Network-1 Technologies Inc. Common Stock (NTIP)

FairStock Score: 49/100 — MIXED

Key Financials

AI Analysis

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

I look for businesses with durable earnings, honest accounting, and a margin of safety. Network-1 owns 119 patents and licenses intellectual property with just two employees, which sounds asset-light. But the filed numbers do not show a durable earning stream. In fiscal year 2025, the period ended 2025-12-31, revenue was $150,000 and net income was -$2.4 million. In fiscal year 2024, revenue was $100,000 and net loss was $3.0 million, down from $2.6 million of revenue and a $1.5 million loss in fiscal year 2023. More recently, in fiscal Q2 2026, the quarter ended 2026-06-30, the net loss was $655,000, or -$0.03 per diluted share. The Lynch category is none because the company lost money in each of the last four years. A 1/9 Piotroski F-Score and -$1.9 million trailing free cash flow confirm weak financial momentum. On valuation, at the 2026-10-13 close of $1.55, the FairStock P/B is 0.95, so the market values it near book value, and the dividend yield is 6.45%. But with a -5.2% free cash flow yield, the payout is not being funded by free cash flow. The Altman Z-Score of 22.05 is a positive outlier, suggesting low measured bankruptcy risk, but it does not create earnings. The 119 patents may have option value, but the revenue collapse from $2.6 million in fiscal year 2023 to $150,000 in fiscal year 2025 shows how uncertain licensing outcomes are. I see a speculative asset play, not a compounding business.

In plain English: Network-1 Technologies owns patents and licenses intellectual property, mainly through a very small operation with two employees. The business looks weak: it has lost money for years, and revenue fell from $2.6 million in fiscal 2023 to $150,000 in fiscal 2025. At $1.55 on 2026-10-13, the stock trades near the accounting value of its net assets, which can look inexpensive, but without profits the value is uncertain.

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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