not proven earning power. I would need evidence of sustained profit and positive cash flow before calling this a safe value.

In plain English: Interlink Electronics makes force and touch sensors and printed electronics for machines, devices, and Internet-connected products. It is a very small company that has mostly lost money in recent years, although its latest quarter showed a small profit. At $4.65, the stock looks expensive compared with its weak profits and the value of its assets after debts, so the numbers do not scream bargain.

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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